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Journal of Intelligent Manufacturing

, Volume 24, Issue 4, pp 653–672 | Cite as

Model selection with considering the CO2 emission alone the global supply chain

  • Thi Phuong Nha Le
  • Tzong-Ru Lee
Article

Abstract

This study formulates a model for analyzing eco-environmental impact on global supply chain network. The multi-criteria optimization model is applied to seek optimal solutions that not only can achieve predetermined objectives, but also can satisfy constraints for multi-product problems. The overall optimization is achieved using mathematical programming for modeling the supply chain functions such as location, inventory, production, distribution functions and transportation mode selections. Then, the supply chain model is formulated as a minimization problem for costs and environmental impacts. Herein, the solution is the flow of goods in global supply chain environment in different periods of time over one year. Furthermore, the numerical values obtained from a real company are applied to these mathematical formulations to test its usability. The testing is conducted in four different cases that include two combinations, no due date constraint and due date constraint, without connection of distributor and with connection of distributors. The results from these experiments can help in determining the best transportation routes, inventory levels, shipment quantity, and transportation modes. Specifically, the results propose a new configuration for designing global supply chain for the case company that could minimize economical and environmental impacts problems simultaneously.

Keywords

Global supply chain Supply chain management Environmental management CO2 emission Multi-criteria optimization model Integer linear programming 

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Copyright information

© Springer Science+Business Media, LLC 2011

Authors and Affiliations

  1. 1.Institute of Technology ManagementNational Chung Hsing UniversityTaichungTaiwan, ROC
  2. 2.Marketing DepartmentNational Chung Hsing UniversityTaichungTaiwan, ROC

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