Lundmark et al. (2009)4 consider remanufacturing a “win-win-win” situation: “Customers can obtain remanufactured products cheaper, companies reduce their costs and they earn more and the environment benefits.” That said, remanufacturing can support all the three basic pillars of Sustainable Development (Environmental, Economic, Social). Saves material and energy resources while reduces wastes and emissions (Environmental), generates wealth and cutting costs (Economic), remanufactured products are cheaper for costumers, while new occupations and scientific fields are created (Social). Considering the business opportunities that remanufacturing offers, all the 3 Pillars should be examined. The profitability of Remanufacturing has become a hot topic discussion
…show more content…
Moreover, the production steps needed for the second life of a product are fewer, therefore the energy consumption drops dramatically, cutting production costs. (Bernard, 2011 αλλα από sustain 1).
A famous case of successful remanufacturing practices is Caterpillar. Caterpillar with its “CAT ReMan” has succeed in remanufacturing with over two millions of used components (cores) returned in 2010, 134 lbs of materials that are remanufactured or recycled each year and preservation of about 85% of original energy added (http://parts.cat.com/en/catcorp/cat-reman-products).
Considering the materials, energy, plant and material conservation, Giutini and Gaudette (2003) concluded that the production costs of remanufactured products are about 35% to 60% of the manufacturing cost of the new ones. This reduction of production costs is fundamental for the profitability of the businesses of this sector and can guarantee high returns on investment. This benefit makes companies competitive, healthy and beneficial to their costumers too, decreasing products prices (Gallo et al., 2012 sustain
Moreover, the production steps needed for the second life of a product are fewer, therefore the energy consumption drops dramatically, cutting production costs. (Bernard, 2011 αλλα από sustain 1).
A famous case of successful remanufacturing practices is Caterpillar. Caterpillar with its “CAT ReMan” has succeed in remanufacturing with over two millions of used components (cores) returned in 2010, 134 lbs of materials that are remanufactured or recycled each year and preservation of about 85% of original energy added (http://parts.cat.com/en/catcorp/cat-reman-products).
Considering the materials, energy, plant and material conservation, Giutini and Gaudette (2003) concluded that the production costs of remanufactured products are about 35% to 60% of the manufacturing cost of the new ones. This reduction of production costs is fundamental for the profitability of the businesses of this sector and can guarantee high returns on investment. This benefit makes companies competitive, healthy and beneficial to their costumers too, decreasing products prices (Gallo et al., 2012 sustain