multi-criteria optimization approach to designing green closed-loop supply chain network

Imposition of strict environmental protection acts and the imperative need of best possible allocation of resources have given birth to the concept of low carbon logistics. Environmental laws force the manufacturers to extend their existing supply chains to form a closed loop supply chain (CLSC) through the setup of an efficient recovery system. In this paper, we design a CLSC network to deal with environmental issues. The CLSC network proposed in the paper consists of three layers includes manufacturing plant, distribution center, and delivery point in the forward chain and four layers includes collection center, repair center, recycle center and disposal center an in the backward chain.The main objective is to maximize profit and provide waste management decision support in order to minimize pollution.To consider the environmental issues in the proposed CLSC network, we formulate a multi-objective mixed integer nonlinear programming problem, and in order to solve it we propose a LP-Metric method Algorithm. This model determines the optimal flow of parts and products in the CLSC network and number of vehicles used in supply chain network.

Keywords:

Closed loop supply chain , Low carbon logistics , Network design , Reverse logistics