Resilience by Teaming in Supply Chains and Networks

156 Pages·3.85 MB·English

by  Reyes Levalle, Rodrigo

Automation, Collaboration,
AAAA CCCC EEEE SSSS
& E-Services
Rodrigo Reyes Levalle
Resilience by
Teaming in Supply
Chains and Networks
Automation, Collaboration, & E-Services
Volume 5
Series editor
Shimon Y. Nof, PRISM Center and School of Industrial Engineering, Purdue
University, West Lafayette, Indiana, USA
e-mail: [email protected]
About this Series
TheAutomation, Collaboration, &E-Servicesseries(ACES) publishes newdevel-
opments and advances in the fields of Automation, collaboration and e-services;
rapidlyandinformallybutwithahighquality.Itcapturesthescientificandengineer-
ingtheoriesandtechniquesaddressingchallengesofthemegatrendsofautomation,
and collaboration. These trends, defining the scope of the ACES Series, are ev-
ident with wireless communication, Internetworking, multi-agent systems, sensor
networks, and social robotics – all enabled by collaborative e-Services. Within the
scope of the series are monographs, lecture notes, selected contributions from spe-
cializedconferencesandworkshops.
More information about this series at http://www.springer.com/series/8393
Rodrigo Reyes Levalle
Resilience by Teaming
in Supply Chains
and Networks
123
RodrigoReyes Levalle
Operations Researchand AdvancedAnalytics
American Airlines
Fort Worth,TX
USA
ISSN 2193-472X ISSN 2193-4738 (electronic)
Automation, Collaboration,& E-Services
ISBN978-3-319-58321-1 ISBN978-3-319-58323-5 (eBook)
DOI 10.1007/978-3-319-58323-5
LibraryofCongressControlNumber:2017940229
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To Mariel, Lara, and Agustina
Foreword
Resilience is on the mind and subconscious of all of us, as a means for survival.
Defined many ways, it is commonly viewed as the transformability and adjusta-
bility, the ability to survive unforeseen circumstances, risks, or disruptions, and
prevail despite high-impact events.
Tosurvive,wearetaughtfromanearlyagethatifwefallorfail,wemustgetup
and move on (walks, climbs, bicycles, horses, mistakes, tests, business, or social
failures); that if a door is slammed in our face, we must look for a window of
opportunity that will open. Resilience is also related to sustainability, and both are
now considered important design objectives, particularly for the design of inter-
connected, inter-dependent, complex systems, and networked services.
Thepurposeofthisbookistoexplainthemeaningofresilienceanditsdesignin
thebroadcontext,andwithafocusonthedesignandmanagementofsupplychains
and supply networks. Written by Dr. Reyes Levalle, an experienced supply chains
designer and supply networks engineer, the book is intended for beginners and
advanced professionals, students, designers, policy makers, and managers. It is a
pioneering effort to base resilience engineering and management on CCT, the
collaborative control theory and tools.
Whatarethosesurprises,unexpectedandhigh-impacteventsforwhichwehave
to be ready and resilient as individuals, societies, companies, and enterprises? Of
course, we wish for only pleasant surprises, but consider the current news on
meteors that are on their way to collide with our planet. They range from “city
destroyers” to “planet destroyers,” and we are reminded of how they disrupted the
age of the dinosaurs on planet Earth. We are informed that it is taking a collabo-
rative global effort to prepare for it, from monitoring and detection to design of
preventive measures. Closer and more frequent disruptions are earthquakes,
weather calamities, storms, floods, strikes, accidents, failures, energy loss, wars,
and so on. For all, we need to prepare and design for resiliency, as explained
systematically in this book.
Dr.ReyesLevalleexplainsclearlyandauthoritativelytheconceptofresilienceand
itssignificance,andhowitappliestocomplexsystems,supplynetworks,andsupply
chains. Applying a graph-based formalism, he then describes the fundamentals of
vii
viii Foreword
disruption and response; restoration and adaptation; continued operation with
acceptable quality of service; and scanning, detection, and preparedness. Design
strategiesalongseveraldimensionsofresiliencefollow,includingstructure,localand
global, and flow control issues. Major innovative and original contributions by the
authorincludeflowcontrolalgorithmsandprotocols,resiliencemeasurement,andthe
entiredesignofresiliencebyteaming.
Resilience involves active detection and prognosis of conflicts and errors
potentially leading to harm and disruptions, and implementation of preventive/
preparedness actions.
Based on the CCT principle of Fault Tolerance by Teaming (FTT), the
Resilience by Teaming design framework is developed, including sourcing proto-
cols, such as Sourcing Team Formation/Re-configuration Protocol (STF/RP) and
Sourcing Flow Control Protocol (SFCP); internal resource protocols, such as
InternalFlowControlProtocol(IFCP);anddeliveryprotocols,suchasDistribution
Network Formation/Re-configuration Protocol (DNF/RP) and Distribution Flow
ControlProtocol(DFCP).Severaldetailedandvalidatedcasestudiesillustratewell
how the framework and its associated protocols have been applied effectively to
achieve the goal of design for resilience.
Theauthorconcludeswithseveralopenquestionsforfutureresearchinthisarea,
concerning teaming-based resilience in supply network design and teaming-based
protocols for resilient supply network operation. A general challenge is design
rationalization—howagileandcapableisthedesigninrespondingtoalterationsin
information,processes,andsystems’requirements?Thosequestionsareachallenge,
butthisbookalreadyprovidesaclearlysignificantprogressinresilienceengineering
and a major contributionto those who are responsible for supply resilience.
October 2016 Shimon Y. Nof
Professor and Director, PRISM Center
Purdue University
West Lafayette, IN, USA
Contents
1 Introduction... .... .... ..... .... .... .... .... .... ..... .... 1
1.1 Complexity and Resilience in Supply Networks.... ..... .... 1
1.2 The Need for a Novel Approach: Teaming.... .... ..... .... 3
1.3 Book Summary.... ..... .... .... .... .... .... ..... .... 3
References. .... .... .... ..... .... .... .... .... .... ..... .... 4
2 Supply Networks... .... ..... .... .... .... .... .... ..... .... 5
2.1 Supply Chains… or Supply Networks? .. .... .... ..... .... 5
2.2 Supply Networks: An Introductory Definition . .... ..... .... 8
2.2.1 Supply Network Agents ... .... .... .... ..... .... 8
2.2.2 Supply Network Links. .... .... .... .... ..... .... 8
2.2.3 Supply Network Definition . .... .... .... ..... .... 10
2.3 Graph Theory-Based Formalism for SNs . .... .... ..... .... 10
2.3.1 Supply Network Dynamics . .... .... .... ..... .... 11
2.4 Examples .... .... ..... .... .... .... .... .... ..... .... 12
References. .... .... .... ..... .... .... .... .... .... ..... .... 14
3 Resilience Fundamentals for Supply Networks.... .... ..... .... 19
3.1 Resilience in the Context of Supply Networks. .... ..... .... 19
3.2 Fundamentals of Resilience in Supply Networks ... ..... .... 22
3.2.1 Inherence and Emergence .. .... .... .... ..... .... 22
3.2.2 Disruption and Response... .... .... .... ..... .... 22
3.2.3 Restoration and Adaptation. .... .... .... ..... .... 23
3.2.4 Endurance with Acceptable Quality
of Service (QoS). .... .... .... .... .... ..... .... 23
3.2.5 Scanning, Detection, and Preparedness .... ..... .... 23
3.3 Resilience Dimensions and Levels .. .... .... .... ..... .... 24
3.3.1 Dimension (1): Supply Network Structure.. ..... .... 24
3.3.2 Dimension (2): Supply Network Control Protocols.... 25
3.3.3 Resilience Levels: Local and Global.. .... ..... .... 26
ix
x Contents
3.4 A Short Note on Resilience Versus Sustainability .. ..... .... 26
3.5 Summary and Outlook ... .... .... .... .... .... ..... .... 27
References. .... .... .... ..... .... .... .... .... .... ..... .... 28
4 Strategies to Design Resilient Supply Network Structures.... .... 31
4.1 Introduction .. .... ..... .... .... .... .... .... ..... .... 31
4.2 Redundancy .. .... ..... .... .... .... .... .... ..... .... 32
4.2.1 Agent-Level (or Local) Redundancy .. .... ..... .... 33
4.2.2 Network-Level (or Global) Redundancy ... ..... .... 35
4.3 Excess Resources: Storage and Capacity Surplus... ..... .... 37
4.3.1 Capacity Surplus. .... .... .... .... .... ..... .... 37
4.3.2 Storage ... ..... .... .... .... .... .... ..... .... 38
4.4 Communication Network Efficiency. .... .... .... ..... .... 39
4.5 Summary and Outlook ... .... .... .... .... .... ..... .... 40
References. .... .... .... ..... .... .... .... .... .... ..... .... 40
5 Flow Control Protocols for Resilient Supply Networks . ..... .... 45
5.1 Sourcing Protocols: Controlling Input Flow ... .... ..... .... 45
5.1.1 Multi-sourcing... .... .... .... .... .... ..... .... 46
5.1.2 Back-up Sourcing .... .... .... .... .... ..... .... 48
5.1.3 Emergency Sourcing.. .... .... .... .... ..... .... 49
5.1.4 The Role of Communication in Sourcing
Protocols.. ..... .... .... .... .... .... ..... .... 50
5.2 Internal Control Protocols: Managing Resources
at Agent Level .... ..... .... .... .... .... .... ..... .... 50
5.3 Distribution Protocols: Controlling Flow Delivery
to Successors . .... ..... .... .... .... .... .... ..... .... 52
5.4 The Need for Situation Awareness.. .... .... .... ..... .... 53
5.5 Summary and Outlook ... .... .... .... .... .... ..... .... 54
References. .... .... .... ..... .... .... .... .... .... ..... .... 55
6 Resilience by Teaming Framework . .... .... .... .... ..... .... 59
6.1 The Need for Resilience Through Collaboration
and Teaming.. .... ..... .... .... .... .... .... ..... .... 59
6.2 An Overview of the Resilience by Teaming
Framework... .... ..... .... .... .... .... .... ..... .... 60
References. .... .... .... ..... .... .... .... .... .... ..... .... 63
7 Resilience by Teaming: Sourcing Network Design
and Flow Management Protocols... .... .... .... .... ..... .... 65
7.1 Lessons Learnt from the FTT Principle of CCT
Applied to Sensor Networks... .... .... .... .... ..... .... 65
7.2 Sourcing Team Formation/Re-configuration Protocol
(STF/RP) .... .... ..... .... .... .... .... .... ..... .... 67