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Environmentally conscious optimization of supply chain networks

Author

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  • T Paksoy

    (Selcuk University, Department of Industrial Engineering Konya, Turkey)

  • E Özceylan

    (Selcuk University, Department of Industrial Engineering Konya, Turkey)

Abstract

The optimization of supply chain structures considering both economic and environmental performances is nowadays an important research topic. However, enterprises are commonly faced with the competing issues of reduced cost, improved customer service and increased environmental factors as a multi-faceted trade-off problem when designing supply chains. Hence, this paper proposes an environmentally conscious optimization model of a supply chain network with a broader and more comprehensive objective function that considers not just the transportation costs, but also the costs for the amount of greenhouse gas emissions, fuel consumption, transportation times, noise and road roughness. The paper sheds light on the trade-offs between various parameters such as vehicle speed, fuel, time, emissions, noise and their total cost, and offers managerial insights on economies of environmentally conscious supply chain optimization. An integer non-linear programming model is developed to help decision makers find the optimal solution under mentioned considerations. The proposed model is validated through the solution of an example, where its applicability to supply chain problems is demonstrated for managerial insights.

Suggested Citation

  • T Paksoy & E Özceylan, 2014. "Environmentally conscious optimization of supply chain networks," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 65(6), pages 855-872, June.
    • Handle: RePEc:pal:jorsoc:v:65:y:2014:i:6:p:855-872
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    Citations

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    Cited by:

    1. Thomas Hacardiaux & Jean-Sébastien Tancrez, 2020. "Assessing the environmental benefits of horizontal cooperation using a location-inventory model," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 28(4), pages 1363-1387, December.
    2. Erfan Babaee Tirkolaee & Zahra Dashtian & Gerhard-Wilhelm Weber & Hana Tomaskova & Mehdi Soltani & Nasim Sadat Mousavi, 2021. "An Integrated Decision-Making Approach for Green Supplier Selection in an Agri-Food Supply Chain: Threshold of Robustness Worthiness," Mathematics, MDPI, vol. 9(11), pages 1-30, June.
    3. Waltho, Cynthia & Elhedhli, Samir & Gzara, Fatma, 2019. "Green supply chain network design: A review focused on policy adoption and emission quantification," International Journal of Production Economics, Elsevier, vol. 208(C), pages 305-318.
    4. Ma, Junhai & Hou, Yaming & Wang, Zongxian & Yang, Wenhui, 2021. "Pricing strategy and coordination of automobile manufacturers based on government intervention and carbon emission reduction," Energy Policy, Elsevier, vol. 148(PA).
    5. De, Arijit & Choudhary, Alok & Turkay, Metin & Tiwari, Manoj K., 2021. "Bunkering policies for a fuel bunker management problem for liner shipping networks," European Journal of Operational Research, Elsevier, vol. 289(3), pages 927-939.
    6. Merriam Haffar & Cory Searcy, 2017. "Classification of Trade-offs Encountered in the Practice of Corporate Sustainability," Journal of Business Ethics, Springer, vol. 140(3), pages 495-522, February.
    7. Lin, Xiaogang & Chen, Danna & Zhou, Yong-Wu & Lin, Qiang, 2022. "Horizontal mergers in low carbon manufacturing," European Journal of Operational Research, Elsevier, vol. 297(1), pages 359-368.
    8. Shen, Jiayu, 2020. "An environmental supply chain network under uncertainty," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 542(C).

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