Using Pareto Optimization to Support Supply Chain Network Design within Environmental Footprint Impact Assessment
2019
Kuo, Tsai-Chi | Lee, Yile
A product environmental footprint is a multi-criteria measure for environmental sustainability. Most of these environmental criteria are either synergies (non-trade-offs) or compromises (trade-offs) within environmental metrics. This forms a multi-objective problem of supply chain network design. The product environmental footprint is an aid or tool that enterprises may use to measure and improve the life cycle environmental performance of their products. In this research, a multi-criteria method, Pareto optimization, is used to design a supply chain network based on the results of a product environmental footprint. In Pareto optimization, two objectives are formulated: Environmental impact and cost. Using the results of this research, designers will be able to choose a material with a lower environmental impact and supply chain managers will be able to select suppliers with lower environmental impacts. A case study of industry practice is also analyzed. It shows an environmental footprint is useful for the supply chain design network.
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