Indian Institute of Management Kashipur

MBA 2023-25

DECISION MODELING

End Term Project

Topic- Optimizing blood supply in the covid 19 pandemic

Guided By – Prof. Dheeraj Chandra

Submitted By:
Roll No. Name
MBA23003 Abhijit Mondal
MBA23008 Aman Goyal
MBA23053 Rahul
MBA23067 Tansih Bajpai
MBA23072 Vikrant Dixit

Abstract
In the context of the COVID-19 pandemic, specifically, the study "A Multi-Layer
Blood Supply Chain Configuration and Optimization under Uncertainty in
COVID-19 Pandemic" offers a thorough model for managing the blood supply
chain while taking uncertainties and interruptions into account. The suggested
methodology seeks to optimize transportation and maintenance expenses,
reduce blood loss, and choose locations strategically. It deals with erratic blood
demand, unknown blood donor quality, and unanticipated travel delays.
Validated through a real-world case study during the COVID-19 pandemic, the
model provides valuable insights for blood supply chain management. Key
findings stress the importance of considering uncertainties, balancing costs
with timely delivery, and increasing the maximum capacity of blood donation.

Contribution:
Area Member Roll No Member Name
Identification of Problems All Members
Scope, Importance & Implications MBA23003 Abhijit Mondal
Methods And processes MBA23008 Aman Goyal
TOPSIS Analysis MBA23053 Rahul

Solutions Recommended MBA23067 Tansih Bajpai

Concepts in Action MBA23072 Vikrant Dixit
Evaluation of the Proposed Solution
All Members
Prototype

Introduction
The paper emphasizes the heightened risks associated with accidents,
disasters, and catastrophes, particularly in disaster-prone areas. Efficient blood
supply chain management is crucial in mitigating the impact of disasters, given
the need for blood transfusions resulting from injuries. Challenges such as
inadequate blood supply, delayed responses, and inefficient distribution
systems are highlighted. The study makes the case for a thorough blood supply
chain that takes into account a number of factors, with an emphasis on blood
collection, donor supply, inventory, and demand. The study directly tackles the
intricacies presented by the COVID-19 outbreak.
The problem the paper is targeting
The paper "Blood Supply Chain Management in the COVID-19 Pandemic: A
Multi-Layer Configuration and Optimization Approach" focuses on efficiently
managing the blood supply chain, especially in uncertain conditions like the
COVID-19 pandemic. The study aims to overcome challenges related to
ensuring an adequate blood supply while minimizing wastage and costs,
acknowledging the critical nature of blood as a rare and perishable substance.
Insufficient inventory risks live, while excessive donation and poor
management lead to increased costs and blood waste.

Recognizing the complexity of blood supply chain management, the study

proposes a multi-level configuration and optimization model. This model
integrates various factors, including transportation, inventory management,
and the impact of uncertainties such as the COVID-19 pandemic. Emphasizing
the importance of addressing uncertainties, the authors advocate for a
comprehensive approach that considers factors like blood donation, demand
fluctuations, and challenges posed by disasters.
The setup and optimization model of the blood supply network at several levels
aims to achieve critical objectives, including selecting suitable locations,
minimizing average delivery time, and optimizing costs related to
transportation and maintenance. The study integrates these objectives into the
model to develop a holistic approach to blood supply chain management,
specifically tailored to uncertain conditions like the COVID-19 pandemic.

The study employs a scenario-based approach to tackle inherent uncertainties

in the blood supply chain. This approach allows the model to account for
random blood demand, blood donors' quality uncertainties, and unexpected
transport times. By incorporating these uncertainties, the study seeks to
enhance the applicability and robustness of the proposed blood supply chain
configuration and optimization model.
The multi-level blood supply chain configuration and optimization model is
studied, and different approaches to solving it, including modified weighted
Chebyshev and elastic boundary objectives, are evaluated. The TOPSIS
algorithm is utilized to evaluate the efficacy of these solutions, allowing for the
evaluation of suggested techniques and the subsequent selection of the most
appropriate approach.

In addition to theoretical development, the study includes a real-world case

study to validate the proposed model within the context of the COVID-19
pandemic. This validation aims to demonstrate the practical applicability and
effectiveness of the proposed blood supply chain configuration and
optimization model in addressing uncertainties and disasters.

The findings underscore the importance of adopting a comprehensive and

adaptable approach to blood supply chain management in uncertain
conditions, especially during the COVID-19 pandemic. The proposed multi-level
blood supply chain configuration and optimization model presents a promising
framework for efficiently managing blood resources, minimizing wastage, and
ensuring timely delivery to healthcare facilities.

The paper addresses the critical challenge of efficiently managing the blood
supply chain in uncertain conditions, particularly during the COVID-19
pandemic. The proposed multi-level blood supply chain configuration and
optimization model offers a comprehensive and integrated approach to
management, considering various factors and uncertainties to ensure the
timely availability of blood, especially in the face of disasters like the COVID-19
pandemic.

What are the methods used in the paper?

As its main technique, mathematical modeling is used extensively in this paper.
It presents a multi-level blood supply chain optimization and configuration
model that takes into account a number of variables and uncertainties.This
model aims to achieve crucial objectives, including selecting optimal locations,
minimizing average blood delivery time across different levels, and optimizing
costs associated with transportation and maintenance. Through mathematical
modeling, the study establishes a structured framework to comprehend and
tackle the intricacies of the blood supply chain, especially in uncertain
conditions.

The Elastic Boundary Objectives method

The Elastic Boundary Objectives method, employed in the paper, addresses the
challenges of multi-objective optimization in blood supply chain management.
It involves optimizing one objective while treating the others as constraints.
Decision variables, including blood transfer quantities and facility capacities,
are optimized under capacity, demand, and inventory balance constraints. By
introducing an elasticity factor, the method allows decision-makers to select
solutions within an elastic boundary, offering a range of viable options for
decision-making. This approach is crucial in balancing conflicting objectives,
such as minimizing total cost and maximizing responsiveness to hospital
demand, providing decision-makers with a comprehensive tool for managing
the blood supply chain. The method's application ensures that the supply chain
operates within available capacity, meets hospital demand, and minimizes
wastage and spoilage of blood products. In the blood supply chain
management context, where balancing cost, efficiency, and responsiveness is
critical, the Elastic Boundary Objectives method offers decision-makers a
powerful approach to optimizing performance measures and addressing
conflicting objectives. Ultimately, this method provides decision-makers with a
comprehensive tool for efficient and responsive blood supply chain
management.

TOPSIS Analysis

1. Identification of Alternatives: In particular, this study compares two

different solution methods: the Elastic Boundary Objectives technique
and the modified weighted Chebyshev approach. The primary objective
is to resolve and simplify the issues within the blood supply chain..

2. Determination of Criteria: Evaluation criteria include the imperative

tasks of minimizing the overall cost linked to the blood supply chain,
maximizing responsiveness to hospital demand, and ensuring
computational efficiency quantified in CPU time.
 3. Normalization of Criteria Weights: The paper employs the entropy
method to establish a nuanced and balanced evaluation. This method
determines weight vectors within the TOPSIS algorithm, ensuring a
proportional consideration of the relative importance of each criterion in
the decision-making process.

4. Construction of the Decision Matrix: A comprehensive decision matrix is

formulated to encapsulate the performance of each alternative solution
method concerning the identified criteria. The matrix incorporates
normalized scores for each measure, facilitating a detailed and
systematic comparison.

5. Calculation of Optimal and Unfavorable Solutions: The paper proceeds

to compute the Optimal and Unfavorable Solutions based on the
established decision matrix. The Optimal Solution signifies each
criterion's most favorable performance scenario, while the Unfavorable
Solution represents the least desirable outcome.
6. Assessment of Proximity and Distances: Utilizing the decision matrix
and the computed Optimal and Unfavorable Solutions, the study
analyzes the proximity of each alternative to the Optimal Solution and
the distances from the Unfavorable Solution. These computations
involve various metrics, such as the Euclidean distance, ensuring a
comprehensive evaluation of the alternatives.
7. Ranking Methodology: Based on how far away from the Unfavorable
Solution they are and how close they are to the Optimal Solution, the
alternatives are methodically graded. The technique showing the
greatest distance from the Negative Unfavorable Solution and the
smallest distance to the Positive Optimal Solution is the one that is
recommended.. This rigorous ranking approach ensures a thorough and
impartial selection of the most suitable solution for optimizing the blood
supply chain management system.

By following these steps, the TOPSIS method provides a systematic and

objective approach to comparing and selecting the best solution method for
the blood supply chain optimization problem. This process enables decision-
makers to make informed choices regarding the most suitable solution method
for efficient and responsive blood supply chain management, considering the
criteria of minimizing cost, maximizing responsiveness, and computational
efficiency.

What are the results of the problem in the paper?

The paper proposes a mathematical model for optimizing blood supply chain
management amid the COVID-19 pandemic, considering blood product
perishability and donation-demand uncertainties. It aims to minimize total
supply chain cost and average blood product delivery time. Two solution
methods, Elastic Boundary Objectives, and modified weighted Chebyshev, are
compared, with the latter emerging as superior. The TOPSIS method selects the
best solution based on cost, responsiveness, and computational efficiency.
Validation occurs through a COVID-19 case study, revealing that integrating
mobile blood facilities alleviates delivery time concerns. Sensitivity analyses
elucidate parameter impacts on objective functions.

In summary, the paper contributes a vital framework for emergency blood

supply chain management during pandemics, emphasizing efficiency and
responsiveness. The proposed model, validated through practical application,
offers insights beyond theoretical advancements. The preference for the
modified weighted Chebyshev method underscores its functional efficacy.
Including mobile blood facilities in the case study demonstrates adaptability to
real-world scenarios. Sensitivity analyses enhance understanding of parameter
dynamics, empowering decision-makers to refine and optimize emergency
blood supply chains effectively. The study's multifaceted approach aligns
theoretical and practical elements, fostering a comprehensive understanding of
pandemic-responsive blood supply chain management.

This study conducts sensitivity analyses, offering insights into how objective
functions respond to changes in model parameters. These analyses underscore
the robustness of the proposed model, showcasing its adaptability to dynamic
circumstances and evolving demands within the blood supply chain. The
sensitivity analyses emphasize the significance of considering uncertainties,
such as the impact of adding mobile blood facilities on delivery time.

The paper's contribution is significant because efficient and responsive blood

supply chain management is crucial for ensuring the availability of blood
products during the COVID-19 pandemic and other emergencies. The paper's
mathematical model and solution approach can help blood supply chain
managers make informed inventory management, transportation, and
distribution decisions Managers may discover important aspects influencing
the performance of the blood supply chain by using the paper's sensitivity
analyses, which provide light on how the model's key parameters affect the
objective functions. The feasibility and efficacy of the suggested strategy are
demonstrated by the paper's validation of the model and solution
methodology in an actual case study of the COVID-19 pandemic. Overall, the
paper's results can help blood supply chain managers optimize their operations
and ensure the availability of blood products during emergencies.
What are some of the managerial insights of the paper?

One of the crucial insights derived from the study emphasizes the significance
of acknowledging uncertainties within the blood supply chain. Managers must
be cognizant of potential disruptions from unpredictable circumstances such as
pandemics, natural disasters, or unforeseen events. To counteract these
disruptions, managers are advised to formulate contingency plans and
strategies, including developing alternative supply sources, elevating inventory
levels, and enhancing communication and coordination among stakeholders
within the blood supply chain.
Another noteworthy finding from the study underscores the need to balance
the costs associated with the blood supply chain and the prompt delivery of
blood to hospitals. Managers should adopt optimization strategies that
minimize costs while ensuring the timely delivery of blood. This involves
judiciously selecting suitable locations, minimizing blood spoilage, and
optimizing the expenses related to blood transportation and maintenance.
Managers need to consider the impact of the coverage area on the
performance of the blood supply chain, ensuring a harmonious balance
between the coverage area and the timely delivery of blood to hospitals.

The study highlights the critical need to expand the maximum blood donation
volume achievable by donors incrementally. This strategic adaptation,
implemented without impacting cost efficiency or average blood delivery time,
is essential to bolster the blood supply chain network in the face of the COVID-
19 pandemic. By raising the upper limit of blood donations, the average shelf
life of blood inventory can be extended, thereby significantly enhancing the
timely delivery of blood to hospitals. This essential step can help ensure
sufficient blood reserves are readily available for needy patients, ultimately
improving healthcare outcomes.

The study suggests incorporating mobile blood facilities as a viable solution to

mitigate delivery time challenges. Managers are encouraged to consider
deploying mobile blood facilities, particularly when delivery time poses a
substantial challenge. This initiative is instrumental in reducing delivery time
and ensuring the punctual blood supply to hospitals.

In conclusion, the paper furnishes invaluable managerial insights for those

overseeing blood supply chain systems. Managers are urged to consider
uncertainties within the blood supply chain, balance costs with timely delivery,
moderately increase the maximum capacity of blood donation, assess the
impact of coverage areas, and contemplate the integration of mobile blood
facilities to enhance delivery times. Additionally, validating the proposed model
within specific management systems ensures practical effectiveness and
provides avenues for continuous improvement.