Volume 20 No 8 (2022)
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An Integrated Vendor – Buyer Inventory Model with Logistics and Environmental Consideration Based on a Strict Carbon Cap Policy
P.Selvi and W.Ritha
Abstract
Carbon emissions from the firm's various activities pose a significant threat to the
environment. Companies are looking for ways to reduce carbon emissions as a result of carbon
policies imposed by various government regulatory bodies. In this paper, a strict carbon cap policy is
considered for inventory management in supply chains while taking logistics and green investment
into account. The major sources of emissions that affect the environment are inventory holding,
production, setup, emission from green technology, and transportation. The primary goal is to
determine the optimal order quantity and number of shipments. The goal is to reduce the total cost
of the supply chain while meeting the carbon emission constraint. Finally, a numerical example is
provided to illustrate the proposed model
Keywords
Supply chain, strict carbon cap, Integrated Vendor-Buyer inventory, carbon emission, Green technology.
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