IDEAS home Printed from https://ideas.repec.org/a/spr/endesu/v24y2022i5d10.1007_s10668-021-01713-5.html
   My bibliography  Save this article

Multi-objective mixed-integer linear optimization model for sustainable closed-loop supply chain network: a case study on remanufacturing steering column

Author

Listed:
  • Sonu Rajak

    (National Institute of Technology, NIT-Patna)

  • K. E. K. Vimal

    (National Institute of Technology, NIT-Patna)

  • Sricharan Arumugam

    (Vellore Institute of Technology)

  • Jagadesan Parthiban

    (Vellore Institute of Technology)

  • Swesh Kannan Sivaraman

    (Vellore Institute of Technology)

  • Jayakrishna Kandasamy

    (Vellore Institute of Technology)

  • Angel Acevedo Duque

    (Universidad Autonoma de Chile)

Abstract

Industrialization has caused dire consumption of resources and has already caused acute damage to the environment. Due to stringent environmental regulations, organizations are enforced to adopt sustainability strategies such as reuse, repair, reduce, and remanufacturing. To remanufacture products, manufacturing organizations have to transform their supply chains to be closed or circular. In this study, a mathematical model is formulated to transform a traditional linear supply chain into a closed-loop supply chain (CLSC) for an organization located in India. It is accomplished by incorporating remanufacturing with reverse logistics into the supply chain to achieve sustainability thereby satisfying the sustainable development goals (SDGs). A multi-objective mixed-integer linear programming approach was used to formulate the model to optimize the supply chain to improve the operations of manufacturing, recycling, repair, and disposal to minimize the environmental effects and to maximize the net profit of the product. The GAMS optimization software was used to solve the model, and sensitivity analysis was carried out to validate the robustness of the proposed network. The result states that the organization can make profits by adopting the SDGs. Industry can optimize the number of parts to be repaired, dismantled, recycled, and determine the supplier's optimum quantity of parts purchase. Lack of awareness on the potential of sustainable CLSCs is hindering its acceptance in the economy. The proper use of the proposed model not only helps the organization to maximize profit but also minimizes the environmental impact by attaining sustainability. This study is helpful for organizations that are eco-conscious and are willing to balance economic profit and environmental well-being by adopting sustainability in CLSCs.

Suggested Citation

  • Sonu Rajak & K. E. K. Vimal & Sricharan Arumugam & Jagadesan Parthiban & Swesh Kannan Sivaraman & Jayakrishna Kandasamy & Angel Acevedo Duque, 2022. "Multi-objective mixed-integer linear optimization model for sustainable closed-loop supply chain network: a case study on remanufacturing steering column," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 24(5), pages 6481-6507, May.
    • Handle: RePEc:spr:endesu:v:24:y:2022:i:5:d:10.1007_s10668-021-01713-5
    DOI: 10.1007/s10668-021-01713-5
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10668-021-01713-5
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s10668-021-01713-5?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Gold, Stefan & Schleper, Martin C., 2017. "A pathway towards true sustainability: A recognition foundation of sustainable supply chain management," European Management Journal, Elsevier, vol. 35(4), pages 425-429.
    2. Simonov Kusi-Sarpong & Himanshu Gupta & Joseph Sarkis, 2019. "A supply chain sustainability innovation framework and evaluation methodology," International Journal of Production Research, Taylor & Francis Journals, vol. 57(7), pages 1990-2008, April.
    3. Mowmita Mishra & Soumya Kanti Hota & Santanu Kumar Ghosh & Biswajit Sarkar, 2020. "Controlling Waste and Carbon Emission for a Sustainable Closed-Loop Supply Chain Management under a Cap-and-Trade Strategy," Mathematics, MDPI, vol. 8(4), pages 1-24, March.
    4. Yong Wang & Shouguo Peng & Kevin Assogba & Yong Liu & Haizhong Wang & Maozeng Xu & Yinhai Wang, 2018. "Implementation of Cooperation for Recycling Vehicle Routing Optimization in Two-Echelon Reverse Logistics Networks," Sustainability, MDPI, vol. 10(5), pages 1-27, April.
    5. Shankar, Ravi & Bhattacharyya, Shisam & Choudhary, Alok, 2018. "A decision model for a strategic closed-loop supply chain to reclaim End-of-Life Vehicles," International Journal of Production Economics, Elsevier, vol. 195(C), pages 273-286.
    6. Manavalan Ethirajan & Thanigai Arasu M & Jayakrishna Kandasamy & Vimal K.E.K & Simon Peter Nadeem & Anil Kumar, 2021. "Analysing the risks of adopting circular economy initiatives in manufacturing supply chains," Business Strategy and the Environment, Wiley Blackwell, vol. 30(1), pages 204-236, January.
    7. Zhou, Yu & Xiong, Yu & Jin, Minyue, 2021. "Less is more: Consumer education in a closed-loop supply chain with remanufacturing," Omega, Elsevier, vol. 101(C).
    8. Aymen Sajjad & Gabriel Eweje & David Tappin, 2020. "Managerial perspectives on drivers for and barriers to sustainable supply chain management implementation: Evidence from New Zealand," Business Strategy and the Environment, Wiley Blackwell, vol. 29(2), pages 592-604, February.
    9. Wu, Xiaole & Zhou, Yu, 2019. "Buyer-specific versus uniform pricing in a closed-loop supply chain with third-party remanufacturing," European Journal of Operational Research, Elsevier, vol. 273(2), pages 548-560.
    10. Sonu Rajak & P. Parthiban & R. Dhanalakshmi, 2018. "Selection of Transportation Channels in Closed-Loop Supply Chain Using Meta-Heuristic Algorithm," International Journal of Information Systems and Supply Chain Management (IJISSCM), IGI Global, vol. 11(3), pages 64-86, July.
    11. Jyoti Dhingra Darbari & Devika Kannan & Vernika Agarwal & P. C. Jha, 2019. "Fuzzy criteria programming approach for optimising the TBL performance of closed loop supply chain network design problem," Annals of Operations Research, Springer, vol. 273(1), pages 693-738, February.
    12. Dominguez, Roberto & Cannella, Salvatore & Ponte, Borja & Framinan, Jose M., 2020. "On the dynamics of closed-loop supply chains under remanufacturing lead time variability," Omega, Elsevier, vol. 97(C).
    13. Haddadsisakht, Ali & Ryan, Sarah M., 2018. "Closed-loop supply chain network design with multiple transportation modes under stochastic demand and uncertain carbon tax," International Journal of Production Economics, Elsevier, vol. 195(C), pages 118-131.
    14. Jauhari, Wakhid Ahmad & Adam, Niimas Ayu Frensilia Putri & Rosyidi, Cucuk Nur & Pujawan, I Nyoman & Shah, Nita H., 2020. "A closed-loop supply chain model with rework, waste disposal, and carbon emissions," Operations Research Perspectives, Elsevier, vol. 7(C).
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. K. E. K. Vimal & Mohammed Faaz Shaikh & Ananya Pranay Chouhan & Jayakrishna Kandasamy, 2024. "Developing a framework for achieving optimal sustainability and resilience in circular sharing network," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 26(7), pages 18267-18295, July.
    2. Yong Chen & Zhengjie Wu & Wenchao Yi & Bingjia Wang & Jianhua Yao & Zhi Pei & Jiaoliao Chen, 2022. "Bibliometric Method for Manufacturing Servitization: A Review and Future Research Directions," Sustainability, MDPI, vol. 14(14), pages 1-26, July.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Luttiely Santos Oliveira & Ricardo Luiz Machado, 2021. "Application of optimization methods in the closed-loop supply chain: a literature review," Journal of Combinatorial Optimization, Springer, vol. 41(2), pages 357-400, February.
    2. Filippi, Maryline & Chapdaniel, Alain, 2020. "Sustainable demand-supply chain: an innovative approach for improving sustainability in agrifood chains," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 24(2), March.
    3. Kannan Govindan, 2022. "Tunneling the barriers of blockchain technology in remanufacturing for achieving sustainable development goals: A circular manufacturing perspective," Business Strategy and the Environment, Wiley Blackwell, vol. 31(8), pages 3769-3785, December.
    4. De Lima, Felipe Alexandre & Seuring, Stefan, 2023. "A Delphi study examining risk and uncertainty management in circular supply chains," International Journal of Production Economics, Elsevier, vol. 258(C).
    5. Jin, Minyue & Li, Baoyong & Xiong, Yu & Chakraborty, Ratula & Zhou, Yu, 2023. "Implications of coproduction technology on waste management: Who can benefit from the coproduct made of leftover materials?," European Journal of Operational Research, Elsevier, vol. 307(3), pages 1248-1259.
    6. Simonetto, Marco & Sgarbossa, Fabio & Battini, Daria & Govindan, Kannan, 2022. "Closed loop supply chains 4.0: From risks to benefits through advanced technologies. A literature review and research agenda," International Journal of Production Economics, Elsevier, vol. 253(C).
    7. Niu, Baozhuang & Bao, Jinxiao & Cao, Bin, 2022. "Retailer's make-or-buy decision for remanufactured products under in-house yield uncertainty," Omega, Elsevier, vol. 110(C).
    8. Yan Zhou & Xin-Tong Lin & Zhi-Ping Fan & Kar-Hung Wong, 2022. "Remanufacturing Strategy Choice of a Closed-Loop Supply Chain Network Considering Carbon Emission Trading, Green Innovation, and Green Consumers," IJERPH, MDPI, vol. 19(11), pages 1-42, June.
    9. Liu, Wenjie & Liu, Wei & Shen, Ningning & Xu, Zhitao & Xie, Naiming & Chen, Jian & Zhou, Huiyu, 2022. "Pricing and collection decisions of a closed-loop supply chain with fuzzy demand," International Journal of Production Economics, Elsevier, vol. 245(C).
    10. Patricia van Loon & Luk N. Van Wassenhove & Ales Mihelic, 2022. "Designing a circular business strategy: 7 years of evolution at a large washing machine manufacturer," Business Strategy and the Environment, Wiley Blackwell, vol. 31(3), pages 1030-1041, March.
    11. Zhanwei Tian & Guoqing Zhang, 2021. "Multi-echelon fulfillment warehouse rent and production allocation for online direct selling," Annals of Operations Research, Springer, vol. 304(1), pages 427-451, September.
    12. Broccardo, Laura & Vola, Paola & Zicari, Adrian & Alshibani, Safiya Mukhtar, 2023. "Contingency-based analysis of the drivers and obstacles to a successful sustainable business model: Seeking the uncaptured value," Technological Forecasting and Social Change, Elsevier, vol. 191(C).
    13. Marcela Marçal Alves Pinto & João Luiz Kovaleski & Rui Tadashi Yoshino & Regina Negri Pagani, 2019. "Knowledge and Technology Transfer Influencing the Process of Innovation in Green Supply Chain Management: A Multicriteria Model Based on the DEMATEL Method," Sustainability, MDPI, vol. 11(12), pages 1-33, June.
    14. Wanke, Peter Fernandes & Chiappetta Jabbour, Charbel José & Moreira Antunes, Jorge Junio & Lopes de Sousa Jabbour, Ana Beatriz & Roubaud, David & Sobreiro, Vinicius Amorim & Santibanez Gonzalez‬, Erne, 2021. "An original information entropy-based quantitative evaluation model for low-carbon operations in an emerging market," International Journal of Production Economics, Elsevier, vol. 234(C).
    15. Yang, Yuxiang & Goodarzi, Shadi & Jabbarzadeh, Armin & Fahimnia, Behnam, 2022. "In-house production and outsourcing under different emissions reduction regulations: An equilibrium decision model for global supply chains," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 157(C).
    16. Belhadi, Amine & Venkatesh, Mani & Kamble, Sachin & Abedin, Mohammad Zoynul, 2024. "Data-driven digital transformation for supply chain carbon neutrality: Insights from cross-sector supply chain," International Journal of Production Economics, Elsevier, vol. 270(C).
    17. Pazoki, Mostafa & Samarghandi, Hamed, 2020. "Take-back regulation: Remanufacturing or Eco-design?," International Journal of Production Economics, Elsevier, vol. 227(C).
    18. Ahmad, Farhan & Bask, Anu & Laari, Sini & Robinson, Craig V., 2023. "Business management perspectives on the circular economy: Present state and future directions," Technological Forecasting and Social Change, Elsevier, vol. 187(C).
    19. Xianliang Shi & Genzhu Li & Ciwei Dong & Yefei Yang, 2020. "Value Co-Creation Behavior in Green Supply Chains: An Empirical Study," Energies, MDPI, vol. 13(15), pages 1-26, July.
    20. Yanfen Mu & Feng Niu, 2022. "To Be or Not to Be? Strategic Analysis of Carbon Tax Guiding Manufacturers to Choose Low-Carbon Technology," Sustainability, MDPI, vol. 14(22), pages 1-16, November.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:endesu:v:24:y:2022:i:5:d:10.1007_s10668-021-01713-5. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.