"No one is harder on a talented person than the person themselves" - Linda Wilkinson ; "Trust your guts and don't follow the herd" ; "Validate direction not destination" ;

March 11, 2010

What is Reverse Logistics.....

Reverse logistics has been defined as “... the term most often used to refer to the role of logistics in product returns, source reduction,recycling, materials substitution, reuse of materials,waste disposal, and refurbishing, repair and remanufacturing.” (Link)

A very good comparision on forward logistics vs reverse logistics presented below. Source Reverse Logistics Association.
Do find time to check Reverse Logistics Wiki
Reverse Logistics Framework as provided in Wiki. This kind of completely covers End-to-End Reverse Logistics Operations.

Very good white paper from UPS on ReverseLogistics
Key Learnings as Captured in paper as Summary
  • Customer retention/satisfaction - Post Purchase Support for Repair is very important for better customer satisfaction
  • Container reuse
  • Recycling programs (Transport packaging)
  • Damaged material returns
  • Asset recovery/restock
  • Downstream excess inventory (Seasonality)
  • Hazardous material programs
  • Obsolete equipment disposition
  • Recalls
A good Example is also provided in the paper.
Possible options for reclaimed product
  • Refurbish (Improve product beyond original specs)
  • Recondition (Return product to original specs)
  • Salvage (Separate components for reuse)
  • Repair (Prepare for sale as a used product)
  • Sell to 3rd Party
  • Recycle
  • Discard/Liquidation (Landfill)
Other Good Reads you may like
How to Develop A Reverse Logistics Strategy
Improve Your Business Applications
Advanced Exchange Service Model and the Secret of the ‘Black Hole’
Analysis of Reverse Logistics
Reverse Logistics Metrics (Customer Satisfaction, Financial Performance, Manufacturing (or Returns Processing and Refurbishment), Transportation and Warehousing)
Supply Chain Metrics

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