2016 INFORMS Annual Meeting Program

WB88

INFORMS Nashville – 2016

4 - Robust Data Collaboration Application For Large Teams Haraldur Haraldsson, Optimization Specialist, AIMMS inc, 11711 SE 8th Street, #303, Suite 1780, Bellevue, WA, 98005, United States, Haraldur.Haraldsson@aimms.com For most analytic teams, collaboratively working with centralized data, data conflicts and version control issues can substantially impact the team’s performance. We will introduce a new application enabling robust collaborative data management which controls multi-dimensional data, (backed up by a central data repository) that enables large teams to make supply chain plans using the latest up to date data, as well as exploring multiple scenarios without corrupting the main data. This new way of working streamlines data management, saves time, and improves team productivity. 5 - Reliable Biomass Supply Chain Design Under Feedstock Seasonality Wang Shukun, Huazhong University of science and technology, Luoyu Road 1037, Wuhan, 430074, China, wsk17951@163.com We consider design of a reliable supply chain for biomass networks against seasonal variations of feedstock and the risk of disruptions for collection facility in which the disruption probability varies seasonally.We identify location,inventory,biomass quantity and collection routing in a multiperiod planing horizon setting.A variety of approaches (e.g,Lagrangian relaxation and Benders decomposition)to solving the problem are assessed. Computational results are provided to test the performance of the solution approach and realistic case in Henan China are developed to offer managerial insights. WB84 Broadway J- Omni Supply Chain, Risk II Contributed Session Chair: Wenpo Huang, Post-Doctor, Shanghai Jiao Tong University, 1954 Huashan Rd., Xuhui, Shanghai, 200030, China, bobhuang09@gmail.com 1 - Loan Guarantee And Subsidy For Small And Medium Suppliers Boray Huang, Eindhoven University of Technology, PO Box 513, School of Industrial Engineering, Eindhoven, 5600MB, Netherlands, b.huang@tue.nl, Lei Jing We investigate the the pros and cons of loan guarantee and subsidy for SME suppliers in supply chains. 2 - Currency Exchange Rate Flexibility Contracts In Global Supply Chain Leke Ogunranti, PhD Student, Drexel University, Gerri C. Lebow Hall 734, Decision Sciences, Philadelphia, PA, 19104, United States, gao32@drexel.edu, Avijit Banerjee, Oben Ceryan This paper investigates a decentralized supply chain under a newsvendor setting, in which a supplier produces and delivers a single product to buyer, subsequently receiving payment. We analyze the effect of random currency exchange rate fluctuation on the order quantity of a risk neutral buyer, through a contract involving mutually agreed upon thresholds on exchange rate variation. These thresholds are designed to limit the potential loss incurred by either party. 3 - On The Structural Properties Of Wholesale Price Contracts Within Random Yield Supply Chains Guang Xiao, Assistant Professor, The Hong Kong Polytechnic University, Hung Hom, Kowloon, Hong Kong, xiaoguang@wustl.edu, Panos Kouvelis We consider a bilateral supply chain with supply random yield and propose three variants of wholesale price contracts, which induce different risk allocations between the supply chain parties. We completely characterize the Pareto set of any contract type combination to fully explore the price negotiation possibilities and profit improvement opportunities within the supply chain. 4 - Suboptimal Capacity Investments Under Information Asymmetry Junhyun Bae, Student, Cornell University, Ithaca, NY, 14850, United States, jb2258@cornell.edu, William Schmidt We investigate imperfect demand information sharing in a supply chain with an external investor. We identify conditions under which firms will invest sub- optimally in capacity, thereby exposing themselves and the supply chain to disruption. We introduce an equity-sharing contract which can mitigate the impact of the firm’s capacity choices. Our results show that supplier’s risk can be reduced by sharing a portion of equity, and supplier’s involvement helps to mitigate supply chain inefficiency due to information asymmetry.

5 - The Optimal Decision Of Dual Sourcing System Under Lead-time And Price Uncertainties Wenpo Huang, Post-Doctor, Shanghai Jiao Tong University,

1954 Huashan Rd., Xuhui, Shanghai, 200030, China, bobhuang09@gmail.com, Wei Jiang, Wenhui Zhao

We setup a dynamic programming model to study the sourcing decision of an MTO manufacturer who decides whether to order a key component from a contract supplier with fixed wholesale price but random lead-time and/or purchase from spot market with fixed lead time but stochastic price. We show there are at most two stop-waiting thresholds and the manufacturer purchases from the spot market if the spot price is within the two thresholds and keeps on waiting otherwise. We further establish the conditions under which only one threshold exists and increases monotonically in time. Interestingly, we show the spot price volatility in fact benefits the manufacturer. WB85 Broadway K- Omni Sustainability II Contributed Session Chair: Anthony Craig, Iowa State University, Ames, IA, tcraig@iastate.edu 1 - Life Cycle Assessment For The Sustainable Supply Chain – A Case Study Chao Wen, Eastern Illinois University, 600 Lincoln Avenue, Lumpkin Hall, Charleston, IL, 61920, United States, cwen@eiu.edu Sustainable supply chain requires not only a competitive financial performance, but better management of environmental and social impacts. Life cycle assessment (LCA) is used to find the full range of environmental impact of the product from cradle to grave. This study investigated the implication of LCA through a case analysis of an organization in energy sector. 2 - Sustainable Product Development Based On Innovative Product Opportunity Gap Mohammad Hessam Olya, Wayne State University, 4815 Fourth Street, Detroit, MI, 48202, United States, h.olya@wayne.edu, Hamed Fazlollahtabar, Kai Yang New product development (NPD) is significant to sustain market share and satisfy customer needs. Different approaches proposed to handle NPD were mostly focused on the customer and design requirements. In this work, with respect to product opportunity gap (POG) concept, innovation analysis for a product is performed based on market, design and process aspects. A dynamic programming approach has been used to model our multi-dimensional problem. This integrated approach provides sustainability for product design and development. 3 - Supply Chain Emissions And Firm Performance Anthony Craig, Iowa State University, 3236 Gerdin Business Building, Ames, IA, 50011, United States, tcraig@iastate.edu, Sachin B Modi We present a method to evaluate corporate carbon disclosures in relation to the overall carbon impact of the supply chain. We also explore the firm performance implications of publicly disclosed supply chain emissions.

WB88 Broadway B-Omni Military Applications II Contributed Session

Chair: Michael Atkinson, Naval Postgraduate School, 1411 Cunningham Road, Building 302, Monterey, CA, 93943-5219, United States, mpatkins@nps.edu 1 - Critical Resources Richard F Deckro, Professor of Operations Research, Air Force Institute of Technology, Afit/ENS; Bldg 641, 2950 Hobson Way, Wright Patterson AFB, OH, 45433-7765, United States, richard.deckro@afit.edu Resources are the key to any operation. The question of criticality of a resource or resources can be characterized in relation to timing, availability, scarcity, and replacement sources, among other factors. This study focus on approaches to investigate the impact of resource availability on the delay, diversion, disruption, and destruction of required resources where those resources may be commodities, personnel, or intangibles.

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