Improved Acquisition for System Sustainment: Multi-sourcing Resilient Supplier Selection under Stochastic Distruptions
Abstract
Improved Acquisition for System Sustainment: Multi-sourcing Resilient Supplier Selection under Stochastic Disruptions Executive Summary Recognizing the inevitability of large-scale disruptions, emphasis in supply chain decision making has shifted from prevention and protection to resilience, or the ability to withstand, adapt to, and recover in a timely manner from a disruptive event. Recent work in supply chain resilience has primarily consisted of qualitative frameworks and lessons learned after disruptions. This proposal addresses resilient supplier selection, a significant concern across industry and government enterprises. This work develops a supplier selection decision framework that includes (i) a mathematical formulation for multi-sourced supplier selection that considers multiple objectives of maximizing capacity, minimizing tardiness, maximizing reliability, and minimizing costs, among potentially others, (ii) a means to address uncertainty underlying the occurrence of a disruptive event, and (iii) applications inspired by maintenance, repair, and overhaul part suppliers. We focus on the resilience capacity of suppliers from three dimensions: absorptive capacity (their ability to maintain extra inventory), adaptive capacity (their ability to subcontract commensurate goods to another party), and restorative capacity (their ability to recover lost capacity in a timely manner). One application, though not the lone application, is inspired by the supply chain for the maintenance, repair, and overhaul of systems at Tinker Air Force Base in Midwest City, OK. Public Purpose This proposal describes a research effort that is framed around improving the supplier selection process through a multiobjective optimization formulation that addresses typical supplier selection concerns (e.g., reliability) with new resilience-driven objectives. The public is often subjected to delays in goods and services when disruptive events occur, and we must plan for the inevitability of such events. While we consider applications in the DoD, particularly the maintenance, repair, and overhaul of weapon systems at Tinker Air Force Base in Midwest City, OK, we anticipate that the methodologies and insights provided in this work can be applicable to a broad range of systems whose supply chains are subject to disruption: the cyber-physicaltechnological systems that underlie daily life are subject to disruption, and such disruptions can affect the supply chains that rely on them. Selecting suppliers that are more insulated to these disruptions, and understanding how suppliers’ strategies improve their resilience, is paramount across many applications. We feel that there is a greater public purpose to this research in improving supply chain resilience through more effective component supplier selection across many industry and government enterprises.
Document Details
- Document Type
- DoD Grant Award
- Publication Date
- May 12, 2016
- Source ID
- N002441610013
Entities
People
- Kash Barker
Organizations
- United States Navy
- University of Oklahoma