An Integrated Inventory Model for Distributor - Retailer Considering Transportation, Loading-Unloading, and Carbon Tax

This paper proposes an integrated inventory model for a single distributor and a single retailer under stochastic demand and periodic review policy. The implementation of a carbon tax policy aims to reduce emissions from transportation, loading-unloading, and storage activities. To lessen the emissi...

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Main Authors: Anggita Rahma Faza, Jauhari Wakhid Ahmad, Rosyidi Cucuk Nur
Format: Article
Language:English
Published: EDP Sciences 2023-01-01
Series:E3S Web of Conferences
Online Access:https://www.e3s-conferences.org/articles/e3sconf/pdf/2023/102/e3sconf_icimece2023_02010.pdf
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author Anggita Rahma Faza
Jauhari Wakhid Ahmad
Rosyidi Cucuk Nur
author_facet Anggita Rahma Faza
Jauhari Wakhid Ahmad
Rosyidi Cucuk Nur
author_sort Anggita Rahma Faza
collection DOAJ
description This paper proposes an integrated inventory model for a single distributor and a single retailer under stochastic demand and periodic review policy. The implementation of a carbon tax policy aims to reduce emissions from transportation, loading-unloading, and storage activities. To lessen the emissions from the operations, we proposed a model using electric equipment (i.e., truck and forklift) to evaluate the long-term impact of the operation cost and sustainability of the forklift and truck by comparing the electric and diesel equipment. This study utilizes the joint economic lot size (JELS) approach to minimize the joint total cost while taking ecological considerations into account. A proper solution algorithm is developed to find the optimal decision variables (review period, number of shipments, and safety factor), which minimize the joint total cost. The results show that electric equipment can reduce emissions and fossil fuel consumption as well as expenses incurred by both parties.
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spelling doaj.art-ca8b87e93d9e453bba3c55bea8fa0ad92024-01-26T10:42:38ZengEDP SciencesE3S Web of Conferences2267-12422023-01-014650201010.1051/e3sconf/202346502010e3sconf_icimece2023_02010An Integrated Inventory Model for Distributor - Retailer Considering Transportation, Loading-Unloading, and Carbon TaxAnggita Rahma Faza0Jauhari Wakhid Ahmad1Rosyidi Cucuk Nur2Department of Industrial Engineering Sebelas Maret University SurakartaDepartment of Industrial Engineering Sebelas Maret University SurakartaDepartment of Industrial Engineering Sebelas Maret University SurakartaThis paper proposes an integrated inventory model for a single distributor and a single retailer under stochastic demand and periodic review policy. The implementation of a carbon tax policy aims to reduce emissions from transportation, loading-unloading, and storage activities. To lessen the emissions from the operations, we proposed a model using electric equipment (i.e., truck and forklift) to evaluate the long-term impact of the operation cost and sustainability of the forklift and truck by comparing the electric and diesel equipment. This study utilizes the joint economic lot size (JELS) approach to minimize the joint total cost while taking ecological considerations into account. A proper solution algorithm is developed to find the optimal decision variables (review period, number of shipments, and safety factor), which minimize the joint total cost. The results show that electric equipment can reduce emissions and fossil fuel consumption as well as expenses incurred by both parties.https://www.e3s-conferences.org/articles/e3sconf/pdf/2023/102/e3sconf_icimece2023_02010.pdf
spellingShingle Anggita Rahma Faza
Jauhari Wakhid Ahmad
Rosyidi Cucuk Nur
An Integrated Inventory Model for Distributor - Retailer Considering Transportation, Loading-Unloading, and Carbon Tax
E3S Web of Conferences
title An Integrated Inventory Model for Distributor - Retailer Considering Transportation, Loading-Unloading, and Carbon Tax
title_full An Integrated Inventory Model for Distributor - Retailer Considering Transportation, Loading-Unloading, and Carbon Tax
title_fullStr An Integrated Inventory Model for Distributor - Retailer Considering Transportation, Loading-Unloading, and Carbon Tax
title_full_unstemmed An Integrated Inventory Model for Distributor - Retailer Considering Transportation, Loading-Unloading, and Carbon Tax
title_short An Integrated Inventory Model for Distributor - Retailer Considering Transportation, Loading-Unloading, and Carbon Tax
title_sort integrated inventory model for distributor retailer considering transportation loading unloading and carbon tax
url https://www.e3s-conferences.org/articles/e3sconf/pdf/2023/102/e3sconf_icimece2023_02010.pdf
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