A multi-period discrete event simulation model for comparing synchronous and asynchronous facility reopening in global supply chains affected by disruption

Abstract

Lean global supply chains have exhibited considerable improvements in inventory levels, lead times, and service levels in recent decades. Still, global disruptions such as pandemics have exposed the hidden vulnerabilities of these supply chains. This study extends the previous literature by using a multi-period discrete event simulation model to compare synchronous and asynchronous reopening times of different supply chain echelons with varying demand and production capacities. The results of simulation experiments show that for a very low demand upon reopening, asynchronous reopening gives higher supply chain profit and service level than synchronous reopening. In addition, the experiments also indicate that when the demand and capacity are low, the supply chain performance in terms of profit and service level is better if the reopening time is closer to the demand recovery phase. This study provides insight to supply chain managers to formulate reopening strategies for their facilities when faced with a global disruption.