Integrating economic and environmental performance for achieving sustainable dairy supply chains

Hassan Qudrat-Ullah () and Mohammad Shamsuddoha ()

Chapter 2 in System Dynamics for Sustainable Agriculture and Resilient Supply Chains, 2025, pp 18-42 from Edward Elgar Publishing

Abstract: When managing sustainable dairy farming operations, it is essential to consider both economic and environmental variables to achieve an appropriate compromise between maintaining profitability and being environmentally responsible. Current challenges include high expenses for environmentally friendly technologies and organizing the activities of numerous stakeholders connected to the dairy supply chain. In order to operate a sustainable dairy farming process and its supply chain, this study examines how challenging it is to achieve economic and environmental objectives. This chapter uses system dynamics to investigate and qualitatively examine the existing and futuristic process for Bangladeshi dairy farms. A proactive strategy considering economic and environmental sustainability is required to manage the dairy supply chain well. The system dynamics (SD) method uses feedback loops and behavioral delays to understand complex systems. The study uses a case study technique to examine the possible three scenarios based on a causal model to find optimal solutions. The solutions use innovative technology, renewable sub-processes, and waste management to enrich the farms’ financial strength. Finally, this research facilitates understanding environmental and economic objectives more effectively, benefiting policymakers, business owners, and customers who desire to implement environmentally friendly techniques.

Keywords: Sustainable dairy; Economic performance; Environmental performance; System dynamics; Green technologies; Waste management; Renewable energy; Circular economy; Greenhouse emissions; Supply chain optimization; Financial viability (search for similar items in EconPapers)
Date: 2025
ISBN: 9781035357321
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