1. Caterpillar Remanufacturing Daniel Colm

2. Fears Decentralization Economic jobs (new) volume know-how reduction less economy of scale high sunk cost 3. Economic advantages high demand for Reman products increased market share external remanufacturers high quality standards (reputation) no signicant cost for logistics 4. Location advantages partly decentralized (big engines) partly centralized (reintroduction into trad. manufacturing process) dierence in competencies (cultural, technical) 5. Trade-o with dealers dealers have to sell Reman parts buy-back guarantee of unused (unsold) inventory newly Reman engine for every old one 6. Reman cycle Core receiving/inspection (no value added) Storage (on demand, JIT) Remanufacturing Remarketing (closed loop with dealers) 7. Thanks Daniel Colm 8. Reference Case study on Caterpillar Inc. http://www.product-life.org/en/archive/case-studies/caterpillar-remanufactured-products-group