Carbon Regulated Supply Chain Management, by Selcan Cansiz (with Cisco Systems)
July 11, 2013
In this study, the carbon emissions result from transportation at Cisco Systems, Inc. are calculated, current service supply chain is evaluated, possible carbon emission reduction opportunities are explored and most promising carbon emission reduction opportunity is found to be changing transportation mode from air to road. The effect of changing transportation mode from air to road is examined by developing a mathematical model. In addition, another mathematical model is developed in which transportation mode selection decisions are integrated into inventory decisions by considering carbon emissions. Solution approaches to this model are examined. Furthermore, since currently there are no regulations on carbon emissions, in order to examine possible regulation scenarios computational studies are carried out. In these studies, efficient solutions are generated and the most preferred solutions that have less carbon emission and lower total cost among all efficient solutions are examined.