Optimal inventory strategies for two-echelon supply chain system involving carbon emissions and fuzzy deterioration
by S. Priyan; P. Mala; R. Gurusamy
International Journal of Logistics Systems and Management (IJLSM), Vol. 37, No. 3, 2020

Abstract: The industry sector is an vital direct and indirect source of carbon emissions. Today industries are looking for solutions to reduce carbon emissions associated with their operations. Operational adjustments, such as modifications in batch sizes or order quantities, have proven to be an effective way to decrease emissions. This paper provides a new mathematical model which integrate cost and emissions in transportation and storage to execute optimal operational adjustments for deteriorating products under the framework of two-echelon inventory system. The deterioration rate is treated as the triangular fuzzy number, and we use the extension principle to find the membership function of the fuzzy total cost and defuzzify by the centroid to find the estimate of the total cost in the fuzzy sense. Numerical example is performed to show the effectiveness of the proposed model, and several managerial insights are observed from sensitive analyses which may help both the government and the industry to adopt appropriate carbon reduction regulations.

Online publication date: Wed, 25-Nov-2020

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