By Mark E. Ferguson, Gilvan C. Souza
Closed-loop provide chain actions reminiscent of remanufacturing, recycling, dismantling for spare components, and opposite logistics have helped many businesses faucet into new profit streams through discovering secondary markets for his or her items, all whereas lowering their total carbon footprint. A entire but concise presentation of closed-loop provide chain approaches, Closed-Loop provide Chains: New advancements to enhance the Sustainability of industrial Practices investigates the cutting-edge during this swiftly turning out to be and environmentally major box. Written via educational specialists, in language that's available to practitioners, this reader-friendly reference examines fresh examine and case reports of businesses working ecocnomic reuse/remanufacture/recycling operations in numerous industries. It illustrates ecocnomic practices in lower back and recovered items, and obviously explains tips on how to: layout a opposite logistics community, behavior construction making plans, enforce potent advertising recommendations for recovered items, and practice closed-loop provide chain concepts in different industries along with production. From product improvement to fabrics to meeting and profitability, this authoritative source illustrates the impression of those strategies throughout all facets of the availability chain. It presents a company point of view of ways to correctly enforce those tactics on your corporation to accomplish ecocnomic and sustainable operations in a extra environmentally pleasant demeanour. It additionally: Investigates strategic judgements businesses face in regard to the secondary marketplace for their items, together with chance bills Examines tactical concerns corporations will face as soon as the choice to remanufacture has been made, together with easy methods to marketplace remanufactured items Summarizes the main features and practices in numerous industries the place remanufacturing has been profitable Explains the right way to conceptualize and deal with adjustments as a result of switching to a closed-loop offer chain Demonstrates tips to deal with altering laws Designed for ease of reference, each one bankruptcy covers a particular topic—in a very self-contained manner—allowing readers to quick and simply reference the chapters of specific relevance to their and scenario.
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Additional resources for Closed-Loop Supply Chains: New Developments to Improve the Sustainability of Business Practices (Supply Chain Integration Modeling, Optimization and Application)
The loss of profits from the remanufacturing business is not the only concern of OEMs when third-party firms sell remanufactured versions of the OEMs’ products. In comparison to the markets for new products, which typically consist of a small set of large OEMs, the third-party remanufacturer market is very fragmented and often made up of many small- to medium-size firms. com). This is mainly because the barriers to entry are rather small for most type of products; they do not require significant capital investments to set up a remanufacturing operation.
This is exactly the case that has happened to many firms in the IT and printer industries. The market for refilled laser printer and inkjet cartridges provides a great Strategic Issues in Closed-Loop Supply Chainsâ•… ◾â•… 17 example. Because of the high margins made by selling new printer cartridges, all of the major printer OEMs chose not to offer remanufactured (or refilled) cartridges for fear of cannibalizing this very profitable market. Of course, there are now thousands of third-party firms around the world that do offer refilled cartridges, much to the dismay of the major OEMs (Lyra Industries Reports 2008).
Both use partial equilibrium models with competitive markets and do not take into account product recyclability in their analysis. Fullerton and Wu (1998) and Walls and Palmer (2000) formulate models that take into account all environmental externalities throughout the whole life cycle of a product. , disposal fees, subsidies on recyclable design, command and control regulatory standards, deposits and refunds) in ensuring the socially optimum level of product recyclability. They conclude that depending on the objectives, market failures, and the ease of implementation, different policies can be useful in obtaining the social optimum.