Skip to main content

Advertisement

SpringerLink
Log in

An optimization model for green supply chain by regarding emission tax rate in incongruous vehicles

  • Original Article
  • Published:
Modeling Earth Systems and Environment Aims and scope Submit manuscript

Abstract

This article presents an integrated inventory transportation programming model under a two-echelon, multi-product, and multi-period regarding carbon emission. In this problem, retailers' demand is deterministic and dynamic; based on the vendor management inventory policy, the supplier should abide by its delivery time and the amount of delivered product. The main contribution of this paper is the consideration of multi-product by regarding incongruous vehicles for transportation, dynamic carbon emission factor, and adding volume and weight of products to the model. Hence, a mixed-integer non-linear model is developed and linearized to be solved. This aims to determine an exact result for low and average scale problems to show the practicality of the model in real-world case studies. The results imply that with the increase in the number of periods, total costs and transportation costs will be strictly increased; and the tendency toward using different vehicles with high capacity will be increased. Moreover, the carbon emission cost is 10% lower in this scenario. The change of weight and volume of goods in the model affects supply chain costs; while the total weight of the load is constant, the carbon emission cost will be changed to the total cost. By increasing the weight and volume of products, total costs will consequently increase. However, this may not be correct about the carbon emission cost; only the weight and type of vehicle impact it. By increasing the tax rate, total cost and carbon emission cost get increased; and the amount of carbon emission gets reduced. Over time, by increasing the tax rate, the tendency toward high standard vehicles will also increase.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Log in via an institution

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Institutional subscriptions

Similar content being viewed by others

References

  • Abdallah T, Farhat A, Diabat A, Kennedy S (2012) Green supply chains with carbon trading and environmental sourcing: Formulation and life cycle assessment. Appl Math Model 36(9):4271–4285

    Article  Google Scholar 

  • Al Theeb N, Smadi HJ, Al-Hawari TH, Aljarrah MH (2020) Optimization of vehicle routing with inventory allocation problems in Cold Supply Chain Logistics. Comput Ind Eng 142:106341

    Article  Google Scholar 

  • Arabani M, Balooch Sirgani P (2021) Evaluation of performance and moisture sensitivity of polymer-modified mixture containing glass aggregates. Int J Pavement Res Technol 1–14

  • Bektaş T, Laporte G (2011) The pollution-routing problem. Trans Res Part B: Methodol 45(8):1232–1250

    Article  Google Scholar 

  • Benjaafar S, Li Y, Daskin M (2012) Carbon footprint and the management of supply chains: Insights from simple models. IEEE Trans Autom Sci Eng 10(1):99–116

    Article  Google Scholar 

  • Carbone V, Moatti V (2011) Towards greener supply chains: an institutional perspective. Int J Log Res Appl 14(3):179–197

    Article  Google Scholar 

  • Chaabane A, Ramudhin A, Paquet M (2012) Design of sustainable supply chains under the emission trading scheme. Int J Prod Econ 135(1):37–49

    Article  Google Scholar 

  • Gajanand MS, Narendran TT (2013) Green route planning to reduce the environmental impact of distribution. Int J Log Res Appl 16(5):410–432

    Article  Google Scholar 

  • Golpîra H, Javanmardan A (2022) Robust optimization of sustainable closed-loop supply chain considering carbon emission schemes. Sustain Prod Consum 30:640–656

    Article  Google Scholar 

  • Gupta S, Haq A, Ali I, Sarkar B (2021) Significance of multi-objective optimization in logistics problem for multi-product supply chain network under the intuitionistic fuzzy environment. Complex Intell Syst 7(4):2119–2139

    Article  Google Scholar 

  • Hasani A, Mokhtari H, Fattahi M (2021) A multi-objective optimization approach for green and resilient supply chain network design: a real-life case study. J Clean Prod 278:123199

    Article  Google Scholar 

  • Kanda A, Deshmukh SG (2008) Supply chain coordination: perspectives, empirical studies and research directions. Int J Prod Econ 115(2):316–335

    Article  Google Scholar 

  • Kazancoglu Y, Ekinci E, Mangla SK, Sezer MD, Kayikci Y (2021) Performance evaluation of reverse logistics in food supply chains in a circular economy using system dynamics. Bus Strateg Environ 30(1):71–91

    Article  Google Scholar 

  • Lin C, Choy KL, Ho GT, Chung SH, Lam HY (2014) Survey of green vehicle routing problem: past and future trends. Expert Syst Appl 41(4):1118–1138

    Article  Google Scholar 

  • Mehrjerdi YZ, Anvar SH (2013) A mixed integer programming model for coordination of multi-product two-echelon supply chain using meta-heuristic solutions. Ind Eng Manag 1(107):2169–0316

    Google Scholar 

  • Mirzapour Al-e-hashem SM, Rekik Y (2014) Multi-product multi-period Inventory Routing Problem with a transshipment option: a green approach. Int J Prod Econ 157:80–88

    Article  Google Scholar 

  • Neto JQ, Bloemhof-Ruwaard JM, van Nunen JA, van Heck E (2008) Designing and evaluating sustainable logistics networks. Int J Prod Econ 111(2):195–208

    Article  Google Scholar 

  • Nosrati M, Arshadi KA (2020) Distance discount in the green vehicle routing problem offered by external carriers. SN Appl Sci 2(8):1–4

    Article  Google Scholar 

  • NTM, NTM Calc [Online]. Available: https://www.transportmeasures.org/en/. Accessed 18 Jun 2021

  • Paksoy T, Yapıcı Pehlivan N, Özceylan E (2010) A multi objective optimization of a green supply chain network using fuzzy analytic hierarchy process. AIP Conf Proc 1239:311. https://doi.org/10.1063/1.3459765

    Article  Google Scholar 

  • Pinto-Varela T, Barbosa-Povoa AP, Novais AQ (2011) Bi-objective optimization approach to the design and planning of supply chains: Economic versus environmental performances. Comput Chem Eng 35(8):1454–1468

    Article  Google Scholar 

  • Plambeck EL (2012) Reducing greenhouse gas emissions through operations and supply chain management. Energy Econ 34:S64-74

    Article  Google Scholar 

  • Rajak S, Vimal KE, Arumugam S, Parthiban J, Sivaraman SK, Kandasamy J, Duque AA (2022) Multi-objective mixed-integer linear optimization model for sustainable closed-loop supply chain network: a case study on remanufacturing steering column. Environ Dev Sustain 24(5):6481–6507

    Article  Google Scholar 

  • Ramudhin A, Chaabane A, Paquet M (2010) Carbon market sensitive sustainable supply chain network design. Int J Manag Sci Eng Manag 5(1):30–38

    Google Scholar 

  • Sadegheih A, Drake PR, Li D, Sribenjachot S (2011) Global supply chain management under the carbon emission trading program using mixed integer programming and genetic algorithm. Int J Eng 24:37–53

    Google Scholar 

  • Sangaiah AK, Tirkolaee EB, Goli A, Dehnavi-Arani S (2020) Robust optimization and mixed-integer linear programming model for LNG supply chain planning problem. Soft Comput 24(11):7885–7905

    Article  Google Scholar 

  • Sarkar B, Sarkar M, Ganguly B, Cárdenas-Barrón LE (2021) Combined effects of carbon emission and production quality improvement for fixed lifetime products in a sustainable supply chain management. Int J Prod Econ 231:107867

    Article  Google Scholar 

  • Sathaye N, Horvath A, Madanat S (2010) Unintended impacts of increased truck loads on pavement supply-chain emissions. Trans Res Part A: Policy and Pract 44(1):1–5

    Google Scholar 

  • Seuring S (2013) A review of modeling approaches for sustainable supply chain management. Decis Support Syst 54(4):1513–1520

    Article  Google Scholar 

  • Sherif SU, Asokan P, Sasikumar P, Mathiyazhagan K, Jerald J (2021) Integrated optimization of transportation, inventory and vehicle routing with simultaneous pickup and delivery in two-echelon green supply chain network. J Clean Prod 287:125434

    Article  Google Scholar 

  • Srivastava SK (2007) Green supply-chain management: a state-of-the-art literature review. Int J Manag Rev 9(1):53–80

    Article  Google Scholar 

  • Tavana M, Tohidi H, Alimohammadi M, Lesansalmasi R (2021) A location-inventory-routing model for green supply chains with low-carbon emissions under uncertainty. Environ Sci Pollut Res 28(36):50636–50648

    Article  Google Scholar 

  • Tolooie A, Maity M, Sinha AK (2020) A two-stage stochastic mixed-integer program for reliable supply chain network design under uncertain disruptions and demand. Comput Ind Eng 148:106722

    Article  Google Scholar 

  • Treitl S, Nolz PC, Jammernegg W (2014) Incorporating environmental aspects in an inventory routing problem. A case study from the petrochemical industry. Flex Serv Manuf J 26(1):143–169

    Article  Google Scholar 

  • Ubeda S, Arcelus FJ, Faulin J (2011) Green logistics at Eroski: a case study. Int J Prod Econ 131(1):44–51

    Article  Google Scholar 

  • US EPA, Greenhouse Gas Inventory Report, [Online]. Available: http://www.epa.gov/climatechange/ghgemissions/usinventoryreport.html. Accessed 03 Jun 2021

  • Wang F, Lai X, Shi N (2011) A multi-objective optimization for green supply chain network design. Decis Support Syst 51(2):262–269

    Article  Google Scholar 

  • Xue YD, Irohara T (2010) A time-space network based international transportation scheduling problem incorporating CO2 emission levels. J Zhejiang Univ-SCIENCE a 11(12):927–932

    Article  Google Scholar 

  • Zadek H, Schulz R (2010) Methods for the calculation of CO2 emissions in logistics activities. In: International heinz nixdorf symposium. Springer, Berlin, Heidelberg, pp. 263–268

  • Zeng W, Wang C, Zhou H. Study on supply chain operations under carbon emission regulatory policies. In: 2012 International Conference on information management, innovation management and industrial engineering 2012 Oct 20 (Vol. 2, pp. 506–509). IEEE

Download references

Author information

Authors and Affiliations

  1. Faculty of Business and Law, De Montfort University, Leicester, UK

    Reza Eslamipoor

Authors
  1. Reza Eslamipoor
    View author publications

    You can also search for this author in PubMed Google Scholar

Corresponding author

Correspondence to Reza Eslamipoor.

Additional information

Publisher's Note

Springer Nature remains neutral with regard to jurisdictional claims in published maps and institutional affiliations.

Rights and permissions

Springer Nature or its licensor holds exclusive rights to this article under a publishing agreement with the author(s) or other rightsholder(s); author self-archiving of the accepted manuscript version of this article is solely governed by the terms of such publishing agreement and applicable law.

Reprints and permissions

About this article

Check for updates. Verify currency and authenticity via CrossMark

Cite this article

Eslamipoor, R. An optimization model for green supply chain by regarding emission tax rate in incongruous vehicles. Model. Earth Syst. Environ. 9, 227–238 (2023). https://doi.org/10.1007/s40808-022-01470-y

Download citation

  • Received:

  • Accepted:

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s40808-022-01470-y

Keywords

Search

Navigation