Carbon emissions and energy effects on a two-level manufacturer-retailer closed-loop supply chain model with remanufacturing subject to different coordination mechanisms

Ehab Bazan, Mohamad Y. Jaber and Simone Zanoni

International Journal of Production Economics, 2017, vol. 183, issue PB, 394-408

Abstract: This paper presents two models (classical and VMI-CS coordination) for a two-level closed-loop supply chain with a manufacturer and a retailer with a facility to remanufacture used items. The paper considers three critical environmental issues, which are the energy used in production (manufacturing and remanufacturing) processes, GHG emissions from production and transportation activities (subject to a penalty tax), and the number of times to remanufacture (recover) a used item. Numerical results show that the traditional optimization approach, which minimises the sum of inventory related costs, suggested less remanufacturing, fewer recovery times and more GHG emissions and energy usage; a result of operating at high production rates. The VMI-CS model was shown to be more economical than the classical model for a wide range of manufacturing rates, but not necessarily a more environmentally responsible choice. An extensive numerical analysis was conducted to enrich the discussion and to draw some managerial insights on how to make environmentally conscious decisions.

Keywords: Closed-loop supply chains; Green supply chains; Greenhouse gas emissions; Carbon emissions; Remanufacturing; Energy (search for similar items in EconPapers)
Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (46)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0925527316301542
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:proeco:v:183:y:2017:i:pb:p:394-408

DOI: 10.1016/j.ijpe.2016.07.009

Access Statistics for this article

International Journal of Production Economics is currently edited by Stefan Minner

More articles in International Journal of Production Economics from Elsevier
Bibliographic data for series maintained by Catherine Liu ().