Model of optimal planning of manufacturing and delivering of final product to consumers taking into account the marketing activity of a plant

Abstract

The new trends of theory and practice of logistics’ development are based on logistical operators and managers of each links of supply chains aspirations to earn the maximal profit from integral paradigm of logistics application based on more close interaction between logistic and marketing strategies of firms or companies. At present, it is very actual the development and analysis of optimization models which are accounting simultaneously influence of marketing activity of companies and the logistics conception. In the article, on the basis of classical model of multi-nomenclature products optimal planning by an enterprise side by side the optimal planning of finished product transportation to consumers the economic-mathematical model has been developed and analyzed taking into account the marketing activity of enterprise. It is supposed that demand for finished products is a some increasing function of advertising costs. The concrete form of such dependence may be found in result of corresponding market’s analyses for previous period. In more simple case it may be the linear dependence. It is supposed also that expected demand without cost for advertising is known in result of market analyses. This optimization model allows us to find out the optimal joint production and transportation plans and optimal advertising costs maximizing the total profit of enterprise. The experimental calculations show that interaction of marketing and logistics conceptions allows not only to increase the effectiveness of supply chain functioning as a whole but its every link, as well. The approach proposed may be applied for investigation of more general optimization models taking into account the market demand fluctuation over the given planning horizon. The results obtained in the article show that above optimization model of integrated supply chain and its possible generalizations has the defined perspective of further development in the framework of integral paradigm of logistics.

Keywords

• supply chain, optimization of the production and transportation plans, demand, marketing activity