Development of Supply Chain Strategy in Iranian Automotive Industry Based on System Dynamics and Game Theory

Fierce competition in the global markets forced companies to improve the design and management of supply chains, because companies are always looking for more profit and higher customer satisfaction. The emergence of the green supply chain is one of the most important developments of the last decade. It provides an opportunity for companies to adjust their supply chains according to environmental goals and sustainability. The integrated production-inventory-routing is a new field that aims to optimize these three decision-making levels. It can be described as follow: a factory produces one or more products, and sells them to several customers (by direct delivery or a specific customer chain). The current study aims to model a production-inventory-routing system using a system dynamics approach to design a green supply chain under uncertain conditions. For this purpose, first, the association between selected variables was determined. Then, the proposed model was validated. Finally, to identify variables with the highest influence, four scenarios were developed. The results indicated that minimum total transportation cost, the total warehouse capacity of the supply chain, and the maximum production rate are the most influential strategies to achieve ideal condition.

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Simulation-Based Analysis of Greenhouse Gas Emissions in Sustainable Supply Chains—Re-Design in an Approach to Supply Chain Strategy

Energies ◽

10.3390/en14123504 ◽

2021 ◽

Vol 14 (12) ◽

pp. 3504

Author(s):

Blanka Tundys ◽

Tomasz Wiśniewski

Keyword(s):

Supply Chain ◽

Environmental Impact ◽

Greenhouse Gas Emissions ◽

Greenhouse Gas ◽

Literature Analysis ◽

Gas Emissions ◽

Environmental Aspect ◽

Supply Chain Strategy ◽

Advantages And Disadvantages ◽

Negative Environmental Impact

The aim of the study was to analyze emissions in the supply chain and to identify, based on a literature analysis, which supply chain strategies could contribute to reducing these emissions. A broad spectrum of new supply chain strategy solutions was identified and, based on simulations of selected products, conclusions were drawn and the advantages and disadvantages of theoretical solutions were presented for individual cases. A critical analysis of the literature and simulation methods were used to illustrate the problem presented in this paper, to identify the factors causing greenhouse gas emissions and to draw conclusions in the form of proposals to redesign existing strategies, considering the factors determining the increase in pollution caused by the performed logistics processes. The results of the simulations and the literature analysis indicate that solutions related to the redesign of strategies must consider the specificity of the product and the nature of the chain. Not all proposed strategies are applicable to all chains, and each new strategy must be carefully considered and consider many factors. An important element to reduce the negative environmental impact of chains is a well-thought-out relationship with suppliers, a well-chosen and adapted logistics infrastructure, including means of transport. The presented solutions clearly indicate that the environmental aspect plays an increasingly important role in chain management and influences the applied chain strategies. However, reducing the environmental impact of a chain is not a revolutionary approach and an easy-to-implement strategy change, but a well-thought-out, long-term process that considers the specifics of the products, the possibilities of alternative sourcing and distribution modes, and the need to invest in logistics infrastructure to make it as environmentally neutral as possible.

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Using game theory to describe strategy selection for environmental risk and carbon emissions reduction in the green supply chain

Journal of Loss Prevention in the Process Industries ◽

10.1016/j.jlp.2012.05.004 ◽

2012 ◽

Vol 25 (6) ◽

pp. 927-936 ◽

Cited By ~ 94

Author(s):

Rui Zhao ◽

Gareth Neighbour ◽

Jiaojie Han ◽

Michael McGuire ◽

Pauline Deutz

Keyword(s):

Game Theory ◽

Supply Chain ◽

Environmental Risk ◽

Carbon Emissions ◽

Green Supply Chain ◽

Emissions Reduction ◽

Strategy Selection ◽

Carbon Emissions Reduction ◽

Selection For

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