Resources needed to set up reverse logistics
Setting up reverse logistics - Process study
Article REF: AG5250 V1
Resources needed to set up reverse logistics
Setting up reverse logistics - Process study

Author : Ruddy SOCHAY

Publication date: October 10, 2003 | Lire en français

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8. Resources needed to set up reverse logistics

Reverse logistics begins with the design of the product, which is then dismantled, recycled, recovered, destroyed, etc., and ends with its final destination.

On the other hand, it's between the time the product is sold and the time it's returned that you need to be able to predict how much of it is likely to enter the return channel.

Example

Lexmark (printing products) took up this challenge by estimating (using its sales file) the volumes of products that will reach end-of-life each year. We then extrapolated the number of end-of-life products that would actually enter a return channel.

This phase of sorting the products (gatekeeping) that are to enter the channel is very important. Some companies have a zero-returns policy, while others take advantage of returns...

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