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Production and transportation outsourcing decisions in the supply chain under singleand multiple carbon policies
Jian Li, Qin Su, Li Ma
PII: S0959-6526(16)31498-6
DOI: 10.1016/j.jclepro.2016.09.157
Reference: JCLP 8117
To appear in: Journal of Cleaner Production
Received Date: 4 March 2016
Revised Date: 9 August 2016
Accepted Date: 19 September 2016
Please cite this article as: Li J, Su Q, Ma L, Production and transportation outsourcing decisions inthe supply chain under single and multiple carbon policies, Journal of Cleaner Production (2016), doi:10.1016/j.jclepro.2016.09.157.
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Production and transportation outsourcing decisions in the supply
chain under single and multiple carbon policies
Jian Li, Qin Su*, Li Ma
School of Management, State Key Laboratory for Manufacturing Systems Engineering, The Key
Lab of the Ministry of Education forProcess Control Efficiency Engineering, Xi’an Jiaotong
University, Xi’an, China
Cap-and-trade and carbon tax are the two main policies to reduce carbon emissions.
Different from the previous literature and practice, this paper examines the production
and transportation outsourcing problems of a two-echelon supply chain under the
cap-and-trade policy and joint cap-and-trade and carbon tax policy. Enterprise
operations are divided into the order stage and transportation outsourcing decision
stage. In the order stage, the retailer sets his order schedule for the manufacturing
plant for fulfillment, and in the transportation outsourcing decision stage, the
manufacturer decides the optimal freight volume based on energy consumption.
Furthermore, we construct a basic model without a carbon policy and two extended
models with carbon policies and the optimal solutions of the models are solved.
Numerical examples are provided, and the three models are compared. The results
indicate that the extended model with carbon policies is more beneficial for emissions
reduction, and the effect of emissions reduction gradually becomes smooth as the
carbon price increases; the joint cap-and-trade and carbon tax policy is more effective
for emissions reduction, especially when the carbon price is lower. These findings will
be helpful to policy makers and managers.
Keywords: inventory management; production control; transportation outsourcing;
carbon emissions; carbon policy
1. Introduction
It is a general consensus that the main reason for global warming is greenhouse gases
(GHG) such as carbon dioxide (CO2).Many countries and regions have enacted *Corresponding author. Tel.:+86 029 82668383 E-mail address: [email protected]