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A System Dynamics Supply Chain Analysis for the Sustainability Transition of European Rolled Aluminum Products

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  • Masoud Khakdaman

    (Department of Operations Analytics, School of Business and Economics, Vrije Universiteit Amsterdam, De Boelelaan 1105, 1081 HV Amsterdam, The Netherlands
    Department of Marketing, Operations and Information Systems, College of Business, Abu Dhabi University, Abu Dhabi 59911, United Arab Emirates)

  • Wout Dullaert

    (Department of Operations Analytics, School of Business and Economics, Vrije Universiteit Amsterdam, De Boelelaan 1105, 1081 HV Amsterdam, The Netherlands)

  • Dirk Inghels

    (Department of Operations Analytics, School of Business and Economics, Vrije Universiteit Amsterdam, De Boelelaan 1105, 1081 HV Amsterdam, The Netherlands)

  • Marieke van Keeken

    (Department of Operations Analytics, School of Business and Economics, Vrije Universiteit Amsterdam, De Boelelaan 1105, 1081 HV Amsterdam, The Netherlands)

  • Pascal Wissink

    (Department of Operations Analytics, School of Business and Economics, Vrije Universiteit Amsterdam, De Boelelaan 1105, 1081 HV Amsterdam, The Netherlands)

Abstract

This research presents a system dynamics model to study the interaction among demand and supply evolutions, government regulations, sustainable adoption trends, investments in different decarbonization technologies, and environmental requirements for the European Aluminum Rolled Product Supply Chain (ARPSC). It allows stakeholders to assess the quantitative impact of investing in decarbonization technologies on supply chain sustainability. Investing in decarbonization technologies reduces greenhouse gas (GHG) emissions. The most substantial GHG emission reductions can be achieved if upstream ARPSC actors invest according to an aggressive investment strategy between 2031 and 2040. However, even with an aggressive investment strategy, investing in decarbonization technologies alone is likely to be insufficient to achieve the European Green Deal goals. Furthermore, barriers to investment in decarbonization technologies and a low rate of progress in doubling the European Union’s circularity rate may put extra stress on achieving the European Green Deal goals for the European ARPSC. Instead, ARPSC actors will additionally need to optimize the recycling of aluminum rolled products and adopt strategies for resource sufficiency, e.g., by sharing cars and using packaging multiple times.

Suggested Citation

  • Masoud Khakdaman & Wout Dullaert & Dirk Inghels & Marieke van Keeken & Pascal Wissink, 2024. "A System Dynamics Supply Chain Analysis for the Sustainability Transition of European Rolled Aluminum Products," Sustainability, MDPI, vol. 16(20), pages 1-27, October.
    • Handle: RePEc:gam:jsusta:v:16:y:2024:i:20:p:8892-:d:1498380
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    References listed on IDEAS

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    1. Sverdrup, Harald U. & Ragnarsdottir, Kristin Vala & Koca, Deniz, 2015. "Aluminium for the future: Modelling the global production, market supply, demand, price and long term development of the global reserves," Resources, Conservation & Recycling, Elsevier, vol. 103(C), pages 139-154.
    2. Boulanger, Paul-Marie & Brechet, Thierry, 2005. "Models for policy-making in sustainable development: The state of the art and perspectives for research," Ecological Economics, Elsevier, vol. 55(3), pages 337-350, November.
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    4. Mingers, John & White, Leroy, 2010. "A review of the recent contribution of systems thinking to operational research and management science," European Journal of Operational Research, Elsevier, vol. 207(3), pages 1147-1161, December.
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    6. Klaiman, Kimberly & Ortega, David L. & Garnache, Cloé, 2016. "Consumer preferences and demand for packaging material and recyclability," Resources, Conservation & Recycling, Elsevier, vol. 115(C), pages 1-8.
    7. Bronwyn H. Hall & Beethika Khan, 2003. "Adoption of New Technology," NBER Working Papers 9730, National Bureau of Economic Research, Inc.
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