# Circular Economy Strategy Selection Through a Digital Twin Approach
## 3 Consider the quality of the returned item as the main driver  
When a significant proportion of flooring requires remanufacturing, the strategy can have considerable implications for both environmental and economic performance. In these cases, the savings generated from reducing transportation costs--by conducting on-site inspections and avoiding the need to transport entire flooring units--can often outweigh the additional costs incurred for operator travel and labor. On-site inspections reduce the need for long-distance transport of flooring, thereby minimizing the associated emissions, energy consumption, and logistical costs. Furthermore, remanufacturing a large volume of flooring on site aligns with the CE principles, as it promotes material reuse while reducing the carbon footprint of transport. This result is aligned with that of prior studies that emphasized the role of remanufacturing volume and scale in determining the optimal strategy. For instance, [PERSON] et al. [29] show that disassembly and remanufacturing processes only become economically feasible and operationally efficient beyond certain volume thresholds. The results achieved in this study support this view by demonstrating that high volumes of top-quality returns enable on-site remanufacturing to be a cost-saving option due to reduced transportation needs and localized processing. Furthermore, [PERSON] et al. [34] underlined that flexibility in remanufacturing systems--such as adapting operations based on return volume and product condition--can enhance responsiveness and efficiency. This reinforces the strategic value of dynamic, volume-sensitive decision-making, as illustrated in our simulation results. From an economic perspective, while the costs of operator travel and additional labor for on-site inspections must be considered, these are often compensated by the avoidance of transportation of the flooring and related handling costs. The higher the volume of flooring requiring remanufacturing, the greater the potential savings from minimizing transportation-related expenses. Consequently, this approach can contribute to the optimization of both environmental and economic performance, making it a strategically sound choice in scenarios with substantial remanufacturing needs. In contrast, when only a small proportion of the flooring requires remanufacturing, it may be more efficient to conduct inspections at the manufacturer's facility. This is particularly relevant when the volume of flooring to be inspected and processed does not justify the additional costs associated with transporting operators to the customer's location and conducting the remanufacturing there. In such scenarios, the cost involved in on-site inspections--such as time, logistics coordination, and labor costs--may outweigh the potential savings from reducing transportation. Moreover, the manufacturer's facility is typically better equipped to handle a variety of remanufacturing processes and can achieve higher efficiencies due to economies of scale, which may not be achievable in on-site operations for smaller volumes. By centralizing the inspection and remanufacturing activities at the manufacturer's location, companies can optimize operational efficiency and minimize the overall cost per unit of remanufactured flooring. The decision to prioritize on-site inspections or centralize operations at the manufacturer's facility should be based on a thorough analysis of remanufacturing volumes. When large volumes of flooring require remanufacturing, on-site inspections are likely to yield better environmental and economic outcomes. Conversely, for smaller volumes, centralizing operations at the manufacturer's facility remains a more efficient option. In conclusion, the volume of remanufactured flooring plays a key role in determining the most appropriate strategy for optimizing the balance between sustainability and economic viability.