scholarly journals Design and Optimization of the Dual-Channel Closed Loop Supply Chain with E-Commerce

2020 ◽  
Vol 12 (23) ◽  
pp. 10117
Author(s):  
Essam Kaoud ◽  
Mohammad A. M. Abdel-Aal ◽  
Tatsuhiko Sakaguchi ◽  
Naoki Uchiyama

The depletion of natural resources and the degradation of the ecosystem have led many countries to adopt closed-loop supply activities in both their industrial and service sectors. With the widespread use of Internet technology, these aspects motivate the incorporation of e-commerce with the classical closed-loop supply chain. This study suggests a novel mixed-integer linear programming (MILP) model that addresses the integration of e-commerce with a multi-echelon closed-loop supply chain with a multi-period planning time horizon by considering dual channels in manufacturing, and recovery facilities. To validate the model, we obtain optimal decision variables and examine the robustness and applicability of the model, and comprehensive computational experiments are performed. Moreover, sensitivity analysis is carried out to illustrate the efficacy of e-commerce integration by considering the two channels in the closed-loop supply chain. Accordingly, the total cost of the dual-channel CLSC decreases with an increase in customer demand via online retailers, the returned end of life (EOL) products, recycling ratio, and recovery ratio. Some useful managerial implications are provided based on the conducted analysis.

2021 ◽  
Vol 16 (2) ◽  
pp. 161-172
Author(s):  
I.W. Fang ◽  
W.-T. Lin

Green closed-loop supply chain management is an important topic for business operations today because of increasing resource scarcity and environmental issues. Companies not only have to meet environmental regulations, but also must ensure high quality supply chain operation as a means to secure competitive advantages and increase profits. This study proposes a multi-objective mixed integer programming model for an integrated green closed-loop supply chain network designed to maximize profit, amicable production level (environmentally friendly materials and clean technology usage), and quality level. A scenario-based robust optimization method is used to deal with uncertain parameters such as the demand of new products, the return rates of returned products and the sale prices of remanufactured products. The proposed model is applied to a real industry case example of a manufacturing company to illustrate the applicability of the proposed model. The result shows a robust optimal resource allocation solution that considers multiple scenarios. This study can be a reference for closed-loop supply chain related academic research and also can be used to guide the development of a green closed-loop supply chain model for better decision making.


2021 ◽  
Vol 3 (3) ◽  
Author(s):  
Amirreza Hooshyar Telegraphi ◽  
Akif Asil Bulgak

AbstractDue to the stringent awareness toward the preservation and resuscitation of natural resources and the potential economic benefits, designing sustainable manufacturing enterprises has become a critical issue in recent years. This presents different challenges in coordinating the activities inside the manufacturing systems with the entire closed-loop supply chain. In this paper, a mixed-integer mathematical model for designing a hybrid-manufacturing-remanufacturing system in a closed-loop supply chain is presented. Noteworthy, the operational planning of a cellular hybrid manufacturing-remanufacturing system is coordinated with the tactical planning of a closed-loop supply chain. To improve the flexibility and reliability in the cellular hybrid manufacturing-remanufacturing system, alternative process routings and contingency process routings are considered. The mathematical model in this paper, to the best of our knowledge, is the first integrated model in the design of hybrid cellular manufacturing systems which considers main and contingency process routings as well as reliability of the manufacturing system.


2020 ◽  
Vol 30 (1) ◽  
Author(s):  
Sema Akin Bas ◽  
Beyza Ahlatcioglu Ozkok

By the green point of view, supply chain management (SCM), which contains supplier and location selection, production, distribution, and inventory decisions, is an important subject being examined in recent years by both practitioners and academicians. In this paper, the closed-loop supply chain (CLSC) network that can be mutually agreed by meeting at the level of common satisfaction of conflicting objectives is designed. We construct a multi-objective mixed-integer linear programming (MOMILP) model that allows decision-makers to more effectively manage firms’ closed-loop green supply chain (SC). An ecological perspective is brought by carrying out the recycling, remanufacturing and destruction to SCM in our proposed model. Maximize the rating of the regions in which they are located, minimize total cost and carbon footprint are considered as the objectives of the model. By constructing our model, the focus of customer satisfaction is met, as well as the production, location of facilities and order allocation are decided, and we also carry out the inventory control of warehouses. In our multi-product multi-component multi-time-period model, the solution is obtained with a fuzzy approach by using the min operator of Zimmermann. To illustrate the model, we provide a practical case study, and an optimal result containing a preferable level of satisfaction to the decision-maker is obtained.


2020 ◽  
Vol 12 (22) ◽  
pp. 9681
Author(s):  
Xiaomin Zhao ◽  
Xueli Bai ◽  
Zhihui Fan ◽  
Ting Liu

This paper studies a closed-loop supply chain that covers three key members: Manufacturer, new components supplier, and recycled-components supplier. Considering the power of each member in the chain, we use game theory to analyze the optimal decision and coordination, particularly investigating the economic value of components reuse strategy. The results show that, in a decentralized setting, the value of components reuse highly depends on the attributes of the products. For the products with low price elasticity, reuse strategy is only beneficial to the recycled-components suppliers. Further investigation shows the manufacturer can use wholesale price contracts to coordinate and improve the supply chain’s performance.


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