Nonlinear analysis and active management of production-distribution in nonlinear supply chain model using sliding mode control theory

Abstract This paper deals with system dynamics approach for dynamical behaviors and control synthesis of supply chain system by utilizing three-stage production-distribution model. The presented approach offers systematic tools for determining fundamental relationships between multi-echelons in the supply chain dynamics by using eigenvalues, bifurcation, and time history investigation. By exploring system dynamics on time series analysis, it is found that system performance has suffered severely from the bullwhip effect under impacts of model uncertainties and perturbed demand. The novel fractional-order sliding mode control algorithm has been presented based on adaptation mechanism, ensuring that the shipment flows are robustly stable in supply chain networks against disruptions. This is a smarter way of getting sufficient strength to sustain existing competitive market for mitigating the risks and improving the supply chain performance. The system stability has been thoroughly analyzed by using Routh-Hurwitz criterion and Lyapunov theory. Extensive numerical simulations have been conducted to obtain insights into the system behaviors and to validate effectiveness of active control policies by matching the shipment sent to customer demand, ensuring supply chains resilience. Finally, it is found that the presented approach can help decision-makers develop more efficient supply chain management system against severe market disruptions.