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Aggregate planning application in a reverse logistics operation - a case study at a beverage manufacturer

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  • Elia Oey
  • Renita Vashti Bangun

Abstract

Reverse logistics is relatively new, yet important, area in supply chain management. To some companies and industries, establishing a proper reverse logistics operation is necessity for cost savings and sustainability reason. The research was a case study at a beverage manufacturer in Indonesia which exercise a reverse logistics operation for their returned bottles. The objective of the study was to help the studied company find the best resource allocation by implementing classical aggregate planning strategy. Three scenarios were derived, and their cost implication were calculated. The result shown that their current practice of 'chase' strategy and manpower allocation can be improved with either 'adjusted chase' or 'level' strategy. The paper also highlights the importance for regular review of aggregate planning in reverse logistics operations of the studied company.

Suggested Citation

  • Elia Oey & Renita Vashti Bangun, 2020. "Aggregate planning application in a reverse logistics operation - a case study at a beverage manufacturer," International Journal of Business Forecasting and Marketing Intelligence, Inderscience Enterprises Ltd, vol. 6(2), pages 135-156.
    • Handle: RePEc:ids:ijbfmi:v:6:y:2020:i:2:p:135-156
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    Keywords

    aggregate planning; reverse logistics.;

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