Operations, Logistics and Supply Chain Management by Unknown

Author:Unknown
Language: eng
Format: epub
ISBN: 9783319924472
Publisher: Springer International Publishing

16.3.1 Forecasting the Flow of Reusable Products

In order to make proper tactical and operational decisions, such as (re-)distribution capacities, recovery and manufacturing capacities, order quantities and timing, and pricing it is important to be able to forecast future return flows, especially when there is interaction between production and recovery and/or interaction between forward and return flows. Motivated by the case of container returns at Coca-Cola and Fanta, Goh and Varaprasad (1986) develop a methodology to estimate product life-cycle characteristics, such as time to return, return loss, and expected useful life. For instance, if and are the aggregated number of products sold and collected in period t respectively, then

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