Abstract
A warranty distribution network provides aftersales warranty services to customers and resembles a closed-loop supply chain network with specific challenges for reverse flows management like recovery, repair, and reflow of refurbished products. We present here a nonlinear and nonconvex mixed integer programming model for the design of the warranty distribution network of a semiconductor company which is operated by an outsourced third party logistics service provider. The application of the model to the real-life case provides an improved distribution network flow and rearranged warehouse and recovery locations, and resulted in weekly cost savings of 3.4% for the considered item.
Original language | English |
---|---|
Pages (from-to) | 184-197 |
Journal | Transportation Research Part E-Logistics and Transportation Review |
Volume | 77 |
DOIs | |
Publication status | Published - May 2015 |
Keywords
- Warranty distribution network
- supply chain
- Nonlinear mixed integer programming