Analyzing And Improving Returnable Packaging Materials Through Reverse Logistics Simulation - Heineken Vung Tau

Abstract

Reverse logistics is the process of goods returning to their point of origin – back from the purchaser to the manufacturer or supplier. Today, reverse logistics can no longer be an afterthought for manufacturers but is instead an integral part of supply chain planning. For these businesses, the question becomes how to optimize the reverse logistics process to improve the customer experience, reduce the cost of waste, add value to products by recycling and repurposing, and become more sustainable. This report will talk about the Heineken brewery in Vung Tau, a new factory put into use by the world-famous beer company Heineken, so applying reverse logistics to the production cycle at the factory is inevitable. Therefore, we will simulate this reverse logistics system using Arena Simulation software based on data collected from the company to better understand its operating cycle. To analyze and understand the complexity of Heineken Vung Tau's Reverse logistics, we used Discrete Event Simulation (DES) to detect and analyze potential inefficiencies in the system. Reverse logistics applied at Heineken are mainly used to collect returnable package materials (RPM) such as empty bottles to reuse them. Therefore, we want to write a report to find and analyze points of improvement for this system to contribute to Heineken Vung Tau's strong supply chain.