Publication: Simulation model for quantifying the environmental impact and demand amplification of a product-service system (PSS)
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Issued Date
2011
Resource Type
File Type
application/pdf
Other identifier(s)
2-s2.0-79952531624
Rights Holder(s)
Scopus
Bibliographic Citation
2011 International Conference on Management Science and Industrial Engineering, MSIE 2011. (2011), p.554-559
Suggested Citation
Wangphanich P. Simulation model for quantifying the environmental impact and demand amplification of a product-service system (PSS). 2011 International Conference on Management Science and Industrial Engineering, MSIE 2011. (2011), p.554-559. doi:10.1109/MSIE.2011.5707468 Retrieved from: https://hdl.handle.net/20.500.14740/7360
Author(s)
Abstract
The concept of a Product-Service System (PSS) was firstly published in 1999 as a 'product(s) and service(s) combined in a system to deliver required user functionality in a way that reduces the impact on the environment'. Although this concept has been discussed in literatures over a decade, it still lacks of tools for evaluating the impacts of a PSS in a supply chain. This paper proposes a simple model based on a system dynamics simulation for quantifying the environmental impact and demand amplification along a supply chain when a PSS is applied. The proposed model is comprised of four generic models which are an Inventory model, a Linkage model, a Contribution model and a PSS model. A simple case of a PSS in a washing machine business was selected to validate and demonstrate the flexibility of the proposed model. The results showed that a PSS was able to decrease demand amplification by smoothing the end customer demand in a supply chain. Moreover, a PSS was capable to reduce the total number of washing machines to fulfill customer need while it was able to increase an opportunity to replace those machines with new items which were adapted technology to reduce water and energy consumptions. Consequently the total amount of CO2 emission generated in a PSS was lower than in a traditional purchase system. Therefore, a PSS has potential to reduce the environmental impact and demand amplification in a supply chain. ©2011 IEEE.
Subject(s)
CO2 emission
Contribution model
Customer need
Demand amplification
End customers
Generic models
Impact on the environment
Inventory models
Model-based
Product-service systems
Simulation model
System dynamics
System dynamics simulation
Water and energies
Amplification
Computer simulation
Industrial engineering
Management science
Sales
Supply chain management
Supply chains
System theory
Washers
Washing
Washing machines
Environmental impact
Contribution model
Customer need
Demand amplification
End customers
Generic models
Impact on the environment
Inventory models
Model-based
Product-service systems
Simulation model
System dynamics
System dynamics simulation
Water and energies
Amplification
Computer simulation
Industrial engineering
Management science
Sales
Supply chain management
Supply chains
System theory
Washers
Washing
Washing machines
Environmental impact