Template-Type: ReDIF-Paper 1.0
Author-Name: Teunter, R.H.
Author-Name-Last: Teunter
Author-Name-First: Ruud
Author-Name: Bayindir, Z.P.
Author-Name-Last: Bayindir
Author-Name-First: Pelin
Author-Name: van den Heuvel, W.
Author-Name-Last: van den Heuvel
Author-Name-First: Wilco
Author-Person: pva62
Title: Dynamic lot sizing with product returns
Abstract: We address the dynamic lot sizing problem for systems with product returns. The demand and return amounts are deterministic over the finite planning horizon. Demands can be satisfied by manufactured/procured new items, but also by remanufactured returned items. The objective is to determine those lot sizes for manufacturing and remanufacturing that minimize the total cost composed of holding cost for returns and serviceable products and set-ups costs. Two different set-up cost schemes are considered; there is either a joint set-up cost for manufacturing and remanufacturing (single production line) or separate set-up costs (dedicated production lines). For the joint set-up cost case, we present an exact, polynomial time dynamic programming algorithm. For both cases, we propose a number of heuristics and test them in an extensive numerical study.
Creation-Date: 2005-04-18
File-URL: https://repub.eur.nl/pub/6557/EI2005-17.PDF
File-Format: application/pdf
Series: RePEc:ems:eureir
Number: EI 2005-17
Keywords: inventory management, reverse logistics
Handle: RePEc:ems:eureir:6557