Journal Articles

Dismantle or Remanufacture?

2014, European Journal of Operational Research

S. Guo, G. Aydin, G. C. Souza


In this paper we study a firm's disposition decision for returned end-of-use products, which can either be remanufactured and sold, or dismantled into parts that can be reused. We formulate this problem as a multi-period stochastic dynamic program, and find the structure of the optimal policy, which consists of monotonic switching curves. Specifically, if it is optimal to remanufacture in a given period and for given inventory levels, then it is also optimal to remanufacture when the inventory of part(s) is higher or the inventory of remanufactured product is lower.


Guo, S., G. Aydin, and G. C. Souza (2014), “Dismantle or Remanufacture?” European Journal of Operational Research, 233(3), 580-583.


Inventory, dynamic programming, remanufacturing, dismantling

Kelley School of Business

Faculty & Research