Multi-Objective Modeling of Financial Provision and Expenses in Sustainable Supply Chains and the Study Effects of Financial Ratios

Abstract

In this research, a multi-objective model is presented for the optimization of financial flows in a sustainable supply chain closedloop. The objectives of this model include maximizing profits, minimizing environmental and social impacts, and maximizing financial ratios. The supply chain used in this research is the supply chain of production and recycling of polymer parts. As for modeling and optimization, the memetic hybrid meta-heuristic algorithm has been used. The memetic algorithm is an algorithm that is obtained by combining a genetic algorithm and a refrigeration simulation algorithm. The proposed model includes production planning, distribution, and waste collection, and is designed for multi-period and multi-product. The financial analysis parameters of the model include the current ratio, the debt-to-equity ratio, the net profit margin, the cash ratio, and the rate of return on investment. The analysis of the results shows that consideration of financial goals and indicators will lead to improved profitability. The findings also indicate that the firms can enhance their economic value through better legitimacy stemming from adopting social responsibilities and environmental concerns.

Keywords

• memetic algorithm
• optimization of financial flows
• supply chain
• mathematical modeling
• financial ratios.