DDDAS-SMRP: Dynamic Real-Time Order Promising and Fulfillment for Global Make-to-Order Supply Chains

University Of Maryland, College Park, College Park MD

Investigators

Abstract

This research project will study the business processes related to receiving, accepting, processing and fulfilling customer orders in global make-to-order supply chains. It will investigate the databases and data flows underlying these processes, the business decision processes and the manner in which these interact. Simulation and optimization models will be developed that monitor real-time streams of input data. Algorithms that monitor these streams must determine when predictions should change and should calculate such changes if appropriate. Research will also be carried out into the development Markov Decision Processes (MDPs) that dynamically adapt to sensor data streams. In addition to building on MDP research, this topic will consider the use of Mixed Integer Programming models for setting MDP parameters. The results of this research will provide the basis for improved operational control of make-to-order supply chains. It will provide the theory underlying the development of "always on" controllers that continuously monitor supply chain data sources and project the future status of key business processes. This research will support improved decision making under both normal operations and incident response. The normal operations decisions supported could include product positioning decisions, order timing and acceptance decisions and production scheduling decisions. The incident response mode will be used to develop a strategy for reacting to major disruptive events. Such events might include the failure or delay of a major supply shipment, a major breakdown in a factory or acceptance of a large order that preempts existing order commitments. These capabilities should substantially increase the level of customer service and the profitability for supply chains that employ them.