A Joint Production and Maintenance Optimization of Closed-Loop Production System under Carbon Emission with a Switching Subcontractor Consideration

Abstract

This study outlines a new forecasting problem of closed-loop production system under environmental aspect by proposing a new solution based on subcontracting. By studying the impact of the carbon tax on decision-making of production optimization, we propose an original economic production and maintenance strategies to minimize the total cost. Additionally, to reduce the total quantity of carbon and its tax, the subcontractor has a role to help either manufacturing or remanufacturing unit during the process of production. Indeed, the principle objectives are to determine the economic production plans for manufacturing, remanufacturing and subcontracting units as well as the optimal maintenance planning characterized by the optimal number of preventive maintenance actions for manufacturing unit, minimizing the total cost of production, inventory, carbon penalty and maintenance.

Keywords

• optimization
• production
• maintenance
• carbon taxes
• subcontractor
• failure rate