The design of effective and robust supply networks for risky, disruption prone, environments

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Supply chain network design is a critical success factor for most corporations. With the globalization of the economy, competition has increased tremendously and, to remain competitive, companies must periodically adapt the structure of their supply chain networks to the evolution of supply, demand and resource conditions. The problem in the military is slightly different, but not less important. Agile and robust military supply chains are necessary to enable quick responses and to win battles. Business and military supply networks must be able to cope with the risks associated to normal operations but they are also very vulnerable to low probability high impact disruptions which can cause the whole network to fail, and very little information may be available to estimate the probability of some of these disruptions. In this context, this research project considers the design of effective and robust supply networks capable of coping with risks and unpredictable disruptions in both business and military environments. The main objective of the project is to develop decision support systems for the engineering of such networks, i.e. to design Robust and Effective Supply Network Engineering Tools (RESNETs). The tools developed will be based on in dept mathematical modeling of the systems considered and on the use of state-of-the-art software engineering and development technologies. In addition to providing significant economic and overall efficiency increase benefits for military and business supply chains, this project will provide the occasion for technology transfer and scientific exchange between the Department of National Defence research establishments, the CENTOR research center affiliated to Université Laval, and Modellium Inc., a private company specialised in the development of decision support software. The project will develop unique expertise in logistic support systems design that will be invaluable to the Canadian Armed Forces. Modellium Inc hopes to widen its field of activity, and to gain new market shares evaluated to several million dollars.