A scenario-based sustainable dual-channel closed-loop supply chain design with pickup and delivery considering social conditions in a natural disaster under uncertainty: a real-life case study

Mahsa Taherifar (), Negin Hasani (), Mahsa Zokaee (), Amir Aghsami () and Fariborz Jolai ()
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Mahsa Taherifar: University of Tehran
Negin Hasani: University of Tehran
Mahsa Zokaee: University of Tehran
Amir Aghsami: University of Tehran
Fariborz Jolai: University of Tehran

Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, 2024, vol. 26, issue 8, No 15, 19443-19490

Abstract: Abstract In the context of the COVID-19 pandemic, utilizing the potential of online markets to sell products has become increasingly important for creating competitive advantages and ensuring the growth and survival of businesses. The pandemic has disrupted traditional business practices, and with social distancing measures in place, consumers have turned to online channels to meet their needs. As a result, businesses that have adapted quickly to online markets have been able to maintain their customer base and revenue streams. Thus, considering the potential of online markets is of utmost importance in the current pandemic situation. In this regard, the present research aims to provide a practical framework for creating a green and sustainable closed-loop supply chain network (SCLSCN), including the integration of online markets, to assist managers in making decisions that support economic, environmental, and social goals. Accordingly, a multi-objective mixed integer linear programming (MOMILP) optimization model was designed under uncertain demand and disruption caused by natural disasters in Iran's home appliance industry. The study also considered changes in the capacities of online and marketplace sales channels, revealing a significant reduction in costs at each stage. The results show that the increase in demand has a direct impact on the production level, warehousing, and transportation costs, leading to social impacts on the model. However, the current system cannot handle an increase in demand of more than 20%, requiring managers to make decisions to increase production capacity or build new factories. Thus, the study highlights the importance of considering online markets as a means to adapt to disruptions caused by the pandemic and maintain a competitive edge.

Keywords: Sustainable closed-loop supply chain; Location-allocation problem; Augmented ε-constraint method; Online market; Uncertain demand; Disruption (search for similar items in EconPapers)
Date: 2024
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DOI: 10.1007/s10668-023-03421-8

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