Impact of carbon emission reduction on supply chain model with manufacturing decisions and dynamic lead time under uncertain demand

Consignment stock policy plays a crucial role in stock management to accomplish more significant benefits for supply chain players. Accordingly, in this research, we developed an inventory model based on the vendor managed inventory and consignment stock agreement by delivering a single item from th...

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Main Authors: B. Karthick, R. Uthayakumar
Format: Article
Language:English
Published: Elsevier 2022-07-01
Series:Cleaner Logistics and Supply Chain
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Online Access:http://www.sciencedirect.com/science/article/pii/S2772390922000105
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author B. Karthick
R. Uthayakumar
author_facet B. Karthick
R. Uthayakumar
author_sort B. Karthick
collection DOAJ
description Consignment stock policy plays a crucial role in stock management to accomplish more significant benefits for supply chain players. Accordingly, in this research, we developed an inventory model based on the vendor managed inventory and consignment stock agreement by delivering a single item from the single vendor to a single buyer under controllable lead time. Manufacturing industries are a major source of worldwide greenhouse gas emissions. Consumption of larger energy through non-renewable sources increases the use of fossils and coal. Though, this produces more waste and has a negative impact on the environment. In contrast to earlier research, logarithmic investment is employed to control the amount of carbon generated throughout the manufacturing process. The demand rate is treated as a pentagonal fuzzy number to account for the uncertainty. The primary goal of this study is to maximize gross profit with various realistic factors and reduce carbon emissions from the production process. Five numerical experiments, comparison and sensitivity analysis are performed to validate the proposed model. Finally, the benefits of variable pricing and investing in carbon reduction will assist industry managers in effectively managing pricing and inventory strategies to adopt a sustainable supply chain in an uncertain environment.
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spelling doaj-art-9f6bb176e2f64bd583594cec0048c3682024-11-23T06:31:48ZengElsevierCleaner Logistics and Supply Chain2772-39092022-07-014100037Impact of carbon emission reduction on supply chain model with manufacturing decisions and dynamic lead time under uncertain demandB. Karthick0R. Uthayakumar1Department of Mathematics, The Gandhigram Rural Institute (Deemed to be University), Gandhigram – 624 302, Tamilnadu, India; Corresponding author.Department of Mathematics, The Gandhigram Rural Institute (Deemed to be University), Gandhigram – 624 302, Tamilnadu, IndiaConsignment stock policy plays a crucial role in stock management to accomplish more significant benefits for supply chain players. Accordingly, in this research, we developed an inventory model based on the vendor managed inventory and consignment stock agreement by delivering a single item from the single vendor to a single buyer under controllable lead time. Manufacturing industries are a major source of worldwide greenhouse gas emissions. Consumption of larger energy through non-renewable sources increases the use of fossils and coal. Though, this produces more waste and has a negative impact on the environment. In contrast to earlier research, logarithmic investment is employed to control the amount of carbon generated throughout the manufacturing process. The demand rate is treated as a pentagonal fuzzy number to account for the uncertainty. The primary goal of this study is to maximize gross profit with various realistic factors and reduce carbon emissions from the production process. Five numerical experiments, comparison and sensitivity analysis are performed to validate the proposed model. Finally, the benefits of variable pricing and investing in carbon reduction will assist industry managers in effectively managing pricing and inventory strategies to adopt a sustainable supply chain in an uncertain environment.http://www.sciencedirect.com/science/article/pii/S2772390922000105Vendor managed inventoryCarbon emissionVariable productionControllable lead timePentagonal fuzzy demand
spellingShingle B. Karthick
R. Uthayakumar
Impact of carbon emission reduction on supply chain model with manufacturing decisions and dynamic lead time under uncertain demand
Cleaner Logistics and Supply Chain
Vendor managed inventory
Carbon emission
Variable production
Controllable lead time
Pentagonal fuzzy demand
title Impact of carbon emission reduction on supply chain model with manufacturing decisions and dynamic lead time under uncertain demand
title_full Impact of carbon emission reduction on supply chain model with manufacturing decisions and dynamic lead time under uncertain demand
title_fullStr Impact of carbon emission reduction on supply chain model with manufacturing decisions and dynamic lead time under uncertain demand
title_full_unstemmed Impact of carbon emission reduction on supply chain model with manufacturing decisions and dynamic lead time under uncertain demand
title_short Impact of carbon emission reduction on supply chain model with manufacturing decisions and dynamic lead time under uncertain demand
title_sort impact of carbon emission reduction on supply chain model with manufacturing decisions and dynamic lead time under uncertain demand
topic Vendor managed inventory
Carbon emission
Variable production
Controllable lead time
Pentagonal fuzzy demand
url http://www.sciencedirect.com/science/article/pii/S2772390922000105
work_keys_str_mv AT bkarthick impactofcarbonemissionreductiononsupplychainmodelwithmanufacturingdecisionsanddynamicleadtimeunderuncertaindemand
AT ruthayakumar impactofcarbonemissionreductiononsupplychainmodelwithmanufacturingdecisionsanddynamicleadtimeunderuncertaindemand