As the industrial environment becomes more competitive, supply chain management(SCM) has become recognized as a major strategy in the business world. Despite its current widespread popularity, its basic concepts are confused with those of other exiting logistic tools and not clearly understood. This paper introduces the current status of SCM in terms of physical logistics, interrelationship with other logistic tools as well as the general history and definitions of SCM. Researches are categorized into deterministic models, stochastic models, simulation models, and several future research areas are discussed in this paper.

In supply chains, coordination between a manufacturer and suppliers is regarded as the most important issue when partnership of organizations is considered. Since the suppliers are external to the manufacturer and poor coordination between them results in excessive delays and ultimately leads to poor customer service, manufacturers need a new methodology to select suppliers and to manage and enhance the partnership between manufacturer and suppliers. We suggest a methodology that extends knowledge obtained from the supplier selection process to the supplier management process. We reserved a word, the supplier selection and management system (SSMS) for this methodology. In this paper, we explain how the SSMS is applied to a real supply chain. The methodology identifies the managerial criteria using information derived from supplier selection process and makes use of them in the supplier management process. These managerial criteria include key criteria that are major criteria required by the manufacturer for the best quality of parts from suppliers according to the character of each part, and weak criteria that show the shortcomings of selected suppliers as compared with alternative suppliers with regard to each criterion. The effectiveness of supplier management with managerial criteria was verified by a t-test and a correlation analysis with data collected and hypothesized from a Korean air-conditioner manufacturer.

The purpose of this research is to study customer-supplier relationships, particularly their partnerships, to help managers and practitioners successfully design, develop, implement and deploy tools and joint practices as a means for an effective supply chain management (SCM). To achieve this purpose, a total of 1,811 potential survey questionnaire respondents responsible for purchasing, sales/marketing, quality-, and production- or operations-related functions of U.S. private manufacturing companies in SIC 35, 36, and 37 were used to collect quantitative data. Using 172 usable survey questionnaire responses, eight hypothesized relationships were tested using two independent (joint use of specific tools and joint practices) and four dependent variables (informed partners, role integrity, conflict resolution, and mutuality). From the overall perspective (customer+supplier), organizations with higher levels of joint action have higher degrees of informed partners whereas organizations with higher levels of joint action resolve conflicts formally and do not have higher degrees of mutuality.

In this research report, we consider multi stage supply chain optimization modeling techniques, and propose a new integrated model. The stages that are normally associated with a supply chain include procurement, production and distribution. In general, there are two distinct set of approaches which manage whole supply chain. One approach is the plant decision and subsequently distribution and inventory decision while the second approach is to address all decisions simultaneously through the integrated model. First, we present a survey of existing models that are treated by independently. And then, we propose an integrated model that is in a moderate size and easy to implement in practice. Finally, we address possible solution methodologies and present some computational test results using CPLEX to see the computational burden from which new algorithmic insight might be come up.

This paper reviews the general concept and application area of Supply Chain Management (SCM). Then, the general concept, function, modeling methodology, and operation methodology of Supply Chain Simulation are also reviewed. SCM software solutions and their modules developed by popular IT companies are introduced and compared. The role of simulation in SCM is emphasized as a strategic decision making solution for modeling and analyzing dynamics of a supply chain. Several stand-alone supply chain simulators are introduced and compared.

The use of the Web-based Simulation Environment (WBSE) provides a strong influence on supply chain simulations. A virtual supply chain simulation is available to evaluate strategies for reducing response time to customers and for shrinking the finished goods inventory along its supply chain. This paper presents the basic concepts and definitions of Web-Based Global Supply Chain Management (WBGSCM) simulation system. It also discusses the advantages of supply chain simulation modules integration. A Time Synchronization Mechanism (TSM) called Phased Bucket Scheme (PBS) is introduced as an approach of the distributed simulation modules integration.

SCM(Supply Chain Management) is a new approach to satisfy customers via an integrated management for the whole business processes of the manufacturing from the raw material procurement to the product or service delivery to customers. Typically the semiconductor industry is the one whose supply chain network is distributed all over the world, and its manufacturing process has the particular characteristics which has to be considered in the modeling of supply chain. In this paper we suggest the push and pull type supply chain models based on the manufacturing characteristics and their mathematical formulation for the semiconductor industry. Push supply chain model pursuits the high throughput and the balance of the WIP flow, and pull supply chain model does to minimize the total cost of order-based manufacturing, distribution and transportation process in order to meet customer's request appropriately.

A supply chain is a network of facilities and distribution options that performs the functions of procurement of materials, transformation of these materials into intermediate and finished products, and the distribution of these finished products to customers. SCM(Supp1y Chain Management), by definition, encompasses all activities associated with moving goods, from the raw materials stage through to the end user. It includes source and procurement, production scheduling, order processing, inventory management, transportation, warehousing, and customer service. Importantly, it encompasses the information systems used to monitor these activities. In this paper, the present situation and problems of marketing process in Korean agricultural environments were reviewed through a systematic methodology, and then we proposed a new business process for solving these problems by appling a supply chain management. We expect this supply chain management system applied to agricultural marketing process can improve significantly the rationality and transparency of Korean agricultural marketing structure.

As the globalization of manufacturing companies continues, the scope of dependence between these companies and distributors, and other suppliers are growing very rapidly since no one company manufactures or distributes the whole product by themselves. And, the need to increase the efficiency of the whole supply chain is increasing. This paper deals with a multi-plant lot-sizing problem(MPLSP) which happens in a decentralized manufacturing system of a supply chain. In this study, we assume that the whole supply chain is driven by a single source of independent demand and many levels of dependent demands among manufacturing systems in the supply chain. We consider setup cost, transportation cost and time, and inventory holding cost as a decision factor in the MPLSP. The MPLSP is decomposed into two sub-problems: a planning problem of the whole supply chain and a lot-sizing problem of each manufacturing system. The supply chain planning problem becomes a pure linear programming problem and a Generalized Goal Decomposition method is used to solve the problem. Its result is used as a goal of the lot-sizing problem. The lot-sizing problem is solved using the CPLEX package, and then the coefficients of the planning problem are updated reflecting the lot-sizing solution. This procedure is repeated until termination criteria are met. The whole solution process is similar to Lagrangian relaxation method in the sense that the solutions are approaching the optimum in a recursive manner. Through experiments, the proposed closed-loop hierarchical planning and traditional hierarchical planning are compared to optimal solution, and it is shown that the proposed method is a very viable alternative for solving production planning problems of decentralized manufacturing systems and in other areas.

In this paper, we propose an approach for integrated process planning and scheduling through analysis of the alternative operations sequences and machine selection in supply chain with multiple plants. It takes into account such factors alternative machine, alternative operations sequences, setup time, transportation time between plants, along with other manufacturing factors. The objective of the model is to minimize makespan of machine schedules for all parts, determines operations sequence for each part, and selects a machine for each operation simultaneously. Examples are presented to demonstrate the effectiveness of the proposed approach.

For most order-based production, it is important to meet urgent orders from important customers while maintaining high on-time delivery rate for successful supply chain management. In this paper, we propose an approach and a structure of planning system to implement Capable-To-Promise which promises the delivery time to the received order. We suggest and compare a few alternative order receiving policies for CTP.

The accurate quotation of Available-To-Promise (ATP) plays a very important role in enhancing customer satisfaction and fill rate maximization. However, the complexity of Supply Chain structure, which includes all the linkages among procurement, production, and distribution, makes the accurate quotation of ATP be a quite difficult job. This paper presents a computerized ATP quotation system in global SCM environments where the worldwide headquarter, distribution centers, and manufacturing facilities are globally networked. We modeled the ATP quotation processes with the definition of required data flow and a comprehensive ATP-algorithm was newly developed. The illustrative example shows the efficiency of the proposed system is largely affected by the selection of alternative rules used in ATP-algorithm.

This paper considers a web-based order processing system under SCM environment. Following the framework of B2B electronic commerce, we focus on activities closely related to order handling within the supply chain. We also try to integrate the order processing system with the overall information system of the company. The methodology is applied to the case of H company and a prototype system is designed. This study analyzes the current product estimate and order handling process in the point of view of both the purchasing and the selling companies. It intends improvement by changing the existing closed way of request and offering estimate through fax or VAN into an open way using internet. For this, a company should be registered on the order site of internet. Then it can request estimate, take estimate, and handle order through internet adopting the concept of electrical commercial transaction.

Supply chain management (SCM) is an area that has recently received a great deal of attention in the business community. While SCM is relatively new, the idea of coordinated planning is not. During the last decades, many researchers have investigated multi-stage inventory problems. However, only a few papers address the problem of cost-optimal coordination of multi-stage inventory control with respect to service measures. Even published approaches have a shortcoming in dealing with a delivery lead time consisted of a shipping time and a waiting time. Assumed that there is no waiting time, or that the delivery lead time is implicitly compounded of a shipping time and a waiting time, the problem is often simplified into a multi-stage buffer allocation and a single-stage stochastic buffer sizing problem at all installations. This paper presents a simulation-based heuristic algorithm and a comparison with others for the problem that cannot be decomposed into a multi-stage buffer allocation and a single-stage stochastic buffer sizing problem because the waiting time ties together all stages. The comparison shows that the simulation-based heuristic algorithm performs better than other approaches in saving average inventory cost for both Poisson and Normal demands.

This paper refers to the flow of products from supplier to discount retailers(DRs). Discount retailers prefer frequent delivery of small amount because of limited storage space, while suppliers prefer less frequent delivery of larger amount in order to save transportation cost. In this paper we propose a heuristic algorithm to determine the amount of order and the frequency of delivery which decreases the expected length of stockout. We also evaluate various order policies for Vendor Managed Inventory(VMI) system using simulation with real data.

In this paper, we suggest a new backorder policy for stockout which is occurred in each regional distribution centers of distribution chain for capital-goods product. In backorder process of backorder policy, minimize expected stockout through the balancing-division module, and has occured stockout is backordering through the emergency supply from central distribution center and regional distribution center. Simulation tests show that our backorder policy is on the decrease of backorder cost and improvement of customer service. Our backorder policy has two important benefit. First, customer service level is improved by realization of minimum stockout. Second, the backorder process by allowance of the same level supply is to decrease system operating cost.

Due to the improvement of modern information technologies, sharing stock information among the supply chain members is a common practice nowadays. Many companies are planning to adopt the information systems to possess the real-time shared stock information. Thus, it is needed to quantify the value of shared stock information. The purpose of this paper is to evaluate the value of the shared stock information for two-echelon distribution systems. Existing reorder policies can be classified into installation stock policies and echelon stock policies. Since installation stock policies do not utilize the shared stock information, and both classes of policies may show poor performances for distribution systems, we cannot evaluate the value of the shared stock information with the existing policies. Thus, we provide a new type of reorder policy, named order risk policy. We define the order risk using marginal analysis, and prove the optimality. Through computational experiment that compares the order risk policy with the existing policies, it is shown that a significant cost reduction is achieved with the effective utilization of the shared stock information. We also show the effect of the system characteristics on the value of the shared stock information.

Logistics systems can be evaluated by how productively distribution center operates, how promptly transportation vehicle dispatches, how efficiently facility layout is, and so on. In this paper, a practical vehicle routing scheme with fixed delivery time and fixed vehicle routes is introduced. The method helps the distribution center reduce logistics cost with respect to dispatching vehicles, and satisfy the customer with pre-determined delivery time window constraints. A case study has shown that the proposed scheme not only generates a feasible schedule with time windows, but also balances material flow in warehouse.

This paper is concerned with a vehicle routing model to assist in scheduling palletized cargo pickup and delivery so called the pickup and delivery problem with advance requests in a 2-echelon supply-chain system. In this study vehicles is dispatched and routed so that each request is picked up or delivered at its original and to its destination. The model provides point-to-point transportations based on advance requests. The assignment algorithm is developed and designed for using with on-line computers and it immediately provides arrangements to be made at the time requested. This algorithm also provides the best scheduling solutions and alternatives for both to system operators and requesters. According to this algorithm, we developed computer programs and show the sample results.

One of the most important problems encountered by parcel transportation firms or LTL (Less-than-truckload) firms is the planning of daily linehaul operations. The transportation firm's goal is to determine the most efficient way to move all freight from its originating terminal to its destination terminal after each shipment is picked up from the shipping dock. The purpose of this study is to design a transportation system and develop an efficient scheduling algorithm for linehaul operations carrying small amount of shipment. This paper presents three approaches for efficient linehaul operations. The first approach examines drivers using the roundtrips which start from a terminal, visit several terminals, and return to the starting terminal. The second approach uses a freight assembly center where drivers take freight for a number of destination terminals which they then swap for freight for their starting terminal. The third approach is similar to the second approach in that it uses a transshipment point like a freight assembly terminal for shipment, but it has several transshipment points since each shipment may have a different transshipment point. In this study, we developed a mathematical formulation and algorithm for each approach. The experimental results using data of a LTL firm show that the third approach is more efficient than the other two. Mileage and overnight stays of the third approach are reduced by 10% and 30%, respectively.

We consider a Location-Allocation Problem with the Cost of Land(LAPCL). LAPCL has extremely huge size of problem and complex characteristic of location and allocation problem. Heuristics and decomposition approaches on simple Location-Allocation Problem were well developed in last three decades. Recently, genetic algorithm(GA) is used widely at combinatorics and NLP fields. A lot of research shows that GA has efficiency for finding good solution. Our main motive of this research is developing of a package for LAPCL. We found that LAPCL could be reduced to trivial problem, if locations were given. In this case, we can calculate fitness function by simple technique. We built a database constructed by zipcode, latitude, longitude, administrative address and posted land price. This database enables any real field problem to be coded into a mathematical location problem. We developed a package for a class of multi-location problem at PC. The package allows for an interactive interface between user and computer so that user can generate various solutions easily.

Supply chain management(SCM) has become an integral part in manufacturing management. And it is often discussed that the actual advantages of supply chain management can be exploited by its integrative management approach. Very often in this context scholars refer to the need of integrating the supply chain. However few examples of truly integrated supply chains are witnessed and it is not always clear what integration implies and how it is implemented. In this paper, it is empirically attempted to analyze the integrated supply chain management practices in a strategic perspective. Using the data gathered from Japanese manufacturers, a taxonomy of the SCM integration strategy is developed and the characteristics of each company group are investigated with a viewpoint of integrated supply chain management initiatives. Furthermore the relationships between the taxonomy and the manufacturing strategy process are also examined.

Supply Chain Management is drawing attention of business management all over the world. A number of SCM cases from world-class enterprises have been reported. However, not many detailed SCM cases from Korean enterprises have been reported in the literature. In this paper, we present SCM cases of Korea to illustrate what specific activities are conducted and how, mostly from practical viewpoint instead of academic viewpoint; and relate the cases with the SCM framework, so as to provide better view and insights for implementing effective SCM.

The main theme of this research is a case of e-Business implementation in part manufacturing industry, especially in a PCB manufacturing company. The characteristics of part manufacturing industry are as follows. First, an ERP system runs as a legacy system that is ready to be combined with e-Business system. Secondly, the number of customers is very small. The customers are not many individuals but only a few big electronic enterprises that are strategically affiliated with the part manufacturing company. This means that the e-Business of the part manufacturing industry needs to focus on sharing pertinent information throughout the transactions with the customers, not on data-warehousing or data-mining customers' potential needs or requests. In this paper, we extracted e-Business opportunity domains from a PCB manufacturing company, a typical part manufacturing industry. We are intended to enhance information sharing between customers and the company, and provide functions of transactions necessary in the whole value chain from order to shipment. Implementing the e-Business system on the Web can increase the visibility of customers, and further, the company can be transformed into an extended enterprise where the relationship with the customers becomes very close and interleaved. Also, the Cyber Office functionality of the e-Business system can support the salespersons effectively, so that they can spend more time on customer satisfaction. Such efforts, in the future, can be a basis for active adaptation to the industry transformations such as forming e-community and participating in the marketplace.

An integrated process planning and scheduling model considering outsourcing in manufacturing supply chain is proposed in this paper. The process planning and scheduling considering outsourcing are actually interrelated and should be solved simultaneously. The proposed model considers the alternative process plans for job types, precedence constraints of job operations, due date of production, transportation time and production information for outsourcing. The integrated states include:(1) Operations sequencing, (2) Machine selection, (3) Scheduling with outsourcing under the due date. To solve the model, a heuristic approach based on genetic algorithm(GA) is developed. The proposed approach minimizes the makespan considering outsourcing and shows the best operation-sequences and schedule of all jobs.

A simulation model is developed for planning maintenance, and it can be used in the procedure of Reliability-Centered Maintenance. System availability and the total cost of system operation are predicted by discrete event simulation. These two kinds of output are useful to determine the interval of preventive maintenance. This paper describes simulation logic, and focuses on modeling the maintenance effects and the relations of maintenance works. An example is described for illustrating the simulation model.

HLA is a general-purpose software architecture for distributed simulation designed to support a wide range of simulation approaches and application. The US DoD's HLA for modeling and simulation can certainly be regarded as the state of the art in distributed simulation. It is a mandatory standard for military simulation. The purpose of this paper is to describe applications of HLA/RTI in multiple domains across the manufacturing systems society. In many and large scale industrial systems, enormous data is generated, and is to be managed in an effective way. It needs a high performance common network library. Furthermore, it must satisfy the real function of system facilities as much as possible. The RTI is an implementation of the interface specification, provided as a set of services. Some applications focusing on the area of a small manufacturing system were demonstrated. The integration could be achieved using the HLA, together with interface modules for each of the subsystems. We have found that HLA/RTI are cable of meeting the functional requirements for a given system environment.

An architecture of a Web-based Decision Support system for mathematical analysis is presented. Front-end modules provide web-client GUI environment for mathematical analysis. The networking architecture is built upon client/server system by Java socket and accesses database by JDBC in WWW. Back-end modules provide decision supporting service and data management for mathematical programming analysis. In the back-end any analysis tools, such as mathematical optimizer, simulation package, or statistics package can be used. As an application example for this implementation, optimal facility replacement decision problem is selected. In the implementation the optimal facility replacement decision problem is formulated as a shortest path problem. It uses Oracle DB and CPLEX package as the mathematical optimizer. While ORAWeb is designed and implemented on the optimal facility replacement problem, it can easily be extended to any decision supporting problems that would require mathematical optimization process.

TAn E-Mail system is one of the most important services for enterprise and electronic commerce end users on the Internet. However, security for an E-Mail service is not satisfied yet, an E-Mail system with security service is definitely required especially in electronic commerce system. In this paper, an E-Mail system with confirmation of e-mail delivery is proposed, The certification of delivery of E-Mail message is not provided in conventional E-Mail systems. The proposed E-Mail system is composed of this certification of delivery and basic security services. The certification of delivery can prove sender's E-Mail message is securely sent to legitimate receivers. The system is designed and implemented by Java Cryptography API.