• Korean System Dynamics Review
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• v.13 no.1
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• pp.81-112
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• 2012

This study investigate the impact of supply chain contracts on supply chain performance. This study employed Price adjustment contract(PAC) and Quantity adjustment contract(QAC) as two main types of a vertical coordination mechanism. We simulate different types of coordination mechanisms with various degrees of demand uncertainties and several capacity tightness scenarios. This study shows that PAC and QAC significantly enhance the supply chain profits and fill rates suggesting that supply chain performance can be improved by implementing a proper coordination mechanism depends on the level of a capacity tightness and demand uncertainty.

• Journal of the Korean Operations Research and Management Science Society
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• v.39 no.2
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• pp.21-35
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• 2014

As productions and deliveries of multiple products to multiple marketplaces have been increasingly popular, supply chain flexibility, which refers to an ability to deal with demand and capacity uncertainty, becomes an important issue in supply chain management. However, logistics costs have been largely neglected in the literature on supply chain flexibility structure. In this paper, we propose mathematical models to investigate the impact of the logistics costs on the optimal flexibility structure. We also conduct a simulation study and observe that logistics costs have a significant impact on the decision on supply chain flexibility structure. Such conclusion is also supported by the case study of a global car manufacturer, Honda Motors.

• Journal of the Korea Safety Management & Science
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• v.17 no.3
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• pp.265-272
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• 2015

The competition between companies for prior occupation of the market is becoming fierce. In this highly competitive situation, it is important for companies to differentiate themselves if they are going to have a chance at success. And the competition to create the best solution method possible is higher than ever. Increased competition is forcing companies to lower costs and improve efficiency. A supply chain management(SCM) has become one of the most important solution methods of competitive advantage. This study has developed a simulator for the supply chain network problem. The simulator is designed to simulate the conditions of an actual supply chain network considering uncertainties. The simulator developed using commercial simulation tool ARENA and the results of computational experiments for a simple example were given and discussed to validate the developed simulator. Further research is needed, but using the simulator could become a useful tool for decision making in the supply chain network area.

• Journal of the Korea Institute of Building Construction
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• v.9 no.5
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• pp.87-93
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• 2009

A construction supply chain needs an integrated information system, as the general contractor and subcontractors must communicate regularly with one another and share a substantial amount of information in their cooperative work. In the construction industry, supply chain management is necessary in the management of a system, including business process improvement, participant-oriented management, and the supply chain. This research proposed a supporting system and developed the prototype focusing on materials that play an important role in the supply chain. Construction projects are managed mainly through schedule management. As such, supply chain management should be linked with schedule management. The research implemented a prototype of the supporting system for construction supply chain management. The prototype was implemented in Microsoft Project using VBA, including a simulation tool based on @Risk for Project.

• Korean System Dynamics Review
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• v.12 no.3
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• pp.67-86
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• 2011

This study shows the reduction effect of freight volume by the supply chain redesign for the alliance of distributors with system dynamics simulation. The as-is model is composed of 3 independent companies which one has 3 distribution centers (DCS) and 24 agents, another has 1 dc and 9 agents, the other has 3 DCS and 15 agents each. The to-be model is an integrated logistics model and composed of 1 company having 5 areal DCS and 38 agents. Each agent in the same area is integrated with each other. Two models have same demands but very different result. As a result, the freight volume between DCS and agents is reduced by 33.55%. This case study will be useful to analyze the similar cases about the logistics integration by supply chain redesign.

• Journal of the Korea Society for Simulation
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• v.12 no.1
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• pp.59-71
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• 2003

Recently, a multi facility, multi product and multi period industrial problem has been widely investigated in Supply Chain Management (SCM). One of the key issues in the current SCM research area involves reducing both production and distribution costs. The purpose of this study is to determine the optimum quantity of production and transportation with minimum cost in the supply chain network. We have presented a mathematical model that deals with real world factors and constraints. Considering the complexity of solving such model, we have applied the genetic algorithm approach for solving this model using a commercial genetic algorithm based optimizer. The results for computational experiments show that the real size problems we encountered can be solved in reasonable time.

• Journal of the Korea Society for Simulation
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• v.31 no.1
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• pp.19-27
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• 2022

This study compares and analyzes wholesale(or price-only) contract, revenue-sharing contract, quantity-flexibility contract, and channel-rebate contract in a decentralized supply chain consisting of one supplier and one retailer. By setting the parameters of each coordination contract based on the previous results, we conduct simulations using @RISK for several combinations of these parameters. Under the supply chain coordination, we evaluate the probability of successfully signing a contract and the participant in favor of each contract. As a result, the quantity-flexibility contracts is most advantageous for the retailer and the channel-rebate contracts is most advantageous for the supplier. It revealed that revenue-sharing contracts can be used more flexibly because they can be selected in the widest range to redistribute profits between supplier and retailer.

• Journal of the Korea Society for Simulation
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• v.15 no.2
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• pp.13-21
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• 2006

Due to the exhaustion of resources and increasing concerns about the environment, reverse logistics has become a critical issue in recent years. We discuss the conventional logistics operations and the reverse logistics operations in the automotive industry. The traditional supply chain (TSC) and the reverse supply chain (RSC) models are developed to compare performance between two systems. In addition, results of the simulation models are discussed in respect to total costs, inventory levels and stock-outs to analyze the effects of introducing of reverse logistics system.

• Korean Management Science Review
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• v.25 no.2
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• pp.89-109
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• 2008

As the importance of logistics is increasing, Enterprises try to design the supply chain(SC) network to minimize the total costs considering inventory holding cost, transportation cost and apply the efficient strategies of supply chain based on SC network. Despite of this efforts, Calculating the logistics costs without reflecting the real components of logistics like the packaging cost, transportation related cost, storage cost, loading & unloading cost, and distribution costs, the companies has many limitation to calculate the logistics cost of real enterprise. For overcoming such problem, this paper is aimed at establishing SC strategies which can be an efficient alternative for a decision making on supply chain, based on existing reference and current logistics networks of 'L' company in Korea. Also, we analyze the interaction effects between strategies as well as install the optimal SC network reflecting concrete logistics components from the viewpoint of total logistics costs using the simulation and statistic methods. we expect that analysis results of this paper would be applied various industries and be utilized to the efficient tools for the decision making by planing and execution of the logistics budget from enterprises.

• Korean Management Science Review
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• v.29 no.1
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• pp.153-168
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• 2012

Order allocation is one of the most important decision-making problems of firms having significant influences on performances of themselves and the whole supply chain. Existing researches about order allocation have mainly focused on evaluating capabilities of directly connected suppliers so that it is hard to consider effects and interactions from undirected connections over multiple lower-layers. To alleviate the limitation, this paper proposed a novel approach to order allocation using structural hole. By applying the concept of structural hole to the supply network, we could evaluate the structural supplying powers of firms with respect to both of direct and indirect connections. In the proposed approach, we derived a methodology to measure the potential supplying power of each firm by modifying the effective size as one of the measurements of structural hole and then, proposed its application, the structural hole based order allocation strategy. Furthermore, we conducted the agent based modeling of supply chain to perform the decision-making process of order allocation and simulated the proposed strategy. As a results, by coping with the variance of demand more stably, it could improve the performance of supply chain from the aspects of fill rate, inventory level and demand-supply balance.