Manufacturing/remanufacturing based supply chain management under advertisements and carbon emissions process
Управление цепочкой поставок на основе производства/перепроизводства с учётом рекламы и выбросов углерода
2021-12-20
SCID: 54.1/2v35qqrf
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advertising-dependent demandcarbon emissions costholding and degrading costsmanufacturing/remanufacturing supply chainsensitivity analysis
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Abstract (AI)
One of the most successful ways to get the word out about a product’s popularity across all types of customers is through advertising. It has a valuable direct influence on increasing product demand. The supply chain model is developed for manufacturer and retailer, where advertisements are dependent on demand. The advertisement rate has been considered a function that has enhanced at a diminishing rate concerning time, although the growth rate slowed. During the manufacturing cycle, the market’s demand is a function of advertisement, and the customer’s demand is a linear function of time. The production rate exceeds the demand rate during manufacturing and remanufacturing; shortages are not faced. It involves a manufacturing/remanufacturing process that quickly delivers consumer products and less waste. To keep the environment clean, the cost of carbon emissions is incorporated into the manufacturer’s and supplier’s holding and degrading costs. The model’s primary purpose is to minimize the overall cost of manufacturing and remanufacturing. The overall cost during the manufacturing cycle is higher than that during the remanufacturing cycle. This study confirms that the increasing cost of advertising provides the continuous increasing value of the total cost. A numerical example is provided, graphical representation and sensitivity analysis determine the function’s behavior and test the model.
Key Findings
1
A numerical example, graphical representations, and sensitivity analysis are used to illustrate function behavior and validate the model.
2
A two-echelon supply chain model (manufacturer and retailer) is developed where advertising rate depends on demand and increases at a diminishing rate over time.
3
Carbon emission costs are incorporated into manufacturer and supplier holding and degrading costs to reflect environmental considerations.
4
Increasing advertising cost leads to a continuously increasing total cost according to the model.
5
Market demand during manufacturing is modeled as a function of advertising, while customer demand during remanufacturing is linear in time.
6
Production (both manufacturing and remanufacturing) exceeds demand so the system operates without shortages.
7
The model's objective is to minimize total cost of manufacturing and remanufacturing, with total cost during manufacturing higher than during remanufacturing.
Research Object
Manufacturer–retailer supply chain with manufacturing and remanufacturing processes under advertising-dependent demand and carbon-emission costs
Research Subject
Minimization of overall cost (manufacturing and remanufacturing cycles) considering advertisement-driven demand dynamics, production/remanufacturing rates, holding/degrading costs, and carbon emission costs
Publication Details
Publication Date
2021-12-20
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