Page 137 - BA1 Integrated Workbook STUDENT 2018
P. 137
Tools and techniques of operations management
Reverse logistics
Reverse logistics is the return of unwanted or surplus goods,
materials or equipment back to the organisation for reuse, recycling
or disposal.
It is important for an organisation to understand the reasons for returns and to take
action to reduce the volume of returns.
Techniques used to attack the returns challenge:
root cause analysis
creation of profit centres
separation of supply chain into forward and reverse logistics
centralising the returns centre
outsourcing the returns process
using state-of-the-art IT.
Illustrations and further practice
Read illustration 15 from Chapter 9.
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