Capacitated Sustainable Resilient Closed-Loop Supply Chain Network Design: A Heuristics Algorithm

Document Type : Research Paper

Authors

1 School of Industrial Engineering, College of Engineering, University of Tehran, Tehran, Iran.

2 Department of Industrial Engineering, Yazd University, Yazd, Iran

Abstract

Consideration of environmental and social issues in addition to economic ones is a critical strategy that companies pay special attention to designing their supply chain. A resilient system prevents organizations from being surprised by catastrophic disruptions and critical conditions and eliminates high unwanted costs. In this study, a mixed-integer mathematical programming model is proposed to design a sustainable and resilient closed-loop supply chain network. Since suppliers are the most important external players, the slightest probability of disruptions can have a significant impact on chain performance. Accordingly, applying efficient strategies can be very helpful for coping with them. Also, because of the uncertain nature of some input parameters, the P-robust optimization method has been used to tackle them. An efficient algorithm has been carried out beside a heuristic method based on the strategic variables relaxation to solve the model. A case study of a lighting projectors industry has been conducted to evaluate the efficiency of the proposed approach. Finally, sensitivity analysis is performed on critical parameters of the problem. By solving the example, it is seen that 3 primary suppliers and 3 backups are selection, and 3 production centers, 2 collection centers and 1 repair, recycling and disposal centers have been established. The value of the economic objective function is equal to 565.857552 monetary units (MU). The CL-SCN environmental score is 658.07, while it is 608.93 in the social dimension. Eventually, the value of the final multi-objective function is equal to 0.658.

Keywords

References

 
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Advances in Industrial Engineering
Volume 55, Issue 4
October 2021
Pages 447-479

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