Mathematical Modeling of Closed-loop Supply Chain Network based on Environmental and Social Impacts

Abstract

With the expansion and intensification of competitive environment in today's world, supply chain management has become one of the key issues facing businesses. It has influenced all the activities of organizations to produce products, improve quality, reduce costs and provide the services required by customers. On the other hand, as the volume of pollutants increased, the researchers sought to design networks that, in addition to economic optimization, focused on environmental factors in all sectors. Supply chain network design is a strategic and critical issue that provides an optimal framework for effective and efficient supply chain management. One of the most suitable areas for integration in supply chain networks is the design of closed-loop supply chain networks, which can prevent the overlap caused by the design of separate direct and reverse networks. In this paper, a mixed integer linear programming model for closed loop supply chain network design is presented. The latter model seeks to minimize costs, minimize environmental impact, maximize the amount of worn-out product collected, and maximize supply chain social responsiveness. The proposed model is implemented by Saba Battery Company, which produces various types of batteries. Since the proposed model belongs to the NP-hard category, an exact solution method and two multi-objective genetic algorithms and a multicomponent particle swarm were used to solve the model. .