Single Forward and Reverse Supply Chain

Abstract

Supply chain involves the procurement structure, logistics, and inventory management from the point of origin to the end user of a product or service. In this chapter, Single Forward and Reverse Supply Chain (SFRSC) system is introduced where it is assumed that stores receive products from a single warehouse with a fixed lead times. Moreover, orders are assumed to have identical sizes and that they occur at equivalent time intervals which suggest that the natural inventory policy at warehouses and retailers is Economic Order Quantity (EOQ). Different types of costs are considered beside other social and environmental welfare costs that are outlined in this chapter. We, hence; extend the lagrangian relaxation approach that simulates the planning of supply chain to capture environmental and social factors along with economic ones.