ABSTRACT
This chapter deals with two illustrative examples how to predict the efficiency of a collection center using logistic regression. In the first example, a model is built to predict the probability of on-time delivery based on the number of trucks owned by the collection center. In the second example, the probability of a collecting center meeting specifications is estimated based on the age of the sorting equipment used by the collection center. The implementation of a reverse supply chain requires at least three parties: collection centers, where consumers return end-of-use products; recovery facilities, where reprocessing is performed; and demand centers, where customers buy reprocessed products. Reverse supply chains are designed and implemented to collect end-of-use products from consumers, reprocess them at recovery facilities, and then sell recycled goods and remanufactured products on the market. An important driver for companies engaged in a reverse supply chain is that many end-of-use products represent a resource for recoverable value.
