Socially optimal and fund-balanced advanced recycling fees and subsidies in a competitive forward and reverse supply chain

Advanced recycling fees (ARFs) and government subsidy fees are important for curtailing the consumption of new products and encouraging recycling and disposal of end-of-life (EOL) products. We introduce a model consisting of a leader (the Environmental Protection Agency, EPA) and two groups of followers (MIS firms and recyclers) consisting of manufacturers, importers and sellers, and recyclers which compete in both consuming and recycling markets. The EPA determines the ARFs paid by the MIS firms and the fees subsidizing recyclers to maximize the social welfare in closed-loop supply chains where the MIS firms and recyclers attempt to maximize their respective profit functions. To compare with current practice, we describe a conceptual fund balance model to determine the ARF and subsidy fee on the basis of the balance between total collected ARFs and expenditure of subsidies. Using numerical examples for the laptop computer market in Taiwan, we demonstrate that our results outperform the current practice.     

Performance improvement potential of sensor embedded products in environmental supply chains

Environmental supply chain is a desirable alternative to traditional supply chain due to new and stricter environmental regulations by local governments and increasing consumer awareness towards environmental issues. The two most common types of environmental supply chains are reverse supply chains and closed-loop supply chains. In reverse or closed-loop supply chains, collected used products are subjected to one of four recovery options, viz., reuse, recycling, remanufacturing or disposal. Regardless of the chosen recovery option, all products are disassembled up to some level. However, there is a high level of uncertainty associated with the disassembly yield due to non-functional and/or missing components. Sensor embedded products (SEPs) is a viable approach to cope with this uncertainty since they involve sensors which can detect non-functional and/or missing components prior to disassembly. This study presents a quantitative assessment of the impact of SEPs on the various performance measures of a kanban-controlled disassembly line. First, separate design of experiments studies based on Orthogonal Arrays are carried out for conventional products and SEPs. Then, the results of paired t-tests comparing the two cases based on different performance measures are presented.     

Company engagement with supply chains to protect biodiversity and rare,threatened, and endangered species

Future global megatrends project a population increase of 2 billion people between 2019 and 2050 and at least 1–2 billion people added to the global middle class between 2016 and 2030. In addition, 68% of the world's population is projected to be living in urban areas by 2050. With these projected large population increases and shifts, demand for food, water, and energy is projected to grow by approximately 35, 40, and 50%, respectively, between 2010 and 2030. In addition, between 1970 and 2014 there was an estimated 60% reduction in the number of wildlife in the world and an estimated net loss of 2.9 billion birds, or 29%, in North America between 1970 and 2018. Loss of species populations and number of species is interconnected with reduced health of biodiversity and ecosystems. Human activity has been the main catalyst for these substantial declines primarily through impacts on habitats. These losses are accelerating. Since a company's supply chain environmental impacts are often as great or greater than its own direct environmental impacts, it may be prudent for companies to engage with their supply chains to protect and enhance habitats and biodiversity and protect rare, threatened, and endangered species. As one example, companies may have opportunities and strategic reasons to include requirements in their supplier codes of conduct and supplier standards for suppliers to protect biodiversity and rare, threatened, and endangered species, as well as additional requirements to expand or enhance habitats and ecosystems to increase biodiversity. This article follows one pathway that companies could pursue further and with greater speed—to engage with their supply chains to strengthen supplier codes of conduct to protect biodiversity and rare, threatened, and endangered species. The importance of forests, private land, and landscape partnerships is discussed as means to protect much more of the planet's biodiversity and rare, threatened, and endangered species. Lastly, the article identifies examples of opportunities for companies to more formally incorporate biodiversity into their business, supply chain, and sustainability strategies.