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Keywords = CLSC management

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31 pages, 1641 KB  
Article
Transforming the Supply Chain Operations of Electric Vehicles’ Batteries Using an Optimization Approach
by Ghadeer Alsanie, Syeda Taj Unnisa and Nada Hamad Al Hamad
Sustainability 2026, 18(1), 367; https://doi.org/10.3390/su18010367 - 30 Dec 2025
Viewed by 656
Abstract
The increasing popularity of electric vehicles (EVs) as green alternatives to traditional internal combustion engine cars has highlighted the need for sustainable and environmentally friendly supply chain models. In particular, the handling of EV batteries, which are environmentally unfriendly and logistically critical due [...] Read more.
The increasing popularity of electric vehicles (EVs) as green alternatives to traditional internal combustion engine cars has highlighted the need for sustainable and environmentally friendly supply chain models. In particular, the handling of EV batteries, which are environmentally unfriendly and logistically critical due to their hazardous nature and short life cycle, requires a well-designed closed-loop supply chain (CLSC). This study proposes a new multi-objective optimization model of the CLSC, explicitly tailored to EV batteries under demand and return rate uncertainty. The proposed model incorporates three primary objectives that are typically in conflict with one another: minimizing the total cost, reducing carbon emissions throughout the entire supply chain network, and maximizing the recycling and reuse of batteries. The model employs a neutrosophic goal programming (NGP) methodology to address the uncertainties associated with demand and battery return quantities. The NGP model translates multiple objectives into non-monolithic goals with crisp aspiration levels (i.e., prescribed ideal levels for achieving the best of each goal) and thresholds that capture tolerances, thereby accounting for uncertainty. The efficiency of the proposed method is illustrated by a numerical example, solved using a IBM ILOG CPLEX Optimization Studio 22.1.2 solver. The findings demonstrate that the NGP can offer cost-effective, low-impact, and environmentally friendly solutions, thereby enhancing system robustness and flexibility to adapt to uncertainties. This study contributes to the emerging literature on sustainable operations research by developing a decision-making tool for EV-HV battery supply chain management. It also offers relevant suggestions for policymakers and industrialists who seek to co-optimize economic benefits, ecological sustainability, and logical feasibility in the emerging green society. Full article
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20 pages, 1433 KB  
Article
Decision-Making and Contract Coordination of Closed-Loop Supply Chain with Dual-Competitive Retail and Recycling Markets
by Wenjun Gao, Muxuan Li, Ruiqing Shi and Sheng Gao
Systems 2025, 13(10), 858; https://doi.org/10.3390/systems13100858 - 29 Sep 2025
Viewed by 685
Abstract
Sales competition and recycling rivalry are critical factors affecting the operation of closed-loop supply (CLSC). The existing research on competitive CLSCs primarily analyzes the impact of competition between two sales entities and/or two recycling entities on management decisions. To make the study more [...] Read more.
Sales competition and recycling rivalry are critical factors affecting the operation of closed-loop supply (CLSC). The existing research on competitive CLSCs primarily analyzes the impact of competition between two sales entities and/or two recycling entities on management decisions. To make the study more realistic, this study constructs a Stackelberg game model with the manufacturer as a leader, and analyzes the impacts of competition among n retailers (where n2) and rivalry among m third-party recyclers (where m2) on the decision-making and profits of both node enterprises and the supply chain system, and proposes a linear transfer-payment contract to coordinate the CLSC from an economic perspective. Numerical analyses are conducted to visualize the effects of competition on the decisions and profits. The key findings are as follows: (1) In the centralized system, inter-retailer competition reduces optimal order quantities but does not affect optimal retail prices. In the decentralized system, however, it decreases both optimal order quantities and retail prices. (2) Rivalry among recyclers reduces their optimal recycling volumes but does not affect their optimal recycling prices in the centralized system. In the decentralized system, however, such rivalry not only decreases recycling volumes but also increases optimal recycling prices. (3) The manufacturer’s product wholesale price and used product recycling price remain independent of competitive interactions among retailers and recyclers in the decentralized system. (4) Competition among retailers and recyclers positively affects the profits of the CLSC and the manufacturer, but negatively impacts those of retailers and recyclers. (5) When the reward–penalty factors for product order and used product recycling fall within a specific range, the linear transfer-payment contract can coordinate the CLSC in the presence of competition in both retail and recycling. (6) All enterprises’ profits are sensitive to the penalty–reward factor, but this sensitivities also gradually decrease as the number of retailers and (or) recyclers increases. Full article
(This article belongs to the Special Issue Supply Chain Management towards Circular Economy)
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27 pages, 3114 KB  
Article
Analysis of Information-Sharing Mechanisms in Online Closed-Loop Supply Chain Systems
by Dandan Gao, Nengmin Wang and Bin Jiang
Systems 2025, 13(9), 810; https://doi.org/10.3390/systems13090810 - 16 Sep 2025
Viewed by 833
Abstract
This research analyzes optimal information-sharing (IS) mechanisms in online closed-loop supply chain (CLSC) systems. In contrast to offline supply chains, online retailers hold a significant informational edge over their upstream counterparts due to their access to both demand and return information. Given that [...] Read more.
This research analyzes optimal information-sharing (IS) mechanisms in online closed-loop supply chain (CLSC) systems. In contrast to offline supply chains, online retailers hold a significant informational edge over their upstream counterparts due to their access to both demand and return information. Given that information asymmetry severely diminishes the efficiency of online CLSCs, it is imperative to optimize IS mechanisms to enhance operational performance. We emphasize the impact of product return and replacement information in e-businesses on inventory costs and bullwhip effects. The present study systematically characterizes four distinct IS mechanisms to assess their efficacy in mitigating information variability and inventory costs. The results underscore the vital importance of return information for supply chain management practices. A distributor who fails to account for return dynamics in their e-business may experience a detrimental operational performance. Particularly, online supply chains exhibit distinctive anomalies: sharing demand information may unexpectedly amplify bullwhip effects if the return period surpasses an online retailer’s lead time. This study offers valuable perspectives to assist managers in identifying the most effective IS strategies based on particular supply chain contexts, thereby facilitating robust supply chain partnerships. Full article
(This article belongs to the Section Supply Chain Management)
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27 pages, 1500 KB  
Article
CSR Input and Recycling Decisions for Closed-Loop Supply Chain with Asymmetric Demand Information
by Minghui Ni, Wenbo Bo, Xudong Qin and Fengmin Yao
Systems 2025, 13(6), 432; https://doi.org/10.3390/systems13060432 - 3 Jun 2025
Cited by 3 | Viewed by 885
Abstract
In reality, there is often information asymmetry between upstream and downstream enterprises in a closed-loop supply chain (CLSC) system, which can have a profound impact on the decisions of member enterprises and the operation of the system. Under asymmetric market demand information, this [...] Read more.
In reality, there is often information asymmetry between upstream and downstream enterprises in a closed-loop supply chain (CLSC) system, which can have a profound impact on the decisions of member enterprises and the operation of the system. Under asymmetric market demand information, this study examines CSR input and recycling decision making in CLSC. Four decision-making models were developed for CLSC, and the effects of consumer sensitivity to CSR input and demand information asymmetry on CLSC optimization were studied. The results indicate that higher consumer sensitivity to CSR input enhances both CSR levels and recycling rates, benefiting both manufacturer and retailer by increasing profits. In terms of increasing CSR levels, the manufacturer achieves the best results when independently managing CSR input and recycling. However, for improving recycling rates and market demand, the retailer is more effective when responsible for CSR input, with the manufacturer handling recycling. Additionally, demand information asymmetry reduces the manufacturer’s profit but may not affect the retailer’s profit. The retailer–manufacturer cooperation model proves more beneficial for overall CLSC system performance compared to information symmetry. Full article
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22 pages, 1161 KB  
Article
The Implications of Artificial Intelligence for Small and Medium-Sized Enterprises’ Sustainable Development in the Areas of Blockchain Technology, Supply Chain Resilience, and Closed-Loop Supply Chains
by Syed Abdul Rehman Khan, Adnan Ahmed Sheikh, Ibrahim Rashid Al Shamsi and Zhang Yu
Sustainability 2025, 17(1), 334; https://doi.org/10.3390/su17010334 - 4 Jan 2025
Cited by 30 | Viewed by 8189
Abstract
In today’s fast-paced business settings, the metaverse as a shared marketplace has gained popularity and is helping businesses to develop crucial business strategies in their pursuit of sustainable performance. However, a lack of understanding and knowledge about the effectiveness of the metaverse and [...] Read more.
In today’s fast-paced business settings, the metaverse as a shared marketplace has gained popularity and is helping businesses to develop crucial business strategies in their pursuit of sustainable performance. However, a lack of understanding and knowledge about the effectiveness of the metaverse and its related technologies creates a barrier. Therefore, the current study fills this gap and uses organizational information-processing theory to develop the theoretical framework to examine metaverse-related technologies (artificial intelligence and blockchain technology—BCT) and their direct and indirect effects on sustainable business performance, which no other study has examined. Using purposive sampling, the sample data from 326 SMEs were gathered and analyzed using a partial least square structural equation modeling (PLS-SEM). This study’s findings revealed that AI capabilities are vital for information gathering, analyzing, and decision-making in the metaverse context. BCT facilitates ensuring a transparent, visible, traceable, and immutable supply chain, which helps make it more resilient and improves the closed-loop supply chain (CLSC) system with positive technological advancements and significant effects on increasing sustainable business performance (SBP). This study’s findings help organizations understand the potential benefits of AI-enabled SMEs’ presence in the metaverse. The current investigation provides a strategy for managers to gain a competitive advantage, make the supply chain more robust, and enhance overall business performance. Full article
(This article belongs to the Section Economic and Business Aspects of Sustainability)
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22 pages, 2324 KB  
Article
Research on Decision-Making and Coordination of Closed-Loop Supply Chain Under Green and Low-Carbon Perspective
by Jianhua Wang and Xinyan Cai
Sustainability 2024, 16(23), 10591; https://doi.org/10.3390/su162310591 - 3 Dec 2024
Viewed by 1612
Abstract
This study explores low-carbon tech investment decisions in a closed-loop supply chain and their impact on supply chain optimization and relationships, using non-cooperative and cooperative game theories. This study examines the behavior patterns and potential gains of suppliers and manufacturers in independent vs. [...] Read more.
This study explores low-carbon tech investment decisions in a closed-loop supply chain and their impact on supply chain optimization and relationships, using non-cooperative and cooperative game theories. This study examines the behavior patterns and potential gains of suppliers and manufacturers in independent vs. cooperative circumstances using model simulations. This study reveals that the following: (1) Optimal pricing, technology investment, profit, and cost-sharing ratios for low-carbon technologies can be determined under certain conditions to maximize stakeholder profits. (2) Suppliers and manufacturers can mutually benefit in supplier-driven markets. (3) Manufacturers have greater investment opportunities in low-carbon technology when suppliers have market power. (4) Provider utility decreases as consumer preference for low-carbon products rises. (5) The dominant market structure for low-carbon products evolves with the market stage. These findings provide strategic guidance for green supply chain management. The research presented in this paper offers a theoretical foundation and strategic direction for low-carbon technology investment in CLSCs. Full article
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42 pages, 1236 KB  
Review
Review of Uncertainty, Carbon Emissions, Greenness Index, and Quality Issues in Green Supply Chains
by Sima Ghayebloo, Uday Venkatadri, Claver Diallo, Christian N. Samuel and Mir Saman Pishvaee
Sustainability 2024, 16(21), 9580; https://doi.org/10.3390/su16219580 - 4 Nov 2024
Cited by 4 | Viewed by 3223
Abstract
The ability of closed-loop supply chains (CLSC) and reverse logistics (RL) to improve the triple bottom line (economic, social and environmental values) has increased the development of design and management models for CLSCs and RL. Consequently, there exists an extensive body of literature [...] Read more.
The ability of closed-loop supply chains (CLSC) and reverse logistics (RL) to improve the triple bottom line (economic, social and environmental values) has increased the development of design and management models for CLSCs and RL. Consequently, there exists an extensive body of literature dedicated to exploring these supply and logistics issues. This paper reviews recent and relevant literature on CLSC and RL with an emphasis on uncertainty, carbon emissions, greenness index, return product quality and reliability considerations. The selected references are organized, reviewed, and analyzed to establish valuable mapping to highlight major findings. Finally, the outcomes are synthesized, and the primary research gaps are emphasized, pointing toward potential avenues for future investigation. These findings reveal that research efforts must be directed towards the development of multi-criteria greenness indices and multi-objective robust optimization models for uncertain quality and reliability of returns. Full article
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23 pages, 8449 KB  
Article
Towards a Closed-Loop Supply Chain: Assessing Current Practices in Empty Pesticide Container Management in Indonesia
by Lailafitri Handayani, Gatot Yudoko and Liane Okdinawati
Sustainability 2024, 16(19), 8310; https://doi.org/10.3390/su16198310 - 24 Sep 2024
Cited by 4 | Viewed by 4114
Abstract
Pesticides are essential to modern agriculture, significantly enhancing crop yields and quality to ensure global food security. Their critical role in preventing hunger is highlighted by the notable increase in global pesticide trade over the past decade. In Indonesia, pesticide usage has surged, [...] Read more.
Pesticides are essential to modern agriculture, significantly enhancing crop yields and quality to ensure global food security. Their critical role in preventing hunger is highlighted by the notable increase in global pesticide trade over the past decade. In Indonesia, pesticide usage has surged, with a 24% rise in registered pesticide formulations between 2017 and 2021. However, this increase presents challenges, particularly in the disposal of empty pesticide containers (EPC), which pose substantial environmental and health risks if improperly managed. To address this, a closed-loop supply chain (CLSC) is proposed as an effective, eco-friendly solution for the management of EPC waste. This study evaluates the implementation of a CLSC for EPC in Indonesia, employing rich picture analysis and stakeholder interviews to identify key challenges, opportunities, and strengths. Notable challenges include regulatory gaps, financial and operational feasibility, and limited farmer engagement. However, opportunities exist in enhancing environmental sustainability, generating economic benefits, and gaining support from industry groups. One key strength is the widespread practice of triple rinsing among farmers, with 62.63% of respondents already adopting this method. This study underscores the important of establishing clear and enforceable regulations, introducing financial incentives and supportive policies, promoting public–private partnerships, creating targeted behavior change interventions, and ensuring organizational commitments and training programs. These insights are crucial in developing a sustainable CLSC, ensuring both environmental and economic benefits. Full article
(This article belongs to the Special Issue Critical Issue on Waste Management for Environmental Sustainability)
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33 pages, 881 KB  
Article
Sustainable Operations Management in the Energy Sector: A Comprehensive Review of the Literature from 2000 to 2024
by Mariana Losada-Agudelo and Sebastian Souyris
Sustainability 2024, 16(18), 7999; https://doi.org/10.3390/su16187999 - 13 Sep 2024
Cited by 13 | Viewed by 7071
Abstract
This study centers on sustainable operations management within the energy sector, identifying and synthesizing effective strategies for integrating sustainability into business practices. We perform a systematic literature review covering contributions from January 2000 to June 2024 extracted from Web of Science and Scopus [...] Read more.
This study centers on sustainable operations management within the energy sector, identifying and synthesizing effective strategies for integrating sustainability into business practices. We perform a systematic literature review covering contributions from January 2000 to June 2024 extracted from Web of Science and Scopus databases. The methodology includes an explicit search and selection protocol to ensure relevant and unbiased insights into the evolution of sustainable practices in the energy sector. The results indicate an increase in publications over the years, particularly in areas such as low-carbon economies, environmental management, and innovation, all of which are crucial for reducing carbon footprints and enhancing operational sustainability. This study categorizes existing research into five main streams: Closed Loop Supply Chains (CLSC), Low Carbon Economy (LCE), Environmental Management and Performance (EMP), Innovation (INN), and Social Responsibility (SR). The review underscores the significant gap between current practices and the potential for incorporating renewable energy sources into existing systems. In addition, it highlights the need for robust governmental policies and international cooperation in order to foster a more rapid transition towards sustainable operations on the energy sector. Furthermore, our findings suggest that despite technological advances, significant implementation gaps remain that require focused research and policy adjustments in order to achieve sustainability targets in the energy sector. Full article
(This article belongs to the Special Issue Sustainable Operations & Supply Chain Management)
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45 pages, 3994 KB  
Review
Integrating Perishables into Closed-Loop Supply Chains: A Comprehensive Review
by Mobin Zarreh, Mohammad Khandan, Alireza Goli, Adel Aazami and Sebastian Kummer
Sustainability 2024, 16(15), 6705; https://doi.org/10.3390/su16156705 - 5 Aug 2024
Cited by 37 | Viewed by 12059
Abstract
In an era where sustainability and efficient resource utilization are paramount, the closed-loop supply chain (CLSC) emerges as a critical approach, particularly in the context of perishable goods. The perishability of products adds a layer of complexity to supply chain management, necessitating innovative [...] Read more.
In an era where sustainability and efficient resource utilization are paramount, the closed-loop supply chain (CLSC) emerges as a critical approach, particularly in the context of perishable goods. The perishability of products adds a layer of complexity to supply chain management, necessitating innovative strategies for maximizing product life and minimizing waste. This comprehensive review article delves into the integration of perishable products within the framework of CLSC. The study thoroughly examines existing research to identify gaps and outline future research directions. It emphasizes the unique challenges and complexities of managing perishable goods, a crucial but often overlooked component in sustainable supply chain practices. The review highlights the balance between efficiency and sustainability, underscoring the importance of reverse logistics and circular economy principles in enhancing supply chain resilience. By synthesizing various methodologies and findings, the article presents a holistic view of the current state of perishable product management in CLSCs, offering valuable insights for academia and industry practitioners. The study not only contributes to the theoretical understanding of CLSCs, but also proposes practical approaches for their optimization, aligning with broader sustainability goals. Full article
(This article belongs to the Special Issue Sustainability Management Strategies and Practices—2nd Edition)
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29 pages, 2789 KB  
Article
How to Choose Recycling Mode between Monopoly and Competition by Considering Blockchain Technology?
by Xuemei Zhang, Haodong Zheng, Tao Hang and Qiang Meng
Sustainability 2024, 16(15), 6296; https://doi.org/10.3390/su16156296 - 23 Jul 2024
Cited by 4 | Viewed by 1730
Abstract
Enterprises adopting a circular economy approach can effectively solve the severe situation of resources and the environment, and recycling is considered an effective means to solve environmental issues. Simultaneously, blockchain technology (BT) has been used to enhance product quality trust. However, there is [...] Read more.
Enterprises adopting a circular economy approach can effectively solve the severe situation of resources and the environment, and recycling is considered an effective means to solve environmental issues. Simultaneously, blockchain technology (BT) has been used to enhance product quality trust. However, there is limited literature on how to choose between monopolistic and competitive recycling modes by considering BT. This paper uses a game involving a manufacturer, a retailer, and a third-party recycler (TPR) in a closed-loop supply chain (CLSC). The retailer can recycle on itself and compete with the TPR for recycling used products. The results show that BT adoption could increase the recycling rate and demand for remanufactured products. BT benefits the firms in the CLSC when they control usage costs, regardless of whether competitive recycling mode is used or not. In addition, whether BT is adopted or not, CLSC firms prefer competitive recycling mode only when the competitive intensity exceeds a specific threshold. Moreover, choosing an appropriate recycling mode can alleviate the negative impact of BT on the environment, then an all-win result can be obtained for CLSC firms, consumers, and society. These results can give suggestions for managers to optimize their supply chains regarding adopting BT and implementing recycling mode. In the future, we can expand our research on the transfer price of used products, the positive and negative effects of BT, and BT cost-sharing strategies. Full article
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16 pages, 1338 KB  
Review
Closing the Gap: A Comprehensive Review of the Literature on Closed-Loop Supply Chains
by Melissa Zengin, Saman Hassanzadeh Amin and Guoqing Zhang
Logistics 2024, 8(2), 54; https://doi.org/10.3390/logistics8020054 - 13 May 2024
Cited by 9 | Viewed by 8428
Abstract
Background: Sustainable closed-loop supply chains have emerged as viable answers to supply chain problems. They can handle environmental damages (e.g., waste) and related social impacts. Closed-loop supply chains (CLSCs) are forward and reverse supply chain networks that have gained popularity in recent [...] Read more.
Background: Sustainable closed-loop supply chains have emerged as viable answers to supply chain problems. They can handle environmental damages (e.g., waste) and related social impacts. Closed-loop supply chains (CLSCs) are forward and reverse supply chain networks that have gained popularity in recent years. Recovery options such as reusing, remanufacturing and recycling can be considered in CLSCs. Methods: This paper provides a comprehensive evaluation of CLSC journal papers published between 2020 and the present. This study examines and synthesizes 54 papers from major publications in this area, covering a wide range of themes and approaches. This paper aims to respond to the following key questions: (i) What are the current trends and challenges in CLSC research, and how have they evolved since previous literature review papers? (ii) What key variables and objectives have been studied in recent CLSC research, and how have they been operationalized? (iii) What are the gaps and limitations in current CLSC research? To our knowledge, other literature review papers in this field have covered older papers, and recent papers have been ignored in them. Another research contribution of this paper is the taxonomy of it. Results: This review article highlights some developing themes and research gaps in the CLSC literature and makes recommendations for further study. Conclusions: This paper provides a comprehensive review of papers on closed-loop supply chain networks. Full article
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24 pages, 1396 KB  
Article
Multi-Objective Green Closed-Loop Supply Chain Management with Bundling Strategy, Perishable Products, and Quality Deterioration
by Golnaz Hooshmand Pakdel, Yong He and Sina Hooshmand Pakdel
Mathematics 2024, 12(5), 737; https://doi.org/10.3390/math12050737 - 29 Feb 2024
Cited by 5 | Viewed by 2893
Abstract
This study presents a four-objective mathematical model to improve closed-loop supply chain (CLSC) management. The aim of this research is to reduce the costs of the entire chain, risk, emission of pollutants, and time to deliver the product to the customer in uncertain [...] Read more.
This study presents a four-objective mathematical model to improve closed-loop supply chain (CLSC) management. The aim of this research is to reduce the costs of the entire chain, risk, emission of pollutants, and time to deliver the product to the customer in uncertain demand condition. In this paper, the NSGAII algorithm is used to solve the model. In this algorithm, among the answers of each generation, a number of them are selected using the two-run tournament selection method. In the binary selection method, the answers are randomly selected from the population, and then a comparison is made between these two answers, and whichever is better is finally selected. The selection criteria in NSGA-II are, firstly, the rank, and secondly, the crowding distance related to the answer. Also, the performance of the NSGA-II algorithm on the same model and data has been compared with the MOPSO algorithm. In the proposed algorithm, if it encounters an impossible solution, it exits the local mode and solves the problem in global conditions. The results show that the proposed method strikes a better balance between discovery and efficiency criteria and avoids falling into local optima. Therefore, in addition to its effectiveness in discovering optimal answers, the genetic-based method has high speed and subsequently, high convergence and diversity rates compared to the particle swarm method. Also, compared to previous methods in the green closed-loop supply chain, the proposed method is better than the modified genetic algorithm, reducing the costs of the chain by about 2.38%. Full article
(This article belongs to the Special Issue Mathematical Modelling and Optimization of Service Supply Chain)
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21 pages, 6099 KB  
Article
Game Models for Ordering and Channel Decisions of New and Differentiated Remanufactured Products in a Closed-Loop Supply Chain with Sales Efforts
by Niu Gao, Linchi Qu, Yuantao Jiang and Jian Hou
Systems 2024, 12(3), 67; https://doi.org/10.3390/systems12030067 - 20 Feb 2024
Cited by 5 | Viewed by 2350
Abstract
Environmental responsibility and economic benefits have promoted the development of closed-loop supply chains (CLSCs), and shortages and channels are considered to be two important issues in a CLSC. This paper explores the ordering and channel decisions in a CLSC with new and differentiated [...] Read more.
Environmental responsibility and economic benefits have promoted the development of closed-loop supply chains (CLSCs), and shortages and channels are considered to be two important issues in a CLSC. This paper explores the ordering and channel decisions in a CLSC with new and differentiated remanufactured products; considers the price and sales-effort-dependent demands, as well as the proportion of emergency orders determined by emergency order costs and backorder losses; and establishes integrated and decentralized CLSC game models. We introduce a stochastic sales effort, which affects two types of products. The numerical results show that sales effort and the order quantity of new and remanufactured products exhibit concave and convex functions, respectively. The upper limit of sales effort has a greater impact on supply chain decisions. High sales efforts can serve as a means of coordinating dispersed supply chains. Moreover, in different cases, the decisions of an integrated channel are better than those of a decentralized channel. Finally, whether the supply chain adopts an emergency order strategy depends on the relative cost of emergency orders and out-of-stock costs. According to this research, some management insights are also provided. Full article
(This article belongs to the Special Issue Multi-criteria Decision Making in Supply Chain Management)
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23 pages, 5100 KB  
Article
Optimizing Green Strategy for Retired Electric Vehicle Battery Recycling: An Evolutionary Game Theory Approach
by Yi Zheng and Yaoqun Xu
Sustainability 2023, 15(21), 15464; https://doi.org/10.3390/su152115464 - 31 Oct 2023
Cited by 20 | Viewed by 4347
Abstract
As the global new energy vehicle (NEV) industry rapidly expands, the disposal and recycling of end-of-life (EOL) power batteries have become imperative. Efficient closed-loop supply chain (CLSC) management, supported by well-designed regulations and strategic investments, plays a crucial role in sustainable waste power [...] Read more.
As the global new energy vehicle (NEV) industry rapidly expands, the disposal and recycling of end-of-life (EOL) power batteries have become imperative. Efficient closed-loop supply chain (CLSC) management, supported by well-designed regulations and strategic investments, plays a crucial role in sustainable waste power battery recycling. In this study, an evolutionary game theory (EGT) methodology is used to construct a tripartite game model to investigate the interactions among manufacturers, recyclers, and the government to study the decision-making dynamics of green investments. In addition, numerical simulations are performed to evaluate the sensitivity of the relevant parameters on the stability of the evolution of the system. The results reveal that government green subsidies can stimulate early period investments in advanced recycling technologies. However, as the battery recycling industry matures, a ‘free-rider’ behavior emerges among enterprises, which can be mitigated through the imposition of a carbon tax. Eventually, as the industry reaches maturity, manufacturers and recyclers autonomously invest for enhanced profitability. This research provides valuable insights for government policy formulation, facilitating the formal recycling of retired batteries and fostering sustainability in the NEV sector. Full article
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