Sequencing strategic sourcing initiatives at a large, public university
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Intellectual Contribution by Robert Saltzman
Contribution Title
Sequencing strategic sourcing initiatives at a large, public university
Publication
Journal of Supply Chain and Operations Management
Co-author
Michael Rodriguez, Susan Cholette
Year
2012
Description
This article describes the application of binary programming to optimally sequence strategic sourcing initiatives at a large, public university. Given a list of commodities that can be strategically sourced, the model selects which ones ought to undergo sourcing initiatives each year so as to maximize potential savings over a five-year horizon while meeting constraints on resource availability, technical difficulty, and commodity priority. The article is based on actual data and events at the University of California, during which time outreach was made to universities in Michigan, Texas, and Washington to compare common practices. Implementation of the model's recommendations would result in potential savings of $145 million over five years, a 3% improvement, and a more feasible program than that produced by current practices.
Complete Citation
Rodriguez, M., Saltzman, R. and Cholette, S., "Sequencing strategic sourcing initiatives at a large, public university," Journal of Supply Chain and Operations Management, 10(1), 1-12, Feb. 2012.
Website
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