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Managing consumer returns in high clockspeed industries

Author

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  • Ruiz-Benítez, Rocío
  • Ketzenberg, Michael
  • van der Laan, Erwin A.
Abstract
In this study, we address control policies to manage the collection of products that have been returned by consumers to retailers after they have been sold. Specifically, we model a consumer returns process where the operational decision of interest is the frequency in which returns are picked up from a collection point and then processed at a centralized location. Returns decay in value over time according to their industry clockspeed. Hence there is an intrinsic tradeoff in the decision – a longer interval between collections not only reduces transportation cost, but also reduces the value of asset recovery.

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  • Ruiz-Benítez, Rocío & Ketzenberg, Michael & van der Laan, Erwin A., 2014. "Managing consumer returns in high clockspeed industries," Omega, Elsevier, vol. 43(C), pages 54-63.
    • Handle: RePEc:eee:jomega:v:43:y:2014:i:c:p:54-63
    DOI: 10.1016/j.omega.2013.06.004
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    References listed on IDEAS

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    3. Akturk, M. Serkan & Ketzenberg, Michael & Yıldız, Barış, 2021. "Managing consumer returns with technology-enabled countermeasures," Omega, Elsevier, vol. 102(C).
    4. Chan, Chi Kin & Man, Nora & Fang, Fei & Campbell, J.F., 2020. "Supply chain coordination with reverse logistics: A vendor/recycler-buyer synchronized cycles model," Omega, Elsevier, vol. 95(C).
    5. Tianji Yang & Chao Fu & Xinbao Liu & Jun Pei & Lin Liu & Panos M. Pardalos, 2018. "Closed-loop supply chain inventory management with recovery information of reusable containers," Journal of Combinatorial Optimization, Springer, vol. 35(1), pages 266-292, January.
    6. Patricia Guarnieri & Lucio Camara e Silva & Bárbara de Oliveira Vieira, 2020. "How to Assess Reverse Logistics of e-Waste Considering a Multicriteria Perspective? A Model Proposition," Logistics, MDPI, vol. 4(4), pages 1-31, October.
    7. Khouja, Moutaz & Ajjan, Haya & Liu, Xin, 2019. "The effect of return and price adjustment policies on a retailer’s performance," European Journal of Operational Research, Elsevier, vol. 276(2), pages 466-482.
    8. Muyldermans, L. & Van Wassenhove, L.N. & Guide, V.D.R., 2019. "Managing high-end ex-demonstration product returns," European Journal of Operational Research, Elsevier, vol. 277(1), pages 195-214.
    9. Yan, Shuai & Archibald, Thomas Welsh & Han, Xiaohua & Bian, Yiwen, 2022. "Whether to adopt “buy online and return to store” strategy in a competitive market?," European Journal of Operational Research, Elsevier, vol. 301(3), pages 974-986.
    10. Zikopoulos, Christos & Tagaras, George, 2015. "Reverse supply chains: Effects of collection network and returns classification on profitability," European Journal of Operational Research, Elsevier, vol. 246(2), pages 435-449.
    11. Soto Zuluaga, Juan Pablo & Thiell, Marcus & Colomé Perales, Rosa, 2017. "Reverse cross-docking," Omega, Elsevier, vol. 66(PA), pages 48-57.
    12. Dasci, Abdullah & Huang, Rongbing, 2017. "A continuous approximation method for dynamic pricing problem under costly price modifications," Omega, Elsevier, vol. 72(C), pages 38-49.
    13. Difrancesco, Rita Maria & Huchzermeier, Arnd & Schröder, David, 2018. "Optimizing the return window for online fashion retailers with closed-loop refurbishment," Omega, Elsevier, vol. 78(C), pages 205-221.
    14. Miao, Zhaowei & Fu, Ke & Xia, Zhiqiang & Wang, Yu, 2017. "Models for closed-loop supply chain with trade-ins," Omega, Elsevier, vol. 66(PB), pages 308-326.
    15. Gaur, Jighyasu & Amini, Mehdi & Rao, A.K., 2017. "Closed-loop supply chain configuration for new and reconditioned products: An integrated optimization model," Omega, Elsevier, vol. 66(PB), pages 212-223.

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