Framework to evaluate end-of-life packaging solution for inbound materials

Abstract: There is a rising demand for Li-ion batteries from a variety of sectors, which demands a highly efficient and reliable supply chain model. With the rise in demand for such models, Northvolt, for example, is focusing on establishing a sustainable supply chain, owing to their significant influence on costs and the environment. This research was conducted to determine the best approach for bridging the gap between logistics and packaging, as well as which packaging method to use to be more sustainable. The main purpose is to assist a company in making an informed decision by considering critical elements that impact cost and environmental issues. The approach is to develop a Plan For Every Part (PFEP) model for inbound logistics, mainly packaging data, and utilize this data to incorporate Analytical Hierarchy Process (AHP) to set up a decision matrix that supports decision making in a company. The study interprets how to use the PFEP model to collect packaging data and use the data to identify key factors affecting sustainability by considering business cases. Then, apply the key factors to the Analytical Hierarchy Process (AHP) to have a pairwise comparison to arrive at a feasible solution of whether to reuse packaging material or dispose of them after one use. The study suggests recycling packaging material if the supplier is located near manufacturing and otherwise for long-distance logistics based on sustainability factors.