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Multistage reverse logistics of assembly systems in extended MRP Theory consisting of all material flows

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  • Danijel Kovačić
  • Ludvik Bogataj

Abstract

In this paper we will address the issue of environmental problems in connection with extended MRP Theory. It is based on Grubbström’s well developed MRP Theory (Grubbström in Z für BetrWirthsch 77(3):297–324, 2007). A major advantage of this theory is that timing and its impact on net present value can be easily calculated even for extended multilevel, multistage production-inventory systems and also for perturbed production systems consisting of many production cells. Theory has recently been extended by including reverse logistics of final and used products (Grubbström et al. in A compact representation of distribution and reverse logistics in the value chain. Faculty of Economics, Ljubljana, 2007). At each activity cell a certain percentage of scrapes is produced and sent for recycling after quality control. Here we present an input–output model which includes all possible flows into a recycling sub-process with several stages of recycling. This model is presented in a generalized form of input and output matrices which has not been developed before. The model will be presented in two different ways which differ in the level of detailed information they contain. Contribution of recycling to the net present value of all activities in a supply chain is expressed and can be compared to environmental damage that could occur if reverse processes are not introduced. Using this approach, the losses and gains in both the economy and the environment could be evaluated more accurately considering all individual flows in the system. No other approaches besides input–output analysis and Laplace transforms have been found so successful in compound supply systems. Copyright Springer-Verlag 2011

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  • Danijel Kovačić & Ludvik Bogataj, 2011. "Multistage reverse logistics of assembly systems in extended MRP Theory consisting of all material flows," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 19(3), pages 337-357, September.
  • Handle: RePEc:spr:cejnor:v:19:y:2011:i:3:p:337-357
    DOI: 10.1007/s10100-010-0168-1
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    References listed on IDEAS

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    1. Bogataj, Marija & Bogataj, Ludvik, 2004. "On the compact presentation of the lead times perturbations in distribution networks," International Journal of Production Economics, Elsevier, vol. 88(2), pages 145-155, March.
    2. Bogataj, Marija & Bogataj, Ludvik, 2001. "Supply chain coordination in spatial games," International Journal of Production Economics, Elsevier, vol. 71(1-3), pages 277-285, May.
    3. Bogataj, Ludvik & Horvat, Liljana, 1996. "Stochastic considerations of Grubbstrom--Molinder model of MRP, input-output and multi-echelon inventory systems," International Journal of Production Economics, Elsevier, vol. 45(1-3), pages 329-336, August.
    4. Horvat, Liljana & Bogataj, Ludvik, 1999. "A market game with the characteristic function according to the MRP and input-output analysis model," International Journal of Production Economics, Elsevier, vol. 59(1-3), pages 281-288, March.
    5. Grubbstrom, Robert W. & Thu Thuy Huynh, Thi, 2006. "Multi-level, multi-stage capacity-constrained production-inventory systems in discrete time with non-zero lead times using MRP theory," International Journal of Production Economics, Elsevier, vol. 101(1), pages 53-62, May.
    6. Grubbstrom, Robert W. & Ovrin, Peter, 1992. "Intertemporal generalization of the relationship between material requirements planning and input-output analysis," International Journal of Production Economics, Elsevier, vol. 26(1-3), pages 311-318, February.
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    Cited by:

    1. Andrej Kastrin & Janez Povh & Lidija Zadnik Stirn & Janez Žerovnik, 2021. "Methodologies and applications for resilient global development from the aspect of SDI-SOR special issues of CJOR," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 29(3), pages 773-790, September.
    2. Tibor Csendes & Janez Povh & Lidija Stirn & Janez Žerovnik, 2011. "Editorial," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 19(3), pages 251-252, September.
    3. Balázs Gyenge & László Kasza & László Vasa, 2021. "Introducing the EPP house (topological space) method to solve MRP problems," PLOS ONE, Public Library of Science, vol. 16(6), pages 1-20, June.
    4. Imre Dobos & Peter Tallos, 2013. "A dynamic input-output model with renewable resources," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 21(2), pages 295-305, March.
    5. Danijel Kovačić & Marija Bogataj, 2013. "Reverse logistics facility location using cyclical model of extended MRP theory," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 21(1), pages 41-57, June.
    6. Danijel Kovačić & Eloy Hontoria & Lorenzo Ros-McDonnell & Marija Bogataj, 2015. "Location and lead-time perturbations in multi-level assembly systems of perishable goods in Spanish baby food logistics," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 23(3), pages 607-623, September.

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