A decision-tree-based study of the effect of the objective structure of the supply chain members on their sustainability-related behaviour

Mario Luis Chew Hernández, Verónica Velázquez Romero, Rogel Fernando Retes Mantilla and Leopoldo Viveros Rosas

International Journal of Business and Systems Research, 2017, vol. 11, issue 4, 393-416

Abstract: The recent emphasis on sustainability has forced supply chain (SC) management research to include social and environmental aspects. When modelling multi-criteria decisions, an analysis should be made on why the stakeholder cares about the objectives, as they can be inherently important (fundamental) or foment other objectives (means). The classification of objectives into fundamental and means, and the relations between one another define an 'objective structure'. This work discusses different relations that can arise between the sustainability and economic objectives of the SC members and their representation by influence diagrams, utility functions and probabilities. Then, decision trees are used to predict how the decisions of the SC members are affected by their view of sustainability as a fundamental or means objective. This approach can be useful for regulating agencies dealing with real supply chains, as it can be used to predict the performance of incentives for 'sustainability friendly' behaviour.

Keywords: decision analysis; sustainability; supply chain management; value-focused thinking; multi-criteria decision making. (search for similar items in EconPapers)
Date: 2017
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Persistent link: https://EconPapers.repec.org/RePEc:ids:ijbsre:v:11:y:2017:i:4:p:393-416

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