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A simulation/metaheuristic approach to newspaper production and distribution supply chain problems

Author

Listed:
  • Chiang, Wen-Chyuan
  • Russell, Robert
  • Xu, Xiaojing
  • Zepeda, David
Abstract
In this paper, we examine two-level and three-level supply chains for a midsize US newspaper in the Midwest that delivers to households and businesses in over 200 zip codes that span across various states. We formally define this problem as an integrated newspaper production and distribution supply chain management problem. Using a combination of model formulation, simulation, and an improvement heuristic we address both the efficiency and robustness of the solution by considering the impact of the stochastic nature of various parameters in both production and distribution. A deterministic formulation of the open vehicle routing problem with time windows and zoning constraints is utilized for vehicle scheduling and routing. A generalized network assignment problem is used to generate initial solutions and a tabu search metaheuristic solution approach is applied to improve solutions satisfying zone constraints and various approximate probabilities of satisfying delivery deadlines. However, the production and distribution process involves stochastic phenomena. We use simulation to evaluate the performance of the proposed solution. We estimate the customer service level of delivering to locations before 4:00 am. We also discuss improvement procedures if the service level is unsatisfactory.

Suggested Citation

  • Chiang, Wen-Chyuan & Russell, Robert & Xu, Xiaojing & Zepeda, David, 2009. "A simulation/metaheuristic approach to newspaper production and distribution supply chain problems," International Journal of Production Economics, Elsevier, vol. 121(2), pages 752-767, October.
  • Handle: RePEc:eee:proeco:v:121:y:2009:i:2:p:752-767
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    References listed on IDEAS

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    7. Zakaria Chekoubi & Wajdi Trabelsi & Nathalie Sauer & Ilias Majdouline, 2022. "The Integrated Production-Inventory-Routing Problem with Reverse Logistics and Remanufacturing: A Two-Phase Decomposition Heuristic," Sustainability, MDPI, vol. 14(20), pages 1-30, October.
    8. M Laguna & J Molina & F Pérez & R Caballero & A G Hernández-Díaz, 2010. "The challenge of optimizing expensive black boxes: a scatter search/rough set theory approach," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 61(1), pages 53-67, January.
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