A bi-objective model for logistic networks design in a lean green perspective

Few studies analyse the possibility of simultaneously implementing Lean Management (LM) and Green Management (GM) in the design and manage of logistic networks, specially from a quantitative perspective. This study tries to fill this gap by introducing a bi-objective model optimising lean and green aspects. NNCM (Normalized Normal Constraints Method) and Pareto frontier method are used to solve the model, by considering a mid-scale italian network. The frontier trend shows the existence of a good trade-off between LM and GM. Interestingly, the CO2 emissions decrease significantly with increasing the stock level in warehouses. The study proves that the concurrent implementation of LM and GM is a great opportunity for companies to reduce negative impacts on the environment and to increase productivity. Finally, a cost analysis is performed to evaluate which approach is more economically convenient. Results show that greater costs are associated to LM, which decrease with increasing the stocks.