Optimal Solution Structure for Muti-period Production Planning with Returned Products Remanufacturing

摘要

Environmental legislation and customer expectations increasingly force manufacturers to take recovery of used products into account in their production management. One of the areas concerned is production planning with returned products remanufacturing. In this paper, we discuss the optimal decisions for a joint manufacturing and remanufacturing system in a multi-period horizon, including production decision, remanufacturing and disposal decisions of returned products. Setup costs are considered for the production and disposal activities. For an n-period model, we derive an optimal solution structure for the three activities, where the parameters can be computed by the dynamic programming approach.