A methodology for controlling dispersion in food production and distribution

A number of food safety crises, the design and implementation of traceability systems became an important tool for managing safety risks in the food industry. In the literature, numerous studies deal with traceability from the viewpoint of the information system and technology development. However, traceability and its implications for food safety receive less attention in literature on production and distribution planning. From the viewpoint of operations management, an efficient management of food safety risks requires the consideration of the amounts of potentially recalled products, affected regions/customers, and logistics efforts connected to solving the safety problem. In this paper we are developing a production and distribution planning model for food supply chains to address these issues. We also present heuristics for solving the resulting mixed-integer linear programming model and demonstrate the effectiveness of the developed methodology in a numerical investigation.