Value of quality information of returns in product recovery management

Bayındır Z. P., Atabarut A.

23rd EUROPEAN CONFERENCE E ON OPERATIONAL RESEARCH, Bonn, Germany, 5 - 09 July 2009, pp.230

  • Publication Type: Conference Paper / Summary Text
  • City: Bonn
  • Country: Germany
  • Page Numbers: pp.230
  • Middle East Technical University Affiliated: Yes


Valueofqualityinformationofreturnsinproductre- covery management

Z. Pelin Bayindir, Department of Industrial Engineering, Middle East Technical University, Middle East Technical University, Department of Industrial Engineering, 06531, Ankara, Turkey,, Altan Atabarut

We consider a recovery system where end-of-life products are con- verted to a number of different recovered products. Recovery op- tions for a return depend on its level of quality, i.e., grade. The main objective of the study is to investigate the benefits of quality grade information on the profitability of recovery business. Linear programming models for alternative testing strategies under differ- ent information schemes are built for a generic multistage recovery system in a multi-period setting. An extensive computational study is carried out to quantify the value of quality information.