A mixed procurement model for humanitarian relief chains

Abstract

Purpose The purpose of this paper is to improve the relief procurement process as one of the most important elements of humanitarian logistics. For doing so, a novel two-round decision model is developed to capture the dynamic nature of the relief procurement process by allowing demand updating. The model accounts for the supply priority of items at response phase as well. Design/methodology/approach A mixed procurement/supply policy is developed through a mathematical model, which includes spot market procurement and a novel procurement auction mechanism combining the concepts of multi-attribute and combinatorial reverse auctions. The model is of bi-objective mixed-integer non-linear programming type, which is solved through the weighted augmented e-constraint method. A case study is also provided to illustrate the applicability of the model. Findings This study demonstrates the ability of proposed approach to model post-disaster procurement which considers the dynamic environment of the relief logistics. The sensitivity analyses provide useful managerial insights for decision makers by studying the impacts of critical parameters on the solutions. Originality/value This paper proposes a novel reverse auction framework for relief procurement in the form of a multi-attribute combinatorial auction. Also, to deal with dynamic environment in the post-disaster procurement, a novel two-period programming model with demand updating is proposed. Finally, by considering the priority of relief items and model’s applicability in the setting of relief logistics, post-disaster horizon is divided into three periods and a mixed procurement strategy is developed to determine an appropriate supply policy for each period.

A multi-objective optimization model for logistic planning in the crisis response phase

“…Final results of designed scenarios are evaluated using five different random situations to find the effects of different types of injured people, different types of vehicles and different capacities of hospitals according to active nodes using a 64-bit operation system laptop with Intel(R) Core (TM) i5-2410M CPU @ 2.30GHz and 4.00GB Ram. The average of results about Parameters Definition Value V All types of vehicles (amb: Ambulance and hel: Helicopter) amb and hel UI T 0 Total number of unsatisfied injured people in the previous planning horizon 0 TA T 0 The total transportation activities in the previous planning horizon 0 dv amb…”

“…Moreover, the Delphi method is utilized in the paper of Gossler et al (2019) to determine the best practices of aid agencies for outsourcing logistics to commercial logistics service providers in disaster relief. Relief procurement processes are improved using a novel two-round decision model in the paper of Aghajani and Torabi (2019). Effects of social network analysis methodology within the humanitarian research community are studied in the paper of Tacheva and Simpson (2019), as well.…”

A disaster relief commodity supply chain network considering emergency relief volunteers: a case study

“…The purchasing process is one of the most important factors in humanitarian procurement. Aghajani and Torabi (2019) introduced a nonlinear bi-objective mathematical model to minimize the purchasing and sourcing costs, taking into account the total costs and total points of suppliers as the first and second objective functions to save lives and reduce the effects of the disaster. The time and amount of the order were considered as two important decision variables.…”

Framework to manage humanitarian logistics in disaster relief supply chain management in India

“…John and Ramesh (2016) also highlighted the significance of a reliable source of supply for information which is highly needed to forecast the disaster events. Aghajani and Torabi (2019) tried to improve the process of relief procurement as one of the most significant elements of humanitarian logistics. To do so, a novel two-round decision model was developed to study the dynamic nature of the process of relief procurement by allowing updating of demand.…”

“…Trainers from the state level would provide training to the district level where the content would have more focus on core operational logistics to respond to the disaster in their location. Crucial components of the entire logistics process such as inventory management, warehousing operations, transportation and distribution, routing problems during disasters, procurement of relief goods (Aghajani and Torabi, 2019), assessment of the beneficiary needs, and management of evacuation centres can be included in the same. For improving the logistical support for preparedness programmes of disaster, national warehouses could be developed for pre-packaged units of relief goods.…”