Reverse logistics is the process of moving products from the customer back toward the manufacturers and suppliers due to returns of damaged or unwanted products. Reverse logistics can be challenging to design since materials move in the opposite direction from the typical flow in a supply chain. It can also be complex since there are many different paths that returned products can take and the logistics function has to design processes for each path in a cost effective manner.
For this discussion, compose your response to the following questions and post as one initial response to the discussion forum, “Reverse Logistics.” Use your consumer knowledge and what you learned in this module to create a reverse logistics scenario. There are no wrong answers; it’s all about the knowledge journey.
- Consider an item you have recently returned. Identify the steps the company would have to go through to return the product back up the supply chain from where you have returned it. What costs would be involved in this process?
- Is there a way the company can design this reverse logistics process in order to add value and make a profit?