Determining the factor levels for a green supply chain using response surface methodology based discrete event simulation

Abstract

Purpose

This study aims to optimize the levels of factors for a green supply chain (GSC) while concurrently gaining valuable insights into the dynamic interrelationships among several factors, leading to reductions in CO₂ emissions and the maximization of the average service level, thereby enhancing overall supply chain performance.

Design/methodology/approach

Response surface methodology (RSM) is employed as a technique for multiple response optimization. This study uses a supply chain simulation model that includes decision variables related to the level of inventory control parameters and vehicle capacity. The desirability approach is adopted to achieve optimization objectives by focusing on minimizing CO₂ emissions and maximizing service levels while simultaneously determining the optimum levels of considered decision variables.

Findings

The high R² values of 97.38% for CO₂ and 97.28% for service level, along with adjusted R² values reasonably close to predicted values, affirm the models' capability to predict responses accurately. Key significant model terms for CO₂ encompassed reorder point, order up to quantity, vehicle capacity, and their interaction effects, while service level is notably influenced by reorder point, order up to quantity, and their interaction effects. The study successfully achieved a high level of desirability value of %99.1 and the validated performance levels confirmed that the results fall within the prediction interval.

Originality/value

This study introduces a metamodel framework designed to optimize various design parameters for a GSC combining discrete event simulation (DES) and RSM in the form of a simulation optimization model. In contrast to the literature, the current study offers an exhaustive and in-depth analysis of the structural elements of the supply chain, particularly the inventory control parameters and vehicle capacity, which are crucial for comprehending its performance and environmental impact.

Citation

Dosdoğru, A.T., Buruk Sahin, Y., Göçken, M. and Boru İpek, A. (2024), "Determining the factor levels for a green supply chain using response surface methodology based discrete event simulation", Kybernetes, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/K-08-2023-1488