An environmental decision support system for manufacturer-retailer within a closed-loop supply chain management using remanufacturing

Abstract

Industries face many challenges when emergencies arise. In emergency, there is an increasing demand for self-administered products that are easy to use. The decay rate of these products decreases with time. Moreover, the lack of disposal of used products increases waste and carbon emissions. By observing the scenario, this study develops a closed-loop supply chain management that considers the collection and remanufacturing of used products. The manufacturing rate is linear and the demand is ramp-type and carbon emissions dependent. The model is solved by a classical optimization and calculates the optimal total cost. The results show that the retailer can handle a shortage situation when the demand becomes stable (Case 2) and the total cost increases with the production rate. A sensitivity analysis shows the changes in the total cost with respect to the parameters.

Keywords

• supply chain management
• cost and cost analysis
• decision making
• reverse logistics
• emission reduction