Remanufacturing decisions with uncertain demand and product return yield
Document Type
Article
Publication Date
1-1-2015
Abstract
In this paper, we consider a supply chain with one original equipment manufacturer (OEM) and one retailer. The OEM can process both used and new parts for the production of new products. The yield of the used parts procured for remanufacturing is random. The OEM makes procurement and production decisions and the retailer makes ordering decisions based on their own cost/incentive structures. The two parties in the supply chain use either a push or a pull contract to trade with each other. We consider both shortand long-manufacturing lead times. We develop models to obtain their optimal policies for different scenarios depending on the contract type and the information the OEM has about the random yield rate. We compare the results of different scenarios and develop managerial insights. We also carry out numerical analysis and evaluate the supply chain performance.
Publication Title
International Journal of Revenue Management
First Page Number
274
Last Page Number
298
DOI
10.1504/IJRM.2015.073828
Recommended Citation
Mukhopadhyay, Samar K. and Ma, Huafan, "Remanufacturing decisions with uncertain demand and product return yield" (2015). Kean Publications. 1914.
https://digitalcommons.kean.edu/keanpublications/1914