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A bilevel programming model for corporate social responsibility collaboration in sustainable supply chain management

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  • Hsueh, Che-Fu

Abstract

This study proposes a bilevel programming model in which the supply chain (SC) director determines optimal performance levels of corporate social responsibility (CSR) and compensation for all SC actors, thus maximizing total SC profits. Given the fixed CSR performance levels, the equilibrium product flows are determined in the lower-level model, in which the profit-maximizing behavior of the individual SC actor is considered and formulated as a variational inequality. The test results show that it is possible to improve not only performance of CSR, but also the profits of both individual SC actors and the whole SC through proper SC collaboration.

Suggested Citation

  • Hsueh, Che-Fu, 2015. "A bilevel programming model for corporate social responsibility collaboration in sustainable supply chain management," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 73(C), pages 84-95.
  • Handle: RePEc:eee:transe:v:73:y:2015:i:c:p:84-95
    DOI: 10.1016/j.tre.2014.11.006
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    References listed on IDEAS

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    1. Liu, Zugang (Leo) & Anderson, Trisha D. & Cruz, Jose M., 2012. "Consumer environmental awareness and competition in two-stage supply chains," European Journal of Operational Research, Elsevier, vol. 218(3), pages 602-613.
    2. Panda, Shibaji, 2014. "Coordination of a socially responsible supply chain using revenue sharing contract," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 67(C), pages 92-104.
    3. Hsueh, Che-Fu & Chang, Mei-Shiang, 2008. "Equilibrium analysis and corporate social responsibility for supply chain integration," European Journal of Operational Research, Elsevier, vol. 190(1), pages 116-129, October.
    4. Ni, Debing & Li, Kevin W. & Tang, Xiaowo, 2010. "Social responsibility allocation in two-echelon supply chains: Insights from wholesale price contracts," European Journal of Operational Research, Elsevier, vol. 207(3), pages 1269-1279, December.
    5. Cruz, Jose M., 2008. "Dynamics of supply chain networks with corporate social responsibility through integrated environmental decision-making," European Journal of Operational Research, Elsevier, vol. 184(3), pages 1005-1031, February.
    6. Chiou, Suh-Wen, 2005. "Bilevel programming for the continuous transport network design problem," Transportation Research Part B: Methodological, Elsevier, vol. 39(4), pages 361-383, May.
    7. Hsueh, Che-Fu, 2014. "Improving corporate social responsibility in a supply chain through a new revenue sharing contract," International Journal of Production Economics, Elsevier, vol. 151(C), pages 214-222.
    8. Josefsson, Magnus & Patriksson, Michael, 2007. "Sensitivity analysis of separable traffic equilibrium equilibria with application to bilevel optimization in network design," Transportation Research Part B: Methodological, Elsevier, vol. 41(1), pages 4-31, January.
    9. Goering, Gregory E., 2012. "Corporate social responsibility and marketing channel coordination," Research in Economics, Elsevier, vol. 66(2), pages 142-148.
    10. Brandenburg, Marcus & Govindan, Kannan & Sarkis, Joseph & Seuring, Stefan, 2014. "Quantitative models for sustainable supply chain management: Developments and directions," European Journal of Operational Research, Elsevier, vol. 233(2), pages 299-312.
    11. Tang, Christopher S. & Zhou, Sean, 2012. "Research advances in environmentally and socially sustainable operations," European Journal of Operational Research, Elsevier, vol. 223(3), pages 585-594.
    12. Cruz, Jose M. & Liu, Zugang, 2011. "Modeling and analysis of the multiperiod effects of social relationship on supply chain networks," European Journal of Operational Research, Elsevier, vol. 214(1), pages 39-52, October.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Sudarto, Sumarsono & Takahashi, Katsuhiko & Morikawa, Katsumi, 2017. "Efficient flexible long-term capacity planning for optimal sustainability dimensions performance of reverse logistics social responsibility: A system dynamics approach," International Journal of Production Economics, Elsevier, vol. 184(C), pages 179-192.
    2. repec:gam:jsusta:v:9:y:2017:i:11:p:2113-:d:119399 is not listed on IDEAS
    3. Bian, Junsong & Li, Kevin W. & Guo, Xiaolei, 2016. "A strategic analysis of incorporating CSR into managerial incentive design," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 86(C), pages 83-93.
    4. repec:wsi:ijitdm:v:16:y:2017:i:01:n:s0219622016500450 is not listed on IDEAS
    5. repec:gam:jsusta:v:10:y:2018:i:7:p:2356-:d:156629 is not listed on IDEAS
    6. repec:eee:ejores:v:268:y:2018:i:2:p:399-431 is not listed on IDEAS
    7. repec:eee:proeco:v:190:y:2017:i:c:p:45-59 is not listed on IDEAS
    8. Nematollahi, Mohammadreza & Hosseini-Motlagh, Seyyed-Mahdi & Heydari, Jafar, 2017. "Coordination of social responsibility and order quantity in a two-echelon supply chain: A collaborative decision-making perspective," International Journal of Production Economics, Elsevier, vol. 184(C), pages 107-121.

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