Closed-loop supply chain simulation with disruption considerations: a case-study on Tesla

Abstract

Performance impact of severe disruptions in the reverse part of an automotive closed-loop supply chain is studied with the use of a discrete-event simulation model implemented in any Logistix software. A hybrid case study-simulation methodology is applied in this research to analyse the six-echelon closed-loop supply chain of Tesla from positions of resilience. Based on the secondary data, an example for the German market has been created and investigated. More specifically, the results help to show how a disruption in the reverse supply chain may affect the financial and operational performances of the company. Different recovery policies have been simulated in order to analyse how each might recover the supply chain from disruption and restore its operation and performance.