Sustainable Decision-Making Approach for Dual-Channel Manufacturing Systems under Space Constraints

P. Mala, M. Palanivel, S. Priyan, N. Anbazhagan, Srijana Acharya, Gyanendra Prasad Joshi and Joohan Ryoo
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P. Mala: Department of Mathematics, Kamaraj College of Engineering and Technology, Madurai 625701, India
M. Palanivel: Department of Mathematics, Mepco Schlenk Engineering College, Sivakasi 626005, India
S. Priyan: Faculty of Mathematics, Department of Information Technology & Engineering, Amity University, Tashkent 100028, Uzbekistan
N. Anbazhagan: Department of Mathematics, Alagappa University, Karaikudi 630003, India
Srijana Acharya: Department of Convergence Science, Kongju National University, Gongju 32588, Korea
Gyanendra Prasad Joshi: Department of Computer Science and Engineering, Sejong University, Seoul 05006, Korea
Joohan Ryoo: Division of International Studies, Hanyang University, Seoul 04763, Korea

Sustainability, 2021, vol. 13, issue 20, 1-22

Abstract: In response to the digital revolution, nowadays, many companies operate online and offline businesses in parallel to ensure their future competitiveness. This research examines the inventory strategy for multi-product vendor-buyer supply chain systems, considering space constraints and carbon emissions, in order to improve competence in managing online and offline integrated orders. We amalgamate costs and emissions in transport and storage. Here, we divide the warehouse of the buyer into two stages: one for satisfying online orders and the other for satisfying offline orders. We also assume that additional crashing costs reduce the lead times for receiving products in the buyer’s warehouse. This study demonstrates a mathematical model in the form of a constrained non-linear programme (NLP) and derives a Lagrangian multiplier method to solve it. An iterative solution procedure is designed in order to attain sustainable manufacturing decisions, which are illustrated numerically.

Keywords: dual-channel; space constraint; carbon emission; Lagrangian multiplier (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2021
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