The value of information in a container collection system for end-of-life vehicles

In this paper we discuss the value of accurate inventory information for distribution planning purposes in a reverse logistics system. Three levels of information are introduced and the value is assessed in a simulation loop. For every planning period the operational vehicle routing problem is solved to optimality by route enumeration and set partitioning. Extensive sensitivity analysis is performed and discussed to analyze the factors that influence the value of accurate inventory information for reverse distribution planning. Network density appears to be one of the main determinants.