Abstract

The crude palm oil industry is an agro-industrial commodity. The global market of this industry has experienced rapid growth in recent years, such that it has a strategic value to be developed for Indonesian economy. Despite these economic benefits there are a number of environmental problems at the factories, such as high water consumption, the generation of a large amount of wastewater with a high organic content, and the generation of a large quantity of solid wastes and air pollution. In terms of waste transportation, we propose a multiobjective programming model for managing business environmental risk in a crude palm oil manufacture which gives the best possible configuration of waste management facilities and allocates wastes to these facilities. Then we develop an interactive approach for tackling logistics and environmental risk production planning problem for the crude palm oil industry.

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