Designing Mathematical Modeling of location Network and Optimal Planning for Supply Chain Demand

Abstract

In the existing competitive market, proper supply chain management has attracted a lot of attention to increase profitability and customer satisfaction (Khorasani, 2014). Managers and decision-makers may employ policies to survive in this environment; however, the optimal outcome will only be achieved when a precise and comprehensive program is applied (Torabzadeh and Memarian, 2012). Therefore, a detailed design and systematic planning of the supply chain with considering all levels and units to increase the efficiency of the entire supply chain is necessary. On the other hand, since activities in the field of production and distribution directly affect the level of profitability and accountability of the supply chain, unified planning and simultaneous production-distribution is absolutely substantial. The globalization of business in recent years, companies provide their resources as well as more widely distributed products and parts. At the present time, customers need to receive their products faster and with higher reliability. In case, they observe that they often face with delays in delivering goods, they will look for other suppliers. In this study, two main objectives will be considered. The first goal is to reduce the total cost of building the warehouses in the supply chain, and the second goal is to maximize the level of customer satisfaction and service levels