Supply Chain Optimization Encompasses Integrated Forward and Reverse Logistics using Memetic Algorithm

Abstract

 Distribution allocation is one of the main problems in the logistics network models, particularly during the attempt to enable quick and efficient decision making strategically in the industrial context. Once the examination has been done in inspection centre, the recycled materials are assumed to be of the same quality as the raw materials in general. As not every recycled material will always be of high quality so we have created a recycle center node with a novelty to determine the quality of the products that were collected. Another point that we discussed about was how materials move with relevant assessment in the inspection system, which resulted in informed decisions on recycling, reusable/remanufacturing, or disposal in the reverse logistic system. This not only enables a clear picture of the resources that have been collected, but it also guarantees that the needs of the raw materials remain balanced; that the demand is met. Our approach proposes a model of integrated forward and reverse logistics network to determine the actual transportation cost in two different cases, with or without the new node open so that the cost of inventory transportation is optimized. The model is implemented by use of optimization software and the results of the simulation are compared by use of a numerical example.