ILS 2012

Québec, Canada, 26 — 29 August 2012

ILS 2012

Québec, Canada, 26 — 29 August 2012

Schedule Authors My Schedule

THEMATIC SESSION: Sustainable Logistics and Supply Chains III

Aug 28, 2012 02:30 PM – 04:00 PM

Location: VCH-2830

Chaired by Hugo Yoshizaki

4 Presentations

  • 02:30 PM - 02:52 PM

    A Bi-Objective Two-Stage Stochastic Programming Model for Inventory Routing Problem under Uncertainty with a Transshipment Option

    • Seyed Mohammad Javad Mirzapour Al-E-Hashem, EMlyon Business school
    • Yacine Rekik, presenter, EMLYON Business School

    In this study we develop a bi-objective two-stage stochastic programming method to deal with Inventory Routing Problem (IRP) where a capacitated fleet distributes products from multiple suppliers to an assembly plant to meet the uncertain demand of each product over a two-period planning horizon. The shortage is not allowed. Nevertheless, due to the uncertain nature of the demand, the inevitable shortages are penalized in the objective function. In this many-to-one distribution network, a typical vehicle trip starts from a rental vehicle company and continues by visiting several suppliers to pick up or transship the products and it ends by delivering the pickups to the assembly plant and coming back to the rental company. The proposed model considers transshipment as a possible solution to enhance the performance of the supply chain and shows the impact of such solution on the uncertain environment. The first objective of the proposed model is aim to minimize expected value of the supply chain costs. And the second objective function attempts to minimize total quantity of the greenhouse gas (GHG) emission produced by the vehicles and scraped products. Finally by using a scenario-based approach a numerical example is solved to demonstrate the applicability of the proposed model.

  • 02:52 PM - 03:14 PM

    Coordination of Manufacturing, Remanufacturing and Returns Acceptance in a Hybrid Production-Inventory System

    • Samuel Vercraene, presenter, G-SCOP Grenoble-INP
    • Simme Douwe Flapper, Technische Universiteit Eindhoven
    • Jean-Philippe Gayon, Laboratoire G-SCOP

    This paper studies the coordination of manufacturing, remanufacturing and returns acceptance in a hybrid system. We use a queueing control framework, where manufacturing and remanufacturing are modeled by single servers with exponentially distributed processing times. Customer demands and returned products arrive in the system according to independent Poisson processes. A returned product can be either rejected or accepted. When accepted, a return is placed in a remanufacturable inventory. New products and remanufactured products are placed in a serviceable inventory and customer demands can be satisfied by new products or remanufactured ones. For a cost structure including holding, backorder, manufacturing, admission and rejecting costs, we show that the optimal policy is characterized by two state-dependent base-stock thresholds and one state-dependent acceptance threshold. We also obtain monotonicity results for these switching curves. Then we adapt several heuristic policies from the literature to our model. Finally we carry out a numerical study to compare their performances to the ones of the optimal policy.

  • 03:14 PM - 03:36 PM

    Stochastic Inventory Control with Remanufacturing Under the Current Carbon Trading Schemes and Environmental Policies

    • Marthy Stivaliz Garcia Alvarado, presenter, École de Technologie Supérieure
    • Marc Paquet, École de technologie supérieure
    • Amin Chaabane, École de technologie supérieure

    The current environmental regulations and economic conditions have prompt the implementation of green supply chains and sustainable logistics systems. For many facilities, a limit on greenhouse gases (GHG) emissions is considered and they have mandatory targets in term of products recovery and reuse at the end-of-life. Thus, the developments of new managerial models which integrate environmental policies are necessary. Furthermore, inventories have proved their crucial role in supply chain. Hence, the purpose of this paper is to develop a product recovery inventory model with the inclusion of emissions trading. The objective is to study the relationship between environmental policies and inventory control. The results provide insights on how to include an emissions trading scheme into an inventory model. Moreover, we prove the direct link between sustainability objective and inventory control policies through a stochastic inventory model.

  • 03:36 PM - 03:58 PM

    A Survey on Return Policies Practices and their Variations

    • Kacem Amara, École Polytechnique de Montréal
    • Diane Riopel, presenter, École Polytechnique de Montréal
    • Denis Lavigne, Collège militaire royal de Saint-jean

    This work studies the retailers’ product return policies, taking into account the intrinsic characteristics of products and the industry in which the retailer operates. The paper presents a study of the variations in return policy terms and conditions. The present work highlights the interactions between the return policies and the various components that affect it. The study is performed on a wide range of return policies, in several industries, different countries and for different return causes. Identifying the causes of variations in return policies is useful for retailers as it helps them adopting a more suitable return policy. And thus maximizes their profit. This is possible by taking into account the customers’ welfare and opportunistic behavior (borrowing).