Sustainable cold supply chain management under demand uncertainty and carbon tax regulation

Babagolzadeh, Mahla and Shrestha, Anup ORCID: https://orcid.org/0000-0002-2952-0072 and Abbasi, Babak and Zhang, Yahua ORCID: https://orcid.org/0000-0003-1522-3402 and Woodhead, Alice and Zhang, Anming (2020) Sustainable cold supply chain management under demand uncertainty and carbon tax regulation. Transportation Research Part D: Transport and Environment, 80:102245. pp. 1-30. ISSN 1361-9209

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Abstract

Increasing awareness of sustainability in supply chain management has prompted organizations and individuals to consider environmental impacts when managing supply chains. The issues concerning environmental impacts are significant in cold supply chains due to substantial carbon emissions from storage and distribution of temperature-sensitive product. This paper investigates the impact of carbon emissions arising from storage and transportation in the cold supply chain in the presence of carbon tax regulation, and under uncertain demand. A two-stage stochastic programming model is developed to determine optimal replenishment policies and transporta- tion schedules to minimize both operational and emissions costs. A matheuristic algorithm based on the Iterated Local Search (ILS) algorithm and a mixed integer programming is developed to solve the problem in realistic sizes. The performance and robustness of the matheuristic algo- rithm are analyzed using test instances in various sizes. A real-world case study in Queensland, Australia is used to demonstrate the application of the model. The results highlight that higher emissions price does not always contribute to the efficiency of the cold supply chain system. Furthermore, the analyses indicate that using heterogeneous fleet including light duty and medium duty vehicles can lead to further cost saving and emissions reduction.


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Item Type: Article (Commonwealth Reporting Category C)
Refereed: Yes
Item Status: Live Archive
Faculty/School / Institute/Centre: Historic - Faculty of Business, Education, Law and Arts - School of Commerce (1 Jul 2013 - 17 Jan 2021)
Faculty/School / Institute/Centre: Historic - Faculty of Business, Education, Law and Arts - School of Management and Enterprise (1 Jul 2013 - 17 Jan 2021)
Date Deposited: 12 Feb 2020 05:22
Last Modified: 02 Jun 2021 00:30
Uncontrolled Keywords: sustainable cold supply chain; two-stage stochastic programming; carbon tax regulations; demand uncertainty; matheuristic algorithm
Fields of Research (2008): 15 Commerce, Management, Tourism and Services > 1507 Transportation and Freight Services > 150703 Road Transportation and Freight Services
08 Information and Computing Sciences > 0806 Information Systems > 080605 Decision Support and Group Support Systems
01 Mathematical Sciences > 0103 Numerical and Computational Mathematics > 010303 Optimisation
Fields of Research (2020): 35 COMMERCE, MANAGEMENT, TOURISM AND SERVICES > 3509 Transportation, logistics and supply chains > 350908 Road transportation and freight services
46 INFORMATION AND COMPUTING SCIENCES > 4609 Information systems > 460902 Decision support and group support systems
49 MATHEMATICAL SCIENCES > 4903 Numerical and computational mathematics > 490304 Optimisation
Identification Number or DOI: https://doi.org/10.1016/j.trd.2020.102245
URI: http://eprints.usq.edu.au/id/eprint/37986

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