A closed-loop supply chain inventory model with stochastic demand, hybrid production, carbon emissions, and take-back incentives

Jauhari, Wakhid Ahmad; Pujawan, I Nyoman; Suef, Mokh

doi:10.1016/j.jclepro.2021.128835

Cited by 50 publications

(14 citation statements)

References 42 publications

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“…Implementing and developing remanufacturing processes may need large investments that may have long pay-back times, and sometimes, third-party remanufacturers are better equipped for certain processes. Other options to boost core collection from the customers to OEMs could be laws and regulations to take the used products back, as used in some industrial sectors [24]. However, this was not a challenge in this case since the case company had willingness to take the products back for remanufacturing.…”

Section: Discussionmentioning

confidence: 99%

“…Stål and Corvellec [21] recognise an issue called imbalance in return logistics, which means that the returned goods do not go back to the original product manufacturer. Original equipment manufacturers (OEMs) also have their role in taking back the products in some industrial sectors, and sometimes they are forced by laws and regulations to take the products back from the customers [24].…”

Section: Challenge(s)mentioning

confidence: 99%

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Remanufacturing in the Heavy Vehicle Industry—Case Study of a Finnish Machine Manufacturer

2021

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This study analyses remanufacturing operations of a Finnish heavy vehicle manufacturer with global operations. The company has remanufactured and refurbished certain components for a decade in a centralised remanufacturing and recycling centre in Finland, but it has encountered significant challenges, especially in reverse logistics. The company considers regional remanufacturing to decrease these disadvantages. The purpose of this study is to analyse the characteristics, challenges and benefits of regional remanufacturing by reviewing the relevant literature and analysing the empirical data, including a survey for international subsidiaries of the case company to determine regional needs. As a result, we have identified significant benefits, especially related to minimised logistics costs and better availability of the components, but also challenges, such as lack of resources, and insufficient economies of scale.

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Section: Discussionmentioning

confidence: 99%

Section: Challenge(s)mentioning

confidence: 99%

Remanufacturing in the Heavy Vehicle Industry—Case Study of a Finnish Machine Manufacturer

2021

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“…Furthermore, Wu and Cui [33] analyzed the reliability of systems that are periodically investigated. A closed-loop supply chain model that simultaneously considers a conventional and green production under consideration of carbon emission from various sources and considering a stochastic demand is developed by Jauhari et al [18]. Furthermore, Sarkar et al [29] discussed inter alia carbon emission ejection and their effects in a SCM that is sustainable and an improvement of production quality in the case of items with defined lifetimes.…”

Section: Reliabilitymentioning

confidence: 99%

Geometric programming solution of second degree difficulty for carbon ejection controlled reliable smart production system

2022

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Smart manufacturing systems should always aim to be fully sustainable while simultaneously being as reliable as possible which is difficult to reach. Furthermore, climate change especially by carbon emission ejection in the industry is a significant topic and carbon emission ejection should be controlled and reduced to save the environment. Contributing towards a greener environment in a positive manner is done by reducing the amount of insufficient items that are produced in a smart production system which also can be reached with a higher reliability in the system. Therefore, this study models a smart reliable production system with controlled carbon ejection. To solve the proposed smart production system in this study, a geometric programming approach with a degree of difficulty level two is used which results into optimum results that are quasi-closed. Furthermore, numerical experiments are conducted in order to validate the proposed model and prove that by using a higher degree geometric programming approach, an optimal solution is found. The numerical results do not only show optimal solutions but also that the smart production system with controlled carbon ejection is reliable.

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“…Taking into account the universal existence of uncertainty in reality, some scholars investigate the low-carbon operation strategies of CLSCs in an uncertain scenario. For example, Jauhari et al [7] reveal the operation decisions of CLSC with stochastic demand and return rate under carbon tax regulation. Xu et al [20] formulate a stochastic model for a CLSC facing uncertain demand and carbon price under the carbon trading scenario to find the optimal operation decisions in a multi-period planning horizon.…”

Section: Clsc Management Under the Constraint Of Carbon Emissions Red...mentioning

confidence: 99%

“…Implementations of emission reduction regulations (such as carbon tax, cap-and-trade, mandatory cap) have enriched the significance of GCLSCs. Assuming that the information between CLSC members is symmetric, some literature concentrates on the optimal operations decisions for the CLSC under certain carbon emission regulation [6][7][8][9]. Other literature Sustainability 2022, 14, 7999 2 of 18 interests in comparing the impact of different carbon emission policies on CLSC [10][11][12].…”

Section: Introductionmentioning

confidence: 99%

Impact of Information Asymmetry on the Operation of Green Closed-Loop Supply Chain under Government Regulation

Wang

2022

Sustainability

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Recycling subsidy and carbon tax policies are ways to achieve energy and environmental sustainability. The implementation of these policies has changed the operating environment of traditional closed-loop supply chains, while the privacy of relevant information increases the difficulty of decision-making. Under the background, this paper considers the green closed-loop supply chain (GCLSC) under the hybrid policy of recycling subsidy and carbon tax where the manufacturer is in charge of recycling and the retailer invests in green marketing. Taking green marketing cost coefficient as the retailer’s private information, this paper explores the influence of information asymmetry on optimal decisions and performance of the GCLSC. By constructing game models of information symmetry and asymmetry, the optimal decisions, economic and environmental performance, and social welfare are provided. Combined with numerical analysis, the influence of uncertainty of the manufacturer’s estimation, subsidies and carbon tax on the GCLSC is proposed. The results indicate that the uncertainty in the manufacturer’s estimation can improve the social welfare under certain conditions, but it cannot reduce carbon emissions. Recycling subsidy and carbon tax policies oppositely affect the manufacturer’s optimal decisions and carbon emissions. Information asymmetry is beneficial to the retailer. However, less uncertainty in estimation is not always better for the manufacturer. The manufacturer needs to proactively adopt strategies to stimulate the retailer’s information sharing.

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A closed-loop supply chain inventory model with stochastic demand, hybrid production, carbon emissions, and take-back incentives

Cited by 50 publications

References 42 publications

Remanufacturing in the Heavy Vehicle Industry—Case Study of a Finnish Machine Manufacturer

Remanufacturing in the Heavy Vehicle Industry—Case Study of a Finnish Machine Manufacturer

Geometric programming solution of second degree difficulty for carbon ejection controlled reliable smart production system

Impact of Information Asymmetry on the Operation of Green Closed-Loop Supply Chain under Government Regulation

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