Comparative Analysis of Application of Linear Programming and Dynamic Programming in Supply Chain Policy Decision
Liqing Han · 2011
The industry and academe broadly use linear programming to analyze the Logistics or supply chain solutions, which is based on the hypothesis of fixed environment and restricted procedures, but in the dynamic market, the supply chain driven by the market faces multi units such as customers, suppliers, manufactures, distributors and carriers and multi uncertain factors such as physical distribution, manufacturing support and purchase. Through a comparative analysis of application of linear programming and dynamic programming in supply chain policy decision, the paper concludes that dynamic programming is more suitable for logistics and supply chain system policy decision study under changing market environments.