The spatial and temporal consolidation of returned products in a closed-loop supply chain network

  • Authors:
  • Hokey Min;Chang Seong Ko;Hyun Jeung Ko

  • Affiliations:
  • UPS, Center for Worldwide Supply Chain Management, Burhans Hall-shelby, University of Louisville, Louisville, KY;Department of Industrial Engineering, Kyungsung University, Daeyeon-dong, Nam-Ku, Busan, Republic of Korea;International Logistics Team, Korea Maritime Institute, Bangbae dong, Seocho-gu, Seoul, Republic of Korea

  • Venue:
  • Computers and Industrial Engineering - Special issue: Logistics and supply chain management
  • Year:
  • 2006

Quantified Score

Hi-index 0.00

Visualization

Abstract

As cost pressures continue to mount in this era of economic slowdowns, a growing number of firms have begun to explore the possibility of managing product returns in a more cost-efficient and timely manner. However, few studies have addressed the problem of determining the number and location of initial collection points in a multiple time horizon, while determining the desirable holding time for consolidation of returned products into a large shipment. To fill the void in such a line of research, this paper proposes a mixed-integer, nonlinear programming model and a genetic algorithm that can solve the reverse logistics problem involving both spatial and temporal consolidation of returned products. The robustness of the proposed model and algorithm was tested by its application to an illustrative example dealing with products returned from online and retail sales.