Sustainable operations of industrial symbiosis: an enterprise input-output model integrated by agent-based simulation

Industrial symbiosis (IS) is a key for implementing circular economy. Through IS, wastes produced by one company are used as inputs by other companies. The operations of IS suffers from uncertainty barriers since wastes are not produced upon demand but emerge as secondary outputs. Such an uncertainty, triggered by waste supply-demand quantity mismatch, influences IS business dynamics. Accordingly, companies have difficulty to foresee potential costs and benefits of implementing IS. The paper adopts an enterprise input-output model providing a cost–benefit analysis of IS integrated to an agent-based model to simulate how companies share the total economic benefits stemming from IS. The proposed model allows to explore the space of cooperation, defined as the operationally favourable conditions to operate IS in an economically win-win manner. This approach, as a decision-support tool, allows the user to understand whether the IS relationship is created and how should the cost-sharing policy be. The proposed model is applied to a numerical example. Findings show that cost-sharing strategies are dramatically affected by waste supply-demand mismatch and by the relationship between saved and additional costs to run IS. Apart from methodological and theoretical contributions, the paper proposes managerial and practical implications for business strategy development in IS

Exploring Blockchain Adoption Supply Chains: Opportunities and Challenges

Acquisition Management / Grant technical reportAcquisition Research Program Sponsored Report SeriesSponsored Acquisition Research & Technical ReportsIn modern supply chains, acquisition often occurs with the involvement of a network of organizations. The resilience, efficiency, and effectiveness of supply networks are crucial for the viability of acquisition. Disruptions in the supply chain require adequate communication infrastructure to ensure resilience. However, supply networks do not have a shared information technology infrastructure that ensures effective communication. Therefore decision-makers seek new methodologies for supply chain management resilience. Blockchain technology offers new decentralization and service delegation methods that can transform supply chains and result in a more flexible, efficient, and effective supply chain. This report presents a framework for the application of Blockchain technology in supply chain management to improve resilience. In the first part of this study, we discuss the limitations and challenges of the supply chain system that can be addressed by integrating Blockchain technology. In the second part, the report provides a comprehensive Blockchain-based supply chain network management framework. The application of the proposed framework is demonstrated using modeling and simulation. The differences in the simulation scenarios can provide guidance for decision-makers who consider using the developed framework during the acquisition process.Approved for public release; distribution is unlimited

Information Exchange in Global Production Networks: Increasing Transparency by Simulation, Statistical Experiments and Selection of Digitalization Activities

Today, companies of all industries are part of global production networks. They have a variety of performance relationships with suppliers and customers. Digitalization offers the potential to exchange more information between the partners of global production networks. This may improve operational performance. Especially within the three business processes order management, quality problem solving and engineering change management, a targeted increase in transparency promises a better handling of disruptions and an increase in robustness. This paper presents a simulation-based methodology for modeling production and business processes as well as information exchange in global production networks. Following the principles of Design of Experiment (DoE), screening test plans first carve out the impact of disruptions and information exchange on the performance of the production network. This is followed by the determination of the disruption-robust information exchange using Taguchi-experiments. Starting from the actual state of information exchange, digitalization activities to increase transparency are finally determined. The activities consist of the implementation of digitalization technologies and the stronger linkage of information systems. The paper ends with an application of the methodology to a global production network for plastic-metal components in the automotive supplier industry

Cooperation in manure-based biogas production networks: An agent-based modeling approach

Biogas production from manure has been proposed as a partial solution to energy and environmental concerns. However, manure markets face distortions caused by considerable unbalance between supply and demand and environmental regulations imposed for soil and water protection. Such market distortions influence the cooperation between animal farmers, biogas producers and arable land owners causing fluctuations in manure prices paid (or incurred) by animal farmers. This paper adopts an agent-based modeling approach to investigate the interactions between manure suppliers, i.e., animal farmers, and biogas producers in an industrial symbiosis case example consisting of 19 municipalities in the Overijssel region (eastern Netherlands). To find the manure price for successful cooperation schemes, we measure the impact of manure discharge cost, dimension and dispersion of animal farms, incentives provided by the government for bioenergy production, and the investment costs of biogas plants for different scales on the economic returns for both actor types and favorable market conditions. Findings show that manure exchange prices may vary between −3.33 €/t manure (i.e., animal farmer pays to biogas producer) and 7.03 €/t manure (i.e., biogas producer pays to animal farmer) and thanks to cooperation, actors can create a total economic value added between 3.73 €/t manure and 39.37 €/t manure. Hence, there are cases in which animal farmers can profitably be paid, but the presence of a supply surplus not met by demand provides an advantage to arable land owners and biogas producers in the price contracting phase in the current situation in the Netherlands

Supply chain risk management : systematic literature review and a conceptual framework for capturing interdependencies between risks

The purpose of this research is to conduct a comprehensive and systematic review of the literature in the field of 'Supply Chain Risk Management' and identify important research gaps for potential research. Furthermore, a conceptual risk management framework is also proposed that encompasses holistic view of the field. 'Systematic Literature Review' method is used to examine quality articles published over a time period of almost 15 years (2000 - June, 2014). The findings of the study are validated through text mining software. Systematic literature review has identified the progress of research based on various descriptive and thematic typologies. The review and text mining analysis have also provided an insight into major research gaps. Based on the identified gaps, a framework is developed that can help researchers model interdependencies between risk factors

Agribusiness supply chain risk management: A review of quantitative decision models

Supply chain risk management is a large and growing field of research. However, within this field, mathematical models for agricultural products have received relatively little attention. This is somewhat surprising as risk management is even more important for agricultural supply chains due to challenges associated with seasonality, supply spikes, long supply lead-times, and perishability. This paper carries out a thorough review of the relatively limited literature on quantitative risk management models for agricultural supply chains. Specifically, we identify robustness and resilience as two key techniques for managing risk. Since these terms are not used consistently in the literature, we propose clear definitions and metrics for these terms; we then use these definitions to classify the agricultural supply chain risk management literature. Implications are given for both practice and future research on agricultural supply chain risk management