Strategical and tactical supply chain optimisation for smart production planning and control 4.0

Industry 4.0 (I4.0) technologies generate new opportunities for developing smart models, algorithms and tools to support supply chain (SC) production planning and control (PPC), or smart PPC (SPPC 4.0). Paired with opportunities, challenges arise in integrating sustainability and resilience in SC network design (SCND) according under I4.0. The main novelty of this paper is to propose two multi-objective models that integrate strategical and tactical PPC decisions into a sustainable-resilient SC under I4.0 towards SPPC 4.0. Sustainability is incorporated in terms of reducing costs and CO2 emissions, and a job creation factor. Resilience is incorporated in terms of contracting support suppliers. To solve the multi-objective models, the augmented epsilon constraint method (AUGMECON) was used. This algorithm minimises a target objective function while it treats the others as constraints. Our experiments indicate that AUGMECON is sensitive to the choice of epsilon values. Furthermore, a synthetic data generation tool called SR1-SR2_SynthDataGenerator was developed. This tool generates input datasets to validate and evaluate our models against benchmarks. A stochastic model (SR2) is also proposed that, with small datasets, takes 8.39 seconds to solve. The proposed models can be useful for industries that seek sustainable and resilient SCs to adapt to changing environments.