Inventory Strategies for Systems with Fast Remanufacturing
27 Pages Posted: 5 Feb 2003
Date Written: 30 2002 9,
We describe hybrid manufacturing/remanufacturing systems with a long lead time for manufacturing and a short lead time for remanufacturing. We review the classes of inventory strategies for hybrid systems in the literature. These are all based on equal lead times. For systems with slow manufacturing and fast remanufacturing, we propose a new class. An extensive numerical experiment shows that the optimal strategy in the new class almost always performs better and often much better than the optimal strategies in all other classes.
Keywords: logistics, remanufacturing, stochastic inventory control
JEL Classification: M, M11, R4, L6
Suggested Citation: Suggested Citation