Dual-Channel Global Closed-Loop Supply Chain Network Optimization Based on Random Demand and Recovery Rate

Abstract

In the process of globalization, customer demand is usually difficult to predict, and product recycling is generally difficult to achieve accurately. It is also urgent to deal with increased inventory while avoiding shortages, with the purpose of reducing supply chain risks. This study analyzes the integrated supply chain decision-making problem in the random product demand and return environment. It proposes a multi-objective optimization model, which is an effective tool to solve the design and planning problems of the global closed-loop supply chain. It consists of a multi-period, single-product and multi-objective mixed integer linear programming model, which can solve some strategic decision problems, including the network structure, entity capacities, flow of products and components, and collection levels, as well as the inventory levels. From the perspective of economic, environmental and social benefits, three objective functions are defined, including maximizing the net present value (NPV) of the system, minimizing the total CO2e emissions of supply chain activities, and maximizing social sustainability indicators. Finally, a numerical example is provided to verify the advantages of this model, and sensitivity analysis results are provided. The results show that changes in product demand and return rate will have a great impact on economic and social performance.

Application of Mathematical Models to Assess the Impact of the COVID-19 Pandemic on Logistics Businesses and Recovery Solutions for Sustainable Development

“…The statistics on IN 1 of LO 7 in the period 2017-2020 were used to build the original value chain as follows: X (0) = (1, 421, 715, 1, 625, 789, 1, 947, 165, 2,346,510) The authors use the cumulative addition method to build the value chain of X (1) : 421,715,3,047,504,4,994,669,7,341,179) The authors use the value chain of X (1) to calculate the mean Z (1) : With the coefficients a, b, the authors built the equation of the GM (1, 1) model:…”

“…The logistics chain involves sea transport, rail transport, water transport, and road transport; and activities in transportation, loading, unloading, forwarding, and storage (shown in Figure 1) [2]. If managers can come up with solutions to reduce these costs by maximizing both directions of routes and improving the occupancy rate at warehouses, it will help businesses improve results.…”

Remanufacturing Strategy Choice of a Closed-Loop Supply Chain Network Considering Carbon Emission Trading, Green Innovation, and Green Consumers

“…Chan et al [ 21 ] studied a dynamic equilibrium of the CLSC network to explain the seasonality of demand. Liu et al [ 22 ] studied a dual-channel CLSC network optimization problem considering the net present value of the network, carbon emissions, and social sustainability indicators. Fu et al [ 23 ] used statistics of new energy vehicles in China to study reverse channel problems in dynamic CLSC systems to provide suggestions for the selection of reverse channels.…”

Price Optimization of Closed-loop Supply Chain With Uncertain Demand Under Multi-channel Cross Influence

“…One CLSC generally in reality has a complex composition, especially the competitions among supply chain channels, which will also cause cross-influences and demand changes. Scholars have paid attention to the practical phenomenon of multi-channel competitions in CLSC, such as consumers’ purchase channel preference (Niranjan et al, 2019), reducing CLSC risks (A. Liu et al, 2020), and recovery rates (Sergeevna et al, 2021).…”