Optimization of the Acquisition of Risk Mitigation Systems for a Contingency Logistics Network

Abstract

Contingencies are unexpected events or crises that cause a major threat for security and safety of a specific population. To cope with contingencies, logistics networks contain operational sites that are assigned to perform critical mission to recover back from the contingencies. In order to improve their mission capabilities, hence, overall reliability of a contingency logistics network, risk mitigation systems can pay significant role. This paper develops and presents risk mitigation systems acquisition model for a contingency logistics networks where sites are arranged in parallel and demand of sites as well as supplies to sites are assumed to have exponential distribution. The resulting nonlinear problem was solved through Excel solver and findings indicate that it is worthwhile to adopt risk mitigation systems in the contingency logistics network to improve its reliability.