"New data from Scott Webster, professor of supply chain management in the Whitman School of Management at Syracuse University (SU), finds that there may be an economic incentive for policymakers in deliberations about legislation around the collection/disposal of e-waste.  "Relative to the option of no take-back laws, we found that the adoption of collective WEEE (Waste Electrical and Electronic Equipment) take-back legislation -- that is, policies where the government coordinates the collection/disposal of returns and charges the manufacturers for the cost -- can result in higher manufacturer and remanufacturer profits," Webster said. WEEE take-back legislation is modeled after the European Community directive on e-waste.  Webster's study, forthcoming in the Journal of Operations Management and announced on Aug. 22, found that collective WEEE take-back is more economically advantageous than individual WEEE take-back, where the manufacturer instead of government has responsibility for the collection and disposal of its products. "Policymakers interested in e-waste should consider that individual WEEE take-back carries the risk of the manufacturer forcing the remanufacturer out of business by charging the remanufacturer a high price for returned products," Webster said. "In general, individual WEEE take-back is best suited only to industries where remanufacturing by a firm other than the OEM (Original Equipment Manufacturer) is not especially desired or valued.""

Meta-Actor: Journalism

Source Document: https://eponline.com/articles/2006/08/01/professor-ewaste-takeback-legislation-could-result-in-higher-manufacturing-remanufacturing-profits.aspx

Date: August 1, 2006