A novel multi-objective fuzzy mathematical model for designing a sustainable supply chain network considering outsourcing risk under uncertainty

Industry managers and strategy planners are under rising pressure to continuously develop sustainable supply chains economically, environmentally and socially. The design of sustainable supply chain networks has attracted more attention in recent years according to business and environmental factors. In today´s competitive environment the selection of appropriate suppliers is a considerably significant decision for an effective supply chain management. Appropriate suppliers reduce purchasing costs, decrease production lead time and defects, increase customer satisfaction and strengthen corporate competitiveness. This research proposes a bi-objective fuzzy mathematical programming model for designing the strategic configuration of a sustainable supply chain network under uncertain conditions. An original equipment manufacturer that is concerned with minimizing the environmental impact of its activities and risks should design the network based on the trade-off between costs and respective emissions. The negative environmental impact is assessed by measuring CO₂ emission during the manufacturing, remanufacturing and transportations.