Abstract
Different operations, such as take-back, cleaning, and repair, lead to high system variability rendering remanufacturing systems difficult to manage. Even when a product is successfully remanufactured, there remains the problem of customer perception of remanufactured products being not able to perform as well as new ones. The possibility of several different options (reusing, remanufacturing, and recycling) further compound the complexity of the information set that should be considered for effective remanufacturing. This paper develops a method that can be employed for making component level decisions that accounts for aforesaid issues. A metric is proposed that measures the randomness or variability imposed by a reuse alternative. A measure of effective age is also proposed, extending the lines of previous research. A washing machine example illustrates the method and how the two measures can be incorporated into a design decision model.
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