REVIEW ARTICLE


A Dynamic Model for Simulation of the Scale of Industrial Chain of Construction Waste Reclamation in China



Yongshi Pang, Yanqing Xiao, Jingkuang Liu*
Department of Engineering Management, School of Business Administration, Guangzhou University, Guangzhou, China


© 2017 Pang et al.

open-access license: This is an open access article distributed under the terms of the Creative Commons Attribution 4.0 International Public License (CC-BY 4.0), a copy of which is available at: https://creativecommons.org/licenses/by/4.0/legalcode. This license permits unrestricted use, distribution, and reproduction in any medium, provided the original author and source are credited.

* Address correspondence to this author at the Department of Engineering Management, School of Business Administration, Guangzhou University, Guangzhou 510006, China; Tel: +86-13450289815; Fax: (+86) 020-39366799; E-mails: ljkgowell@163.com, 57889091@qq.com


Abstract

The scale of the industrial chain for construction waste reclamation in China is still at a small magnitude with a relatively slow development rate, yet to form an industrial chain that is mature. With the industrial chain theory, this paper takes Guangzhou as an example to construct a simulation model of the scale of industrial chain of construction waste reclamation based on system dynamics. As the results show: (1) though the subsidy policy carried out by the government has a significant effect on the development of the industrial chain of construction waste reclamation, a greater amount of compensation will not necessarily lead to a larger scale of industrial chain of construction waste.(2) The inventory optimization management is conducive to promote the development of industrial chain of construction waste. (3) The governmental compensation amount of RMB 50,000 per 10,000 tons in the next 5 to 10 years will be the optimal to ensure the rapid development of the industrial chain of construction waste. (4) The scale of the industrial chain of construction waste reclamation, the inventory of the dealers and the inventory of resource-oriented enterprises interact and mutually constrain, implying that with the expansion of the production scale of resource-oriented enterprises, the oscillation amplitude of the inventory of the dealers will become greater while the frequency will be smaller .The conclusion of the study provides reference value and theoretical basis for the development of industrial waste resource industry chain.

Keywords: Recycling economy, Construction waste, Industrial chain, System dynamics, Simulation model, Inventory optimization management.