Material Flow Modeling in Supply Chain Management with Genetic Algorithm Approach

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Abstract

Today the domain of competition in production and operation has been changed to supply chains for independent firms. In this problem material flow is very important among three flows, financial, information and materials. Traditional approach is dominated in supply, production and distribution planning at most Iranian industrial cooperation. It means that each of these unit are planning their activities independently, therefore it causes to increase that total cost of supply chain. In this research, at first the various material flow models in supply chains have been studied, hence material flow in demand, production and distribution sections in kachiran firm was modeled by integrated approach. Because of various decisions and variables, fuzzy environment, chain condition and benefit of fast decision caused to mathematical models have been used as a systematic and quantitative method and it solved by heuristic genetic algorithm method. After solving model by various operators of genetic algorithm in different generation, the best satisfactory result which had the minimum cost has been selected. For model reliability, these results have been compared with factual amounts of variables in that period, and they showed that present model costs have decreased.

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