Operations Research Models for Sustainability in the Developing World

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Some of the technologies required to address the most pressing challenges in the developing world today already exist. These include solar panels to provide electricity and lightning and water filters for potable water. However, the supply chain management (SCM) tools needed to make these technologies accessible on a wide scale are frequently ineffective. Moreover, it has been observed that classical operations research models (designed for developed countries) do not necessarily work adequately in developing countries. This observation is driven by the latter being characterized by pervasive uncertainty, unreliable infrastructure, and low levels of information. Moreover, typical supply chains in developing countries are highly decentralized and complex. These chains are composed of many small retailers, and millions of customers, with tight budget constraints and high risk-aversion. Thus, research that is tailored to improving product availability and service provision for the poorer consumers in the world, considering the context-specific challenges they face, is much needed. The general objective of this proposal is to develop the theoretical foundations of new SCM tools, from product design and production planning to distribution and reverse logistics that help to build a sustainable future in developing countries.******In particular, coordinating and optimizing complex supply chains under risk-aversion and budget constraints is challenging. A natural methodology to conduct this analysis are Mathematical Programs with Equilibrium Constraints (MPECs). These problems are very hard to solve, both in theory and in practice. On the methodological side, the main contribution of this proposal is to develop new analytical and algorithmic tools to study MPECs that are practically relevant. These tools are based on optimization, stochastic analysis, and game theory. As demonstrated in my recent research, exploiting the special structure of specific MPECs can lead to novel insights. On the practical side, these insights may ultimately shed light on resource allocation problems in equilibrium, and the design of supply chain networks. ******Specifically, I will focus on five projects that involve collaborations with different social enterprises. These are organizations that seek to simultaneously deliver large societal benefits (as opposed to many for-profit businesses) while being self-funded (as opposed to many non-for-profit organizations). My current collaborations include enterprises that distribute new life-improving technologies in rural villages in India, and run a medical transportation platform in India. This research proposal has the potential, through a combination of analytical rigor and empirical relevance, to help establish Canada as one of the world's leaders in designing quantitative methodologies that support sustainable operations for the developing world.