Trade-offs between economic and environmental goals of production-inventory-routing problem for multiple perishable products

In this paper, we study an integrated production-inventory-routing problem for multiple perishable products (MPPIRP). We introduce two models to evaluate the trade-off between total emissions and total costs. The first model concentrates on minimizing carbon emissions from production, inventory, and routing activities. Notably, carbon emission in transportation depends on several factors, including vehicle load (empty load and carried load), velocity, and traveled distance. The other model considers the value loss of products due to deterioration during their lifetime in the total cost minimization objective function. We impose constraints that perishable products cannot be held, delivered, or used after their lifetimes have expired in both models. Then, we devise a PSO-based method to solve them. Computational experiments verify the effectiveness of the PSO-based method and the rationality of models. Furthermore, we compare costs, emissions, and key performance indicators under both objective functions. The impact of shelf-life on both objectives also has been analyzed. Computational results help us gain significant insights on generating strategy of production, inventory, and routing to minimize total costs or achieve a fully environmental-friendly goal.

Automated summary

In this paper, the authors address an integrated production-inventory-routing problem for multiple perishable products. They propose two models to evaluate the trade-off between total emissions and total costs, considering carbon emissions and value loss due to deterioration. They introduce constraints to ensure that perishable products are not held, delivered, or used after their lifetimes have expired. The authors devise a PSO-based method to solve the models and conduct computational experiments to validate their effectiveness and rationality. The results provide insights on generating strategies to minimize costs or achieve environmental goals.