Environmental sustainability through designing reverse logistical loops: case research of poultry supply chains using system dynamics

Abstract

Purpose Poultry production supply chains produce substantial wastes that are transformable into favorable environmental outcomes and profitable products. While overwhelming evidence supports this conclusion, scant literature is available on how such transformations are doable. Using systems dynamics, this study addresses this research gap in a national (Bangladesh) context. This study aims to contribute an integrated model for poultry supply chains that incorporate reverse flows of wastes using system dynamics (SD) engineering with empirical simulations. Design/methodology/approach This study applies SD and simulations of alternative supply chains with versus without reverse loops that transform wastes into viable products in poultry production and downstream marketing operations. This research reports on an in-depth case study of systems thinking and use of the Massachusetts Institute of Technology systems dynamics software. Data for the study are longitudinal and come from written operation records and extensive, repeated, one-on-one Interview from a large poultry plant operation in Bangladesh. Findings This study finds that several current poultry waste production problems are solvable through an integrated approach that generates viable new marketable products with substantial profitable opportunities that also contributes to reductions in industrial pollution. This study confirms that forward, backward and reverse supply chains need to be under one umbrella system to achieve economic, social and environmental benefits. Research limitations/implications This study’s SD model and outputs need additional applications in poultry supply chains in multiple countries. Applying the firm-level model that this study provides is a necessary but insufficient step toward empirical confirmation through replicating.

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