Input-Output Models for the Analysis of a Local/Global Supply Chain

A supply chain can be analysed as a network of production processes which can be localised within and outside a given geographic area. Each process can be defined as a system that produces output flows in consequence of input flows. In this paper, an input-output approach based on production processes is used to develop specific models that investigate flows among production processes either of a whole (global) supply chain or of a part of the supply chain localised within a given area (local). By-product and waste outputs are also considered. The developed models can help improve design and management of supply chains also in terms of sustainable development of a local area. In fact, this use of the input-output analysis entails a deeper understanding of the relationships among the processes and the environment.