Multistage reverse logistics of assembly systems in extended MRP Theory consisting of all material flows

Danijel Kovačić () and Ludvik Bogataj

Central European Journal of Operations Research, 2011, vol. 19, issue 3, 337-357

Abstract: In this paper we will address the issue of environmental problems in connection with extended MRP Theory. It is based on Grubbström’s well developed MRP Theory (Grubbström in Z für BetrWirthsch 77(3):297–324, 2007). A major advantage of this theory is that timing and its impact on net present value can be easily calculated even for extended multilevel, multistage production-inventory systems and also for perturbed production systems consisting of many production cells. Theory has recently been extended by including reverse logistics of final and used products (Grubbström et al. in A compact representation of distribution and reverse logistics in the value chain. Faculty of Economics, Ljubljana, 2007). At each activity cell a certain percentage of scrapes is produced and sent for recycling after quality control. Here we present an input–output model which includes all possible flows into a recycling sub-process with several stages of recycling. This model is presented in a generalized form of input and output matrices which has not been developed before. The model will be presented in two different ways which differ in the level of detailed information they contain. Contribution of recycling to the net present value of all activities in a supply chain is expressed and can be compared to environmental damage that could occur if reverse processes are not introduced. Using this approach, the losses and gains in both the economy and the environment could be evaluated more accurately considering all individual flows in the system. No other approaches besides input–output analysis and Laplace transforms have been found so successful in compound supply systems. Copyright Springer-Verlag 2011

Keywords: MRP Theory; Environment; Reverse logistics; Input-output analysis; Recycling; Material requirements planning (search for similar items in EconPapers)
Date: 2011
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6)

Downloads: (external link)
http://hdl.handle.net/10.1007/s10100-010-0168-1 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:cejnor:v:19:y:2011:i:3:p:337-357

Ordering information: This journal article can be ordered from
http://www.springer. ... search/journal/10100

DOI: 10.1007/s10100-010-0168-1

Access Statistics for this article

Central European Journal of Operations Research is currently edited by Ulrike Leopold-Wildburger

More articles in Central European Journal of Operations Research from Springer, Slovak Society for Operations Research, Hungarian Operational Research Society, Czech Society for Operations Research, Österr. Gesellschaft für Operations Research (ÖGOR), Slovenian Society Informatika - Section for Operational Research, Croatian Operational Research Society
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().