Deterministic inventory model for recycling system

Abstract

An important new trend in supply chain management is repair, remanufacturing, recycling, or reuse of products collected from the end user after they have reached the end of their useful life. This paper deals with inventory control for a recycling system. For the system, we assume that demand is deterministic, and a fixed fraction of demands is returned and used as raw material of new products. We propose inventory policies and present procedures for determining the optimal policy parameters.