Authors:
Ernesto D. R. Santibanez-Gonzalez
1
and
Nelson Maculan
2
Affiliations:
1
Universidade Federal de Ouro Preto, Brazil
;
2
Universidade Federal do Rio de Janeiro, Brazil
Keyword(s):
Reverse Supply Chain, Supply Chain, Integer Programming.
Related
Ontology
Subjects/Areas/Topics:
Artificial Intelligence and Decision Support Systems
;
Enterprise Information Systems
;
Operational Research
;
Strategic Decision Support Systems
Abstract:
In the last decade, literature on strategic planning of a supply chain network grew rapidly. In this paper we address a classical three-layer remanufacturing supply chain network design problem that covers sourcing, reprocessing and remanufacturing activities, in which strategic decisions regarding the number, location of reprocessing units and the flow of returns through the logistics network are made. First, we propose an alternative mixed-integer mathematical programming (MILP) formulation for this problem and provide theoretical proof of equivalence between the classical and the proposed mathematical formulation. Second, the goodness of both formulations is compared by means of a computational study, and the results for large instances of the problem are discussed. We empirically prove that the proposed formulation provides tighter linear relaxation lower bounds and obtains the integer solutions several times faster than the classical formulation.