Production systems with combined manufacturing and remanufacturing are more difficult to control than traditional systems with only manufacturing. Remanufacturing causes a more complicated system structure, more uncertainties, a more complex cost structure and various interactions between the remanufacturing and the manufacturing process.
This study is a first step in identifying the effects that product remanufacturing may have on inventory control. To this end, a mathematical model is developed and analysed in order to obtain both quantitative and qualitative results. The study also reports on a practical example of product remanufacturing at Volkswagen AG in Kassel, Germany.
