• IE interfaces
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• v.20 no.2
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• pp.154-161
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• 2007

When the electrical appliances such as TVs and refrigerators become obsolete, they must be collected to the recycling centers to avoid environmental damages. The obsolete home appliances are first moved to the regional collection point; and then transported to one of the recycling centers. Each recycling center has a limited capacity; and some recycling centers can process only certain types of products. For given locations of the existing collection points and recycling centers, optimally assigning the obsolete home appliances of each type from each collection point to the recycling centers can significantly reduce the total transportation cost. We formulate this problem as an LP problem. We also present an approach to determine the locations of additional recycling centers in order to alleviate the over-utilization of the current recycling centers.

• International Commerce and Information Review
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• v.16 no.4
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• pp.171-190
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• 2014

A short consumption cycle caused by the technological development and the diversification of customer lead to both the dynamic growth of the industry and the waste recycling issue at the same time. Including Korea, the situation is particularly worrisome in some countries, such as India and China, where acute environmental hazards have resulted from a combination of a lack of recycling centers' capacity and the domination of a large backyard recycling sector. A study about to maximize the current recycling center efficiency with minimal changes is required. In this study, we suggest the optimal location selection method for the recycling center based on the well-known reverse logistics cost minimization model. An actual recycling data about a specific electronic equipment and region in Korea are used for the verification of the method suggested.

• The Journal of the Korea Contents Association
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• v.21 no.2
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• pp.35-48
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• 2021

With the advent of the Fourth Industrial Revolution, startups are leading the proliferation of logistics in life services in countries across the world. Logistics in life startups aim to differentiate themselves for traditional logistics companies by offering customized services that penetrate niche logistics market and enhance customer convenience and satisfaction. Through the development of mobile applications(apps) and platform a variety of life-enhancing services are becoming increasingly available to customers, such as on-demand, online-to-offline, convenience, reverse logistics, as well as last-mile delivery. In particular, logistics in life services are expanding into areas that include food delivery, home moving, cargo transport, laundry delivery, car washing, and car repair. In order for the logistics in life startups to succeed, they needs to offer highly usable apps to increase customer satisfaction and loyalty. Due to the nature of mobile phones, different evaluation criteria than those for websits should be used to determine the usability of apps. The purpose of this study is to evaluate the usability of representative Korean logistics in life apps through usability testing, discuss implications and offer improvement recommendations. Finally, the best Korean logistics app is compared with a top ranked app on Google Play for benchmarking purposes.

• IE interfaces
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• v.22 no.2
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• pp.153-164
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• 2009

An effective management for reverse flows of products such as reuse, repair and disposal, has become an important issue for every aspect of business. In this paper, we study the Location-Routing Problem (LRP) in the multi-stage closed-loop supply chain network. The closed-loop supply chain in this study integrated both forward and reverse flows. In forward flow, a factory, Distribution Center (DC) and retailer are considered as usual. Additionally in reverse flow, we consider the Central Returns collection Center (CRC) and disposal facility. We propose a mixed integer programming model for the design of closed-loop supply chain integrating both forward and reverse flows. Since the LRP belongs to an NP-hard problem, we suggest a heuristic algorithm based on genetic algorithm. For some test problems, we found the optimal locations and routes by changing the numbers of retailers and facility candidates. Furthermore, we compare the efficiencies between open-loop and closed-loop supply chain networks. The results show that the closed-loop design is better than the open one in respect to the total routing distance and cost. This phenomenon enlarges the cut down effect on cost as an experimental space become larger.

• Management Science and Financial Engineering
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• v.19 no.2
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• pp.19-29
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• 2013

Refuse collection network design, one of major decision problems in reverse logistics, is the problem of locating collection points and allocating refuses at demand points to the opened collection points. As an extension of the previous models, we consider capacity and maximum allowable distance constraints at each collection point. In particular, the maximum allowable distance constraint is additionally considered to avoid the impractical solutions in which collection points are located too closely. Also, the additional distance constraint represents the physical distance limit between collection and demand points. The objective is to minimize the sum of fixed costs to open collection points and variable costs to transport refuses from demand to collection points. After formulating the problem as an integer programming model, we suggest an optimal branch and bound algorithm that generates all feasible solutions by a simultaneous location and allocation method and curtails the dominated ones using the lower bounds developed using the relaxation technique. Also, due to the limited applications of the optimal algorithm, we suggest two heuristics. To test the performances of the algorithms, computational experiments were done on a number of test instances, and the results are reported.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.33 no.1
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• pp.41-50
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• 2010

본 논문에서는 수명이 다한 제품이나 소비자가 더 이상 사용하지 않는 폐기품을 다시 재사용하거나 폐기하는데 필요한 일련의 활동을 위한 역방향 로지스틱스에서의 수거망 설계 문제를 다루고 있다. 수거망 설계 문제는 수거지점의 위치와 수요지의 폐기품을 수거 지점에 할당하는 것을 결정하는 문제로 정의할 수 있으며 수거지점은 재활용품이나 폐기품이 위치한 지점 근처에 위치하고 주어진 잠재적인 위치를 중에서 결정하게 된다. 여기서, 각 수거지점은 용량제약이 있어 수거 지점에 할당되는 폐기품의 양에는 제한이 있다. 본 논문에서 다루는 수거망 설계문제에서는 수거지점을 설치하는데 필요한 고정비용과 수요지와 수거지점간의 수송비용의 합을 최소화하는 것을 목적으로 한다. 또한 대상문제를 보다 명확히 설명하기 위하여 징수계획법을 이용한 수리적 모형을 제안하였으며 문제의 복잡도 인하여 타부 서치와 시뮬레이티드 어닐링 두 가지 형태의 탐색기법을 제안하였다. 이들 탐색기법에 대하여 최대 500개의 잠재적 위치를 가지는 문제에 대하여 실험을 수행하였고 실험결과를 제시하였다.

• Industrial Engineering and Management Systems
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• v.8 no.3
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• pp.194-200
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• 2009

This study provides a heuristic algorithm to solve the locating problem of repair service centers (RSCs). To enhance the customer service level with more satisfaction and quicker responsiveness, the locating problem of RSCs has become one of the important issues in reverse supply chain management. This problem is formulated as a zero-one mixed integer programming in which an exiting distributor will be considered to be an un-capacitated repair service center for the objective of cost-minimizing. Since logistical costs are highly interrelated with the multinational location of distributors and RSCs, the fixed cost for setting a repair service center, variable cost, transportation cost, and exchange rates are considered in this study. Recognizing the selection of un-capacitated RSCs' locations is a combinatorial optimization problem and is a zero-one mixed integer programming with NP-hard complexity, we provide a heuristic algorithm named as incremental cost matrix procedure (ICMP) to simplify the solving procedure. By using the concise and structural cost matrix, ICMP can efficiently screen the potential location with cost advantage and effectively decide which distributor should be a RSC. Results obtained from the numerical experiments conducted in small scale problem have shown the fact that ICMP is an effective and efficient heuristic algorithm for solving the RSCs locating problem. In the future, using the extended ICMP to solve problems with larger industrial scale or problems with congestion effects caused by the variation of customer demand and the restriction of the RSC capacity is worth a further investigation.

• Journal of Korea Port Economic Association
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• v.24 no.1
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• pp.61-83
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• 2008

The meaning of "added value" refers to the contribution of the factors of production, i.e., land, labor, and capital goods, to raising the value of a product and corresponds to the incomes received by the owners of these factors. The importance of added value in service industry has been recognized as one of the critical factors to economic growth, even in logistics industry. But, it is hard to find out the previous studies providing a clear definition and framework for designing and analyzing the performance of Value Added Logistics(VAL). The purpose of this study is to define the meaning of extended VAL that extensively includes activities initiating and operating the reverse logistics under the closed-loop logistic scheme, and to suggest the framework that describes the partnerships among participants involving in operating the value added logistics. Also, in this paper, we emphasize on the need for investigation of added value logistics definition and framework based on previous academic studies, and examine various value added logistics service activities of current leading 3PL companies across the world. Finally, we suggest the analytic framework for value added logistics throughout closed-loop logistics.

• International Commerce and Information Review
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• v.13 no.4
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• pp.251-274
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• 2011

The aim of this research is to identify the competencies required by logistics managers or supply chain managers in China. And this research also attempts to show their relative importance and key knowledge areas that require improvement. Using a survey questionnaire, data was collected against forty three logistics and supply chain management skills or competencies, which were then grouped into four categories and analysed. The Analysis revealed that supply chain awareness, ability to make decisions, analytical skill, communication skill, supply chain cost, people skill, and integration of internal or external information flow which belong to logistics planning group are considered the most important Competencies for effective and efficient logistics functioning. On the other hand, reverse logistics and IATA regulations from environmental awareness group show little influence on logistics managers for improving their logistics performances. The results have implications for a variety of parties including prospective logisticians, students, teachers and companies considering expanding their business to Chinese market. For example, the results permit companies to employ appropriate logistics managers who are qualified with sufficient skills and competencies suggested in this research. In the case of practitioners, the results provide a benchmark for comparison with their current level of abilities and suggested competencies.

• Journal of Intelligence and Information Systems
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• v.19 no.4
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• pp.55-79
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• 2013

In this paper, we propose a hybrid genetic algorithm (HGA) approach to effectively solve the reverse logistics network with centralized centers (RLNCC). For the proposed HGA approach, genetic algorithm (GA) is used as a main algorithm. For implementing GA, a new bit-string representation scheme using 0 and 1 values is suggested, which can easily make initial population of GA. As genetic operators, the elitist strategy in enlarged sampling space developed by Gen and Chang (1997), a new two-point crossover operator, and a new random mutation operator are used for selection, crossover and mutation, respectively. For hybrid concept of GA, an iterative hill climbing method (IHCM) developed by Michalewicz (1994) is inserted into HGA search loop. The IHCM is one of local search techniques and precisely explores the space converged by GA search. The RLNCC is composed of collection centers, remanufacturing centers, redistribution centers, and secondary markets in reverse logistics networks. Of the centers and secondary markets, only one collection center, remanufacturing center, redistribution center, and secondary market should be opened in reverse logistics networks. Some assumptions are considered for effectively implementing the RLNCC The RLNCC is represented by a mixed integer programming (MIP) model using indexes, parameters and decision variables. The objective function of the MIP model is to minimize the total cost which is consisted of transportation cost, fixed cost, and handling cost. The transportation cost is obtained by transporting the returned products between each centers and secondary markets. The fixed cost is calculated by opening or closing decision at each center and secondary markets. That is, if there are three collection centers (the opening costs of collection center 1 2, and 3 are 10.5, 12.1, 8.9, respectively), and the collection center 1 is opened and the remainders are all closed, then the fixed cost is 10.5. The handling cost means the cost of treating the products returned from customers at each center and secondary markets which are opened at each RLNCC stage. The RLNCC is solved by the proposed HGA approach. In numerical experiment, the proposed HGA and a conventional competing approach is compared with each other using various measures of performance. For the conventional competing approach, the GA approach by Yun (2013) is used. The GA approach has not any local search technique such as the IHCM proposed the HGA approach. As measures of performance, CPU time, optimal solution, and optimal setting are used. Two types of the RLNCC with different numbers of customers, collection centers, remanufacturing centers, redistribution centers and secondary markets are presented for comparing the performances of the HGA and GA approaches. The MIP models using the two types of the RLNCC are programmed by Visual Basic Version 6.0, and the computer implementing environment is the IBM compatible PC with 3.06Ghz CPU speed and 1GB RAM on Windows XP. The parameters used in the HGA and GA approaches are that the total number of generations is 10,000, population size 20, crossover rate 0.5, mutation rate 0.1, and the search range for the IHCM is 2.0. Total 20 iterations are made for eliminating the randomness of the searches of the HGA and GA approaches. With performance comparisons, network representations by opening/closing decision, and convergence processes using two types of the RLNCCs, the experimental result shows that the HGA has significantly better performance in terms of the optimal solution than the GA, though the GA is slightly quicker than the HGA in terms of the CPU time. Finally, it has been proved that the proposed HGA approach is more efficient than conventional GA approach in two types of the RLNCC since the former has a GA search process as well as a local search process for additional search scheme, while the latter has a GA search process alone. For a future study, much more large-sized RLNCCs will be tested for robustness of our approach.