A MULTI-PRODUCT AND MULTI-PERIOD FACILITY LOCATION MODEL FOR REVERSE LOGISTICS - Polish Journal of Management Studies

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A MULTI-PRODUCT AND MULTI-PERIOD FACILITY LOCATION MODEL FOR REVERSE LOGISTICS

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A MULTI-PRODUCT AND MULTI-PERIOD FACILITY LOCATION MODEL FOR REVERSE LOGISTICS

Benaissa M., Benabdelhafid A. *

Abstract

Reverse logistics has become an important entity in the world economy.  Businesses increasingly have to cope with product returns, mandated environmental regulations and increasing costs associated with product disposal. This study presents amodel  for a multi-time-step, multi-type product waste reverse logistics system. The facility location is a central issue of the logistics networks. In this article weinterested in optimizing of the sites facility location for a reverse logistics network for  product end of life. Specifically, we present a Mixed Linear Program model forproblem of collection sites facility location, cannibalization and recycling.  This model allows determining to open or to close the sites previously in the reverse logistics  network. All of these decisions are to minimize the costs of end of life product returns at various time periods considered in the planning. To solve the mathematical program, we have used the evaluation process and separation implemented in CPLEX commercial  solver

Key words:  Reverse logistics; Facility location; End of life product, location problem, Mixed Linear Program model


Introduction

According to the American Reverse Logistics Executive Council, Reverse Logistics is defined as [13]:“The process of planning, implementing, andthe efficient, cost effective flow of raw materials, in-process  inventory, finished goods and related information from the point of consumption topoint of origin for the purpose of recapturing value or proper disposal.

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Summary  

This paper has presented a cost-minimization model for minimizing the total operating costs of a multi-period, multi-type product reverse logistics system. Bythe critical activities and related basic requirements involved inof end of life reverse  logistics operations, a discrete-time linear objective function coupled with thirteen groups of constraints are formulated.  
Compared to early literature on addressing end life recovery and facility location, the model found in this study has two distinctive features.
First, by coordinating the critical activities of reverse logistics management, themethod addresses the classical network of end life product treatment problem with a generic model. Second, In this work, we established a multi-product and multi-period  location of sites for the reverse logistics of the end of life products. The proposed model can be applied to varied structure reverse logistics network. It can determine the state of sites, their openness, closure, available capacity and material flow  between the various entities of the logistics network. Allshall be taken to minimize logistics costs.
However, we considered that the returns quantity is determinist and that investment in the capacity of a site is fixed. In literature the problem of facility localization isNP-hard problem. To solve the mathematical program, we use the evaluation and  separation process located in a commercial solver Cplex.  The modeling problem of the facility location in reverse logistics network sites is an open area of

The multi-product and multi-period Model, aims to minimize the costs intime in strategic planning, ignores the negative effects generated byopening of landfill sites. We can envisage  a multi-objective model minimizes both the end of life products recovery cost and environmental costs. Toa solution of the multi-product and multi-period model second intime, we proposed to use other technique like the genetic algorithm.

References

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Trois-Rivieres, Canada 2000.
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MODEL LOKALIZACJI WIELOASORTYMENTOWEJ I WIELOOKRESOWEJ W LOGISTYCE ODWROTNEJ


Streszczenie

Logistyka odwrotna stala sie bardzo waznym elementem swiata ekonomii. Przedsiebiorstwa coraz czesciej musza radzic sobie ze zwrotami produktow, obowiazujacymi przepisami dotyczacymi  srodowiska oraz rosnacymi kosztami usuwania wyrobu. W artykule zaprezentowano model minimalizacji kosztow dla systemu wielu krokow czasowych usuwania wielu typow produktow w logistce odwrotnej. Problem lokalizacji jest glowna kwestia sieci logistycznych.   W niniejszej pracy skupiono sie przede wszystkim na optymalizacji miejsc lokalizacji w sieciach logistyki odwrotnej w przypadku koncowego zycia produktu. Zaprezentowano model Liniowego Programowania Mieszanego w strategicznym problemie lokalizacji w  miejscu zbierania odpadow, kanibalizacji i recyclingu. Ten model umozliwia okreslenie wczesniejszego otwarcia lub zamkniecia miejsc zbierania odpadow w sieci logistyki odwrotnej. Celem tych decyzji jest minimalizacja kosztow koncowego zycia zwrotu wyrobu  w roznych okresach czasu naplanowania. Aby rozwiazac ten problem matematyczny zastosowano proces oceny i separacji zaimplementowany w komercyjnym solverze CPLEX.


 
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