Supply Chain Network Design Under Uncertainty: A Case Study Research in Fast Moving Consumer Goods

In this paper, a bi-objective closed-loop supply chain has been studied by Robust Possibilistic Programming (RPP) approach. This paper aims to minimize the cost and product shipping time (delivery) to the customers.  The KVSS and MK company are considered a case study of Iran’s vegetable oil industry. This paper addresses -and models- some challenges of this industry and provides the RPP solution approach with appropriate solutions. The main challenge of this industry is that the supply of raw materials and oilseeds is highly dependent on other countries. Accordingly, many other factors such as the exchange rate, sanctions, governmental rules and regulations, custom tariffs, and the supply and demand process, etc., have an impact on the definitive decision-making. Hence, the data are considered uncertain and the RPP approach is used to solve the model. The solving approach is also used to decide on the bi-objective function, in which managers can easily decide on the complex processes of this industry.  Finally, the results of the model and the sensitivity analysis are presented to validate the model. The validation process uses examples and practical analyses that have been localized based on Iran’s conditions.