Mathematical model for multi-echelon, multi-product, single time-period closed loop supply chain

P. Subramanian, N. Ramkumar and T.T. Narendran

International Journal of Business Performance and Supply Chain Modelling, 2010, vol. 2, issue 3/4, 216-236

Abstract: Closed-loop supply chain (CLSC) management becomes relevant today in the context of environmental degradation. This paper addresses the problem from a typical business perspective and seeks to minimise the total supply chain costs. Most of the CLSC models examined in the current literature are case-specific. In this study, the integration of forward and reverse logistics is investigated. A generalised multi-echelon, single time-period, multi-product, closed loop supply chain is formulated as an integer linear programme (ILP). This model is intended to aid decision-making on issues such as material procurement, production, distribution, recycling and disposal of end-of-life (EOL) items. It also helps in the selection of locations of number of manufacturers, of distribution centres, of disposal sites and of recycling plants with the respective operation units and demand.

Keywords: closed-loop supply chains; reverse logistics; integer linear programmes; mathematical models; multi-echelon supply chains; multi-product supply chains; single time-period supply chains; environmental degradation; cost minimisation; forward logistics; integration; decision making; material procurement; raw materials; distribution; environment; product disposal; end-of-life; EOL; factory locations; distribution centres; disposal sites; recycling plants; operation units; business performance; SCM; supply chain management; simulation; manufacturing industry; service industries. (search for similar items in EconPapers)
Date: 2010
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