Tire Closed-loop Supply Chain Network Design Considering Multiple Objectives and Regulatory Requirements

Abstract

For tire manufacturers and related businesses to comply with the resource recovery laws and regulatory frameworks, the opportunity lies in shifting to Closed-Loop Supply Chain (CLSC) which integrates both forward and reverse supply chains. In this research, a new mathematical model is proposed to configure and optimize a tire CLSC network. The optimal quantities for the flows of products, and number and locations of open facilities of the network are calculated by solving the model. The extension of a multi-objective model is done by considering four new objective functions about suppliers. Then, a novel decision-making method based on Spherical fuzzy logicisdeveloped for theweightsofsuppliers. Finally,themodelissolvedbytheaugmented ε-constraint method. The application of the model is illustrated focusing on the Greater Toronto Area (GTA) in Ontario, Canada. The results show that the weights of the returned products are the critical parameters for the compliance of government regulation. Besides, considering multiple objectives for supplier selection in the tire CLSC network design andoptimizationmay have effect on both the selected suppliers and the allocated orders.