Modeling the Adoption of Sustainable Practices in the Supply Chain: A Game Theory Approach
Aida Huerta-Barrientos and Idalia Flores De La Mota
Department of Systems Engineering, National Autonomous University of Mexico, Mexico City, Mexico
Abstract—One goal of the 2030 Agenda for Sustainable Development of the United Nations is strengthening the means of implementing and revitalizing the Global Partnership for Sustainable Development. So, the adoption of sustainable practices into the management and operation of supply chains is a big challenge that companies need to face. However, the research in this area has mainly been qualitative and the developed models do not take into account the social pillar of sustainable development. The aim of this paper is to develop an agent-based model to analyze the factors that mainly influence the interactions among the functional companies of supply chains for the adoption of sustainable practices considering social aspects. First, we develop a conceptual model about the interactions among companies of supply chains based on the pair wise Prisioners Dilemma game and the game-dynamical replicator equations for multiple populations. Then, we implement the model using NetLogoTM software. We design some scenarios varying factors to analyze how the adoption of sustainable practices evolves in time. We prove that the interactions between companies that do not prefer to adopt sustainable practices with those who have already adopted the practices influence the decision to adopting such practices in a positive way. Our results provide a game theoretic model for sustainable supply chains.
Index Terms—supply chain, agent-based modeling, game theory approach, simulation, sustainability, 2030 agenda
Cite: Aida Huerta-Barrientos and Idalia Flores De La Mota, "Modeling the Adoption of Sustainable Practices in the Supply Chain: A Game Theory Approach" Journal of Advanced Management Science, Vol. 5, No. 4, pp. 250-254, July 2017. doi: 10.18178/joams.5.4.250-254
Index Terms—supply chain, agent-based modeling, game theory approach, simulation, sustainability, 2030 agenda
Cite: Aida Huerta-Barrientos and Idalia Flores De La Mota, "Modeling the Adoption of Sustainable Practices in the Supply Chain: A Game Theory Approach" Journal of Advanced Management Science, Vol. 5, No. 4, pp. 250-254, July 2017. doi: 10.18178/joams.5.4.250-254