Pricing and inventory decisions in the food supply chain with production disruption and controllable deterioration

Huang, Hongfu; He, Yong; Li, Dong

doi:10.1016/j.jclepro.2018.01.152

Cited by 93 publications

(45 citation statements)

References 50 publications

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“…The model considered carbon emissions from the transportation activities for a better recovery plan. Huang et al [44] studied inventory and pricing decisions considering carbon emission, production disruption, and controllable deterioration using preservation technology. Recently, Daryanto et al [45] proposed a low-carbon three-echelon supply chain inventory model considering item deterioration.…”

Section: Low-carbon Supply Chain Managementmentioning

confidence: 99%

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Low Carbon Supply Chain Coordination for Imperfect Quality Deteriorating Items

2019

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Nowadays, many countries have implemented carbon pricing policies. Hence, the industry adapts to this policy while striving for its main goal of maximizing financial benefits. Here, we study a single manufacturer–retailer inventory decision considering carbon emission cost and item deterioration for an imperfect production system. This study examines two models considering two cases of quality inspection. The first is when the buyer performs the quality inspection, and the second is when the quality inspection becomes the vendor’s responsibility so that no defective products are passed to the buyer. Carbon emission costs are incorporated under a carbon tax policy, and we consider the carbon footprint from transporting and warehousing the items. The objective is to jointly optimize the delivery quantity and number of deliveries per production cycle that minimize the total cost and reduce the total carbon emissions. This study provides solution procedures to solve the models, as well as two numerical examples.

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Section: Low-carbon Supply Chain Managementmentioning

confidence: 99%

“…The ETC of the integrated system is the sum of Equations (29) and (44). Using Taylor's series expansion for a small value of θT/n, θT 1 , and θT 2 , we can solve the cost function by assuming e x as 1 + x + x 2 /2 + x 3 /6.…”

Section: The Integrated Manufacturer and Retailer Cost Functionmentioning

confidence: 99%

Low Carbon Supply Chain Coordination for Imperfect Quality Deteriorating Items

2019

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“…Peng et al analyzed a two-echelon supply chain composed of one supplier and one manufacturer with yield uncertainty [27]. Huang et al constructed a three-level food supply chain, which consisted of one retailer, one vendor, and one supplier, under supply chain disruption [28]. Most recently, Gokarn and Kuthambalayan empirically discussed the impacts of supply, demand, and price uncertainties on the fresh production supply chain [29].…”

Section: Literature Reviewmentioning

confidence: 99%

A Responsive Pricing Grid Operator Sourcing from Competing Generators under Uncertain Supply and Demand

et al. 2019

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Electricity supply chains involve more sources of uncertainty than typical production and manufacturing supply chains, owing to the intermittent nature of renewable energy generation. Therefore, it is critical but challenging to mitigate supply disruption risks by improving management methods. The extant literature has mainly investigated the sourcing strategies of manufacturers with price-taking suppliers. Where there is an option to source from multiple generators, including regular but unreliable generators and reliable backup generators, a flexible sourcing strategy is usually regarded as the best tactic for the grid operator. Our objective is to evaluate the costs and benefits of flexible sourcing and sole sourcing when generators are strategic price-setters. In this paper, we develop a Stackelberg game with wholesale prices contingent on the dominant grid operator’s sourcing strategy. We describe and analyze the resulting equilibriums under different scenarios. The results show that the grid operator does not necessarily benefit from a backup generator and that the flexible sourcing mode is not in fact optimal, except when the disruption ratio of the unreliable generator is medium and the penalty-sharing ratio of the unreliable generator is low. The model is applied to a numerical case study of a real-word electricity supply chain to illustrate the validity and effectiveness of the proposed conclusions.

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“…They show that cooperation can lead to higher profits and lower carbon emissions and compare the coordination effect of two contracts. Huang et al [21] construct a Stackelberg game model for deteriorating food products in a three-level supply chain where the initial deterioration rate is constant. They provide an illustrative algorithm to solve the optimal pricing, order quantity and investment decisions, and analyze impact of critical factors on profits and carbon emissions.…”

Section: Mathematical Problems In Engineeringmentioning

confidence: 99%

Joint Transportation and Inventory Strategy for Perishable Items with Weibull Distribution under Carbon Emission Regulations

Cui

Chen

et al. 2018

Mathematical Problems in Engineering

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This paper studies the optimal transportation and inventory strategy for perishable items under carbon cap-and-trade and carbon tax regulations. Nonlinear optimization models are constructed to maximize the total profits per unit time when the deterioration rate satisfies a two-parameter Weibull distribution and the demand rate is a linear function with respect to the current inventory level. The existence conditions of the optimal replenishment cycles under two carbon emission policies are proved. The characteristics of the optimal replenishment cycles, maximal total profits, and carbon emissions per unit time under two carbon emission policies are compared. Finally, a numerical test is provided to illustrate the theoretical results and Taguchi method is employed to analyze the sensitivity of total profits and carbon emissions per unit time with respect to the parameters of carbon emission policies, transportation time, and Weibull parameters. The results show that parameters of carbon emission regulations have greater effect on total profits per unit time, and the transportation time has the greatest effect on carbon emissions per unit time.

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Pricing and inventory decisions in the food supply chain with production disruption and controllable deterioration

Cited by 93 publications

References 50 publications

Low Carbon Supply Chain Coordination for Imperfect Quality Deteriorating Items

Low Carbon Supply Chain Coordination for Imperfect Quality Deteriorating Items

A Responsive Pricing Grid Operator Sourcing from Competing Generators under Uncertain Supply and Demand

Joint Transportation and Inventory Strategy for Perishable Items with Weibull Distribution under Carbon Emission Regulations

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