Journal of Food, Agriculture and Environment

To reduce waste from in-transit inventory for a two-echelon fresh food supply chain

Author(s):

Yong He ¹*, Hongfu Huang ¹, Dong Li ²

Recieved Date: 2013-06-18, Accepted Date: 2013-10-26

Abstract:

In this paper, a decision model with controlled food deterioration rate is studied in a two-echelon fresh food supply chain context. This study focuses on significant in-transit inventory deterioration in supply chains where transport time is long and alternative preservation technologies for food quality have great impacts on deterioration rate in the transit process. By investing in different technical solutions to fresh food quality control, e.g. cooling or freezing devices and protective packaging solutions, etc., deterioration rate can be reduced significantly. This research particularly investigates impacts of interactive operational decisions among supply chain partners which control deterioration rate through quality preservation investment on performance of perishable food supply chains, in particular, on reduction of waste from in-transit deterioration. Also, the supply chain structure has significant influence to the benefit of supply chain members. Here, we studied centralized and decentralized supply chain decisions with a proposed compensation policy to benefit supply chain members. 

Keywords:

Fresh food supply chain, controllable deteriorating rate, coordination

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Journal: Journal of Food, Agriculture and Environment
Year: 2013
Volume: 11
Issue: 3&4
Category: Food and Health
Pages: 607-613

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