Stochastic design of a global closed loop supply chain: Planning and managing the reverse network at Fuji Xerox


Inspired by the reverse supply chain network at Fuji Xerox Co. we develop a dynamic stochastic model of the network for a production, collection, disassembly and remanufacture of a photocopier produced and sold in both Japan and Thailand. We consider the inventory requirements and costs of saleable products as well as capacity requirements and costs in production, collection, disassembly and remanufacture in both countries. Together with the influence of lead-times, shipping, import duties, and transfer cost prices, we investigate the proportion of collected products that should be shipped from Japan for disassembly and remanufacture, for a given transfer price as well as the influence of the time in the market and the return rate from the customers. Our numerical analysis is based on representative cost figures from Fuji Xerox.

22nd International Conference on Production Research, Iguassu Falls, Brazil, 28th July–1st August, 7 pages