Optimization model for reverse logistics network design

Reverse logistics network design is a major strategic issue, which has received growing attention throughout this decade. This paper addresses the analysis of reverse logistic networks. An optimization model for reverse logistics network design is proposed on the base of 0-1 mixed integer linear programming approach. Two objectives, minimization of the overall costs and minimization of the total amount of final disposal, are addressed. According to the model, the number of various facilities, their locations and the allocation of the corresponding logistics flows can be decided upon and appropriate reverse logistics network structure can be set up. And a case is illustrated to test the model.