Strategic and tactical planning of a closed-loop supply chain network under uncertainty

While the strategic planning of a supply chain, which is typically a long range planning, deals with the design aspect of the supply chain (what products should be processed/produced in what facilities etc.), tactical planning is typically a medium-range planning that involves the optimization of flow of goods and services across the supply chain. In this paper, we present a multi-criteria optimization model for the strategic and tactical planning of a closed-loop supply chain under uncertainty, where the aspiration levels for various goals are more likely to be in the "approximately more/less than" and/or "more/less is better" form. We use fuzzy goal programming technique to solve the problem. When solved, the model identifies simultaneously the most economical used-product to re-process in the supply chain, the efficient production facilities and the right mix and quantity of goods to be transported across the supply chain. A numerical example is considered to illustrate the methodology.