Sustainability is key factor for transforming traditional supply chain networks into modern ones. This study, for the first time, considers the impacts of the backup suppliers and lateral transshipment/resupply simultaneously on designing a Sustainable Closed-Loop Supply Chain Network (SCLSCN) to decrease the shortage that may occur during the transmission of produced goods in the network. In this manner, the fuzzy multi-objective mixed-integer linear programming model is proposed to design an efficient SCLSCN resiliently. Moreover, the concept of circular economy has been studied in this paper to reduce environmental effects. This study aims to optimize total and environmental costs, including energy consumption and pollution emissions, while increasing job opportunities. A demand uncertainty component is considered to represent reality more closely. Due to the importance of demand, this parameter is estimated using the Fuzzy Inference System (FIS) as an input into the proposed mathematical model. Then, the fuzzy robust optimization approach is applied in a fuzzy set's environment. The model is tackled by a Multi-Choice Goal Programming Approach with Utility Function (MCGP-UF) to be solved in a timely manner, and the equivalent auxiliary crisp model is employed to convert the multi-objective function to a single objective. The proposed model is tested on the case study of the tire industry in terms of costs, environmental impacts, and social effects. The result confirmed that considering the concept of lateral resupply and backup supplier could considerably decrease the total costs and reduce shortages on the designed SCLSCN. Finally, sensitivity analysis on some crucial parameters is conducted, and future research directions are discussed.
Keywords: Backup suppliers; Circular economy; Fuzzy inference system; Fuzzy robust optimization; Lateral transshipment/resupply; Sustainable closed-loop supply chain network.
© The Author(s), under exclusive licence to Springer Nature B.V. 2022.