Development of Mathematical Model for Reverse Logistics Management: A Case Study of Plastic Recycling

DOI: 10.14416/j.ind.tech.2024.04.007

Abstract

The aim of this research is the development of a mathematical model for reverse logistics management: a case study of plastic recycling. Offers the minimization of the total costs of the reverse logistics system. First, the alternative locations for collecting plastic waste in the Northeast were determined using hierarchical clustering and K-means clustering. These alternative locations were used as decision variables in the Mixed Integer Non-linear Programming Model (MINLP). The model was developed to appropriately decide for opening a plastic waste collection center, the transport and collection of plastic waste, and the recycling of plastic pellets. This proposed model was processed with the LINGO 13.0 program. In addition, the sensitivity analysis by varying parameters regarding the capacity and number of alternative collection centers was proceeded. It was found that if there are many collection centers operating, it will take longer time to process, less plastic recycling, with lower total cost. In contrast, if there are a small number of collection centers operating, despite having more total costs but will be able to recycle more plastic. The results of this research can be used to effectively manage the reverse logistics of plastic waste in the Northeast.