Selection of Transportation Channels in Closed-Loop Supply Chain Using Meta-Heuristic Algorithm

Abstract

This article presents a closed-loop supply chain (CLSC) network design problem consisting of both forward and reverse material flows. Here, a four-echelon single-product system is introduced in which multiple transportation channels are considered between the nodes of each echelon. Each design is analyzed for the optimum cost, time and environmental impact which form objective functions. The problem is modeled as a tri-objective mixed integer linear programming (MILP) model. The cost objective aggregates the opening cost (fixed cost) and the variable costs in both forward and reverses material flow. The time objective considers the longest transportation time from plants to customers and reverse. Factors of environmental impact are categorized and weighed using an analytic network process (ANP) which forms the environmental objective function. A genetic algorithm (GA) has been applied as a solution methodology to solve the MILP model. Ultimately, a case problem is also used to illustrate the model developed and concluding remarks are made regarding the results.