Steel supply chain management by simulation modelling

Abstract

If you would like to write for this, or any other Emerald publication, then please use our Emerald for Authors service information about how to choose which publication to write for and submission guidelines are available for all. Please visit www.emeraldinsight.com/authors for more information. About Emerald www.emeraldinsight.comEmerald is a global publisher linking research and practice to the benefit of society. The company manages a portfolio of more than 290 journals and over 2,350 books and book series volumes, as well as providing an extensive range of online products and additional customer resources and services.Emerald is both COUNTER 4 and TRANSFER compliant. The organization is a partner of the Committee on Publication Ethics (COPE) and also works with Portico and the LOCKSS initiative for digital archive preservation. AbstractPurpose -The aim of this paper is to propose a simulation study of the "steel supply chain" to demonstrate the effect of inventory management and demand variety on the bullwhip effect mitigation. Design/methodology/approach -The relevant literature is reviewed, and then the simulation model proposed.Findings -This study identifies reasons for sharing information under varying levels of demand and some variants, and demonstrates the benefits of mitigating the bullwhip effect by applying a design of experiment. It is shown that the information sharing is able to mitigate the bullwhip effect in the steel supply chain by extending the order interval and minimising the order batch size. Research limitations/implications -This study explores the factors associated with the bullwhip effect. This research is focused on built-to-order simulation, so the results are only oriented on the basis of orders; hence a simultaneous order-and forecast-based steel supply chain should be carried out in the future. Practical implications -This framework is expected to provide a convenient way to measure the optimum inventory level against a limited level of demand uncertainty, and thus enterprises can promote the supply chain coordination. Originality/value -An innovative simulation model of the "steel supply chain" is proposed, which includes information sharing in the simulation model. Furthermore, dynamic scheduling is shown by applying a continuous ordering and order prioritization rule to replace traditional scheduling methods.

Supply chain practices and performance: the indirect effects of supply chain integration

“…Supply chain management practices are regarded as operational functions or activities of an organization which determines the effectiveness and efficiency of its supply chain (Sandhu et al, 2013). Donlon (1996) identifies several components of supply chain management practices which encompass supplier partnering, information sharing, process flow and outsourcing.…”

Simulation analysis for managing and improving productivity

“…According to Sandhu et al (2013), the discrete-event simulation is a powerful, cost-effective tool for designing, analyzing and optimizing manufacturing processes. The methodology that is followed in this paper to perform the simulation is illustrated in Figure 2.…”

“…The discrete-event simulation is capable of addressing a number of issues, such as (El-Khalil, 2009;Hlupic and de Vreede, 2005;Ingemansson et al, 2005;Law, 2007;Sandhu et al, 2013;and Santos et al, 2012):…”

“…The study was able to achieve 18 percent efficiency improvement and reduce scrap by 4 percent. Other scholarly work (Ingemansson et al, 2005;Greasley, 2005;Gunasekaran et al, 2000;Sandhu et al, 2013;Santos et al, 2012) using different software's such as QUEST, Arena, and Pro Model at different manufacturing facilities clearly illustrate the ability of simulation to identify problems and analyze alternatives achieving significant improvements. Generally, simulation studies vary based on the facility studied, product produced and proposals or scenarios considered.…”

Analysis of Causal Competitive Factors of Thai Iron and Steel Supply Chain by DEMATEL Method

“…For instance, Potter et al (2004) described the evolution of the steel supply chain from traditional community business; Hua et al (2011) and Sandhu et al (2013) were interested in the management perspectives of the steel supply chain to create strategies that suit the industry. Conceicao et al (2012) and Zadeh et al (2013) were concerned with the facility location problem on the supply chain to improve its efficiency.…”