An Optimization Model of Short-Lived Food Supply Chain Considering Risk-Sharing Contracts  
Author Quynh-Hoa Truong

 
Co-Author(s) Hong-Phuc Nguyen; Thi-Phuong Nguyen; Duc-Tai Ngo; Thanh-Truc Ly

 
Abstract This study focuses on a short-lived food supply chain which includes supply and recall of products within food shelf time. A four-stage supply chain is built when considering an exchange agreement through a risksharing contract. The research proposes a linear optimization model to maximize the local profits of the manufacturing plant and distribution center. Compromise Programming (CP) method is used to approach the goals and balance the profits between the manufacturer and the distribution center. The proposed method is applied to a practical case, a fresh bread supply chain in Southern Vietnam, to analyze and check the model's entity. The product under review is fresh bread, mainly distributed in the southern provinces of Vietnam. The sensitivity analysis shows that the CP method can find the optimal solution for the model with the objective function less affected by the subjectivity of the decision maker.

 
Keywords supply chain, short-lived food, risk-sharing contracts, compromise programming
   
    Article #:  DSBFI23-32
 
Proceedings of 2nd ISSAT International Conference on Data Science in Business, Finance and Industry
January 8-10, 2023 - Da Nang, Vietnam