A facility location model for socio-environmentally responsible decision-making

Ansbro, D.; Wang, Q.

doi:10.1186/2210-4690-3-5

A facility location model for socio-environmentally responsible decision-making

Ansbro, D.; Wang, Q.

Authors

D. Ansbro

Dr Qing Wang qing.wang@durham.ac.uk
Associate Professor

Abstract

The consideration of external costs is becoming more important in supply network design, as companies are under increasing pressure to reduce the environmental and social impacts of their operations. This paper presents a single time period, single-product mixed integer linear programming formulation, which considers such external costs, as well as the impact of waste disposal. The model presented considers a network of suppliers, manufacturing facilities, customers, scrap recyclers, general recycling facilities and landfill sites and makes facility location and allocation decisions so as to minimise both the economic and external costs of all network operations. The model was formulated using the What’s Best Excel add-in and tested on a commercial case study concerning the supply network operations of Hydram, a leading sheet metal fabrication company, considering three different scenarios. Details of how the external and economic costs were determined are included, with reference to the literature. By analysis of the experimental results, commercial recommendations for facility location are made, and the managerial uses of the model for socio-environmentally responsible decision-making are discussed. The benefits and limitations of the proposed model are also discussed.

Citation

Ansbro, D., & Wang, Q. (2013). A facility location model for socio-environmentally responsible decision-making. Journal of Remanufacturing, 3(1), https://doi.org/10.1186/2210-4690-3-5

Journal Article Type	Article
Acceptance Date	Mar 25, 2013
Publication Date	Apr 26, 2013
Deposit Date	May 3, 2013
Publicly Available Date	Sep 17, 2015
Journal	Journal of Remanufacturing
Print ISSN	2210-464X
Publisher	Springer
Peer Reviewed	Peer Reviewed
Volume	3
Issue	1
DOI	https://doi.org/10.1186/2210-4690-3-5
Keywords	External costs, Mixed integer linear program, Supply network, Facility location-allocation problem.

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Publisher Licence URL
http://creativecommons.org/licenses/by/4.0/

Copyright Statement
© 2013 Ansbro and Wang; licensee Springer. This is an Open Access article distributed under the terms of the Creative Commons Attribution License (http://creativecommons.org/licenses/by/2.0), which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.