Journal of Industrial Engineering Research in Production Systems

Journal of Industrial Engineering Research in Production Systems

Designing Green and Resilient Dual-Channel Closed-Loop Supply Chain Network Under Disruption Risk Considering Network Flexibility

Document Type : Research Paper

Authors
Behnam Afsharpour 1
Azizollah Jafari 2
1 Student, Department of Industrial Engineering, Faculty of Engineering, University of Science and Culture, Tehran, Iran
2 Associate Professor, Department of Industrial Engineering, Faculty of Engineering, University of Science and Culture, Tehran, Iran
10.22084/ier.2025.30588.2197
Abstract
With the increasing use of the Internet and the further development of e-commerce, the number of customers who intend to shop online is increasing every day. In today's business environments that face many uncertainties, supply chains are much more exposed to disruption risks than before. This research presents a two-objective stochastic robust optimization model (economic objective and environmental objective) to design a dual-channel closed-loop supply chain network (online retailer and offline retailer) that uses resilience strategies to deal with disruptions. The innovation of this research is the design of a dual-channel closed-loop supply chain network that is subject to disruption and operational risks, and for the first time, two resilience strategies of backup suppliers and lateral transshipment are considered to deal with them. In addition, network flexibility is also modeled for the first time in such a chain, meaning that customer demands can also be met in other ways such as outsourcing, temporary employment of employees, etc. Due to the complexity of the problem, the Lagrangian relaxation approach has been used to solve it on a large scale, and its proper performance is confirmed by the calculations. The calculations showed that the use of resilience strategies can reduce costs by 3.7% and reduce environmental impacts by 25.5%. In addition, the use of network flexibility has contributed to a 26% reduction in costs and a 79% reduction in negative environmental impacts. The tire manufacturing industry is an example of the application of this model in the real world.
Keywords
Supply Chain Network Design
Closed-Loop Supply Chain
Dual-Channel
Resilience
Network Flexibility
Subjects
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Journal of Industrial Engineering Research in Production Systems
Volume 12, Issue 25
March 2025
Pages 99-119