On the dynamics of closed-loop supply chains with capacity constraints

In this paper, we investigate the dynamic behavior of a closed-loop supply chain with capacity restrictions both in the manufacturing and remanufacturing lines. We assume it operates in a context of a twofold uncertainty by considering stochastic demand and return processes. From a bullwhip perspective, we evaluate how the four relevant factors (specifically, two capacities and two sources of uncertainty) interact and determine the operational performance of the system by measuring the variability of the manufacturing and remanufacturing lines and the net stock. Interestingly, while the manufacturing capacity only impacts on the forward flow of materials, the remanufacturing capacity affects the dynamics of the whole system. From a managerial viewpoint, this work suggests that capacity constraints in both remanufacturing and manufacturing lines can be adopted as a fruitful bullwhip-dampening method, even if they need to be properly regulated for avoiding a reduction in the system capacity to fulfill customer demand in a cost-effective manner

Designing sustainable cold chains for long-range food distribution: Energy-effective corridors on the Silk Road Belt

Modern food production-distribution processes represent a critical stressor for the environment and for natural ecosystems. The rising flows of food across growing and consumption areas couple with the higher expectations of consumers for the quality of products and compel the intensive use of refrigerated rooms and transport means throughout the food supply chain. In order to aid the design of sustainable cold chains that incorporate such aspects, this paper proposes a mixed integer linear programming model to minimize the total energy consumption associated with the cold operations experienced by perishable products. This model is intended for food traders, logistics practitioners, retail managers, and importers collaboratively called to design and plan a cost and environmentally effective supply strategy, physical channels, and infrastructures for cold chains. The proposed model is validated with a case study inspired by the distribution of two example food products, namely fresh apples and ice cream, along the New Silk Road connecting Europe and China. The illustrated analysis investigates the effect of alternative routes and transport modes on the sustainability of the cold chain. It is found that the most energy-efficient route for ice cream is via rail over a northern route and, for apples, is via a southern maritime route, and, for these two routes, the ratios of the total energy consumed to the energy content of the food are 760 and 913, respectively. By incorporating the energy lost due to the food quality decay, the model identifies the optimal route to adopt in accordance with the shelf life and the conservation temperature of each product