2010 Greening Optimization Forum
Closed-Loop Centralized and Decentralized Systems
in Green Supply Chain
Department of Industrial and Systems Engineering at Chung Yuan Christian University in Taiwan. She received her BSc in Mathematics from Satya Wacana Christian University (Indonesia) and MS in Electronic Engineering from Chung Yuan Christian University (Taiwan). Her research interests are in the field of mathematics modeling, operations research, and production systems.Hui-Ming Wee
Dept. of Industrial and Systems Engineering, Chung Yuan Christian University
Chungli, Taiwan [email protected]
Biography
Hui -Ming Wee is a Professor in Department of Industrial and Systems Engineering at Chung Yuan Christian University in Taiwan. He received his BSc (Hons) in Electrical and Electronic Engineering from Strathclyde University (UK), MEng in Industrial Engineering and Management from Asian Institute of Technology (AIT) and PhD in Industrial Engineering from Cleveland State University, Ohio (USA). His research interests are in the field of production/inventory control, optimization and supply chain management. His publications include four books and over 200 refereed journal papers. Further details can be found at http://scrlab.twbbs.org/other.php
2010 Greening Optimization Forum
Extended Abstract
Closed-loop supply chain is a challenge and an opportunity to create green supply chain. This is due to the limited resources available. In the closed loop supply chain, goods are delivered from manufacturers to the customers and also from the customers back to the manufacturers for remanufacturing. Therefore, the sustainability of these products can be maintained to reduce pollution and the effect on environment. Some issues to be considered in the product sustainability are: 1) initial design process, 2) the production process, and 3) end of production (end products). Products designed at the beginning or during the production process should consider using raw or packaging materials that can be recycled, reusable, or extend the product life cycle. In extending the product life cycle, less new product will be produced, and thus reduce the use of resources.
In recent year, various means were suggested to create a green environment. Some initiatives come from: 1) manufacturers and suppliers, 2) governments and non-profit organizations, 3) retailers, and 4) consumers. Improved environmental performance means lower waste-disposal and reduced material costs. Government and non-profit organization issued various policies to reduce global warming effects and to stabilize climate. Retailers respond to the packaging waste reduction. Initiatives from consumers can be manifested in making their home green and giving feedback to retailers.
The closed-loop supply chain on logistic network can be implemented by centralization or decentralization policies. We model and analyze the impact of those policies based on three echelon system in the closed-loop supply chain. It will give managerial insights to all parties on how to manage the green supply chain.
