Balancing timeliness and sustainability in new product development: a simulation-based multi-objective optimization approach

Purpose This study aims to develop a simulation-based optimization framework to manage the strategic dual-objective conflict in new product development (NPD). The proposed model simultaneously seeks a Pareto-optimal balance between two conflicting goals: minimizing Total Weighted Project Tardiness (Z1) and maximizing the Project Green Development Score (Z2). Design/methodology/approach The model relies on a Stochastic Job Shop structure simulated in the Arena environment. To accurately weigh sustainability criteria, the Fuzzy Analytical Hierarchy Process (Fuzzy AHP) was used, incorporating a critical new measure: policy compliance. The performance of seven priority rules was evaluated within a multi-objective optimization framework to derive the Pareto Front. Findings Results confirm a distinct Pareto Trade-off curve between Z1 and Z2. Priority rules were classified into three strategic regions: Timeliness-Focused (SPT), Sustainability-Focused (GP) and Intelligent Balanced (EDD, CR). Analysis reveals that achieving a higher sustainability score incurs a quantitative cost: an increase of 217.4 units in weighted tardiness. Originality/value To the best of the authors’ knowledge, this study is among the first to integrate Fuzzy AHP for sustainability weighting within a stochastic R&D scheduling environment. It contributes to the literature by providing a quantitative “Strategic Classification” of priority rules, moving beyond single-objective optimization to offer a decision-making portfolio for managers facing environmental mandates.