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A hybrid approach to configure eco-efficient supply chains under consideration of performance and risk aspects

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  • Brandenburg, Marcus

Abstract

Formal models that support multi-criteria decision making represent a strongly growing area in sustainable supply chain management research. However, uncertainties and risks are seldom considered in quantitative models for green supply chain (SC) design. The paper at hand suggests a hybrid approach to configure an eco-efficient SC for a new product under consideration of economic and environmental risks. Discrete-event simulation is applied to assess the financial, operational and environmental performance of different SC configuration options while the value-at-risk concept is adapted to evaluate related SC risks. The analytic hierarchy process is employed to solve the resulting multi-criteria decision problem of choosing the best option. The approach is illustrated at a case example of a fast moving consumer goods manufacturer.

Suggested Citation

  • Brandenburg, Marcus, 2017. "A hybrid approach to configure eco-efficient supply chains under consideration of performance and risk aspects," Omega, Elsevier, vol. 70(C), pages 58-76.
    • Handle: RePEc:eee:jomega:v:70:y:2017:i:c:p:58-76
    DOI: 10.1016/j.omega.2016.09.002
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