Presents an Inventory Model in Production-Remanufacturing System with Determination of Acquisition and Sale Prices and Considering the Quality Level

Inventory management in production-remanufacturing system has been receiving a great deal of attention in recent years. In literature review, production environment is composed of two sections. The first section is included: production process, remanufacturing process and other options considered in reverse logistics. The second section is included: collection and sorting processes. Determination of sale price in inventory system is one of the most important issues in the first section and determines the acquisition price is one of the topics discussed in the second section. In this paper, we consider the two issues together. At the beginning of this article, an inventory model with product return is presented. To solve the model, genetic algorithm (GA) and simulated annealing (SA) are used. The results of the model solving are production and remanufacturing quantity and acquisition and sale prices. It is noteworthy that we have considered the quality level in modeling process.