Design of supply chain resilience strategies from the product life cycle perspective

Abstract

Supply chain (SC) resilience strategies are frequently employed to hedge against disruptions. Despite a substantial body of literature examining the design of SC resilience strategies, there is a paucity of literature exploring the impact of the product life cycle (PLC) on the design of such strategies. This paper presents scenario-based and time-dependent mixed integer programming mathematical models for optimizing performance in terms of costs and service levels. The models consider the distinctive characteristics of each PLC phase. Simulation-based analyses are utilized to simulate disruptions at different stages of the PLC and to explore the impact of the PLC on SC resilience strategies design. Moreover, a resilience multi-portfolio method is modified using simulation techniques to determine optimal resilience portfolios from the PLC perspective. Through computational examples and sensitivity analysis, our models are capable of achieving resilience supply and production portfolios by making a trade-off between costs and service levels from the PLC perspective. The results illustrate that our approaches facilitate the identification of critical relationships between the severity of disruptions and the formulation of SC resilience strategies in terms of the PLC. The findings are instructive for SC managers when considering the impact of disruptions from the perspective of the PLC.