Clean Technologies and Environmental Policy

, Volume 18, Issue 8, pp 2363–2379 | Cite as

Remanufacturing as a means for achieving low-carbon SMEs in Indonesia

  • Yun A. Fatimah
  • Wahidul K. BiswasEmail author
Original Paper


Remanufacturing can reduce the energy intensity and associated greenhouse gas (GHG) emissions significantly and increase the eco-efficiency of product systems by utilizing recovered end-of-life parts. This paper presents the GHG mitigation potential of technically feasible remanufactured alternators in Indonesian small- and medium-sized enterprizes. Life cycle assessment approach and Weibull ++8 software have been used to calculate environmental and quality parameters. Since existing remanufactured alternators have not been found to meet the technical criterion for customers’ satisfaction, a number of alternative remanufacturing strategies have been explored to identify an option that has not only reduced GHG emissions but also has satisfied reliability, durability and warranty period criterion. Three improvement scenarios involving three different remanufacturing strategies were investigated in this case study, and yielded useful insights in order to come up with a technically feasible remanufacturing strategy for reducing a significant amount of GHG emissions. The improvement scenario III, which maximizes the use of used components, was found to offer technically and environmentally feasible remanufacturing solutions. Overall, this research has found that about 7207 t of CO2 -eq GHG emissions and 111.7 TJ embodied energy consumption could potentially be avoided if 10 % of alternators in Indonesian automobile sector are remanufactured using technically feasible remanufacturing strategy.


Small- and medium-sized enterprise Remanufacturing Greenhouse gas Life cycle assessment 



This paper is an outcome of the doctoral work and so the authors sincerely appreciate the Indonesian Directorate General of Higher Education (DIKTI) for the financial support granted through doctoral scholarship, and Muhammadiyah University of Magelang for the support and encouragement with regard to this doctoral study.


  1. ABB (2011) Indonesia—energy efficiency report. Global energy efficiency 2011. Web Accessed 20 June 2012
  2. Anityasari M (2009) An integrated assessment model for reuse strategy technical, social, environmental, and economic aspects. VDM Verlag, GermanyGoogle Scholar
  3. Ardiansyah F (2011) The energy challenge. Inside Indonesia. Web Accessed 1 June 2012
  4. Ardiansyah F, Gunningham N, Drahos P (2012) An environmental perspective on energy development in Indonesia. In: Caballero-Anthony M, Chang Y, Putra N (eds) Energy and non-traditional security (NTS) in Asia. Springer, Berlin, pp 89–117CrossRefGoogle Scholar
  5. BBB Industries (2014) Premium remanufactured alternators. Accessed 30 June 2014
  6. Biswas WK (2014) Carbon footprint and embodied energy assessment of a civil works program in a residential estate of Western Australia. Int J Life Cycle Assess 19:732–744CrossRefGoogle Scholar
  7. Biswas WK, Rosano M (2011) A life cycle greenhouse gas assessment of remanufactured refrigeration and air conditioning compressors. Int J Sust Manuf 2(2–3):222–236Google Scholar
  8. Biswas WK, Duong V, Frey P, Islam MN (2011) A comparison of repaired, remanufactured and new compressors used in western australian small- and medium-sized enterprises in terms of global warming. J Remanuf 3(4):1–7Google Scholar
  9. Copper Development Association (2014) Copper recycling and sustainability. Accessed 10 Feb 2014
  10. Dewi RG (2010) Indonesia’s progress in waste inventory, 8th workshop on GHG inventories in Asia (WGIA8)—capacity building for measurability, reportability and verifiability. Lao PDR, VientianeGoogle Scholar
  11. Dhewanthi L (2007) Addressing financial obstacles of micro small medium enterprises (msmes) for environmental investment in Indonesia. In: Greening the business and making environment a business opportunity. United Nations, ESCAP, BangkokGoogle Scholar
  12. Dyker DA, Higginbottom K, Kofoed N, Stolberg C (2006) Analysing FDI in central east Europe through case studies. In: Dyker DA (ed) Closing the EU east west productivity gap, chapter 4. Imperial College Press, London, pp 71–92CrossRefGoogle Scholar
  13. Fatimah YA (2015) Remanufacturing as a potential means of attaining sustainable industrial development in Indonesia. Dissertation, Curtin University, PerthGoogle Scholar
  14. Fatimah YA, Biswas WK (2015) Sustainability assessment of remanufactured computers, 13th global conference on sustainable manufacturing—decoupling growth from resource use, Vietnam, September 16–18Google Scholar
  15. Fatimah YA, Biswas W, Mazhar MI, Islam MN (2013) Sustainable manufacturing for Indonesian Small- and Medium-sized Enterprises (SMEs): the case of remanufactured alternators. J Remanuf 3(6):1–13Google Scholar
  16. Giuntini R, Gauddette K (2003) Remanufacturing: the next great opportunity for boosting US productivity. Business horizons November–December, pp 41–48Google Scholar
  17. Gray C, Charter M (2007) Remanufacturing and product design: designing for the 7th generation. University College for Creative Arts, FarnhamGoogle Scholar
  18. Isites (2016) Building a global energy backbone, Harvard University. Accessed 8 Feb 2016
  19. Jung D, Seo Y, Chung W, Song H, Jang J (2008) The quality stability improvement for remanufactured alternator. In: Proceedings of the global conference on sustainable product development and life cycle engineering sustainable and manufacturing VI, Busan, South Korea, 29–30 September, pp 147–149Google Scholar
  20. Kerr W, Ryan C (2001) Eco-efficiency gains from remanufacturing: a case study of photocopier remanufacturing at Fuji xerox, Australia. J Cleaner Prod 9(1):75–81CrossRefGoogle Scholar
  21. King AM, Burgess SC, Ijomah WL, McMahon CA (2006) Reducing waste: repair, recondition, remanufacture or recycle? J Sustain Dev 14(4):257–267CrossRefGoogle Scholar
  22. Krajnc D, Glavic P (2003) Indicators of sustainable production. Clean Technol Environ Policy 5:279–288CrossRefGoogle Scholar
  23. Liao Q, Wang X, Ling D, Xiao Z, Huang H (2011) Equipment reliability analysis based on the mean-rank method of two-parameter Weibull distribution. IEEE, Xi’an, China, 17–19 JuneGoogle Scholar
  24. Liu SC, Shi PJ, Xu BS, Xing Z, Xie JJ (2005) Benefit analysis and contribution prediction of engine remanufacturing to cycle economy. J Central South Univ Techechnol 12(2):25–29CrossRefGoogle Scholar
  25. McKinsey and Company (2009) Environmental and energy sustainability: an approach for India. McKinsey and Company, Mumbai 400 021, IndiaGoogle Scholar
  26. Ministry of Finance (2009) Low carbon development options for Indonesia: emissions reduction opportunities and policies. Ministry of Finance, JakartaGoogle Scholar
  27. Nasr N (2012) Key Legal and business issues in remanufacturing as a key to industrial sustainability. In: Green technology law and business 2012: legistlation, financing, carbon trading and sustainability. Practicing Law Institute, New YorkGoogle Scholar
  28. Nyiwul L, Shittu E, Dhanda KK (2015) Prescriptive measures for environmental performance: emission standards, over compliance, and monitoring. Clean Technol Environ Policy 17:1077–1091CrossRefGoogle Scholar
  29. PRe Consultants (2013) Simapro 7.3. PRe consultants, The NetherlandsGoogle Scholar
  30. Ramoni MO, Zhang H (2013) End-of-life (EOL) issues and options for electric vehicle batteries. Clean Technol Environ Policy 15:881–891CrossRefGoogle Scholar
  31. Reliasoft (2013) Weibull ++. Reliasoft Asia Pte LtdGoogle Scholar
  32. Remy International, Inc (2012) Remy International, Inc. - Investor Relations. United States Securities and Exchange Commission, Washington, DC 20549Google Scholar
  33. Romeu JL (2004) Understanding series and parallel systems reliability. Reliability Analysis Center (RAC), Rome, NYGoogle Scholar
  34. SAE International (2001) Alternator remanufacturing/rebuilding procedures includes passenger car, heavy duty, industrial, agriculture and marine. SAE International Web. Accessed 20 June 2014
  35. Smith VM, Keoleian GA (2004) The value of remanufactured engines: life-cycle environmental and economic perspectives. J Ind Ecol 8(1–2):193–221Google Scholar
  36. Steinhilper R, Brent AC (2003) Saving product lives in global and local remanufacturing networks: a scientific and commercial work report and an outlook. EcoDesign Conference Proceedings, Tokyo, Japan, pp 297–302Google Scholar
  37. Svenska Kullagerfabriken (2014) Annual report 2014: financial, environmental and social performance. Aktiebolaget SKF, SE-415 50 Gothenburg, SwedenGoogle Scholar
  38. Tambunan T (2006) SME capacity building Indonesia. Kadin Indonesia-JETRO, JakartaGoogle Scholar
  39. Todd JA, Curran MA (1999) Streamlined life-cycle assessment: a final report from the society of environmental toxicology and chemistry (SETAC). 1999. SETAC North America streamlined LCA workgroup. Society of environmental toxicology and chemistry (SETAC) and SETAC foundation for environmental education, Pensacola, FLGoogle Scholar
  40. US Energy Information Administration (2013) Indonesia. US Energy Information Administration, WashingtonGoogle Scholar
  41. US Environmental Protection Agency (2015) Climate change.
  42. Weibull.Com (2014) Life data analysis (Weibull Analysis). Reliability engineering resources web. Accessed 30 July 2014
  43. Woo JW, Jeong DH, Kim TK, Yoo JY (2008) A study on the method of reliability improvement for remanufacturing alternator and starter. In: Proceedings of the global conference on sustainable product development and life cycle engineering sustainable and manufacturing VI, Busan, South Korea, 29–30 September, pp 147–149Google Scholar

Copyright information

© Springer-Verlag Berlin Heidelberg 2016

Authors and Affiliations

  1. 1.Department of Industrial Engineering, Engineering FacultyUniversity of Muhammadiyah MagelangMagelangIndonesia
  2. 2.Sustainable Engineering GroupCurtin UniversityBentleyAustralia

Personalised recommendations