scholarly journals Closed-Loop Supply Chain Models with Considering the Environmental Impact

2014 ◽  
Vol 2014 ◽  
pp. 1-23 ◽  
Author(s):  
Amir Mohajeri ◽  
Mohammad Fallah

Global warming and climate changes created by large scale emissions of greenhouse gases are a worldwide concern. Due to this, the issue of green supply chain management has received more attention in the last decade. In this study, a closed-loop logistic concept which serves the purposes of recycling, reuse, and recovery required in a green supply chain is applied to integrate the environmental issues into a traditional logistic system. Here, we formulate a comprehensive closed-loop model for the logistics planning considering profitability and ecological goals. In this way, we can achieve the ecological goal reducing the overall amount of CO2emitted from journeys. Moreover, the profitability criterion can be supported in the cyclic network with the minimum costs and maximum service level. We apply three scenarios and develop problem formulations for each scenario corresponding to the specified regulations and investigate the effect of the regulation on the preferred transport mode and the emissions. To validate the models, some numerical experiments are worked out and a comparative analysis is investigated.

2017 ◽  
Vol 117 (8) ◽  
pp. 1567-1588 ◽  
Author(s):  
Lingcheng Kong ◽  
Zhiyang Liu ◽  
Yafei Pan ◽  
Jiaping Xie ◽  
Guang Yang

Purpose The online direct selling mode has been widely accepted by enterprises in the O2O era. However, the dual-channel (online/offline, forward/backward) operations of the closed-loop supply chain (CLSC) changed the relationship between manufacturers and retailers, thus resulting in channel conflict. The purpose of this paper is to take a dual-channel operations of CLSC as the research target, where a manufacturer sells a single product through a direct e-channel as well as a conventional retail channel; the retailer are responsible for collecting used products in the reverse supply chain and the manufacturer are responsible for remanufacturing. Design/methodology/approach The authors build a benchmark model of dual-channel price and service competition and take the return rate, which is considered to be related to the service level of the retailer, as the function of the service level to extend the model in the reverse SC. The authors then analyze the optimal pricing and service decision under centralization and decentralization, respectively. Finally, with the revenue-sharing factor, wholesale price and recycling price transfer payment coefficient as contract parameters, the paper also designs a revenue-sharing contract led by the manufacturer and explores in what situation the contract could realize the Pareto optimization of all players. Findings In the baseline model, the results show that optimal price and service level correlate positively in centralization; however, the relation relies on consumers’ price sensitivity in decentralization. In the extension model, the relationship between price and service level also relies on the relative value of increased service cost and remanufacturing saved cost. When the return rate correlates with the service level, a recycling transfer payment can elevate the service level and thus raise the return rate. Through analyzing the parameters in revenue-sharing contract, a point can be reached where lowering the wholesale price and raising the transfer payment coefficient will promote retailers to share revenue. Practical implications Many enterprises establish the dual-channel distribution system both online and offline, which need to understand how to resolve their channel conflict. The conflict is especially strong in CLSC with remanufacturing. The result helps the node enterprises realize the coordination of the dual-channel CLSC. Originality/value It takes into account the fact that there are two complementary relationships, such as online selling and offline delivery; used product recycling and remanufacturing. The authors optimize the strategy of product pricing and service level in order to solve channel conflict and double marginalization in the closed-loop dual-channel distribution network.


Author(s):  
K.S. Savita ◽  
P.D.D. Dominic ◽  
T. Ramayah

The global shift in ecological movement has significant impacts on business operation of manufacturing firms that are located in developing countries. The intense pressure of being environmentally sustainable has caused Green Supply Chain Management (Green SCM) concept to emerge as an important corporate environmental strategy for manufacturing companies. Information technologies and systems have permeated in most business activities, in which, they extend important opportunities to resolve environmental issues. However, many researchers, including manufacturers and government bodies often disregard the green concept of information technologies and systems in minimizing environmental issues. A comprehensive review on Green SCM, Green IT and Green IS for sustainable environmental performance in manufacturing companies is presented using Input-Process-Output (IPO) Theory and Technological-Organizational-Environmental (TOE) theory. In bridging the research gap, a model is constructed to link the aforementioned constructs. Next, the paper reports on the development of survey questionnaire using cognitive interviewing strategies, followed up with semi-structured interview to investigate and obtain preliminary findings on the influential factors, green activities and performance outcomes from implementing Green SCM. Lastly, the finalized survey questionnaire was distributed to 60 ISO14001 certified manufacturing companies located in the region of Perak and Kulim. Out of 60 manufacturing companies, only 32 responses received as the dataset in analyzing for improvements in reliability, measurement error, and validity of measured items. The findings from this pilot study explain that internal and external factors have stronger influence over the implementation of green initiatives in supply chain with substantial outcome on environmental performance. The information technologies and systems being the physical resource, capability and backbone to run a business seamlessly are significantly recognized. But, the green component of IT and IS were poorly attended and disregarded to an extent in the process of greening the processes, operations or entire business. Therefore, further investigations are required in the main study to validate the findings obtained here and other possible association between the factors, practices and outcomes in realizing ecological improvements in the supply chain and firm itself.


Green supply chain management is being concerned for both development and eminent difficulties are observed through supply chain mining activities. In Mining Industry, All the exercises engaged with extraction, generation, circulation add to ecological concerns. The ecological and health problem are still now prevailing due to uncaring in green supply chain activities. In our thesis the environmental problems are categorized as main factors and sub factors by collecting opinion from industrial experts & reputed literature survey. The main factors and sub- factors are rated and evaluated by one of the multi criteria decision making tool (MCDM) i.e Fuzzy Analytic Network Process (ANP). According to AHP, the main factors and sub factors are rated and arranged as more affecting factor to environment based on global value attained. As the result, it was found that the most influencing factors are Impact on land and its sub factors.


2011 ◽  
pp. 2617-2649 ◽  
Author(s):  
Ying Su ◽  
Zhanming Jin ◽  
Lei Yang

Environmental issues are rapidly emerging as one of the most important topics in strategic manufacturing decisions. Perusal of the literature has shown many models to support executives in the assessment of a company’s environmental performance. Unfortunately, none of these identifies operating guidelines on how the systems should be adapted to support the deployment of different types of green supply-chain strategies. This chapter seeks to investigate how system dynamics modeling can be supportive for management of feasible green supply-chain strategies. Besides conceptual considerations, we base our arguments on the development of efficient performance measurement systems for remanufacturing facilities in reverse supply chains, taking into account not only economic but also environmental issues. The behavior of the green supply-chain management under study is analyzed through a simulation model based on the principles of the system dynamics methodology. The simulation model can be helpful for green strategic management as an experimental tool, which can be used to evaluate alternative long-term strategies (“what-if” analysis) using total supply chain profit as measure of strategy effectiveness. Validation and numerical experimentation further illustrate the applicability of the developed methodology, while providing additional intuitively sound insights.


2019 ◽  
Vol 11 (7) ◽  
pp. 1872 ◽  
Author(s):  
Patchara Phochanikorn ◽  
Chunqiao Tan

Environmental concerns have globally driven the encouragement of green supply chain management. Accordingly, business and industrial organizations try to seek green supply chain strategies to respond to market pressure regarding corporate social responsibility. Green supplier selection is one of the practical strategies for modern enterprises. With the large-scale development of the palm oil products industry, green supplier selection technique is the key for decision making when dealing with mass information and possible risks of biased data. For instance, the preference of decision makers possibly causes a misleading decision, thus leading to unnecessary waste of resources. Therefore, the contribution of this paper is to apply the integrated multi-criteria decision method using the ‘fuzzy decision-making trial and evaluation laboratory’ (fuzzy DEMATEL) method to consider the cause and effect relationship and then using fuzzy analytic network process (fuzzy ANP) to assign the weight of each relevant criteria. The initial results are useful for strategic procurement planning. In the final step, we adopt the prospect theory to synthesize procurement’s psychological and behavioral factors when selecting green suppliers. The final result refers to the comprehensive prospect value to rank the eligible suppliers into orders. Moreover, the results of both sensitivity analysis and comparison method confirm that the proposed model is adequately realistic and robust.


2020 ◽  
Vol 12 (4) ◽  
pp. 1688 ◽  
Author(s):  
Theo Notteboom ◽  
Larissa van der Lugt ◽  
Niels van Saase ◽  
Steve Sel ◽  
Kris Neyens

Green supply chain management (GSCM) can be defined as the integration of environmental concerns into the inter-organizational practices of supply chain management (SCM). This paper analyzes the role of seaports in the greening of supply chains in two ways. First, the fields of action to pursue GSCM objectives in ports are identified and grouped. The proposed typology includes five groups of actions, i.e., green shipping; green port development and operations; green inland logistics; seaports and the circular economy; and, actions in the field of knowledge development and information sharing. In the empirical part of the paper, this typology is used to analyze green actions and initiatives developed by market players and port authorities in the Rhine–Scheldt Delta, the leading European port region in cargo throughput terms. This structured overview of green actions and initiatives shows that these ports are hotbeds for GSCM initiatives, but progress in some areas remains slows. The second part of the analysis focuses on the attitudes and perceptions of port-related actors towards the greening of port-related supply chains. A large-scale survey conducted in the Belgian and Dutch logistics and port industry reveals that greening has been put massively on the agenda by the firms between 2010 and now. The results give a clear view on the diverse drivers and impediments towards the greening of supply chains. In addition, one can still see a gap between words and actions. The survey further points to the role of governments as catalysts or soft enforcers for change, and calls for continuity and coherence in government policy. This paper is the first study providing a comprehensive analysis on initiatives, approaches, and perspectives of port-related actors in a specific multi-port region.


2019 ◽  
Vol 11 (16) ◽  
pp. 4403 ◽  
Author(s):  
Haixiang Wu ◽  
Bing Xu ◽  
Ding Zhang

The green supply chain (GSC) can effectively reduce the waste of resources and avoid environmental pollution. For a closed-loop supply chain network consisting of multiple manufacturers, multiple retailers, and multiple consumer and recycling markets, we assume that retailers are responsible for the recycling of used products, manufacturers use raw materials to produce new products and recycled products for remanufacturing, and government departments subsidize all manufacturers and retailers for GSC technology investment. Then, the equilibrium conditions of manufacturers, retailers, demand markets, and recycling markets are obtained by using the variational inequality method, complementarity theorem, and Nash equilibrium theory, and the variational inequality model of the closed-loop supply chain network multiphase equilibrium is established. Based on numerical simulation, the optimal technology investment decision of green supply chain under different government subsidy rates, and the influence of market structure and enterprise cost asymmetry on the equilibrium solution of supply chain network are analyzed. The results show that government subsidies can effectively promote enterprises to upgrade their level of GSC technology investment. The intensification of enterprise competition and the asymmetry of enterprise costs will affect the composition of enterprise profits and the allocation of profits between enterprises, and the former will weaken the effect of government subsidies.


2019 ◽  
Vol 10 (3) ◽  
pp. 371 ◽  
Author(s):  
Zarinah Abdul Rasit ◽  
Maisurah Zakaria ◽  
Marshita Hashim ◽  
Aliza Ramli ◽  
Muzrifah Mohamed

Environmental issues have been critical concern among the current businesses as various business activities might pose significant threats to the environment. Incorporating environmental aspects in business operations is perceived to be able to create value and to achieve sustainable business performance. The manufacturing sector is the key contributor to the country’s high pollution index. Green Supply Chain Management (GSCM) practices have become more prevalent in this sector in managing the environmental issues for the effectiveness of their production requirement. Nevertheless, the small and medium enterprises (SMEs) mainly are less likely to embark on environmental practices as compared to large organisations. The establishment of certified environmental management systems (EMS) is considered as a strategic management approach that defines how organisations will address their impact on the natural environment guided by ISO 14001 as a framework. This study provides empirical evidence examining the extent of GSCM practices among the SMEs through the possession of ISO 14001 and examines the impact on sustainability performance. Data were analysed using regression analyses. Results indicate that GSCM practices have a significant positive relation with sustainability performance. Eco-design practices and environmental cooperation have a positive relationship with sustainability performance. There is no relationship between green purchasing and reverse logistics practices with sustainability performance. These results imply that Malaysian SMEs adopt GSCM practices mostly through eco-design and robust cooperation among departments in dealing with environmental issues. Green practices and reverse logistics practices are still new for SMEs and do not contribute to achieving better performance.


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