Design and optimization of a pharmaceutical supply chain network under COVID-19 pandemic disruption

Abstract

Efficient management of pharmaceutical supply chains during the COVID-19 pandemic is critical to mitigate material and human losses. This paper addresses the design of a pharmaceutical supply chain network under pandemic disruption, introducing a novel bi-objective mathematical model. Traditional supply chain management strategies often fall short in the face of sudden disruptions, necessitating the development of resilient systems. Our model seeks to minimise economic costs and shortages as primary objectives, addressing the specific challenge of sudden surges in demand for pharmaceuticals. To enhance resilience, we propose solutions including the establishment of temporary distribution points and the creation of backup inventory. We employ a scenario-based, discrete, and linear modelling approach, solving the model using goal-planning methods and validating its efficacy through numerical examples. Additionally, we conduct a case study in the metropolitan area of Mashhad, further demonstrating the applicability and effectiveness of our approach. This research contributes to the advancement of resilient supply chain design in the pharmaceutical sector, offering insights that can inform improved management practices and bolster resilience in pharmaceutical supply chains.