Abstract
This paper focuses on the facility location problem and investigates the effectiveness of two procurement strategies, namely single and multiple sourcing, in designing resilient supply chains operating under random disruptions. Two stochastic mathematical formulations are proposed to determine sourcing and network design decisions that minimise the expected total cost. These formulations are used to address the challenges associated with selecting suppliers and establishing sourcing decisions and provide insights into how facilities’ capacity can affect these decisions. The paper also includes a sensitivity analysis, which demonstrates the impact of capacity decisions on sourcing decisions and highlights the importance of considering these factors when designing facility location strategies. This article provides a valuable contribution to the field of resilient supply chain design and offers practical insights for managers looking to optimize their supply chain operations.