Assessing energy consumption in supply chains

The paper addresses the transport activities and associated energy consumption involved in the production and supply of two products: jeans and yoghurt. In the case of jeans, the analysis is from the locations in which cotton is grown, to retail outlets in the UK; in the case of yoghurt, the analysis is from the supply of milk on farms, to retail outlets in France. The results show that the transport stages from the point of jeans manufacture to UK port are responsible for the greatest proportion of transport energy use per kilogram of jeans in the UK supply chain. In the case of the French yoghurt supply chains, the results indicate that each of the three transport stages from farm to third-party distribution centre consume approximately the same proportion of total freight transport energy. The energy used on the transport stage for yoghurt from third-party distribution centre to retail outlet varies depending on the type of retail outlet served. Far greater quantities of energy are used in transporting jeans than yoghurts from farm/field to retail outlet. This is explained by the distances involved in the respective supply chains. Both case studies demonstrate that the energy used by consumers transporting goods to their homes by car can be as great as total freight transport energy used in the supply chain from farm/field to retail outlet (per kilogram of product transported).

Analysing energy use in supply chains: the case of fruits & vegetables and furniture

An increasing number of producers, retailers and third-party logistics providers are interested in carrying out energy assessments of their product supply chain. This is due to sensitivity about climate change and carbon emissions, but also to high energy prices. This paper presents an analytical approach developed to measure energy use in logistics activities in product supply chains. The approach (based on the Life Cycle Approach) quantifies energy use in transport and logistics activities at all stages of a product supply chain. The work has demonstrated that such an assessment approach based on the supply chain is useful in comparing the energy use implications of different strategies. This supply chain approach can be used to consider options such as sourcing and distribution centre locations, transport modes, road freight vehicle types and weights, vehicle load factors, empty running, transport distance and the balance between consumer shopping trips and delivery to the home.

Energy efficiency and greenhouse gas emissions of different supply chains: a comparison of French, UK and Belgian cases

Freight transportation system is critical to economic activity but it carries significant environmental costs, notably GHG emissions and climate change : energy use and corresponding CO2 emissions is increasing faster in freight transport than in other sectors and this increase is primarily the result of increased trade. This paper compares the transport activities, associated energy consumption and CO2 emissions of different supply chains for a range of products in three countries: Belgium, France and United Kingdom. Among the products considered are furniture and ‘fruits & vegetables’. For each of these products, different supply chains, involving more or less transport activity and associated energy consumption are analysed in each country. The comparison highlights some of the main factors that influence GHG emissions for different supply chains and illustrates how they vary according to product and country of final distribution. In more detail, the paper addresses the main differences between the supply chains of these products namely, the origin of their sourcing, the logistical organisation between production and retail and different types of retail outlet. The origin of the sourcing impact is mainly related to distance. The impact of the logistical organisation between raw material and retail on GHG emissions is linked to the mode and vehicle choice and to the load factor. As for retail, the consumer trip emissions, between his home and the retail outlet, are also an important part of the whole supply chain emissions. It is worthwhile to notice that our goal in this project is to consider the whole supply chain, from production to consumption. Therefore a particular focus is put on the mobility behaviours of consumers purchasing the studied products during their shopping and dropping back home activities related to these products. Especially a web based survey has been conducted and the gathered results offer an opportunity for drawing a more detailed picture of the associated CO2 emissions. This paper uses the results of an ongoing research on supply chain energy efficiency, funded by ADEME (the French Energy Agency) through the French program on transport research (PREDIT). This research is based on a comprehensive review of the various approaches to quantifying the environmental impacts of supply chains together with data collection from a range of organisations including manufacturers, retailers and transport companies. We will first present the developed methodologies, then the results corresponding to each studied product will be described. A discussion of the potential application of the research approach to the wider debate about the environmental impact of freight transport and the scope for GHG emissions reduction targets to be achieved will be included.

Energy efficiency and greenhouse gas emissions of different supply chains: a comparison of French, UK and Belgian cases

Freight transportation system is critical to economic activity but it carries significant environmental costs, notably GHG emissions and climate change : energy use and corresponding CO2 emissions is increasing faster in freight transport than in other sectors and this increase is primarily the result of increased trade. This paper compares the transport activities, associated energy consumption and CO2 emissions of different supply chains for a range of products in three countries: Belgium, France and United Kingdom. Among the products considered are furniture and fruits & vegetables. For each of these products, different supply chains, involving more or less transport activity and associated energy consumption are analysed in each country. The comparison highlights some of the main factors that influence GHG emissions for different supply chains and illustrates how they vary according to product and country of final distribution. In more detail, the paper addresses the main differences between the supply chains of these products namely, the origin of their sourcing, the logistical organisation between production and retail and different types of retail outlet. The origin of the sourcing impact is mainly related to distance. The impact of the logistical organisation between raw material and retail on GHG emissions is linked to the mode and vehicle choice and to the load factor. As for retail, the consumer trip emissions, between his home and the retail outlet, are also an important part of the whole supply chain emissions. It is worthwhile to notice that our goal in this project is to consider the whole supply chain, from production to consumption. Therefore a particular focus is put on the mobility behaviours of consumers purchasing the studied products during their shopping and dropping back home activities related to these products. Especially a web based survey has been conducted and the gathered results offer an opportunity for drawing a more detailed picture of the associated CO2 emissions. This paper uses the results of an ongoing research on supply chain energy efficiency, funded by ADEME (the French Energy Agency) through the French program on transport research (PREDIT). This research is based on a comprehensive review of the various approaches to quantifying the environmental impacts of supply chains together with data collection from a range of organisations including manufacturers, retailers and transport companies. We will first present the developed methodologies, then the results corresponding to each studied product will be described. A discussion of the potential application of the research approach to the wider debate about the environmental impact of freight transport and the scope for GHG emissions reduction targets to be achieved will be included.

A method for analysing operational complexity in supply chains

This paper proposes a method for analysing the operational complexity in supply chains by using an entropic measure based on information theory. The proposed approach estimates the operational complexity at each stage of the supply chain and analyses the changes between stages. In this paper a stage is identified by the exchange of data and/or material. Through analysis the method identifies the stages where the operational complexity is both generated and propagated (exported, imported, generated or absorbed). Central to the method is the identification of a reference point within the supply chain. This is where the operational complexity is at a local minimum along the data transfer stages. Such a point can be thought of as a ‘sink’ for turbulence generated in the supply chain. Where it exists, it has the merit of stabilising the supply chain by attenuating uncertainty. However, the location of the reference point is also a matter of choice. If the preferred location is other than the current one, this is a trigger for management action. The analysis can help decide appropriate remedial action. More generally, the approach can assist logistics management by highlighting problem areas. An industrial application is presented to demonstrate the applicability of the method.

Partner selection in green supply chains using PSO - a practical approach

Partner selection is crucial to green supply chain management as the focal firm is responsible for the environmental performance of the whole supply chain. The construction of appropriate selection criteria is an essential, but often neglected pre-requisite in the partner selection process. This paper proposes a three-stage model that combines Dempster-Shafer belief acceptability theory and particle swarm optimization technique for the first time in this application. This enables optimization of both effectiveness, in its consideration of the inter-dependence of a broad range of quantitative and qualitative selection criteria, and efficiency in its use of scarce resources during the criteria construction process to be achieved simultaneously. This also enables both operational and strategic attributes can be selected at different levels of hierarchy criteria in different decision-making environments. The practical efficacy of the model is demonstrated by an application in Company ABC, a large Chinese electronic equipment and instrument manufacturer.

Planning and Scheduling Decisions in Supply Chains with Multiple Supply Modes: An Integrated Approach

We address the problem of jointly determining shipment planning and scheduling decisions with the presence of multiple shipment modes. We consider long lead time, less expensive sea shipment mode, and short lead time but expensive air shipment modes. Existing research on multiple shipment modes largely address the short term scheduling decisions only. Motivated by an industrial problem where planning decisions are independent of the scheduling decisions, we investigate the benefits of integrating the two sets of decisions. We develop sequence of mathematical models to address the planning and scheduling decisions. Preliminary computational results indicate improved performance of the integrated approach over some of the existing policies used in real-life situations.

The Complexity of Safety Stock Placement in General-Network Supply Chains

We consider the optimization problem of safety stock placement in a supply chain, as formulated in [1]. We prove that this problem is NP-Hard for supply chains modeled as general acyclic networks. Thus, we do not expect to find a polynomial-time algorithm for safety stock placement for a general-network supply chain.

Technology Supply Chains: An Introductory Essay

This working paper was originally printed in the Working Paper Series of the MIT International Motor Vehicle Program

Evaluating the likelihood of the adoption of an animal welfare assessment system in European agri-food supply chains

Purpose – The purpose of this paper is to analyse the likelihood of adoption of a recently designed Welfare Assessment System in agri-food supply chains and the factors affecting the adoption decision. The application is carried out for pig and poultry chains. Design/methodology/approach – This research consisted of two main components: interviews with retailers in pig and poultry supply chains in eight different EU countries to explore their perceptions towards the adoption possibilities of the welfare assessment system; and a conjoint analysis designed to evaluate the perceived adoption likelihood of the assessment system by different Standards Formulating Organisations (SFOs). Findings – Stakeholders were found to be especially concerned about the costs of implementation of the system and how it could, or should, be merged with existing assurance schemes. Another conclusion of the study is that the presence of a strong third independent party supporting the implementation of the welfare assessment system would be the most important influence on the decision whether, or not, to adopt it. Originality/value – This research evaluates the adoption possibilities of a novel Welfare Assessment System and presents the views of different supply chain stakeholders on an adoption of such a system. The main factors affecting the adoption decision are identified and analysed. Contrary to expectations, the costs of adoption of a new welfare assessment system were not considered to be the most important factor affecting the decision of supply chain stakeholders about the adoption of this new welfare system.