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Optimal location and value of timely sorting of used items in a remanufacturing supply chain with multiple collection sites

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  • Tagaras, George
  • Zikopoulos, Christos

Abstract

We study a supply chain consisting of a central remanufacturing facility and a number of collection sites (CS). The central facility procures returned items from the CS for remanufacturing and sale. We examine whether it is advisable to establish a sorting procedure that identifies those units that are suitable for remanufacturing before disassembly. Sorting is subject to classification errors and may be performed either centrally or locally at the CS. Assuming stochastic demand, infinite horizon and deterministic yield at the CS we obtain the optimal parameters of the replenishment policy under each one of the three possible system configurations: no sorting, central sorting and local sorting. It is then easy to determine the value of sorting and the preferred CS for the procurement of returned items.

Suggested Citation

  • Tagaras, George & Zikopoulos, Christos, 2008. "Optimal location and value of timely sorting of used items in a remanufacturing supply chain with multiple collection sites," International Journal of Production Economics, Elsevier, vol. 115(2), pages 424-432, October.
    • Handle: RePEc:eee:proeco:v:115:y:2008:i:2:p:424-432
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    References listed on IDEAS

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    6. Zikopoulos, Christos & Tagaras, George, 2007. "Impact of uncertainty in the quality of returns on the profitability of a single-period refurbishing operation," European Journal of Operational Research, Elsevier, vol. 182(1), pages 205-225, October.
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    Cited by:

    1. Gernot Lechner & Marc Reimann, 2015. "The R.U.S.Z.-case: an independent, non-profit reprocessing and repair company," Working Paper Series, Social and Economic Sciences 2015-01, Faculty of Social and Economic Sciences, Karl-Franzens-University Graz.
    2. Wu, Cheng-Han & Kao, Yi-Jhe, 2018. "Cooperation regarding technology development in a closed-loop supply chain," European Journal of Operational Research, Elsevier, vol. 267(2), pages 523-539.
    3. Gernot Lechner & Marc Reimann, 2013. "The effect of active used product acquisition on manufacturing and remanufacturing strategies," Working Paper Series, Social and Economic Sciences 2013-01, Faculty of Social and Economic Sciences, Karl-Franzens-University Graz.
    4. Zikopoulos, Christos & Tagaras, George, 2015. "Reverse supply chains: Effects of collection network and returns classification on profitability," European Journal of Operational Research, Elsevier, vol. 246(2), pages 435-449.
    5. Soumita Kundu & Tripti Chakrabarti, 2018. "Impact of carbon emission policies on manufacturing, remanufacturing and collection of used item decisions with price dependent return rate," OPSEARCH, Springer;Operational Research Society of India, vol. 55(2), pages 532-555, June.
    6. Tong Shu & Yongjian Wang & Shou Chen & Shouyang Wang & Kin Keung Lai & Yan Yang, 2017. "Decisions on Remanufacturing with WTP Disparity and Recycling Competition under Government Subsidies," Sustainability, MDPI, vol. 9(9), pages 1-29, August.
    7. Govindan, Kannan & Soleimani, Hamed & Kannan, Devika, 2015. "Reverse logistics and closed-loop supply chain: A comprehensive review to explore the future," European Journal of Operational Research, Elsevier, vol. 240(3), pages 603-626.
    8. Yalcin Berberoglu & Yigit Kazancoglu & Muhittin Sagnak, 2023. "Circularity assessment of logistics activities for green business performance management," Business Strategy and the Environment, Wiley Blackwell, vol. 32(7), pages 4734-4749, November.
    9. Min Huang & Pengxing Yi & TieLin Shi, 2017. "Triple Recycling Channel Strategies for Remanufacturing of Construction Machinery in a Retailer-Dominated Closed-Loop Supply Chain," Sustainability, MDPI, vol. 9(12), pages 1-19, December.
    10. Nenes, George & Panagiotidou, Sofia & Dekker, Rommert, 2010. "Inventory control policies for inspection and remanufacturing of returns: A case study," International Journal of Production Economics, Elsevier, vol. 125(2), pages 300-312, June.
    11. Jian Li & Weihao Du & Fengmei Yang & Guowei Hua, 2014. "Evolutionary Game Analysis of Remanufacturing Closed-Loop Supply Chain with Asymmetric Information," Sustainability, MDPI, vol. 6(9), pages 1-13, September.
    12. Chung, Chun-Jen & Wee, Hui-Ming, 2011. "Short life-cycle deteriorating product remanufacturing in a green supply chain inventory control system," International Journal of Production Economics, Elsevier, vol. 129(1), pages 195-203, January.
    13. Wei, Shuoguo & Tang, Ou & Liu, Weihua, 2015. "Refund policies for cores with quality variation in OEM remanufacturing," International Journal of Production Economics, Elsevier, vol. 170(PB), pages 629-640.
    14. Rafael Diaz & Erika Marsillac, 2017. "Evaluating strategic remanufacturing supply chain decisions," International Journal of Production Research, Taylor & Francis Journals, vol. 55(9), pages 2522-2539, May.
    15. Yongbo Li & Devika Kannan & P. C. Jha & Kiran Garg & Jyoti Darbari & Neha Agarwal, 2023. "Design of a multi echelon product recovery embeded reverse logistics network for multi products and multi periods," Annals of Operations Research, Springer, vol. 323(1), pages 131-152, April.
    16. Das, Kanchan & Chowdhury, Abdul H., 2012. "Designing a reverse logistics network for optimal collection, recovery and quality-based product-mix planning," International Journal of Production Economics, Elsevier, vol. 135(1), pages 209-221.
    17. Mohsen Zamani & Mahdi Abolghasemi & Seyed Mohammad Seyed Hosseini & Mir Saman Pishvaee, 2019. "Considering pricing and uncertainty in designing a reverse logistics network," Papers 1909.11633, arXiv.org.

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