Closed-Loop Supply Chain Control in Smart Factories Considering Uncertainty and Disruption: A Game Theory Approach

Due to the increasing use of Closed-Loop Supply Chains (CLSCs) in industry scopes in order to optimize raw material usage and reuse of end-of-life or used products, CLSC management is very necessary. Used products return to production cycles as production resources in CLSC processes. Thus, CLSC helps countries to use fewer raw materials for manufacturing and brings an opportunity for manufacturers to reuse end-of-life products, so that they can increase their overcome and decrease the use of natural resources simultaneously. Due to the impact of CLSC on industries, CLSC control is an interesting field of research. In this paper, a new game theory-based architecture for controlling CLSC considering uncertainty will be introduced. For this purpose, a smart Proportional-Integral-Derivative (PID) controller will be used which automatically tunes itself using the game theory method. Thus, creating a game with controller gains and searching for the equilibria point of the game, makes the best state for the controller. So that the controller could act rationally in CLSC and tune itself to optimize its performance. The optimized reaction of the controller used in this model would help the CLSC management system.