A Collaborative Stochastic Closed-loop Supply Chain Network Design for Tire Industry

Authors

1 Department of Industrial Engineering, University of Science and Technology of Mazandaran, Behshahr, Iran

2 Department of Supply Chain Management, College of International Transport and Logistics, Arab Academy for Science and Technology, Cairo, Egypt

Abstract

Recent papers in the concept of Supply Chain Network Design (SCND) have seen a rapid development in applying the stochastic models to get closer to real-world applications. Regaring the special characteristics of each product, the stracture of SCND varies. In tire industry, the recycling and remanufacturing of scraped tires lead to design a closed-loop supply chain. This paper proposes a two-stage stochastic model for a closed-loop SCND in the application of tire industry. The first stage of model optimizes the expected total cost. Then, financial risk has been considered as the second stage of model to control the uncertainty variables leading to a robust solution. To solve the developed problem, Particle Swarm Optimization (PSO) and Genetic Algorithm (GA) have been used. To enhace the efficiency of metaheuristic algorithms, Response Surface Method (RSM) has been applied. Finally, the proposed model is evaluated by different test problem with different complexity and a set of metrics in terms of Pareto optimal solutions.

Keywords


1.     Amin, S.H., Zhang, G. and Akhtar, P., "Effects of uncertainty on a tire closed-loop supply chain network", Expert Systems with Applications,  Vol. 73, (2017), 82-91.

2.     Subulan, K., Taşan, A.S. and Baykasoğlu, A., "Designing an environmentally conscious tire closed-loop supply chain network with multiple recovery options using interactive fuzzy goal programming", Applied Mathematical Modelling,  Vol. 39, No. 9, (2015), 2661-2702.

3.     Chopra, S., "Designing the distribution network in a supply chain", Transportation Research Part E: Logistics and Transportation Review,  Vol. 39, No. 2, (2003), 123-140.

4.     Fathollahi-Fard, A.M. and Hajiaghaei-Keshteli, M., "A stochastic multi-objective model for a closed-loop supply chain with environmental considerations", Applied Soft Computing,  Vol. 69, (2018), 232-249.

5.     Hajiaghaei-Keshteli, M., Sajadifar, S.M. and Haji, R., "Determination of the economical policy of a three-echelon inventory system with (r, q) ordering policy and information sharing", The International Journal of Advanced Manufacturing Technology,  Vol. 55, No. 5-8, (2011), 831-841.

6.     Nourmohamadi Shalke, P., Paydar, M.M. and Hajiaghaei-Keshteli, M., "Sustainable supplier selection and order allocation through quantity discounts", International Journal of Management Science and Engineering Management,  Vol. 13, No. 1, (2018), 20-32.

7.     Fard, A.M.F., Gholian-Jouybari, F., Paydar, M.M. and Hajiaghaei-Keshteli, M., "A bi-objective stochastic closed-loop supply chain network design problem considering downside risk", Industrial Engineering & Management Systems,  Vol. 16, No. 3, (2017), 342-362.

8.     Nasiri, E., Afshari, A. and Hajiaghaei-Keshteli, M., "Addressing the freight consolidation and containerization problem by recent and hybridized meta-heuristic algorithms", International Journal of Engineering-Transactions C: Aspects,  Vol. 30, No. 3, (2017), 403-410.

9.     Farahani, R.Z., Rezapour, S., Drezner, T. and Fallah, S., "Competitive supply chain network design: An overview of classifications, models, solution techniques and applications", Omega,  Vol. 45, (2014), 92-118.

10.   Govindan, K., Soleimani, H. and Kannan, D., "Reverse logistics and closed-loop supply chain: A comprehensive review to explore the future", European Journal of Operational Research,  Vol. 240, No. 3, (2015), 603-626.

11.   Chopra, S. and Meindl, P., Supply chain management. Strategy, planning & operation, in Das summa summarum des management. 2007, Springer.265-275.

12.   Ferrer, G., "The economics of tire remanufacturing", Resources, Conservation and Recycling,  Vol. 19, No. 4, (1997), 221-255.

13.   Sasikumar, P., Kannan, G. and Haq, A.N., "A multi-echelon reverse logistics network design for product recovery—a case of truck tire remanufacturing", The International Journal of Advanced Manufacturing Technology,  Vol. 49, No. 9-12, (2010), 1223-1234.

14.   Govindan, K. and Soleimani, H., "A review of reverse logistics and closed-loop supply chains: A journal of cleaner production focus", Journal of Cleaner Production,  Vol. 142, (2017), 371-384.

 

 

 

15.   Souza, G.C., "Closed‐loop supply chains: A critical review, and future research", Decision Sciences,  Vol. 44, No. 1, (2013), 7-38.

16.   Fathollahi-Fard, A.M., Hajiaghaei-Keshteli, M. and Tavakkoli-Moghaddam, R., "The social engineering optimizer (SEO)", Engineering Applications of Artificial Intelligence,  Vol. 72, (2018), 267-293.

17.   Fard, A.M.F. and Hajiaghaei-Keshteli, M., "A bi-objective partial interdiction problem considering different defensive systems with capacity expansion of facilities under imminent attacks", Applied Soft Computing,  Vol. 68, (2018), 343-359.

18.   Kannan, G., Noorul Haq, A. and Devika, M., "Analysis of closed loop supply chain using genetic algorithm and particle swarm optimisation", International Journal of Production Research,  Vol. 47, No. 5, (2009), 1175-1200.

19.   Devika, K., Jafarian, A. and Nourbakhsh, V., "Designing a sustainable closed-loop supply chain network based on triple bottom line approach: A comparison of metaheuristics hybridization techniques", European Journal of Operational Research,  Vol. 235, No. 3, (2014), 594-615.

20.   Mirakhorli, A., "Fuzzy multi-objective optimization for closed loop logistics network design in bread-producing industries", The International Journal of Advanced Manufacturing Technology,  Vol. 70, No. 1-4, (2014), 349-362.

21.   Subulan, K., Baykasoğlu, A., Özsoydan, F.B., Taşan, A.S. and Selim, H., "A case-oriented approach to a lead/acid battery closed-loop supply chain network design under risk and uncertainty", Journal of Manufacturing Systems,  Vol. 37, (2015), 340-361.

22.   Fard, A.M.F. and Hajaghaei-Keshteli, M., "A tri-level location-allocation model for forward/reverse supply chain", Applied Soft Computing,  Vol. 62, (2018), 328-346.

23.   Eberhart, R. and Kennedy, J., "A new optimizer using particle swarm theory", in Micro Machine and Human Science, 1995. MHS'95., Proceedings of the Sixth International Symposium on, IEEE., (1995), 39-43.

24.   Holland, J.H., "Adaptation in natural and artificial systems: An introductory analysis with applications to biology, control, and artificial intelligence, MIT press,  (1992).

25.   Hajiaghaei-Keshteli, M. and Fard, A.M.F., "Sustainable closed-loop supply chain network design with discount supposition", Neural Computing and Applications,  (2018), 1-35.

26.   Cheraghalipour, A., Paydar, M. and Hajiaghaei-Keshteli, M., "An integrated approach for collection center selection in reverse logistics", International Journal of Engineering Transaction A Basics,  Vol. 30, No. 7, (2017), 1005-1016.

27.   Sadeghi-Moghaddam, S., Hajiaghaei-Keshteli, M. and Mahmoodjanloo, M., "New approaches in metaheuristics to solve the fixed charge transportation problem in a fuzzy environment", Neural Computing and Applications,  (2017), 1-21.

28.   Samadi, A., Mehranfar, N., Fathollahi Fard, A. and Hajiaghaei-Keshteli, M., "Heuristic-based metaheuristics to address a sustainable supply chain network design problem", Journal of Industrial and Production Engineering,  Vol. 35, No. 2, (2018), 102-117.

29.   Golshahi-Roudbaneh, A., Hajiaghaei-Keshteli, M. and Paydar, M.M., "Developing a lower bound and strong heuristics for a truck scheduling problem in a cross-docking center", Knowledge-Based Systems,  Vol. 129, (2017), 17-38.