Bi-Objective Multi-Period Multi-Sourcing Supply Planning with Stochastic Lead-Times, Degressive Pricing, and Carbon Footprint

This article studies a bi-objective stochastic optimization
problem for multi-period multi-sourcing supply planning.
The formulated problem accounts for stochastic lead
times, degressive pricing, holding and backlog costs, delivery
flexibility costs, as well as both holding and transportation
carbon footprint. The first objective is to minimize the expected
total cost, while the second objective is to minimize the
expected total footprint. These objectives must be achieved
while adhering to suppliers’ capacity constraints and meeting
customer demand. In this paper, the proposed stochastic integer
linear program is detailed, and the ϵ-constraint method used
to solve it is described. The first results of experiments are
presented and discussed.