Table A4 Challenges of long-term horizon...

Table A4

Challenges of long-term horizon for CLSC processes and the four CLSC configurations

Challenges of long-term horizon	CLSC processes ^a							CLSC configurations
Challenges of long-term horizon	BPP	RT	HD	RM/RF	RP	RC	RL	1	2	3	4
Uncertainty of the degree of battery technology improvement and change in performance	x			x	x	x		x	x	x	x
Resistance from battery suppliers to transfer knowledge and expertise on battery technology, technological and operational capabilities for battery pack design and assembly	x			x	x			x	x	x	x
Difficult to balance battery design requirements for the first and second life applications	x									x	x
Uncertainty of demand for different types of batteries for replacement (new/remanufactured/refurbished batteries)		x		x					x	x	x
Customers can return batteries to other dealers, if they are not bound by contractual agreements to the OEM and its network		x						x	x	x	x
Uncertainty of the future price of new batteries and its implications for economic viability for the recovery options	x			x	x	x			x	x	x
New battery technologies might extend the life of batteries in the first application leading to delayed return of batteries for the second life market and uncertain residual value					x					x	x
Uncertain competitive environment and customer demands for the second life application					x					x	x
Uncertainty of future dominant RC technology						x		x	x	x	x
Uncertain volumes and quality of materials recovered						x		x	x	x	x
Loss of critical materials during RC process; need to obtain primary materials in addition to recycled materials, dependence on primary materials remains	x					x		x	x	x	x
Complexity of RL network due to growing market worldwide							x	x	x	x	x
Complexity of RL network due to multiple recovery options							x		x	x	x
Need for investment in special equipment for transportation and warehousing of returned batteries (ADR trucks, warehouses with specific temperature and maintenance regulations)							x	x	x	x	x

Challenges of long-term horizon	CLSC processes ^a							CLSC configurations
Challenges of long-term horizon	BPP	RT	HD	RM/RF	RP	RC	RL	1	2	3	4
Uncertainty of the degree of battery technology improvement and change in performance	x			x	x	x		x	x	x	x
Resistance from battery suppliers to transfer knowledge and expertise on battery technology, technological and operational capabilities for battery pack design and assembly	x			x	x			x	x	x	x
Difficult to balance battery design requirements for the first and second life applications	x									x	x
Uncertainty of demand for different types of batteries for replacement (new/remanufactured/refurbished batteries)		x		x					x	x	x
Customers can return batteries to other dealers, if they are not bound by contractual agreements to the OEM and its network		x						x	x	x	x
Uncertainty of the future price of new batteries and its implications for economic viability for the recovery options	x			x	x	x			x	x	x
New battery technologies might extend the life of batteries in the first application leading to delayed return of batteries for the second life market and uncertain residual value					x					x	x
Uncertain competitive environment and customer demands for the second life application					x					x	x
Uncertainty of future dominant RC technology						x		x	x	x	x
Uncertain volumes and quality of materials recovered						x		x	x	x	x
Loss of critical materials during RC process; need to obtain primary materials in addition to recycled materials, dependence on primary materials remains	x					x		x	x	x	x
Complexity of RL network due to growing market worldwide							x	x	x	x	x
Complexity of RL network due to multiple recovery options							x		x	x	x
Need for investment in special equipment for transportation and warehousing of returned batteries (ADR trucks, warehouses with specific temperature and maintenance regulations)							x	x	x	x	x

Note(s): ^aBPP= Battery purchasing & production; RT= Return of EOL batteries; HD= Health diagnostics; RM = Remanufacturing; RF=Refurbishment; RP= Repurposing; RC= Recycling; RL= Reverse logistics

Source(s): Authors’ own work

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