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Wednesday 10 Mar 2021A closed-loop green supply chain network (CLGSC) model with CO2 Emission Consideration: A matheuristic approach

Martino Luis - University of Exeter, Engineering Management

Zoom 14:00-15:00

Traditional closed-loop supply chain designs concentrate on minimising the total cost of the supply chain and its reverse logistics network. As the environmental consciousness of the public is growing, many organisations have started embracing an eco-friendly framework into their logistics network. This study models a sustainable model for closed-loop green supply chain network (CLGSC) to minimise the cost elements of reverse logistics network and concurrently to reduce CO2 emission. These two objectives are well-known conflicts in practice. A bi-objective mixed integer non-linear programming model is designed to deal with this problem. The model aims to find the number and location of distribution centres and recycling centres with their respective capacities. The proposed model also determines the transportation options used by manufacturers, selected distribution and recycling centres together with their corresponding product flows within the CLGSC network. To address the problem, a matheuristic solution framework is put forward. To illustrate the proposed solution method, an example based on the UK map is presented. A set of dataset instances is also constructed to assess the performance of the proposed matheuristic. In terms of solution quality as well as computational effort, the proposed matheuristic performs better than the exact solutions obtained by a commercial software. Some future potential research directions are also highlighted.

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