2011
DOI: 10.1016/j.apm.2010.07.013
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A robust optimization approach to closed-loop supply chain network design under uncertainty

Abstract: a b s t r a c tThe concern about significant changes in the business environment (such as customer demands and transportation costs) has spurred an interest in designing scalable and robust supply chains. This paper proposes a robust optimization model for handling the inherent uncertainty of input data in a closed-loop supply chain network design problem. First, a deterministic mixed-integer linear programming model is developed for designing a closed-loop supply chain network. Then, the robust counterpart of… Show more

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Cited by 521 publications
(218 citation statements)
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References 40 publications
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“…The relevant research works in this area have been reviewed through the last decade and summarized in Table1. As can be seen in Table 1, the previous researches considered demand-side uncertainty (Hegeman et al, 2014;Arikan, 2013;Vahdani et al, 2012;Lu et al, 2012;Pishvae et al, 2011;Peidro et al, 2009;Xu et al, 2008;Selma et al, 2007;Shu et al, 2005). Moreover, it can be deduced that a large number of centralized mathematical programming models have been developed to simultaneously optimize the integration of the entire SC.…”
Section: Literature Of Past Workmentioning
confidence: 99%
“…The relevant research works in this area have been reviewed through the last decade and summarized in Table1. As can be seen in Table 1, the previous researches considered demand-side uncertainty (Hegeman et al, 2014;Arikan, 2013;Vahdani et al, 2012;Lu et al, 2012;Pishvae et al, 2011;Peidro et al, 2009;Xu et al, 2008;Selma et al, 2007;Shu et al, 2005). Moreover, it can be deduced that a large number of centralized mathematical programming models have been developed to simultaneously optimize the integration of the entire SC.…”
Section: Literature Of Past Workmentioning
confidence: 99%
“…Some feasible methods have been proposed in supply chain management researches, and most of them focus on controlling the uncertainty causes of bullwhip effect. Pishvaee et al proposed a robust optimization model and relative robust counterpart for handling the inherent uncertainty of input data in a closed-loop supply chain network design problem [9] . The widely used time series models for forecasting purpose especially ARIMA model is generally applicable to linear modeling but it hardly captures the non-linearity inherent in time series data.…”
Section: Introductionmentioning
confidence: 99%
“…The model decreases the total cost of the reverse logistics managed by a 3PL by 13.8%. Pishvaee et al [20] proposed a robust optimization model to closed-loop supply chain network design under uncertainty. They developed a deterministic mixed-integer linear programming model for designing the network and presented its robust counterpart using the recent extensions in robust optimization theory.…”
Section: Literature Reviewmentioning
confidence: 99%
“…Constraint (19) makes sure that the sum of the inflows to each first customer from retailer is greater than or equal to the sum of the outflows from each first customers to repair centers and CDRs. Constraint (20) makes sure that the sum of the outflows from each first customer to the repair center is less than or equal to the demand fraction for repair returns of the sum of the demands of the first customers. Constraint (21) makes sure that the sum of the inflows to each repair center from all the first customers is equal to the sum of the outflows from each repair center to all the first customers.…”
Section: Objective Functionmentioning
confidence: 99%