Low Carbon Footprint

2017 ◽  
pp. 1414-1437
Author(s):  
Muhammad Shabir Shaharudin ◽  
Yudi Fernando
Keyword(s):  
Supply Chain ◽  
Carbon Emissions ◽  
Manufacturing Industry ◽  
Green Building ◽  
Green Technology ◽  
Low Carbon ◽  
Supply Chain Networks ◽  
Government Organizations ◽  
Carbon Supply ◽  
The Government

Malaysia has committed to a 40% reduction of carbon emissions by 2020. The government has encouraged industry, society, and non-government organizations to work together to achieve this objective. The government has provided incentives through several energy programmes such as energy efficiency, renewable energy, green technology, and green building. One key area that has been targeted is logistics and supply chain, which has been contributing to high carbon emissions in manufacturing industries. Scholars and practitioners have only recently begun to pay attention to creating a low carbon supply chain. Furthermore, Small Medium Enterprises (SMEs) have faced several challenges in adopting low carbon activities. SMEs are unable to take the advantage of energy initiatives because of a lack of knowledge, a shortage of funds, and inadequate facilities. Almost 90% of firms are in the service industry working with large manufacturing firms and some SMEs working in manufacturing industry are working closely with their supply chain networks; achieving low carbon targets is hampered by the readiness of the manufacturing itself. This chapter discusses the challenges and future agenda of creating low carbon supply chains in manufacturing in Malaysia. Possible solutions are provided at the end of the chapter.

Low Carbon Footprint

2015 ◽  
pp. 324-347 ◽  
Author(s):  
Muhammad Shabir Shaharudin ◽  
Yudi Fernando
Keyword(s):  
Supply Chain ◽  
Carbon Emissions ◽  
Manufacturing Industry ◽  
Green Building ◽  
Green Technology ◽  
Low Carbon ◽  
Supply Chain Networks ◽  
Government Organizations ◽  
Carbon Supply ◽  
The Government

Malaysia has committed to a 40% reduction of carbon emissions by 2020. The government has encouraged industry, society, and non-government organizations to work together to achieve this objective. The government has provided incentives through several energy programmes such as energy efficiency, renewable energy, green technology, and green building. One key area that has been targeted is logistics and supply chain, which has been contributing to high carbon emissions in manufacturing industries. Scholars and practitioners have only recently begun to pay attention to creating a low carbon supply chain. Furthermore, Small Medium Enterprises (SMEs) have faced several challenges in adopting low carbon activities. SMEs are unable to take the advantage of energy initiatives because of a lack of knowledge, a shortage of funds, and inadequate facilities. Almost 90% of firms are in the service industry working with large manufacturing firms and some SMEs working in manufacturing industry are working closely with their supply chain networks; achieving low carbon targets is hampered by the readiness of the manufacturing itself. This chapter discusses the challenges and future agenda of creating low carbon supply chains in manufacturing in Malaysia. Possible solutions are provided at the end of the chapter.

scholarly journals Optimal Strategies for Low Carbon Supply Chain with Strategic Customer Behavior and Green Technology Investment

2016 ◽  
Vol 2016 ◽  
pp. 1-13 ◽  
Author(s):  
Wen Jiang ◽  
Xu Chen
Keyword(s):  
Supply Chain ◽  
Carbon Emissions ◽  
Optimal Strategies ◽  
Revenue Sharing ◽  
Green Technology ◽  
Customer Behavior ◽  
Investment Strategies ◽  
Low Carbon ◽  
Technology Investment ◽  
Carbon Supply

Climate change is mainly caused by excessive emissions of carbon dioxide and other greenhouse gases. In order to reduce carbon emissions, cap and trade policy is implemented by governments in many countries, which has significant impacts on the decisions of companies at all levels of the low carbon supply chain. This paper investigates the decision-making and coordination of a low carbon supply chain consisting of a low carbon manufacturer who produces one product and is allowed to invest in green technology to reduce carbon emissions in production and a retailer who faces stochastic demands formed by homogeneous strategic customers. We investigate the optimal production, pricing, carbon trading, and green technology investment strategies of the low carbon supply chain in centralized (including Rational Expected Equilibrium scenario and quantity commitment scenario) and decentralized settings. It is demonstrated that quantity commitment strategy can improve the profit of the low carbon supply chain with strategic customer behavior. We also show that the performance of decentralized supply chain is lower than that of quantity commitment scenario. We prove that the low carbon supply chain cannot be coordinated by revenue sharing contract but by revenue sharing-cost sharing contract.

scholarly journals Supply Chain Strategy Analysis of Low Carbon Subsidy Policies Based on Carbon Trading

2020 ◽  
Vol 12 (9) ◽  
pp. 3532 ◽  
Author(s):  
Yinjie Zhang ◽  
Chunxiang Guo ◽  
Liangcheng Wang
Keyword(s):  
Supply Chain ◽  
Supply Chains ◽  
Carbon Emissions ◽  
Stackelberg Game ◽  
Carbon Trading ◽  
Low Carbon ◽  
Government Subsidies ◽  
Carbon Supply ◽  
Consumer Prices ◽  
The Government

The low-carbon economy has become the focus of global attention and scientific measurement standards with the concepts of low energy consumption, low pollution, and sustainable development. More and more attentions are paid to the research of low-carbon supply chains. Based on a two-level low-carbon supply chain in the context of carbon trading, a Stackelberg game model was established for government subsidies to determine a coordinated and balanced solution for supply chains in situations dominated by manufacturers. The optimal strategies for low-carbon technology innovation are analyzed within the context of governmental subsidies. This study’s conclusions are as follows: (1) When government subsidies are in place, regardless of who the government subsidies are meant for, manufacturers and retailers that do not generate carbon emissions will transfer the subsidies to the companies that generate carbon emissions by adjusting wholesale prices and retail prices to maximize their own profits. (2) When consumer prices are sensitive, the government’s optimal subsidy intensity increases as consumers’ low-carbon preferences increase. When consumer prices are not sensitive, the government should not provide any subsidies. (3) When consumers’ low-carbon preferences are weak, the retail price of products will decrease with the increase in subsidies; when consumers’ low-carbon preferences are strong, the opposite dynamic occurs.

scholarly journals Achieve a low carbon supply chain through product mix

2017 ◽  
Vol 117 (10) ◽  
pp. 2468-2484 ◽  
Author(s):  
Xu Chen ◽  
Xiaojun Wang
Keyword(s):  
Supply Chain ◽  
Trade Policy ◽  
Carbon Emissions ◽  
Channel Structure ◽  
Low Carbon ◽  
Cap And Trade ◽  
Product Mix ◽  
Content Type ◽  
Carbon Supply ◽  
Trade Offs

Purpose In the era of climate change, industrial organizations are under increasing pressure from consumers and regulators to reduce greenhouse gas emissions. The purpose of this paper is to examine the effectiveness of product mix as a strategy to deliver the low carbon supply chain under the cap-and-trade policy. Design/methodology/approach The authors incorporate the cap-and-trade policy into the green product mix decision models by using game-theoretic approach and compare these decisions in a decentralized model and a centralized model, respectively. The research explores potential behavioral changes under the cap-and-trade in the context of a two-echelon supply chain. Findings The analysis results show that the channel structure has significant impact on both economic and environmental performances. An integrated supply chain generates more profits. In contrast, a decentralized supply chain has lower carbon emissions. The cap-and-trade policy makes a different impact on the economic and environmental performances of the supply chain. Balancing the trade-offs is critical to ensure the long-term sustainability. Originality/value The research offers many interesting observations with respect to the effect of product mix strategy on operational decisions and the trade-offs between costs and carbon emissions under the cap-and-trade policy. The insights derived from the analysis not only help firms to make important operational and strategic decisions to reduce carbon emissions while maintaining their economic competitiveness, but also make meaningful contribution to governments’ policy making for carbon emissions control.

scholarly journals The Farmers’ Channel Selection and Sustainable Analysis under Carbon Tax Policy

2019 ◽  
Vol 11 (10) ◽  
pp. 2765 ◽  
Author(s):  
Cong Zheng ◽  
Quangui Pang ◽  
Tianpei Li ◽  
Guizheng Wang ◽  
Yiji Cai ◽  
...  
Keyword(s):  
Supply Chain ◽  
Carbon Emissions ◽  
Stackelberg Game ◽  
Carbon Tax ◽  
Product Yield ◽  
Channel Selection ◽  
Low Carbon ◽  
Deterioration Rate ◽  
Dual Channels ◽  
The Government

This paper examines a farmer’s channel selection in a supply chain led by a retailer, considering carbon emissions and products’ deterioration. Three channels—online channels, retail channels, and dual channels—are proposed. The inventory model of perishable products and the two-stage Stackelberg game model are used to illustrate the operational process. To compare performances of the three channel structures, we further determine the critical points consisting of the profits and the carbon emissions among these channels. The results provide useful insights for supply chain members and the government. Farmers can choose a channel to optimize profit with respect to deterioration rate and product yield, but it might conflict with the aim of least carbon emissions. When the deterioration rate is high, the online channel is not a suitable choice. For the government, the carbon tax contributes to the reduction of carbon emissions, but it also leads to the loss of the farmer’s profit. Additionally, numerical results further illustrate that, from the perspective of the government, transporting and inventory processes are two major sources of emissions, and it is essential to implement carbon tax and exploit low-carbon transportation.

scholarly journals Decision Optimization of Low-Carbon Dual-Channel Supply Chain of Auto Parts Based on Smart City Architecture

Complexity ◽  
2020 ◽  
Vol 2020 ◽  
pp. 1-14 ◽  
Author(s):  
Zheng Liu ◽  
Bin Hu ◽  
Bangtong Huang ◽  
Lingling Lang ◽  
Hangxin Guo ◽  
...  
Keyword(s):  
Decision Making ◽  
Supply Chain ◽  
Carbon Emissions ◽  
Smart City ◽  
Carbon Emission ◽  
Low Carbon ◽  
Supply Chain System ◽  
Chain System ◽  
Carbon Supply ◽  
Auto Parts

Affected by the Internet, computer, information technology, etc., building a smart city has become a key task of socialist construction work. The smart city has always regarded green and low-carbon development as one of the goals, and the carbon emissions of the auto parts industry cannot be ignored, so we should carry out energy conservation and emission reduction. With the rapid development of the domestic auto parts industry, the number of car ownership has increased dramatically, producing more and more CO2 and waste. Facing the pressure of resources, energy, and environment, the effective and circular operation of the auto parts supply chain under the low-carbon transformation is not only a great challenge, but also a development opportunity. Under the background of carbon emission, this paper establishes a decision-making optimization model of the low-carbon supply chain of auto parts based on carbon emission responsibility sharing and resource sharing. This paper analyzes the optimal decision-making behavior and interaction of suppliers, producers, physical retailers, online retailers, demand markets, and recyclers in the auto parts industry, constructs the economic and environmental objective functions of low-carbon supply chain management, applies variational inequality to analyze the optimal conditions of the whole low-carbon supply chain system, and finally carries out simulation calculation. The research shows that the upstream and downstream auto parts enterprises based on low-carbon competition and cooperation can effectively manage the carbon footprint of the whole supply chain through the sharing of responsibilities and resources among enterprises, so as to reduce the overall carbon emissions of the supply chain system.

Environmental Friendliness in Low Carbon Supply Chain and Operations

2021 ◽  
pp. 2421-2430
Author(s):  
Muhammad Shabir Shaharudin ◽  
Yudi Fernando
Keyword(s):  
Environmental Management ◽  
Supply Chain ◽  
Energy Management ◽  
Emission Reduction ◽  
Carbon Emission ◽  
Manufacturing Industry ◽  
Low Carbon ◽  
Environmental Friendliness ◽  
Carbon Supply ◽  
Business Operations

Managing operations in manufacturing industry has progressed significantly over the years due to customer requirements. Globalization and environmental awareness have force firm's operations to align with the direction of environmental management. The importance of carbon emission reduction for environmental management has led firms to adopt low carbon operations practices such as energy management. The emergence of energy management and environmental friendliness principle in business operations have changed the landscape of business competition in the manufacturing industry. Nevertheless, the outcomes and concept remain unclear and availability of limited studies on the specific scope of environmental friendliness have not extensively discussed. As such, the purpose of this chapter is to discuss the environmental friendliness approach in operations from the perspective of manufacturing industry.

scholarly journals Low Carbon Distribution Channel Coordination with a Capital-Constrained Retailer

2018 ◽  
Vol 2018 ◽  
pp. 1-13 ◽  
Author(s):  
Jun Wang ◽  
Xianxue Cheng ◽  
Shuhua Zhang
Keyword(s):  
Supply Chain ◽  
Distribution Channel ◽  
Carbon Price ◽  
Green Technology ◽  
Low Carbon ◽  
Order Quantity ◽  
Carbon Distribution ◽  
Supply Chain Efficiency ◽  
Reduce Emissions ◽  
The Government

Capital constraints exist in many supply chains. We examine a low carbon distribution channel that consists of a manufacturer and a retailer, in which the retailer is constrained by capital. The retailer can be financed by bank credit from a competitive bank market. A Stackelberg model is developed to analyze the integrated decision-making process of ordering, financing, and emission reduction. By comparing the decentralized and centralized channels, we obtain that the manufacturer’s green technology investment should be linearly proportional to the retailer’s order quantity in both channels. Thus, a large order quantity leads to increased efforts to reduce emissions. Results further show that the centralized channel in some cases has fewer emissions and can generate more profits for the whole supply chain compared with the decentralized channel. We therefore propose a revenue sharing contract with a function form to coordinate the distribution channel. When the government allocates appropriate quotas to the supply chain, high carbon price can benefit the environment and supply chain efficiency.

Design and Analysis of Supply Chain Networks with Low Carbon Emissions

2017 ◽  
Vol 52 (4) ◽  
pp. 1353-1374 ◽  
Author(s):  
Tsai-Chi Kuo ◽  
Ming-Lang Tseng ◽  
Hsiao-Min Chen ◽  
Ping-Shun Chen ◽  
Po-Chen Chang
Keyword(s):  
Supply Chain ◽  
Carbon Emissions ◽  
Low Carbon ◽  
Supply Chain Networks

scholarly journals A Decision-Making Model of Low-Carbon Supply Chain Based on Government Subsidy

2016 ◽  
Vol 11 (2) ◽  
pp. 221
Author(s):  
Xu Qi ◽  
Xiao Li-Jun
Keyword(s):  
Supply Chain ◽  
Carbon Emission ◽  
Positive Impact ◽  
Environmental Benefits ◽  
Fixed Cost ◽  
Government Subsidy ◽  
Low Carbon ◽  
Emission Abatement ◽  
Carbon Supply ◽  
The Government

In order to study the role of government subsidy in a low-carbon supply chain, a two-stage game model for the subsidy of low-carbon technology and the subsidy of recycling is built. And the optimized subsidy strategy under the two kinds of subsidy policies is obtained. This paper also studies the impacts of carbon emission abatement, subsidy and the factors of subsidy on the supply chain and the government, so as to compare the two kinds of subsidy strategy. This study shows that the coefficient of environmental benefits has a positive impact on the two kinds of subsidy. The subsidy can stimulate the carbon emission abatement, and the fixed cost has a negative impact on the will of the carbon emission abatement for the enterprises. Besides, the low-carbon preference of the consumers has a positive impact on the carbon emission abatement under the subsidy of low-carbon technology. Furthermore, the government under takes the main costs of the low-carbon technology under the subsidy of low-carbon technology. The environmental benefit also has a positive impact on the subsidy and profits of the government and the profits of the supply chain under the recycling subsidy. Both kinds of subsidy strategies can achieve supply chain coordination.

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