ABSTRACT
Recoverable product environments are environmentally conscious systems where products are returned from end-users to be re-used (see Fig. r8.r for a supply chain incorporating reverse flows of materials) . Re-use options include value-added recovery (i.e. repair and remanufacture) and material recovery (i.e. recycling) (Thierry et al. 1995). These options prevent waste by diverting materials from landfills and conserve natural resources (energy and materials). Recoverable product systems are also profitable. In the
Figure 18.1 The supply chain with forward flows and backward flows (dotted lines) related to product and material re-use
USA there are over 70,000 remanufacturing firms with total sales ofus$53 billion (Lund 1998). These firms directly employ 350,000 workers and average profit margins in excess of 20% (Nasr et al. 1998).
