Sustainable supply chain modeling: a review based on the application of the system dynamics approach

Abstract

Sustainable supply chains, evolving with supply chain 5.0 revolution, are crucial for achieving sustainable development goals (SDGs) by balancing economic growth, environmental protection, and social responsibility. They help reduce environmental impacts, promote ethical labor practices, and ensure financial viability. Sustainable supply chains involve complex interactions and external influences. The system dynamics approach effectively captures these intricate interactions through feedback loops and non-linear relationships. This review seeks to identify issues in modeling sustainable supply chains using system dynamics and offer insights for developing sustainable, flexible, responsive, and resilient models. This paper reviews literature from 2020 to 2023 using thematic analysis. It examines dynamics, behaviors, management, sustainability strategies, decision-making, and future directions for sustainable supply chain modeling. The findings suggest that a comprehensive framework can enhance management practices, support policymaking, and promote sustainability. Integrated risk management is essential for resilient, adaptable supply chains, while financial viability and scalability are essential for the widespread adoption of sustainability practices. Understanding the roles of various actors and integrating supply chain components can improve support systems, and exploring green energy, technology adoption, and consumer behavior can advance sustainability goals. Future research should also better integrate sustainability aspects and explore a broader range of literature for deeper insights.