A Stochastic Model for Supply Chain Risk Management Using Conditional Value at Risk
In this chapter, we establish a stochastic programming formulation for supply chain risk management using conditional value at risk. In particular, we investigate two problems on logistics under conditions of uncertainty. The sample average approximation method is introduced for solving the underlying stochastic model. Preliminary numerical results are provided.
KeywordsSupply Chain Sample Average Approximation Supply Chain Risk Supply Chain Risk Management Stochastic Mathematical Program
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