ZHAO Yongming, LUO Yiqing, YUAN Xigang. An optimization model for tactical decision-making level and uncertainty risk management in petroleum supply chain[J]. CIESC Journal, 2017, (2): 746-758.
ZHAO Yongming, LUO Yiqing, YUAN Xigang. An optimization model for tactical decision-making level and uncertainty risk management in petroleum supply chain[J]. CIESC Journal, 2017, (2): 746-758.DOI: 10.11949/j.issn.0438-1157.20160909.
A finite-scenario-based two-stage stochastic mixed integer linear programming (MILP) model was proposed to optimize tactical decision-making level of multi-period and multi-echelon petroleum supply chains under uncertain circumstances. In the model
environmental objective of CO2 emission reduction was added to economic objective by collecting carbon tax
and each entity in the supply chain was considered as a “black box” to simplify the complicated system. A relatively reliable optimal result was obtained from the model over a considerably long duration to facilitate plan and management of petroleum supply chain. Further
risks to achieve the optimal outcome were analyzed and the model was revised with risk management constraints. Compared to the original model
the proposed model with risk management constraints could lower risks for the expected profit.