Prioritizing sustainable third-party reverse logistics providers using a novel fuzzy-projection model

Category: Resource Management · Effect: Strong effect · Year: 2021

A hybrid decision-making approach incorporating fuzzy logic and projection modeling can effectively evaluate and rank third-party reverse logistics providers based on sustainability criteria, even with uncertain data.

Design Takeaway

When selecting third-party reverse logistics providers, implement a decision-making framework that quantifies and weighs sustainability criteria (economic, social, environmental) using methods that can handle data uncertainty, such as fuzzy logic.

Why It Matters

In the context of the circular economy, selecting the right partners for reverse logistics is crucial for resource recovery and waste reduction. This research provides a robust method for assessing providers, ensuring that economic, social, and environmental factors are holistically considered, leading to more sustainable supply chain operations.

Key Finding

The study developed and validated a new decision-making tool that uses fuzzy logic and projection modeling to select the best third-party reverse logistics providers based on sustainability goals, even when information is incomplete or uncertain.

Key Findings

Research Evidence

Aim: How can a hybrid decision-making approach using interval-valued intuitionistic fuzzy sets, the entropy method, and a projection model be developed to effectively select and rank third-party reverse logistics providers based on sustainability criteria within manufacturing companies?

Method: Hybrid Decision-Making Approach (Entropy Method + Projection Model)

Procedure: Literature review and expert interviews were conducted to identify 16 key criteria for evaluating third-party reverse logistics providers (3PRLPs), categorized by economic, social, and environmental sustainability. The entropy method was used to determine the weights of these criteria, and a projection model under interval-valued intuitionistic fuzzy sets was applied to rank the 3PRLPs. Sensitivity analysis and comparison were performed to validate the model.

Context: Manufacturing Industry

Design Principle

Employ multi-criteria decision-making (MCDM) techniques that account for uncertainty when evaluating complex operational choices, particularly in sustainability-focused initiatives.

How to Apply

When designing or redesigning reverse logistics systems, use this fuzzy-projection model to objectively compare and select third-party providers, ensuring alignment with circular economy principles and sustainability targets.

Limitations

The effectiveness of the model relies on the quality and availability of expert knowledge and data for the fuzzy set inputs. The specific criteria identified may need adaptation for different industries or regions.

Student Guide (IB Design Technology)

Simple Explanation: This study shows a smart way to pick companies that help manage returned products, making sure they are good for the environment, society, and the economy, even when you don't have perfect information.

Why This Matters: Understanding how to evaluate complex choices with uncertain information is key for any design project that involves selecting materials, suppliers, or manufacturing processes, especially when sustainability is a goal.

Critical Thinking: How might the 'uncertainty' in the fuzzy logic approach be further quantified or validated in a practical design project?

IA-Ready Paragraph: This research by Chen et al. (2021) provides a robust methodology for selecting third-party reverse logistics providers based on sustainability criteria, utilizing a hybrid approach of fuzzy logic and projection modeling to manage data uncertainty. The study identified key economic, social, and environmental factors crucial for circular economy initiatives, offering a valuable framework for evaluating partners in sustainable supply chains.

Project Tips

How to Use in IA

Examiner Tips

Independent Variable: Sustainability criteria (economic, social, environmental) and their associated weights.

Dependent Variable: Rankings of third-party reverse logistics providers.

Controlled Variables: The set of 16 identified evaluation criteria, the application of the entropy method for weighting, and the projection model for ranking.

Strengths

Critical Questions

Extended Essay Application

Source

Sustainable third-party reverse logistics provider selection to promote circular economy using new uncertain interval-valued intuitionistic fuzzy-projection model · Journal of Enterprise Information Management · 2021 · 10.1108/jeim-02-2021-0066