Solving multi-stage stochastic in-house production and outsourcing planning by two-level decomposition

International Journal of Mathematics in Operational Research, Volume 2, Issue 2, 2010, Pages 129-150.

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Keywords:
uncertaintystochastic programmingoutsourcing

Abstract:

Abstract In-house production or outsourcing are important strategic decisions for planning production and capacity in business organizations. Outsourcing to overseas suppliers is often associated with risk with respect to the quality of the products. Hence, we developed a multi-stage stochastic programming model that takes into account th...More

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