A multi-criteria model of supply chain sustainability assessment and improvement for sugarcane agroindustry

Abstract

The sustainability of the sugarcane agro-industry supply chain plays a crucial role in providing economic benefits, minimizing social and environmental impacts, and optimizing resource utilization. This research aims to analyze the sustainability performance of the sugarcane agro-industry supply chain using multi-criteria assessment and formulate strategies for sustainability improvement. The study proposes a multi-criteria assessment model with twenty-eight indicators and four dimensions of sustainability: economic, social, environmental, and resources, which were developed based on previous research. The fuzzy inference system (FIS) and multi-dimensional scaling (MDS) methods were utilized to analyze the multi-criteria indicators of sustainability performance in each dimension and overall supply chain. The Adaptive Neuro Fuzzy Inference System (ANFIS) model was used to aggregate multi-dimension sustainability to achieve overall sustainability performance. A fuzzy cognitive map (FCM) framework was developed to formulate strategies for improving the sustainability performance of the supply chain. The research was verified at two sugar mill locations in Java Island, Indonesia. The FIS and MDS models successfully analyzed the sustainability performance of the two sugar agro-industries, showing an average value of “quite sustainable”. The overall sustainability performance using the ANFIS model for mill A and B were 57.2 and 61.9, respectively. Series of FGDs combined with the FCM model successfully formulated five clusters of strategies as initiatives in improving the sustainability performance, namely raw material provision, harvesting and post-harvest activities, production process optimization, IT-based technology implementation, and institutional aspects. This present work seeks to contributes to the development of multi-criteria of sustainability performance for the food industry's supply chain. It also proposes a comprehensive framework for analyzing and improving sustainable supply chain performance under uncertainty using a combination of conventional and fuzzy assessment modeling approach. A practical initiative strategy in sustainability improvement is revealed for the sugarcane agroindustry's supply chain.