A bi-objective network design model for multi-period, multi-product closed-loop supply chain

Concerns over environmental degradation legislative requirements and growing business needs have fueled the growth of closed-loop supply chains (CLSCs). This paper addresses a bi-objective network design problem for multi-period, multi-product CLSC to minimize the total supply chain costs and to maximize the service efficiency of the warehouses and hybrid facilities. We develop a bi-objective mixed integer linear programming model to assist decisions in (1) location/ operating decisions for warehouses, hybrid facilities and manufacturing facilities and (2) production and distribution of products between stages in the supply chain. Goal programming models and compromise programming techniques are used to solve the problem. An application of the model is demonstrated using a case study from the literature. ©2013 Chinese Institute of Industrial Engineers.