System Supporting Location of Service Works: Case Study

Purpose: The purpose of this work was to propose a new approach to assess the influence of decision variables on the running costs of networks providing services, taking recycling networks as an example. The authors have analyzed the importance of these variables and the trends in these changes. Design / methodology / approach: A computer system supporting decisions about the location of ELVs recycling network facilities, which indicates globally optimum locations of all facilities, was applied. An analysis of output variables sensitivity: location and cost of recycling on decision variables changes, i.e. the ELVs stream, and cost components connected with recycling was performed. The results of the analysis were presented in the form of graphs showing the relation between the cost of recycling generated by the network in the period of one year and the changes in the cost of transport, storage and dismantling of ELVs as well as the transport of dismantled parts and materials. Findings: The approached proposed by the authors allows to reject insignificant decision variables (it simplifies decision-making) and identifies the values which have the greatest impact (shortens decision-making for alternative data variants). Practical implications: The proposed approach allows to specify the values of decision variables, and provides information required for the evaluation of profitability of the recycling network. Originality / value: The proposed approach allows to assess the relationship between the cost of recycling and decision variables at a general level - the territory being analyzed in the period of one year, and at a detailed level - the cost of recycling one vehicle.