Research Experience The UNITE Mobility Greece-Latvia

1. Research ExperienceThe UNITE Mobility Greece-Latvia Elias A. Hadzilias, Dr. Eng. NTUA -RTU May 20th, 2011

2. National Technical University of Athens The National Technical University of Athens (NTUA) is the oldest educational institution of Greece in the field of technology, founded in 1836. School of Mechanical Engineering, Section of Industrial Management and Operations Research. Broad area of research activities.

3. The UNITE secondment Host organisation: Riga Technical University, Department of Modelling and Simulation (www.itl.rtu.lv/mik) Prof. Galina Merkurjeva UNITE Research theme: Internet of Things - Collaboration and networked enterprises Research topic: Development of a reference model for the web-based support of virtual enterprise networks in the reverse supply chain of the electronics sector in Latvia

4. Research objectives of the UNITE mobility in RTU Analyse the reverse supply chain of the electronics sector in Latvia. Identify potential areas of improvement. Study the relevant decisions in the context of a closed-loop supply approach to develop the reference model. Recognise opportunities for the Latvian economy and companies.

5. The closed loop supply chain concept Forward supply chain Reverse supply chain

6. Types of returns Commercial returns 30 to 40 day free returns policy in Greece Repair / warranty returns Leasing End-of-use returns Cell phones: 80% replaced after first year of use End-of-life returns Mandatory take-back in EU

7. Example: reverse supply chain for mobile phones Source: Valma, 2011

8. Example: reverse supply chain for computers Source: Lee and Dong, 2007

9. Research methodology Interviews with representatives from the following organisations: Dilers (http://www.dilers.lv) LETERA - Latvijas Elektrotehnikas un elektronikas rūpniecības asociācija (http://www.letera.lv/) LZE - Latvijas Zaļais elektrons (http://www.lze.lv/) Collect information about the AS-IS structure of the reverse supply chain Collect statistical data

10. AS-IS situation: Centralised reverse supply chain Retailers & Resellers • 4th Party Logistics • Value Chain Integrator • Collect containers • Transporters Re-stock Remanufacture Centralized Evaluation & Test Facility Product Returns Parts Recovery Scrap

11. Facts about the electronics sector (WEEE cat 3 & 4) E-waste collected in EU-27: ≈1.000.000 tons (2010) E-waste collected in Latvia: 1050 tons (2010) Electronic products (cat 3 &4) put in the market: 4125 tons (2010) The agreement reached on 14/3/2011 by the EU Council foresees that member states must annually collect 45% of the average weight of electrical and electronic equipment placed on their national markets. This would take effect four years after the entry into force of the revised law. Four years later, member states are to achieve a 65% collection rate. Latvia may attain a collection rate of 40-45% by 2016 and must achieve the full collection targets by 2022 at the latest.

13. Further research Process statistical information to consider viability of the AS-IS model Develop reference model Propose alternative WEEE management in the electronics sector Feasibility studies: Automation: real-time data collection using sensors, actuators and RFID Optimised flow: multi-tier system integration across the network, collaborative decision making through decision support and business intelligence and networked risk management programs Decision analysis: Simulation models to evaluate trade-offs of cost, time, quality, service and carbon footprint Probability-based risk assessment and predictive analysis Networked planning/execution with optimised forecasts and decision support

14. Paldies!Thank you!Σας ευχαριστώ!(Sas efharistό)Feel free to contact me at:elhadzil@central.ntua.gr