Research On The Inventory Control Policy In Reverse Logistics

With people's enhanced awareness of environmental protection,enterprises have paid more attention to the environmental protection of products,and they recycle used products in order to improve their images.At the same time,in response to the threat posed by scarce resources and the plan to establish a suitable environment-friendly society,government have introduced and implemented mandatory environmental protection laws and regulations to require and support enterprises to recycle used products.With the expansion of recycling and increased value of recovery,it formed a different type of logistics which was called"reverse logistics"and was receiving continuous attention.Reverse logistics is a collective term which includes the concept of the activities of recovery,transport,storage and re-manufacturing process of used products and treatment of waste.Inventory costs,as a major part of logistics cost,must be optimized in order to reduce the cost of reverse logistics activities.In the reverse logistics activities,the amount of recycling materials,time and quality parameters are often not certain.So we studied various types of inventory control policies.Our study first takes economic transport into consideration and focused on the model which single producer take charge of production and recovery under static demand.Next,in order to make the model more practical,we assume that the amount of demand and recovery are random, in turn,the amount of stock-out is also unknown.We utilized a more practical way to deal with stock-out cost and established a reverse logistics inventory control model under dynamic demand and derived the optimal inventory control parameters.Unlike previous single-level structure of reverse logistics,we also extend our study to multiple levels model.We studied optimized inventory control policy to achieve minimal system cost.From both static and dynamic point of view,we solve the optimal parameters of inventory control policy in reverse logistics network and give a few examples.Of course,this study has some flaws and limitations.For example,the coordination cost between enterprises in multi-level system and transportation cost is not calculated in detail.These are the future direction of our study.