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Evaluation of Waste Electronic Product Trade-in Strategies in Predictive Twin Disassembly Systems in the Era of Blockchain

Author

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  • Özden Tozanlı

    (Center for Transportation and Logistics, Massachusetts Institute of Technology, Cambridge, MA 02142, USA)

  • Elif Kongar

    (Departments of Mechanical Engineering and Technology Management, School of Engineering, University of Bridgeport, Bridgeport, CT 06604, USA)

  • Surendra M. Gupta

    (Department of Mechanical and Industrial Engineering, Northeastern University, Boston, MA 02115, USA)

Abstract

Manufacturing and supply chain operations are on the cusp of an era with the emergence of groundbreaking technologies. Among these, the digital twin technology is characterized as a paradigm shift in managing production and supply networks since it facilitates a high degree of surveillance and a communication platform between humans, machines, and parts. Digital twins can play a critical role in facilitating faster decision making in product trade-ins by nearly eliminating the uncertainty in the conditions of returned end-of-life products. This paper demonstrates the potential effects of digital twins in trade-in policymaking through a simulated product-recovery system through blockchain technology. A discrete event simulation model is developed from the manufacturer’s viewpoint to obtain a data-driven trade-in pricing policy in a fully transparent platform. The model maps and mimics the behavior of the product-recovery activities based on predictive indicators. Following this, Taguchi’s Orthogonal Array design is implemented as a design-of-experiment study to test the system’s behavior under varying experimental conditions. A logistics regression model is applied to the simulated data to acquire optimal trade-in acquisition prices for returned end-of-life products based on the insights gained from the system.

Suggested Citation

  • Özden Tozanlı & Elif Kongar & Surendra M. Gupta, 2020. "Evaluation of Waste Electronic Product Trade-in Strategies in Predictive Twin Disassembly Systems in the Era of Blockchain," Sustainability, MDPI, vol. 12(13), pages 1-33, July.
    • Handle: RePEc:gam:jsusta:v:12:y:2020:i:13:p:5416-:d:380368
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    2. Rong Xie & Muyan Chen & Weihuang Liu & Hongfei Jian & Yanjun Shi, 2021. "Digital Twin Technologies for Turbomachinery in a Life Cycle Perspective: A Review," Sustainability, MDPI, vol. 13(5), pages 1-22, February.
    3. Ramesh Subramoniam & Erik Sundin & Suresh Subramoniam & Donald Huisingh, 2021. "Riding the Digital Product Life Cycle Waves towards a Circular Economy," Sustainability, MDPI, vol. 13(16), pages 1-23, August.
    4. Catarina Ferreira & Catarina Cardoso & Mariana Travassos & Mariana Paiva & Micaela Pestana & João M. Lopes & Márcio Oliveira, 2021. "Disorders, Vulnerabilities and Resilience in the Supply Chain in Pandemic Times," Logistics, MDPI, vol. 5(3), pages 1-16, July.
    5. Marija Jović & Edvard Tijan & Dražen Žgaljić & Saša Aksentijević, 2020. "Improving Maritime Transport Sustainability Using Blockchain-Based Information Exchange," Sustainability, MDPI, vol. 12(21), pages 1-19, October.
    6. Caterina Lucarelli & Camilla Mazzoli & Michela Rancan & Sabrina Severini, 2020. "Classification of Sustainable Activities: EU Taxonomy and Scientific Literature," Sustainability, MDPI, vol. 12(16), pages 1-25, August.
    7. Simonetto, Marco & Sgarbossa, Fabio & Battini, Daria & Govindan, Kannan, 2022. "Closed loop supply chains 4.0: From risks to benefits through advanced technologies. A literature review and research agenda," International Journal of Production Economics, Elsevier, vol. 253(C).
    8. Antonello Cammarano & Vincenzo Varriale & Francesca Michelino & Mauro Caputo, 2023. "Blockchain as enabling factor for implementing RFID and IoT technologies in VMI: a simulation on the Parmigiano Reggiano supply chain," Operations Management Research, Springer, vol. 16(2), pages 726-754, June.
    9. Bowen Li & Antonio Alleyne & Zhaoyong Zhang & Yifei Mu, 2021. "Sustainability and Waste Imports in China: Pollution Haven or Resources Hunting," Sustainability, MDPI, vol. 13(2), pages 1-21, January.

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