Author
Koyuncu, Burcu Balçık, Ak, D.
Publication Date
2014-06
Publication Place
-
Wiley
Subject
Supplier selection, Framework agreements, Humanitarian relief, Procurement
Type
Periodical
Language
English
Digital
Yes
Manuscript
No
Library
Özyeğin University
Library Asset ID
1937-5956
Record ID
673b21e8-9401-4634-b2e4-d49ec9973b6e
Library Location
Industrial Engineering
Date
2014-06
Notes
Due to copyright restrictions, the access to the full text of this article is only available via subscription.
Sample Text
In this study, we consider the supplier selection problem of a relief organization that wants to establish framework agreements (FAs) with a number of suppliers to ensure quick and cost-effective procurement of relief supplies in responding to sudden-onset disasters. Motivated by the FAs in relief practice, we focus on a quantity flexibility contract in which the relief organization commits to purchase a minimum total quantity from each framework supplier over a fixed agreement horizon, and, in return, the suppliers reserve capacity for the organization and promise to deliver items according to pre-specified agreement terms. Due to the uncertainties in demand locations and amounts, it may be challenging for relief organizations to assess candidate suppliers and the offered agreement terms. We use a scenario-based approach to represent demand uncertainty and develop a stochastic programming model that selects framework suppliers to minimize expected procurement and agreement costs while meeting service requirements. We perform numerical experiments to understand the implications of agreement terms in different settings. The results show that supplier selection decisions and costs are generally more sensitive to the changes in agreement terms in settings with high-impact disasters. Finally, we illustrate the applicability of our model on a case study.
DOI
10.1111/poms.12098
Cilt
23