Systemic Evaluation of a Policy of Volume Flexibility in a Papaya Distribution Supply Chain
Systemic Evaluation of a Policy of Volume Flexibility in a Papaya Distribution Supply Chain
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Volume flexibility is used in this article to determine responsiveness to changes in the deterioration factors of perishable stages in a supply chain. The main objective of this study is to evaluate the impact of this strategy on two key indicators for network performance, such as logistics costs and service levels. The research involves the operation of a papaya distribution network formed by a producer and a retailer, which is simulated through System Dynamics. A policy of flexibility is achieved, which dramatically improves volume indicators such as the level of service and costs considered in the study. However, using this strategy involves taking on a higher cost of inventory storage and an additional cost of capacity increase.
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