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A hybrid approach to configure eco-efficient supply chains under consideration of performance and risk aspects |
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| Institution: | 1. Industrial Economics and Knowledge Center, Industrial Technology Research Institute, Hsinchu, Taiwan;2. Department of Resources Engineering, National Cheng Kung University, Tainan, Taiwan;1. Kühne Logistics University - Wissenschaftliche Hochschule für Logistik und Unternehmensführung, Großer Grasbrook 17, 20457 Hamburg, Germany;2. John B. Goddard School of Business & Economics, Weber State University, 1337 Edvalson St, Dept 3802, Ogden, UT 84408-3802, USA;1. College of Business, Abu Dhabi University, P.O. Box 59911, Abu Dhabi, United Arab Emirates;2. School of Business Administration, Penn State Harrisburg, 777 West Harrisburg Pike, Middletown, PA 17057-4846, USA;1. School of Economics and Management, Beihang University, Beijing 100191, China;2. School of Mechanical Engineering, Shanghai Jiao Tong University, Shanghai 200240, China;3. School of Management, Shanghai University, Shanghai 200444, China |
| Abstract: | Formal models that support multi-criteria decision making represent a strongly growing area in sustainable supply chain management research. However, uncertainties and risks are seldom considered in quantitative models for green supply chain (SC) design. The paper at hand suggests a hybrid approach to configure an eco-efficient SC for a new product under consideration of economic and environmental risks. Discrete-event simulation is applied to assess the financial, operational and environmental performance of different SC configuration options while the value-at-risk concept is adapted to evaluate related SC risks. The analytic hierarchy process is employed to solve the resulting multi-criteria decision problem of choosing the best option. The approach is illustrated at a case example of a fast moving consumer goods manufacturer. |
| Keywords: | Supply chain management Supply chain risks Carbon emissions Discrete-event simulation Analytic hierarchy process Fast moving consumer goods |
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