Don’t forget your supplier when remanufacturing

Abstract

A popular assumption in the current literature on remanufacturing is that the whole new product is produced by an integrated manufacturer, which is inconsistent with most industries. In this paper, we model a decentralised closedloop supply chain consisting of a key component supplier and a non-integrated manufacturer, and demonstrate that the interaction between these players significantly impacts the economic and environmental implications of remanufacturing. In our model, the non-integrated manufacturer can purchase new components from the supplier to produce new products, and remanufacture used components to produce remanufactured products. Thus, the non-integrated manufacturer is not only a buyer but also a rival to the supplier. In a steady state period, we analyse the performances of an integrated manufacturer and the decentralised supply chain. We find that, although the integrated manufacturer always benefits from remanufacturing, the remanufacturing opportunity may constitute a lose-lose situation to the supplier and the non-integrated manufacturer, making their profits be lower than in an identical supply chain without remanufacturing. In addition, the non-integrated manufacturer may be worse off with a lower remanufacturing cost or a larger return rate of used products due to the interaction with the supplier. We further demonstrate that the government-subsidised remanufacturing in the non-integrated (integrated) manufacturer is detrimental (beneficial) to the environment.

Strategy Analysis of Recycling and Remanufacturing by Remanufacturers in Closed-Loop Supply Chain

“…Now, the impact of measuring parameters on strategies can be shown in tables and figures. According to the rules of parameters setting by Xiong et al [35], to show the impact of each parameters variation on optimal Strategies, the specific parameters setting is: ρ = 0.7, δ = 0.7, c n = 0.5, and c r and v change within the range of 0 and 0.5. Table 5 lists the impact of parameter (c n , c r , v and δ) variation on remanufacturer's optimal strategies in Model D. c n 0 Figure 5A illustrates the impact of parameter (c r , v) variation on remanufacturer's wholesale price in Model D. Figure 5B shows Table 5 shows that the wholesale price of remanufactured products increases with the rising cost of new products if the manufacturer purchases remanufactured products.…”

“…Now, the impact of parameters on strategies can be shown in tables and figures. According to the rules of parameters set by [35], to show the impact of each parameters variation on optimal strategies, the specific parameters setting is: ρ = 0.7, δ = 0.7; when the impact of c n on the pricing strategy of remanufacturing among supply chain members is considered, assuming v = 0.2; when the impact of v on strategies is analyzed, assuming c n = 0.5.…”

Strategic Analysis of the Online Recycler’s Reselling Channel Selection: Agency or Self-Run

“…Thus, the linear inverse demand functions, Equation (1), can be derived from consumers' utility functions. Assumption 1 has been widely used in previous studies (see, e.g., Atasu et al [10], Örsdemir et al [43], Xiong et al [44], etc. ).…”

Maturidade em gestão ambiental e adoção de práticas de Green Supply Chain Management: proposta de um framework integrador à luz da análise de múltiplos casos em cadeias de alto impacto ambiental

“…A eminente escassez de recursos naturais (BELL; MOLLENKOPH; STOLZE, 2013), o acúmulo de resíduos industriais e pós-consumo, além da falácia do modelo econômico de fluxo linear de materiais e energia, fazem com que a preservação ambiental aflore como uma área prioritária à manutenção da vida HUANG, 2013;SOUZA, 2013;XIONG et al, 2013;KRIKKE;HOFENKC;ÖZKIR;BAŞLIGIL, 2013;JABBOUR et al, 2013b). Esses fatores impulsionam a adoção de medidas e legislações com apelo sustentável por parte das nações, as quais tendem a considerar aspectos ambientais, sociais e econômicos, ao menos sob a ótica conceitual (SAAVREDRA et al, 2013;ÖZIKIR;BAŞLIGIL, 2013).…”

“…A análise de empresas pertencentes às cadeias de suprimentos com alto impacto ambiental antrópico, como as anteriormente descritas, e a possível junção entre os níveis de maturidade de gestão ambiental e a adoção de práticas de GSCM, podem trazer impactos positivos à problemática do emprego de recursos naturais (BELL; MOLLENKOPH; STOLZE, 2013), da geração de resíduos nas atividades produtivas HUANG, 2013;SOUZA, 2013;XIONG et al, 2013;KRIKKE;HOFENKC, WANG, 2013;ÖZKIR;BAŞLIGIL, 2013;JABBOUR et al, 2013b) e da busca por sistemas produtivos realmente sustentáveis (PAGELL E SHEVCHENKO, 2014). Com base nessas premissas, propõe-se o seguinte tema de pesquisa: Níveis de maturidade de gestão ambiental e sua relação com as práticas de Green Supply Chain Management (GSCM).…”