Journal of Intelligent Manufacturing

, Volume 26, Issue 2, pp 387–402 | Cite as

Choosing reverse channels under collection responsibility sharing in a closed-loop supply chain with re-manufacturing

  • Yuan Shi
  • Jiajia Nie
  • Ting Qu
  • Lap-Keung Chu
  • Domenic Sculli


This paper considers a closed-loop supply chain with re-manufacturing consisting of retailers, manufacturers and third-party logistics service providers; all participating in the product recycling responsibilities. The effectiveness of methods that can be used to share responsibilities amongst these parties is quantified using different reverse channels. First, re-manufacturing models with three different reverse channels for retailer collection, manufacturer collection and third-party collection are developed using collection responsibility sharing. Next, by comparing these models with the case of no collection responsibility sharing, the effectiveness of responsibility sharing is analysed and quantified. The results for the three models support the following conclusions: (i) from the point of view of the retailer, third-party collection is always the worst choice; (ii) the choice between retailer collection and manufacturer collection depends on the cost parameter representing the resources required in performing the reverse collection tasks; (iii) from the point of view the manufacturer, when the value of the cost parameter is small, collection by manufacturer is the best choice; retailer collection will be best for high values of the cost parameter.


Closed-loop supply chain Re-manufacturing Collection responsibility sharing Reverse collection channels 



The authors would like to acknowledge the financial support of National Natural Science Foundation of China (71090402, 71101120 and 71101055), Fundamental Research Funds for the Central universities, SCUT, (No. 2011ZM0079), Educational Commission of Guangdong Province (wym11011) and the Guangdong Natural Science Foundation (S2011040002521).


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Copyright information

© Springer Science+Business Media New York 2013

Authors and Affiliations

  • Yuan Shi
    • 1
  • Jiajia Nie
    • 2
  • Ting Qu
    • 3
  • Lap-Keung Chu
    • 4
  • Domenic Sculli
    • 4
  1. 1.School of Economics and CommerceSouth China University of Technology, Guangzhou Higher Education Mega CenterGuangzhouPeople’s Republic of China
  2. 2.School of Economics and ManagementSouthwest Jiaotong UniversityChengduPeople’s Republic of China
  3. 3.Faculty of Electromechanical EngineeringGuangdong University of TechnologyGuangzhouPeople’s Republic of China
  4. 4.Department of Industrial and Manufacturing Systems EngineeringThe University of Hong KongHong Kong SARPeople’s Republic of China

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