So what is Reverse Logistics? I’ve Googled to see what definitions are out there and noticed that the definition on Wikipedia (1) actually comes from a study done for the Reverse Logistics Executive Council in 1998 by Rogers and Tibben-Lemke (2). They define Reverse Logistics as:
The process of planning, implementing, and controlling the efficient, cost effective flow of raw materials, in-process inventory, finished goods and related information from the point of consumption to the point of origin for the purpose of recapturing value or proper disposal.
Re-manufacturing and refurbishing activities also may be included in the definition of reverse logistics.
There are several reasons for companies to develop reverse logistics strategies. Two examples are Cost and Sustainability
The current economic climate is challenging, and many companies are forced to cut cost. Returned products can sold on alternative markets, be (partly) re-used, or maybe even turned in to raw material again.
Both consumers and governments are focusing more on the environment. The first group increasingly chooses companies whose products are “Green”, the latter are implementing ever more stringent laws and regulations designed to protect the environment. This could result in the need for proper disposal of dismantled product, or (partly) re-using returned products.
Key is that a product has returned. What to do?? Is it still sell-able? Do we need to repair or refurbish it? Can we take it apart and use it for spare parts or raw material? Should we scrap it? Should we do all this ourselves? It’s questions like these (and more) that will be answered at the Advanced Reverse Logistics Strategies Conference that will be held in Prague this April. Representatives of leading companies will speak about their Reverse Logistics.
- TomTom: Adapting reverse logistics & creating value in a decreasing market.
- IBM: Managing the triangle of Cost, Inventory & Service
- HP: Increasing Customer Satisfaction while reducing Repair and Support costs
- SAMSUNG: Exploring the challenges for the whole E-waste ecosystem
LogisticsMatter is Media Partner for this annual event that will be held for the first time April 10-12 in the Corinthia Hotel in Prague.
If you want to find out more, please click here for more information.
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