Owards Energy Efficiency in Integrated Inventory Supply Chain Models: A Review

Abstract

Amidst the sustainability concerns of the industrial sector to fulfil the increase in customer demands, this study emphasizes on the characteristics of integrated inventory supply chains that is closely related to energy efficiency. Environmental and economic perspectives must be given equal consideration to ensure a competitive supply chain (SC). In response to global calls for sustainable energy and lower carbon emissions, the Malaysian government currently provides tax exemptions and allowances for the provision of green technology services and the acquisition of green technology assets. Furthermore, as sources of electricity are highly variable, efficient SC activities can feasibly minimise the cost of energy. Therefore, multiple studies have integrated the green concepts in SCs to develop energy efficient integrated inventory SC models. This present review examined 42 articles that assessed the environmental impact of integrated inventory SC models with a focus on energy efficiency and energy-related issues. A systematic literature review (SLR) was conducted to identify gaps in the existing literature and offer directions for future studies. The articles were categorised according to the SC dimensions of an integrated inventory model; such as categories of SC participants, structures, processes, and decision-making variables. Of the reviewed articles, only 35% examined energy efficiency or energy-related issues in integrated inventory models. Therefore, future studies should examine the energy efficiency or energy-related issues that integrated inventory SCs face.