System dynamics applied to closed loop supply chains of desktops and laptops in Brazil: A perspective for social inclusion of waste pickers

The structure of reverse logistics for waste electrical and electronic equipment (WEEE) is essential to minimize the impacts of their improper disposal. In this context, the Brazilian Solid Waste Policy (BSWP) was a regulatory milestone in Brazil, submitting WEEE to the mandatory implementation of reverse logistics systems, involving the integration of waste pickers on the shared responsibility for the life cycle of products. This article aims to measure the impact of such legal incentives and the bargaining power obtained by the volume of collected waste on the effective formalization of waste pickers. The proposed model evaluates the sustainability of supply chains in terms of the use of raw materials due to disposal fees, collection, recycling and return of some materials from desktops and laptops using system dynamics methodology. The results show that even in the absence of bargaining power, the formalization of waste pickers occurs due to legal incentives. It is important to ensure the waste pickers cooperatives access to a minimum amount, which requires a level of protection against unfair competition with companies. Regarding the optimal level of environmental policies, even though the formalization time is long, it is still not enough to guarantee the formalization of waste picker cooperatives, which is dependent on their bargaining power. Steel is the material with the largest decrease in acquisition rate of raw material.