Product recovery is receiving much attention as the concerns for discarded products grow in industry and business. Many developed countries have introduced extended producer responsibility concept and some advanced companies have implemented active product recovery strategies. Research related to the environmental performance of product recovery strategies and product recovery systems, however is still in its early stage.
This study focuses on evaluating the resource productivity of product recovery strategies. We clarify the concept and the measurement process of resource productivity. Then we assess the resource productivity of Korean electronic industry through the process. For the assessment, we use system dynamics simulation method. Using the simulation results, we analyze the resource productivity difference among various product recovery options. Finally we discuss the role of each player in the system to improve the resource productivity of product recovery systems. Our major findings are as follows.
First, product recovery strategies in electronic industry should focus not on recycling option but on reuse and remanufacturing options to improve the resource productivity and company gains. Second, product recovery strategy can not be separated from design for environment, vertical coordination and marketing strategies. All of these strategies and practices must be consistent to improve environmental and economic performances. Third, government policy focusing on remanufacturing and/or reuse, and green consumerism are critical for the successful implementation of product recovery strategies.
