A model for optimal choice of supplier of goods and materials Cover Image

Модел за оптимален избор на доставчици на суровини и материали
A model for optimal choice of supplier of goods and materials

Author(s): Rosen Nikolaev, Tanka Milkova
Subject(s): Business Economy / Management, Micro-Economics
Published by: Икономически университет - Варна
Keywords: optimizing; supply; supply chain
Summary/Abstract: The effective functioning of each supply chain is determined by the optimal fulfillment of all key business processes with one of them concerning the management of all the relations with suppliers, including logistic activities like determining the needs of material resources, choice of suppliers and specifying the quality of supply. In the specialized literature some economic-mathematical models for optimal choice of suppliers are proposed where the main criteria for optimality are minimizing the transportation costs, minimizing the supply organization costs, optimizing the supply reserves storing costs etc. In the present paper an economic-mathematical model for optimal choice of suppliers is suggested from point of view of minimizing the expenses for buying goods and materials.