IDEAS home Printed from https://ideas.repec.org/a/eee/ejores/v202y2010i2p420-433.html
   My bibliography  Save this article

The impact of two-product joint lifecycles on capacity planning of remanufacturing networks

Author

Listed:
  • Georgiadis, Patroklos
  • Athanasiou, Efstratios

Abstract

Capacity planning in the reverse channel of closed-loop supply chains (CLSCs) involves complex issues due to the different lifecycles of product offerings in combination with the variability regarding product usage time, quality level of used products and return patterns. (Georgiadis, P., Vlachos, D., Tagaras, G., 2006. The impact of product lifecycle on capacity planning of closed-loop supply chains with remanufacturing. Production and Operations Management 15; 514-527) developed a system dynamics (SD) model to study a CLSC with remanufacturing for a single product which incorporates a dynamic capacity modeling approach. We extend this SD model for two sequential product-types under two alternative scenarios regarding the market preferences over the product-types; in the first scenario, the market is considered showing no preferences, while in the second scenario, the demand over a product-type can be satisfied only by providing units of the specific type. We study how the joint lifecycles of two product-types, entry time of the second product-type to the market and used product return patterns affect the optimal policies regarding expansion and contraction of collection and remanufacturing capacities. The results of extensive numerical investigation are tested for their statistical significance using analysis of variance (ANOVA). In the first scenario, the results show that the system performs best when the two lifecycles form a trapezoid pattern for total demand while in the second scenario, when the two lifecycles form a triangular pattern.

Suggested Citation

  • Georgiadis, Patroklos & Athanasiou, Efstratios, 2010. "The impact of two-product joint lifecycles on capacity planning of remanufacturing networks," European Journal of Operational Research, Elsevier, vol. 202(2), pages 420-433, April.
    • Handle: RePEc:eee:ejores:v:202:y:2010:i:2:p:420-433
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0377-2217(09)00352-X
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Lebreton, Baptiste & Tuma, Axel, 2006. "A quantitative approach to assessing the profitability of car and truck tire remanufacturing," International Journal of Production Economics, Elsevier, vol. 104(2), pages 639-652, December.
    2. Gaimon, Cheryl, 1988. "Simultaneous and dynamic price, production, inventory and capacity decisions," European Journal of Operational Research, Elsevier, vol. 35(3), pages 426-441, June.
    3. Roland Geyer & Luk N. Van Wassenhove & Atalay Atasu, 2007. "The Economics of Remanufacturing Under Limited Component Durability and Finite Product Life Cycles," Management Science, INFORMS, vol. 53(1), pages 88-100, January.
    4. Frank M. Bass, 1969. "A New Product Growth for Model Consumer Durables," Management Science, INFORMS, vol. 15(5), pages 215-227, January.
    5. Min, Hokey & Jeung Ko, Hyun & Seong Ko, Chang, 2006. "A genetic algorithm approach to developing the multi-echelon reverse logistics network for product returns," Omega, Elsevier, vol. 34(1), pages 56-69, January.
    6. Fleischmann, Moritz & Bloemhof-Ruwaard, Jacqueline M. & Dekker, Rommert & van der Laan, Erwin & van Nunen, Jo A. E. E. & Van Wassenhove, Luk N., 1997. "Quantitative models for reverse logistics: A review," European Journal of Operational Research, Elsevier, vol. 103(1), pages 1-17, November.
    7. V. Daniel R. Guide , Jr. & Gilvan C. Souza & Luk N. Van Wassenhove & Joseph D. Blackburn, 2006. "Time Value of Commercial Product Returns," Management Science, INFORMS, vol. 52(8), pages 1200-1214, August.
    8. John D. Sterman, 1989. "Modeling Managerial Behavior: Misperceptions of Feedback in a Dynamic Decision Making Experiment," Management Science, INFORMS, vol. 35(3), pages 321-339, March.
    9. Franke, C. & Basdere, B. & Ciupek, M. & Seliger, S., 2006. "Remanufacturing of mobile phones--capacity, program and facility adaptation planning," Omega, Elsevier, vol. 34(6), pages 562-570, December.
    10. Georgiadis, Patroklos & Vlachos, Dimitrios, 2004. "The effect of environmental parameters on product recovery," European Journal of Operational Research, Elsevier, vol. 157(2), pages 449-464, September.
    11. Sunder Kekre & Uday S. Rao & Jayashankar M. Swaminathan & Jun Zhang, 2003. "Reconfiguring a Remanufacturing Line at Visteon, Mexico," Interfaces, INFORMS, vol. 33(6), pages 30-43, December.
    12. Frank Schultmann & Bernd Engels & Otto Rentz, 2003. "Closed-Loop Supply Chains for Spent Batteries," Interfaces, INFORMS, vol. 33(6), pages 57-71, December.
    13. Sterman, John D., 1989. "Misperceptions of feedback in dynamic decision making," Organizational Behavior and Human Decision Processes, Elsevier, vol. 43(3), pages 301-335, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Wang, Wenyuan & Wang, Yue & Mo, Daniel & Tseng, Mitchell M., 2017. "Managing component reuse in remanufacturing under product diffusion dynamics," International Journal of Production Economics, Elsevier, vol. 183(PB), pages 551-560.
    2. Lin, Junyi & Naim, Mohamed M. & Tang, Ou, 2024. "In-house or outsourcing? The impact of remanufacturing strategies on the dynamics of component remanufacturing systems under lifecycle demand and returns," European Journal of Operational Research, Elsevier, vol. 315(3), pages 965-979.
    3. 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.
    4. Sudarto, Sumarsono & Takahashi, Katsuhiko & Morikawa, Katsumi, 2017. "Reprint "Efficient flexible long-term capacity planning for optimal sustainability dimensions performance of reverse logistics social responsibility: A system dynamics approach"," International Journal of Production Economics, Elsevier, vol. 190(C), pages 45-59.
    5. Bayrak, Busra & Guray, Busra & Uzunlar, Nilsu & Nadar, Emre, 2024. "Diffusion control in closed-loop supply chains: Successive product generations," International Journal of Production Economics, Elsevier, vol. 268(C).
    6. Ivanov, Dmitry & Sokolov, Boris, 2013. "Control and system-theoretic identification of the supply chain dynamics domain for planning, analysis and adaptation of performance under uncertainty," European Journal of Operational Research, Elsevier, vol. 224(2), pages 313-323.
    7. Shao, Lulu & Yang, Jun & Zhang, Min, 2017. "Subsidy scheme or price discount scheme? Mass adoption of electric vehicles under different market structures," European Journal of Operational Research, Elsevier, vol. 262(3), pages 1181-1195.
    8. Dingzhong Feng & Xinghui Yu & Yongbo Mao & Yangke Ding & Ye Zhang & Zhiyan Pan, 2019. "Pricing Decision for Reverse Logistics System under Cross-Competitive Take-Back Mode Based on Game Theory," Sustainability, MDPI, vol. 11(24), pages 1-20, December.
    9. Bhattacharya, Sourabh & Govindan, Kannan & Ghosh Dastidar, Surajit & Sharma, Preeti, 2024. "Applications of artificial intelligence in closed-loop supply chains: Systematic literature review and future research agenda," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 184(C).
    10. Georgiadis, Patroklos & Michaloudis, Charalampos, 2012. "Real-time production planning and control system for job-shop manufacturing: A system dynamics analysis," European Journal of Operational Research, Elsevier, vol. 216(1), pages 94-104.
    11. Georgiadis, Patroklos & Athanasiou, Efstratios, 2013. "Flexible long-term capacity planning in closed-loop supply chains with remanufacturing," European Journal of Operational Research, Elsevier, vol. 225(1), pages 44-58.
    12. Sudarto, Sumarsono & Takahashi, Katsuhiko & Morikawa, Katsumi, 2017. "Efficient flexible long-term capacity planning for optimal sustainability dimensions performance of reverse logistics social responsibility: A system dynamics approach," International Journal of Production Economics, Elsevier, vol. 184(C), pages 179-192.
    13. Asif, Farazee M.A. & Rashid, Amir & Bianchi, Carmine & Nicolescu, Cornel M., 2015. "System dynamics models for decision making in product multiple lifecycles," Resources, Conservation & Recycling, Elsevier, vol. 101(C), pages 20-33.
    14. Ondemir, Onder & Gupta, Surendra M., 2014. "A multi-criteria decision making model for advanced repair-to-order and disassembly-to-order system," European Journal of Operational Research, Elsevier, vol. 233(2), pages 408-419.
    15. Ammar Y. Alqahtani & Surendra M. Gupta, 2017. "One-Dimensional Renewable Warranty Management within Sustainable Supply Chain," Resources, MDPI, vol. 6(2), pages 1-26, April.
    16. 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.
    17. Federico Cosenz & Guido Noto, 2016. "Applying System Dynamics Modelling to Strategic Management: A Literature Review," Systems Research and Behavioral Science, Wiley Blackwell, vol. 33(6), pages 703-741, November.
    18. Pauline Keh & Florence Rodhain & Régis Meissonier & Virginie Llorca, 2012. "Financial performance, environmental compliance, and social outcomes: The three challenges of reverse logistics," Post-Print hal-01965596, HAL.
    19. Besiou, Maria & Georgiadis, Patroklos & Van Wassenhove, Luk N., 2012. "Official recycling and scavengers: Symbiotic or conflicting?," European Journal of Operational Research, Elsevier, vol. 218(2), pages 563-576.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Georgiadis, Patroklos & Athanasiou, Efstratios, 2013. "Flexible long-term capacity planning in closed-loop supply chains with remanufacturing," European Journal of Operational Research, Elsevier, vol. 225(1), pages 44-58.
    2. Liao, Haolan & Zhang, Qingyu & Li, Lu, 2023. "Optimal procurement strategy for multi-echelon remanufacturing systems under quality uncertainty," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 170(C).
    3. Casey, Thomas R. & Töyli, Juuso, 2012. "Mobile voice diffusion and service competition: A system dynamic analysis of regulatory policy," Telecommunications Policy, Elsevier, vol. 36(3), pages 162-174.
    4. Navid Ghaffarzadegan & Richard C. Larson, 2018. "SD meets OR: a new synergy to address policy problems," System Dynamics Review, System Dynamics Society, vol. 34(1-2), pages 327-353, January.
    5. Vidovic, Milorad & Dimitrijevic, Branka & Ratkovic, Branislava & Simic, Vladimir, 2011. "A novel covering approach to positioning ELV collection points," Resources, Conservation & Recycling, Elsevier, vol. 57(C), pages 1-9.
    6. Paich, Mark. & Sterman, John., 1992. "Boom, bust and failures to learn in experimental markets," Working papers 3441-92., Massachusetts Institute of Technology (MIT), Sloan School of Management.
    7. Gamberini, Rita & Gebennini, Elisa & Manzini, Riccardo & Ziveri, Andrea, 2010. "On the integration of planning and environmental impact assessment for a WEEE transportation network—A case study," Resources, Conservation & Recycling, Elsevier, vol. 54(11), pages 937-951.
    8. Liao, Haolan & Zhang, Qingyu & Shen, Neng & Nie, Yongyou & Li, Lu, 2021. "Coordination between forward and reverse production streams for maximum profitability," Omega, Elsevier, vol. 104(C).
    9. Gołębiewski, Bronisław & Trajer, Jędrzej & Jaros, Małgorzata & Winiczenko, Radosław, 2013. "Modelling of the location of vehicle recycling facilities: A case study in Poland," Resources, Conservation & Recycling, Elsevier, vol. 80(C), pages 10-20.
    10. Charles J. Corbett & Robert D. Klassen, 2006. "Extending the Horizons: Environmental Excellence as Key to Improving Operations," Manufacturing & Service Operations Management, INFORMS, vol. 8(1), pages 5-22, March.
    11. Shi, Jianmai & Zhang, Guoqing & Sha, Jichang, 2011. "Optimal production and pricing policy for a closed loop system," Resources, Conservation & Recycling, Elsevier, vol. 55(6), pages 639-647.
    12. Nelson P. Repenning, 2002. "A Simulation-Based Approach to Understanding the Dynamics of Innovation Implementation," Organization Science, INFORMS, vol. 13(2), pages 109-127, April.
    13. Sheu, Jiuh-Biing & Chen, Yenming J., 2012. "Impact of government financial intervention on competition among green supply chains," International Journal of Production Economics, Elsevier, vol. 138(1), pages 201-213.
    14. Pradip K. Bhaumik, 2015. "Supply Chain Network Design Based on Integration of Forward and Reverse Logistics," Global Business Review, International Management Institute, vol. 16(4), pages 680-699, August.
    15. Tsiliyannis, Christos Aristeides, 2018. "Markov chain modeling and forecasting of product returns in remanufacturing based on stock mean-age," European Journal of Operational Research, Elsevier, vol. 271(2), pages 474-489.
    16. John Sterman, 2018. "System dynamics at sixty: the path forward," System Dynamics Review, System Dynamics Society, vol. 34(1-2), pages 5-47, January.
    17. Melo, M.T. & Nickel, S. & Saldanha-da-Gama, F., 2009. "Facility location and supply chain management - A review," European Journal of Operational Research, Elsevier, vol. 196(2), pages 401-412, July.
    18. Gu, Wenjun & Chhajed, Dilip & Petruzzi, Nicholas C. & Yalabik, Baris, 2015. "Quality design and environmental implications of green consumerism in remanufacturing," International Journal of Production Economics, Elsevier, vol. 162(C), pages 55-69.
    19. Sy, Charlle, 2017. "A policy development model for reducing bullwhips in hybrid production-distribution systems," International Journal of Production Economics, Elsevier, vol. 190(C), pages 67-79.
    20. Pastore, Erica & Alfieri, Arianna & Zotteri, Giulio, 2019. "An empirical investigation on the antecedents of the bullwhip effect: Evidence from the spare parts industry," International Journal of Production Economics, Elsevier, vol. 209(C), pages 121-133.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:ejores:v:202:y:2010:i:2:p:420-433. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/eor .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.