We develop a newsvender model with service level constraint for oneproduct and multi-supplier system, where the supplies are susceptible to disruption risks. We prove the convexity of the programming problem,and provide the necessary and sufficient conditions for the optimal order quantities. Through analysis or numerical experiments we observe the effects of the disrupt risk and the service level constraint on the optimal policy. We propose some managerial insights in managing the multi-source supply chain with disruption risks.
In this paper,a new transformation function was proposed for finding global minimizer of discrete optimization problems.We proved that under some general assumptions the new transformation function possesses the properties of both the tunneling functions and the filled functions.Only one parameter was included in the proposed function,and it can be adjusted easily in the realization.Numerical results demonstrate the effectiveness of the proposed method.
