A multi-objective fuzzy mathematical approach for sustainable reverse supply chain configuration

Abstract

Background: Designing and implementation of reverse logistics (RL) network which meets the sustainability targets have been a matter of emerging concern for the electronics companies in India. Objectives: The present study developed a two-phase model for configuration of sustainable RL network design for an Indian manufacturing company to manage its end-of-life and endof-use electronic products. The notable feature of the model was the evaluation of facilities under financial, environmental and social considerations and integration of the facility selection decisions with the network design. Method: In the first phase, an integrated Analytical Hierarchical Process Complex Proportional Assessment methodology was used for the evaluation of the alternative locations in terms of their degree of utility, which in turn was based on the three dimensions of sustainability. In the second phase, the RL network was configured as a bi-objective programming problem, and fuzzy optimisation approach was utilised for obtaining a properly efficient solution to the problem. Results: The compromised solution attained by the proposed fuzzy model demonstrated that the cost differential for choosing recovery facilities with better environmental and social performance was not significant; therefore, Indian manufacturers must not compromise on the sustainability aspects for facility location decisions. Conclusion: The results reaffirmed that the bi-objective fuzzy decision-making model can serve as a decision tool for the Indian manufacturers in designing a sustainable RL network. The multi-objective optimisation model captured a reasonable trade-off between the fuzzy goals of minimising the cost of the RL network and maximising the sustainable performance of the facilities chosen.

Keywords

• reverse logistics
• sustainability
• AHP
• COPRAS
• facility location
• fuzzy multi-objective programming