PRODUCT PACKAGING SYSTEM IN A SUPPLY CHAIN CONSIDERING SUSTAINABILITY

Product packaging has a huge impact to the efficiency of supply chain activities and packaging operations potentially influence the required product lead time. However, industries still lack a systematic approach to evaluate the impact of economy and environment on the performance of different packages, such as cost and handling time. We added sustainability as one of the considered factors to differentiate from previous studies. This study provides a mixed integer programming model to find the optimal choice of product packaging alternatives. The objective of the proposed model is to minimize the packaging cost, handling time, and sustainability under the certain weight. The operation difficulty was measured by handling time in this research. In order to contribute to practical, a case of one grocery product was presented. We aim to find out which is the best choice in the results.