A Multi Objective Model for Optimization of a Green Supply Chain Network

Abstract

This study develops a model of a closed-loop supply chain (CLSC) network which starts with the suppliers and recycles with the decomposition centers. As a traditional network design, we consider minimizing the all transportation costs and the raw material purchasing costs. To pay attention for the green impacts, different transportation choices are presented between echelons according to their CO 2 emissions. The plants can purchase different raw materials in respect of their recyclable ratios. The focuses of this paper are conducting the minimizing total CO 2 emissions. Also we try to encourage the customers to use recyclable materials as an environmental performance viewpoint besides minimizing total costs. A multi objective linear programming model is developed via presenting a numerical example. We close the paper with recommendations for future researches.

Supply chain network optimization: A review of classification, models, solution techniques and future research

“…Classification of studied papers in the literature based on decision levels Article Paper's studied Issue SCM level Lakhal et al (2001) Supply chain network structure Strategic Cakravastia et al (2002) Supplier selection Strategic Perea-López et al (2003) Distribution network planning Tactical Chan and Chung (2004a) Order distribution Operational Wu and Golbasi (2004) Facility planning Strategic Wee and Yang (2004) Integration of Supply chain Strategic Chen and Lee (2004) Supply chain scheduling Operational Chan et al (2004) Supply chain collaboration Strategic Chan and Chung (2004b) Distribution network planning Tactical Bredström et al (2004) Transportation + Production scheduling + Distribution Operational Mo et al (2005) Integration of production and distribution systems Operational Chan et al (2006) Distribution network + Production scheduling Operational Venkatadri et al (2006) Manufacturing and distribution planning Tactical Craven (2007) Inventory Operational Herty and Ringhofer (2007) Supply chain network optimization Tactical Grunow et al (2007) Production planning and scheduling + Dispatching l Tactical + Operational Chen et al (2007) Production and distribution planning Tactical Kim et al (2008) Supply chain design Strategic Shirazi et al (2008) Facility relocation Design of distribution network Strategic Pishvaee and Torabi (2010) Closed-loop supply chain network design Strategic Guillen-Gosalbez et al (2010) Deign of production-distribution network Strategic Monteiro et al (2010) Supply chain network design Strategic Paksoy et al (2010) Green supply chain network design Strategic Liao et al (2010) Location-inventory integration + Performance Operational + Tactical Nagurney (2010) Supply chain network design and redesign Strategic Shukla et al (2010) Supply chain network optimization Tactical Wang et al (2011) Green supply chain network design Strategic Liao et al (2011) Integrated location-inventory distribution network Strategic/Tactical/Operatio l* …”

“…2005;Zhang et al, 2008), the amount and location of production facilities, the capacity at each facility, the assignment of each market region to one or more locations, and supplier selection for sub-assemblies, components and materials (Meixell & Gargeya, 2005;Paksoy et al, 2010). Supply chain network design is an assessment to have great importance for enterprises to gain cost-effectiveness and competitiveness (Ballou, 2005) and to have an important impact in logistics costs (Chopra & Meindl, 2004;Cardona-Valdés et al, 2011).…”

“… Addressing multi-product closed-loop supply chain network design under different kind of uncertainties and risks,  Suggestions of Paksoy et al (2010) regarding their study is:…”

Multi-objective optimization for supply chain management problem: A literature review

“…Multi-objective optimizations for green supply chain network design were developed by many researchers (See Jamshid et al, 2012;Paksoy et al, 2010;Wang, et al, 2011a). Most publications about green supply chain design, generally aim to minimize total cost and gas emission.…”

The Design of a Sustainable Location-Routing-Inventory Model Considering Consumer Environmental Behavior

“…Only recently, however, have some studies started taking carbon emissions into account [9][10][11]. Many studies indicate that there is a trade-off between the environment and economics in a supply chain [12][13][14].…”