Genetic Local Search for Facility Location-Allocation Problem in Closed-Loop Supply Chains

<p style='text-indent:20px;'>This paper investigates decisions in a three-echelon closed-loop supply chain composed of one manufacturer, one retailer, and one third-party logistics provider (3PL), with the retailer being dominant. Inspired by game theory, we develop an equilibrium model for a retailer-led, closed-loop supply chain under logistics outsourcing. We derive the optimal forward and reverse logistics decisions of each supply chain member. This article analyzes the effects of market size, consumers' sensitivity to sales prices, the proportion of logistics costs, consumers' environmental awareness, and consumers' sensitivity to recycling prices on decision-making process. Finally, we provide a numerical example to verify the validity of our conclusions. Our results indicate that the higher the manufacturer's share in the forward logistics cost, the higher the sales price, the wholesale price, and the forward logistics service price, and the lower the order quantity. The higher the manufacturer's share in the reverse logistics costs, the lower the recycling price, the transfer price, and the recycling amount, and the higher the reverse logistics service price. Whether it is forward logistics or not, the higher the manufacturer's share in the logistics costs, the lower the profits of each member.</p>

PurposeThe purpose of this paper is to unveil the circular economy (CE) values with an ultimate goal to provide tenets in a format or structure that can potentially be used for designing a circular, closed-loop supply chain and reverse logistics.Design/methodology/approachThis is desk-based research whose data were collected from relevant publication databases and other scientific resources, using a wide range of keywords and phrases associated with CE, reverse logistics, product recovery and other relevant terms. There are five main steps in the reformulation of CE principles: literature filtering, literature analysis, thematic analysis, value definition and value mapping.FindingsIn total, 15 CE values have been identified according to their fundamental concepts, behaviours, characteristics and theories. The values are grouped into principles, intrinsic attributes and enablers. These values can be embedded into the design process of product recovery management, reverse logistics and closed-loop supply chain.Research limitations/implicationsThe paper contributes to the redefinition, identification and implementation of the CE values, as a basis for the transformation from a traditional to a more circular supply chain. The reformulation of the CE values will potentially affect the way supply chain and logistics systems considering the imperatives of circularity may be designed in the future.Originality/valueThe reformulation principles, intrinsic attributes and enablers of CE in this paper is considered innovative in terms of improving a better understanding of the notion of CE and how CE can be applied in the context of modern logistics and supply chain management.

Increasing environmental concerns require businesses to become more responsive to products that either have been returned or that are at the end of their useful lives. Organization's responsiveness and their reactions toward life cycles of products are critical to achieve sustained success once fluctuations are recurrent and the business environments are turbulent. Life cycles are getting shorter, and efficient handling can save large amounts of cash since many materials can be extracted, reused, and redistributed. Reverse Logistics (RL) and Closed Loop Supply Chains (CLSC) have garnered growing interest as a way to manage this reverse flow of products in a cost effective way. It is discernible that the degree of complexity in closed loop networks is usually higher than open networks. In a closed loop supply chain network, the attempt is to ensure a smooth flow of materials as well as extracting the maximum value from returning and end-of-life goods. Reduction of waste and generating profit for enterprises are two paramount achievements through integrating forward and reverse logistics. By considering various proposed conceptual models for CLSC, in this study at first we present a comprehensive applicable conceptual model. Then, we specifically focus on a CLSC network, which includes multiple plants, collection centers, demand markets, and products. To this aim, a generalized proposed mixed-integer linear programming model is presented that minimizes the total cost. The objective is to know how many, which production plants and Return Processors (Collection sites) should be open, which products, and in which quantities should have stuck. The goal of this model is to minimize the supply chain waste and reduce supply chain costs. In such a way, the supply chain system can be agile, integrated, robust, and lean. The proposed model can be extended to consider more environmental factors. Moreover, the efficacy and efficiency of that have been validated by case study and numerical example.

An integrated sustainable partner selection approach with closed-loop supply chain network configuration

The supply chain nowadays is more dynamic than before partly due to the information techniques and changes of consumer behaviors. This proposal analyzes the multiple objective optimization problems existing in the supply chain management, and the stochastic and dynamic circumstance of current supply chain. It presents a general overview of multi-objective optimization techniques, stochastic and dynamic programming. We attempt to apply these techniques to solve some optimization problems in supply chain, under changing environment. It can be a guideline of future research. There are mainly three parts of the proposal; the first is multiple objective optimization problems in the real supply chain management, and the stochastic and dynamic environment of the supply chain. The second part is the suggesting approaches dealing with multi-objective optimization problems and the stochastic, dynamic circumstance. The last part is attempting to apply these methods into a real case existing in the supply chain.

Over the course of the last decades, closed-loop supply chains (CLSC) and reverse logistics issues have attracted increasing attention owing to strict environmental laws, social responsibilities, economic interests, and customer awareness. Hence, the issue of closed-loop supply chain and reverse logistics has emerged as a field of research in the new era. This issue has received much attention because it allows recyclable products to return to their original cycle. Therefore, this study primarily intends to present a mathematical model for designing a supply chain network for recycled products. The multi-stage and multi-period objective function of the closed-loop supply chain is presented to meet that aim. In this chain, dismantling, recycling, and disposal centers are considered. The objective function is to reduce the total cost of the closed-loop supply chain. The results of optimizing the mathematical model demonstrate that this model has the necessary efficiency for use in recycled products.

Competitive channels coordination in a closed-loop supply chain based on energy-saving effort and cost-tariff contract

PurposeThis study research contributes in fulfilling the gap by carrying out a systematic literature review (SLR) of contemporary research studies in closed-loop supply chain (CLSC). To the best of the author’s knowledge, an SLR rooted in bibliometric analysis has not been carried focusing on advent developments in CLSC. SLR employs scientific methodologies to select papers from standard databases. The SLR using advanced bibliometric and network analysis enables unveiling the key features of the contemporary literature.Design/methodology/approachThe author has analyzed over 333 documents published from 2008 and onward. Using the contemporary tools from bibliometric analysis tools, the author presented an exploratory analysis. A network analysis is utilized to visualize literature and create clusters for the cocited research studies, keywords and publication sources. A detailed multivariate analysis of most influential works published based top 100 articles via a cocitation matrix is done. The multivariate analysis used k-means clustering in which optimal number of clusters are estimated. The analysis is further extended by using a factor analysis, which enables determining the most influential clusters in the k-means clustering analysis.FindingsThe SLR using a bibliometric and network analysis enables unveiling the key features of the contemporary literature in CLSC. The author examined published research for influential authors, sources, region, among other key aspects. Network analysis enabled visualizing the clusters of cocited research studies, cowords and publication sources. Cluster analysis of cocited research studies is further explored using k-means clustering. Factor analysis extends findings by identifying most contributing grouping of research areas within CLSC research. Each clustering technique disclosed a unique grouping structure.Originality/valueCLSC has received considerable attention, and its core areas start with focusing on reverse logistics concepts relating reuse, recycling, remanufacturing, among others. Contemporarily, the studies have enhanced reverse logistics core functionalities interfaced with the other interesting avenues related to CO2 emission reduction, greening and environmental protection, sustainability, product design and governmental policies. Earlier studies have presented a literature review of CLSC; however, these reviews are commonly conducted in the traditional manner where the authors select papers based on their area of expertise, interest and experience. As such these reviews fall short in utilizing the advanced tools from bibliometric analysis.

The ability of closed-loop supply chains (CLSC) and reverse logistics (RL) to improve the triple bottom line (economic, social and environmental values) has increased the development of design and management models for CLSCs and RL. Consequently, there exists an extensive body of literature dedicated to exploring these supply and logistics issues. This paper reviews recent and relevant literature on CLSC and RL with an emphasis on uncertainty, carbon emissions, greenness index, return product quality and reliability considerations. The selected references are organized, reviewed, and analyzed to establish valuable mapping to highlight major findings. Finally, the outcomes are synthesized, and the primary research gaps are emphasized, pointing toward potential avenues for future investigation. These findings reveal that research efforts must be directed towards the development of multi-criteria greenness indices and multi-objective robust optimization models for uncertain quality and reliability of returns.

The ever-increasing concerns of the growth in the volume of waste tires, reduction in natural resources and new strict government legislations to reduce the environmental impact of the end-of-life (EOL) tires have increased interest among companies to design a sustainable and efficient closed-loop supply-chain (CLSC) network. A CLSC is a network with a holistic view of the entire forward and reverse logistic system with the aim of transferring the EOL products up the stream from the end users for value recovery such as reuse, repair, remanufacturing, or recycling.There are many factors that are considered when designing a closed-loop supply-chain network, such as uncertainty in the parameters, costs, environmental impacts, social dimensions, governmental regulations, domestic and international competition, disruption and operational risks, reliability of the network, technological advancements, etc. In the real world, the CLSC network design is subject to a variety of uncertainties which can be random and fuzzy. Designing a reliable and environmentally conscious CLSC which considers the risks and uncertainties of the parameters in the network is necessary for a successful supply-chain network. The government regulations could have a significant impact on the supply chain network design, its management and the long/short-term investment decisions. Ever-changing restrictions, mandates and tax policies can affect corporation's competitive advantage, market share, and operational costs. Tariffs and caps imposed on imported goods, intended to limit the volume of imports, protect domestic employment and reduce competition among domestic industries. One of the challenges facing the recovery of EOL products is the uncertainty associated with the conditions of the EOL products after being returned. Designing intelligent products that can collect valuable information during their life cycles is something that has been studied in the past decade. This information can be used to extend the life span of the products and improve the value recovery of EOL products. In this dissertation, we take a closer look at the challenges facing the tire industry and obtain a solution that creates a win-win situation for companies in the tire network as well as the environment. We evaluate the available recovery options for EOL tires, identify the uncertain parameters in the logistics network and find the solution for dealing with these uncertainties using robust modeling for the logistics network. In the first model, we introduce a robust multi-objective, multi-product, multi-echelon, multi-cycle, multi-capacity, green closed-loop supply-chain network under hybrid uncertainty with the objective of reducing costs, reducing environmental impacts, and increasing the social responsibilities and the reliability of the network. Second, we study the impact of tariffs and government regulations on the profitability of the network. Third, we evaluate the impact of using sensor embedded tires on the design of CLSC network. The analysis is done using a novel Robust Fuzzy/ Possibilistic Stochastics Programming (RFSP) model that controls scenario-based uncertainty (disruption risks) and fuzzy-based uncertainty (operational risks) in the network simultaneously and provides more reliable results for the managers and the decision makers. We evaluate the possibility and feasibility of expanding the existing forward logistic network at different capacity levels to cope with the market demand under various scenarios as well as the feasibility of establishing a new reverse logistic network at different capacity levels to cope with the return rate of EOL tires. A case example is considered to illustrate the implementations and validation of the proposed models. --Author's abstract

The Construction of Decision Model of Multi-channel Closed-loop Supply Chain Based on Big Data

PurposeThis paper presents a systematic literature review of the various aspects of reverse logistics (RL) and closed-loop supply chains (CLSC) in implementing and achieving circular economy (CE) motives. CE is identified as a method of embracing imperishability into the economic structure, helping shift from a linear to a condition leading to ecological and social benefits.Design/methodology/approachSystematic literature was used to review a total of 80 peer-reviewed articles are included in the study and covers different concepts related to the implementation of CE, such as cost-saving, network design, sustainable RL, waste management and extended producer responsibility.FindingsThe findings reveal that the research in the domain is in a growing phase, and in recent years, a lot of attention has been given by researchers across the globe. However, further research is required in crucial areas for the adoption of CE, such as retail reverse logistics, pharmaceutical industries and resource recycling industry.Practical implicationsThe study discusses the business needs and solutions for industries. Key enablers and barriers are listed along with the main activities involved in each sector in CLSC. Managers can design a pathway to decide which lever to use to overcome a particular challenge.Originality/valueThe work contributes theoretically by developing research themes in RL and CLSC practices applied to CE. It also provides theoretical and practical implications of the study, which can be used as a signboard for further research.

Closed-loop supply chains: What reverse logistics factors influence performance?

15 - Modified neutrosophic fuzzy optimization model for optimal closed-loop supply chain management under uncertainty

Global warming and e-waste pollution are two major environmental pollution issues that have attracted widespread attention. The government has adopted various measures to reduce carbon emissions from businesses and to make manufacturers responsible for recycling e-waste. In the face of external pressures, more and more companies are implementing sustainable closed-loop supply chain (CLSC) management to reduce environmental pollution and achieve sustainable development. Therefore, it is essential to study the operational decisions of CLSC enterprises. This paper considers a sustainable CLSC consisting of two competing manufacturers and a dominant retailer. The government imposes a carbon tax on the retailer, and two manufacturers collect used products directly from their customers. We separately examine whether implementing green marketing by the retailer and the collaboration between the two manufacturers can improve their profits. By building decentralized CLSC mathematical models and applying game theory methods, we obtain that green marketing can increase profits for all CLSC members and improve return rates. The collaboration may yield higher total profits for two manufacturers than a decentralized solution, while the retailer’s profits may be lost under certain conditions. Finally, we perform several numerical analyses to find the relationship between unit carbon emission tax and social welfare and gain some managerial insights. The study gives key factors that CLSC companies should consider when making decisions to help them achieve sustainability and provides recommendations for the government to set a reasonable unit carbon tax.