A Closed-loop Green Supply Chain Network Design Using Robust Optimization

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Jafarnejad, Nasim | 2015

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Type of Document: M.Sc. Thesis
Language: Farsi
Document No: 48010 (01)
University: Sharif University of Technology
Department: Industrial Engineering
Advisor(s): Fereydoon, Kianfar
Abstract:
Network design is one of the major strategic decisions of a supply chain which leads to the whole sustainability of the chain. Besides, due to an increase in carbon dioxide emissions and its harmful effects, recently there has been an growing interest in green supply chain network design. In this thesis, a mixed integer linear programming is developed to formulate a closed-loop supply chain with forward and reverse logistics. Moreover, social cost rate of carbon dioxide is used to consider environmental impact. Considering uncertainty in closed-loop supply chains is crucial. To do so, three robust optimization methods including Soyster, Ben-tal and Nemirovski and Bertsimas and Sim approaches are applied. It is assumed that parameters such as social cost rate, return rate of product and supplier capacity are uncertain. Numerical experiment results demonstrate that considering uncertainty changes the amounts of flows in chain and Bertsimas and Sim’s method is the best. Furthermore, the more the percent of remanufacturing is, the more supply chain costs decreases and the more cost saving is
Keywords:
Robust Optimization ; Green Loop Supply Chain ; Uncertainty ; Social Cost ; Carbon Dioxide Emission ; Closed-Loop Supply Chain