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Multi criteria decision making approach for strategic evaluation of environmental trade-off solution in logistics : A case study at Northvolt

The purpose of this thesis is to investigate to what extent the environmental agenda should be taken into consideration during the project phase of logistics at Northvolt. The objective is to build an optimization model for route planning with a trade-off solution for three criteria; cost, emission and time. An abductive research approach is used. The empirical data was collected quantitatively in accordance with cross-industry standard process for data mining. The results obtained from the optimization model were based on an emission calculation framework and weights assigned to the three selected criteria by five decision makers. These results are compared to an as-is analysis of current and of historical transportations as well as to expected future transportations. These results provide insights and emphasize the importance of agility in decision making aiming at the reduction of emissions. The analysis shows that increased costs do not have a clear correlation with reduced emissions or transportation time. It also demonstrates that transporting goods on sea would increase the transportation time but decrease the emissions. The conclusions of the study are that costs can be reduced by 8%, emissions by 6% and transportation time by 14%, compared to their current operations. Short-term recommendations address the need of being agile in the route planning and analyse each shipment individually where the weights of the criteria should be alternated depending on the status of the project. This requires increased communication with the installation team on site and negotiation of contractual rates from additional ports in Sweden. Long-term recommendations emphasise the importance of developing and using emission key performance indicators to set targets in combination with a strategy in order to steer daily operations.

Identiferoai:union.ndltd.org:UPSALLA1/oai:DiVA.org:ltu-85731
Date January 2021
CreatorsHedgren, Amanda, Genberg, Daniel
PublisherLuleå tekniska universitet, Institutionen för ekonomi, teknik, konst och samhälle, Luleå tekniska universitet, Institutionen för ekonomi, teknik, konst och samhälle
Source SetsDiVA Archive at Upsalla University
LanguageEnglish
Detected LanguageEnglish
TypeStudent thesis, info:eu-repo/semantics/bachelorThesis, text
Formatapplication/pdf
Rightsinfo:eu-repo/semantics/openAccess

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