Operational challenges in the automotive recycling business: A system dynamics perspective

Abstract

Despite advances in automotive recycling policies and technologies, achieving 95% recovery potential in real world terms remains a major challenge. The purpose of this paper is to explore the root causes for this system-level impediment. The paper finds that the five basic operational challenges facing the automotive recycling business are not only the major hurdle in attaining full recycling potential, they also underline the sustainability of the industry. The paper then concludes that in order to sustain the industry and improve the recycling performance, policy makers and industry stakeholders should regard these challenging areas as leverage points into the system.