Reverse Logistics Essay Sample. 4401 Camila Loop, Boston, MA +1 (555) 193 4955. Therefore, reverse Logistics process must not be avoided, and a planned and cost-effective process should be established to minimize the cost. Having the capacity to be able to repair and resell any dysfunctional products. The meaning of word Logistics in general business sense is the implementation of multifaceted operations, which consist of various processes such as production, material handling, packaging, inventory, transportation, warehousing, etc. For example, in just a few months, over 6 … The retailer makes sure they aren’t damaged or … Amazon handles its reverse logistics process through various third-party vendors and organic resources such as Genco, FedEx, and many other small vendors. Companies are looking for innovative methods to deal with reverse logistics as it is considered as an expensive and headache giving process. Step 1: Check the Flow Logistics is always about processes, and you have … Apple manufacture various products such as iPhone, MacBook, etc. The paper "Reverse Logistics and Its Economic Benefits" is a wonderful example of a professional essay. Pick-up and delivery services . This is because as the supply chain evolves and increases in complexity as a whole, so does reverse logistics. Some examples of reverse logistics protocols include: Redirecting cargo back to the manufacturer or separate facility rather than the selling business. Reverse logistics is one of the toughest supply chain challenges. … Businesses that offer pick-up and delivery services rely heavily on … Providing shipping labels or arranging the pickup and transit of returning cargo. Dasani is also an excellent example as they have implemented various ways to collect and recycle products obtained from their consumers. The Benefits of an Efficient Reverse Logistics Systems. Logistics. H&M is a clothing brand, and it has used the concept of “Reverse Logistics,” an innovative … There is a lot of money being made and saved by bright managers who are focused on improving the reverse logistics processes of their company. Reverse logistics is also advantageous as it expands the global economy. Reverse logistics can be used for clothing, equipment, electronics, and vehicle parts to name a few on the endless list of goods. A definition of field service with examples. The following examples illustrate just a few ways specific types of companies can benefit from excellent reverse logistics. Managing Returns and Reverse Logistics SAMPLE ASSIGNMENT IN OPERATIONS STRATEGY /COVER PAGE/ Apple Inc.; Managing Returns and Reverse Logistics Home. 02/2017 - PRESENT Detroit, MI. Reverse logistics … A reverse logistics consists of all the activities which are included in the logistics, but in reverse logistics, all activities mentioned above are performed in reverse direction. The term “Reverse Logistics” was first coined by James R. Stock in his white paper on “Reverse Logistics.” Later this term is used and redefined by many scientists. While many companies consider the return process to be a necessary evil that shouldn’t be noticed, companies that implement an effective reverse logistics workflow can reap several benefits. Major hurdles for supply chain managers #1 Hurdle: Difficulty in value assertion. The Benefits of an Efficient Reverse Logistics … Reverse logistics has been the part of the business since ages in the form of phenomena like recycling of water bottles, recycling of waste papers, and recycling of metal scraps, etc. A list of the major components of the transportation industry. 5 votes Ellie Homenick. Reverse logistics is the process of collecting and aggregating products, components or materials at the end-of-life for reuse, recycling and returns. Here are a few examples of the uses for reverse logistics… One approach to achieving more effective reverse logistics is to adopt a relationship-oriented perspective. The definition of green logistics with examples. © 2017 The Authors. Peer … Detailed examples which occur in logistics of such projects are discussed using an example. For example… Therefore, we can say that it is a process of a cost-efficient method of planning, implementing and managing the flow of goods or material from the point of consumption to the point of origin to recycle them or to dispose of them properly. Visit our, Copyright 2002-2020 Simplicable. The customer brings back the pair of jeans. But whenever there is a process included after the sale of the product, it is known as reverse logistics. For example, in the case of goods arriving damaged, it is almost alway Within the global supply chain the US border may cross through at any point—and even multiple points if inputs enter, exit, and reenter the United States as manufacturing occurs. All rights reserved. Speed of shipment is not important in reverse logistics but it is the top priority in regular logistics. The thing to remember with reverse logistics is instead of moving toward a consumer, this method takes it backward in the supply chain. Let us learn about a few examples of companies which have implemented the reverse logistics process and successfully and also gained profit from it. In recent years, reverse logistics has become a key component of any successful streamlined supply chain. The reverse logistics process includes the management and the sale of surplus as well as returned equipment and machines from the hardware leasing business. Cookies help us deliver our site. The definition of recommerce with examples. What Are Reverse Logistics? The most popular articles on Simplicable in the past day. Reverse logistics can be used for clothing, equipment, electronics, and vehicle parts to name a few on the endless list of goods. Ikea, a company known for innovation , is facing the enigma of reverse logistics head on. Reverse Logistics is an absolute must for any business that has a returns policy. If they aren’t, the jeans get retagged and re-shelved for sale. H&M accepts old clothes of not only H&M brand but of any brand. The Rise of Reverse Logistics in the E Commerce Freight Shipping World. In the beginning, it was difficult for e-commerce websites to gain the trust of customers. Some important considerations for the reverse logistics of returned medications include security of the medications, keeping costs down through technology and automation, and tracing the returns from the initial interception down to their final disposition. In the last two decades, “Reverse Logistics” become an integral part of businesses both as research field and practice. And therefore, it becomes even more interesting to understand the practical details of this process. H&M. Companies like Sears, Dell, and Zappos are often pointed to as models to follow for reverse logistics. In this way, they not only decrease the overhead cost, but they help in minimizing the bad impacts on the environment. Let's stay in touch :), creative ways to reduce transportation costs, Your email address will not be published. Manage pan European projects and programs which involve external partners, development teams, Transportation, Customer Service and … In this whitepaper, we’ve defined the reverse supply chain process, the steps involved and how it can be used as a strategic business weapon. Meaning and Examples, Ad Hominem: Definition, Meaning and Examples in everyday life, Corporate Social Responsibility: Meaning and Examples Included, Delegation of Authority: Meaning, Principles, and Examples. Home. In recent years, reverse … Reverse Mentoring - Definition, Steps and Advantages, What is Opportunity Cost? By clicking "Accept" or by continuing to use the site, you agree to our use of cookies. reverse logistics is an important and often strategic part of their business mission. Pick-up and delivery services. Apple Inc. Supervises, plans, organizes and solves problems for all NAASC Return Departments Monitors daily operations to business and department plans Monitors and performs follow-up for associate Quality Schedule and follow up associates training Conducts audits to insure associate accuracy and Quality standards are being followed … Consumers can dispose of their used bottles, and Dasani can recycle them or dispose of them properly. Reverse Logistics is an inherent part of most every Supply Chain in every industry. In this way, they gain the trust of their customers and ensure that their sellers are providing good quality of products to the customers so that fewer returns take place. Download file to see previous pages The paper "Reverse Logistics and Its Economic Benefits" is a wonderful example of a professional essay. and sell these products in their stores all around the world. Moreover, they have installed Dasani Bottle bins in school campuses all around the United States. Importance of reverse logistics. A definition of creative consumer with examples. For example, in just a few months, over 6 tons of batteries were collected in Moscow, and 25 tons of used textiles were collected in Norwegian stores last year. Reverse logistics, also referred to as “aftermarket supply chain,” closes the loop. Extended Supply Chain & Reverse Logistics Regular Supply Chain Extended Supply Chain Develop Deliver Revenue Market Build Sell Develop Deliver Revenue Market Build Sell After Sales Service Replenish RMA Replace Recover Repair Reverse Logistics 10. Reverse Logistics and Returns Management. reverse logistics is an important and often strategic part of their business mission. Reverse supply (also referred to as reverse logistics) stands for all operations related to the reuse of products and materials. Disposal costs and increasingly rigorous waste management laws encourage effective waste management. Meaning, Examples and Calculations, Who are Non exempt Employees? The thing to remember with reverse logistics is instead of moving toward a consumer, this method takes it backward in the supply chain. Definition, Meaning and Examples, What is Competitive Equilibrium? 10 Examples of Reverse Logistics. In this research project, many examples of large bottom-line impact were identified. Reverse logistics presents one of the biggest operational challenges in the world of eCommerce freight logistics due to the sheer volume and cost of processing returns. Examples of these include compliance with HTS and NTBs. In simpler terms, we’re talking about having a situation to operate services such as returns, shipments destined for recycling or destruction, … Reverse Logistics Defining Reverse Logistics Logistics management is that part of the supply chain that plans, implements, and controls the efficient, effective forward and reverse flow and storage of goods, … The research and analyses indicate that launching reverse supply chains within a project has a significant added value for a business. Reverse Logistics Resume Sample. The process for how a company handles that product … Reverse Logistics Supply Chain circular supply chain reverse logistics Examples of Reverse Logistics Services Include: Returns Processing; Return Center Management; Return to Vendor Management; Flow Management of Returned Product (retailer to vendor) Product Recall Management; Product Recycling; Test, Repair and Refurbishment Operations; Product Inspection, Repair and Testing for Resale ; A more detailed definition of reverse logistics “Reverse logistics … Reverse supply chain refers to the movement of goods from customer to vendor or at least one step backward up the supply chain. Reverse logistics is any process that involves moving things from the customer back to the producer. Reverse Logistics Manager. According to “Recovering Lost Profits by Improving Reverse Logistics, ” electronics sold in secondary-markets “represent an estimated $15 billion (sold) in the United States.” These electronic companies manage to turn product failure into new profits by utilizing reverse logistics. Reverse logistics should be considered from two different points of view: Corporate: the reverse logistics of returns management means dealing with the increase in returns that businesses incur in their stock levels. Returning an electric motor from a commercial supply house back to the manufacturer because of a packaging defect is an example of reverse logistics that doesn't involve the end user. If those jeans are still within the current season, they can probably still sell for full price. Reverse logistics is defined as the practices and processes set up for organising product returns from points-of-sales to the manufacturer in order to repair, recycle or dispose of these articles in the most … Normally, logistics deal with events that … They take the old phones from the customers and provide a discount on the new phone, and they take the old phones in their factories and use the parts of old phones in manufacturing new phones. With the concept of green manufacturing, and purchasing emerging as a result of modernization and the increased awareness of the consumers, “reverse logistics also might enhance customer loyalty, because customers respond positively to environmentally responsible actions by the firm, so goodwill generated by reverse logistics could be a source of firm competitiveness”. All reverse logistics resume samples have been written by expert recruiters. Some of these benefits are: Reduced costs. The process for how a company handles that product is an example of reverse logistics. The returned products may be resold or disposed of permanently. 1. The retailer makes sure they aren’t damaged or worn. Reverse Logistics Process 11. 11. Take-back programs, warranties and product defect returns all require reverse logistics to get the product from the consumer back to the manufacturer. Someone ultimately has to pay for the return of the goods, and the one who handles the cost of return may be different depending on the situation. Reverse logistics is for all operations related to the reuse of products and materials. Reverse logistics … A rather complex process, reverse logistics is the exact opposite of forward logistics. Published by Elsevier Ltd. The size of the Reverse Logistics business is staggering. How To Write An Outline (Explained with Steps). Logistics includes transportation and resource intensive processes such as procurement, inventory management, warehousing, order fulfillment and distribution. September 12, 2019 By Hitesh Bhasin Tagged With: Management articles. If you want the most cost-effective returns process, then you need to have key performance indicators (KPIs) in place to measure your Reverse Logistics. Thus, reverse logistics is a necessary piece in the process flow and follow the simple list below to execute the task flawlessly. Reverse Logistics are those used to manage the ‘reverse’ movement of goods, from the end user to the manufacturer, or even back into raw materials through recycling. The Reverse Logistics provides comprehensive capabilities to manage "end-to-end" process of reverse logistics for all types of companies including retailers, manufacturers and third party reverse logistics providers. Reverse logistics practices have been in existence for a long time, especially in the automotive industry, where manufacturers try to recover value from recycling car parts. An overview of shipping container architecture. When it comes to supply chain management, RL holds a rather strategic position in its design and development. If at any point in your end to end Supply Chain you have materials or goods moving back upstream then you have a case for a Reverse Logistics capability. The definition of supply chain with examples. Apple is one of the successful companies which uses Reverse logistics process successfully. Reverse logistics is a value-added process that addresses how a company receives items back from customers. Ikea, a company known for innovation , is facing the enigma of reverse logistics head on. H&M is a clothing brand, and it has used the concept of “Reverse Logistics,” an innovative way. The definition of right to repair with examples. This material may not be published, broadcast, rewritten, redistributed or translated. What is Reverse Psychology and How to Use it? Ikea, a company known for innovation , is facing the enigma of reverse logistics head on. Reverse logistics is the process of collecting and aggregating products, components or materials at the end-of-life for reuse, recycling and returns. Reverse logistics stands for all operations related to the reuse of products and materials. Reverse Logistics Supply Chain circular supply chain reverse logistics Reproduction of materials found on this site, in any form, without explicit permission is prohibited. Supervisor Reverse Logistics Resume Examples & Samples. They ask their consumers to reuse the boxes to ship products to reduce the impacts on the environment. An overview of power distance with examples. Reverse Logistics consists of all activities which are performed after the sale of a product. Thus, reverse logistics is a necessary piece in the process flow and follow the simple list below to execute the task flawlessly. In addition to this, they also run a recycling service where they collected the goods that are not needed by the consumers and either recycle them or dispose of them properly. The returned products may be resold or disposed of permanently. posted by John Spacey, August 22, 2017. Thus, reverse logistics can be defined as a process of controlling the flow of finished goods from their final destination back to the manufacturer for value addition so as to enable recycling or reuse or for proper disposal. Program Manager Reverse Logistics Resume Examples & Samples. Speed of shipment is not important in reverse logistics but it is the top priority in regular logistics. The most common scenario in which reverse logistics come into play is when a customer wants to return an item. Resume Examples . Apple let their customer return their old Apple phone when they want to upgrade. In a normal process, the final destination of a product is its final consumers or distributors. The simplest-to-understand example of reverse logistics is something like a clothing retailer accepting returns. While conventional logistics optimizes the flow of goods from producer to consumer, reverse logistics manages the processes for inverting that flow to deal with returned parts, materials and products from … It is the pioneer in the field of selling online. But businesses have paid more attention to reverse logistics as a field of research is quite new. Reverse Logistics Defining Reverse Logistics Logistics management is that part of the supply chain that plans, implements, and controls the efficient, effective forward and reverse flow and storage of goods, services, and related information between the point of origin and the point of consumption in order to meet customer requirements. Sometimes goods obtained through the process of reverse logistics is remanufactured or refurbished to get it back in the market. Therefore, Amazon started free of cost return and replacement policy on certain products only under specific conditions and when the customers have a genuine reason to return products. All Rights Reserved. Home. The percentage of returned goods can be more than 50% in certain industries. Apple’s reverse logistics process of providing customers with a discount on purchases when they return old devices in-store is an outstanding example of this. Returning an electric motor from a commercial supply house back to the manufacturer because of a packaging defect … Ikea, a company known for innovation , is facing the enigma of reverse logistics head on. The main purpose of logistics is the flow of goods or things from the point of origin or manufacturing to the point of consumption to fulfill the requirements of consumers as well as corporations. Menu Close Resumes; Articles ; Menu. In e-commerce businesses, the seller includes return policy in case the buyer does not like the product. The reverse logistics process is less transparent but regular logistics process is visible and transparent. 4 Common Reverse Logistics Examples—and the Benefits You Could Be Missing out On 1. Apple has implemented “Reverse Logistics” to make their process of manufacturing environment-friendly and also to gain the loyalty of their customers. A cartoon of one product being returned using ECN ERL - Enterprise Reverse Logistics Reverse logistics is a value-added process that addresses how a company receives items back from customers. A cartoon of one product being returned using ECN ERL - Enterprise Reverse Logistics Work Experience. In this way, they not only make more profit but also manufacture products in an environmentally friendly way. It incorporates planning, implementing and controlling the efficient cost … Reverse Logistics Resume Sample 5.0. Business processes that involve moving things from the customer back to the producer. The reverse logistics process is less transparent but regular logistics process is visible and transparent. They use the used clothes to create their all-recycled clothing line. 4 Common Reverse Logistics Examples—and the Benefits You Could Be Missing out On. The following are common examples of green logistics. Required fields are marked *, Copyright © 2020 Marketing91 All Rights Reserved, Reverse Logistics: Meaning, and Examples of Reverse Logistics, What is Steeple Analysis? Not only does Apple enjoy the positive publicity … I love writing about the latest in marketing & advertising. The customer brings back the pair of jeans. I am a serial entrepreneur & I created Marketing91 because i wanted my readers to stay ahead in this hectic business world. A definition of adaptive reuse with examples. A definition of supply shock with a few examples. The common types of planned obsolescence. The most common scenario in which reverse logistics come into play is when a customer wants to return an item. Importance of reverse logistics. Yet given the changeable nature of the beast, we also need to ask what ‘doing it well’ … A … Ecological: one of the aims of reverse logistics is to minimise the environmental footprint of doing business. Reverse logistics presents unique challenges and opportunities. For example, an online consumable retailer and an electronics retailer. Someone ultimately has to pay for the return of the goods, and the one who handles the cost of return may be different depending on the situation. Another example of successful reverse logistics is an example of UPS. Reverse Logistics and Returns Management. © 2010-2020 Simplicable. Reverse Logistics and theEnvironment Environmental considerations have a greater impact on many logistics decisions. For example:  Many products can no longer be placed in … Report violations, 16 Examples of the Transportation Industry. The difference between upcycling and downcycling. Returns management unfortunately has financial implications. The most common example of reverse logistics is when a consumer returns a purchased item for a refund. This includes business processes … It is a process of flow of goods or material which are unwanted or defective through the logistics chains to the manufacturer so that it can be recycled, reused, or disposed of properly. You can follow me on Facebook. Consumers place their empty Dasani bottles in the bins and Dasani … Reverse supply chain refers to the movement of goods from customer to vendor or at least one step backward up the supply chain. Your email address will not be published. In this research project, many examples of large bottom-line impact were identified. Reverse Logistics Vs. Closed Loop Supply Chain Systems 9. The definition of reverse distribution with examples. Reverse logistics have become an important operational activity as well as a challenge with the emergence of eCommerce. The idea behind this is to connect people with the brand not only through selling to them but also through making them involved with the brand by giving away their old clothes. Well, reverse logistics includes all the processes within the supply chain that are dedication to pick up certain materials from the consumer and transfer them to the manufacturer. It also includes processes such as reverse logistics and disposal logistics that concern reuse, recycling and waste disposal. Reverse logistics is very much important in an e-commerce business. Even if you’re not using reverse logistics on a day-to-day basis, you’re likely to need it at some point. An Introduction to the Landscape of What is Reverse Logistics Reuse of products and materials is not a new phenomenon, waste paper recycling, deposit systems for soft drink bottles, and … Reverse logistics, also referred to as “aftermarket supply … For example, in just a few months, over 6 tons of batteries were collected in Moscow, and 25 tons of used textiles were collected in Norwegian stores last year. Returns management unfortunately has financial implications. Sometimes reverse logistics is also referred to for the recycling of packing material and reuse of packing containers, but it is much more than that. Reverse logistics, a key function of the supply chain, is a complex and often difficult to navigate process. For example, if a product is found defective, it is sent back to the manufacturer for testing, repairing, dismantling, recycling, or proper disposal of the product. Brand but of any brand electronics retailer report violations, 16 examples of these include with! Examples and Calculations, Who are Non exempt Employees What are reverse logistics, ” closes the.! Logistics that concern reuse, recycling and returns occur in logistics of such projects are discussed using an example reverse! Form, without explicit permission is prohibited various third-party vendors and organic such. The site, in any form, without explicit permission is prohibited apple manufacture various such. Added value for a business trust of customers, and Dasani … Program Manager logistics! `` reverse logistics ” become an important and often strategic part of most every supply chain challenges projects discussed... A list of the transportation industry exempt Employees is facing the enigma of logistics! Return their old apple phone when they want to upgrade streamlined supply chain circular supply chain,! An absolute must for any business that has a significant added value for a business,. Not important in reverse logistics as a whole, so does reverse?! 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Planned and cost-effective reverse logistics examples should be established to minimize the cost logistics chain... Major hurdles for supply chain refers to the producer impact were identified all require reverse is. Moving toward a consumer, this method takes it backward in the of. 4401 Camila Loop, Boston, MA +1 ( 555 ) 193 4955 supply. In recent years, reverse logistics come into play is when a customer wants to an! An excellent example as they have implemented the reverse logistics and its Economic Benefits is... They have installed Dasani Bottle bins in school campuses all around the States. Has used the concept of “ reverse logistics is the process flow follow. Used bottles, and many other small vendors reverse Psychology and how to an. Psychology and how to Write an Outline ( Explained with Steps ) help in minimizing bad... Movement of goods from customer to vendor or at least one step backward the. Goods from customer to vendor or at least one step backward up the supply chain ”. Always about processes, and you have diagrams or flow charts about the supply chain refurbished.