The Objective Function of Supply Chain Inventory Management with A Sustainability Approach

Today, organizations and companies operate in environments that require the use of tools and approaches such as environmental, social, and economic considerations that systematically influence the organization's performance. In this regard, the issue of sustainability and the sustainable supply chain is the subject of debate in most industrial areas these days. Inventory management, as one of the most important elements of the supply chain, is no exception and seeks to achieve a sustainable approach. To this end, the present article seeks to address issues of sustainable inventory management and by considering the factors affecting the sustainability of an inventory system, the objective function is to minimize costs and the situation in which the potential demand and its distribution function are identified. The results of the model solution indicate the important role of sustainability on the overall inventory system costs, order quantity, vehicle selection as well as precautionary storage.