Bi-objective optimization for the Production-Routing problem Cost vs Environment with energy consideration

Abstract

The integrated supply chain and its benefits are being studied increasingly, optimizing the different activities of different processes which have the same objective, especially cost minimization which became a center of interest because of its value for any commercial company. This paper has the purpose of developing a new approach to solve one of the integrated problems which concerns production, storage and distribution activities “Production-Routing Problem”, treating the economic, environmental and energetic aspects, three mathematical models are then proposed: one of them aims to minimize the total costs including production, inventory and distribution costs, the second one aims to minimize the total carbon emissions of the three activities, then a multi-objective model is proposed to join both objectives in only one using LP-metric, not only that but this problem is solved under an energy capacity constraints and with different processing speeds for the production system. Finally, experimental results are presented and discussed to show the tradeoff between the aspects.