REVERSE LOGISTICS

REVERSE LOGISTICS

Reverse logistics stands for all operations related to the reuse of products and materials. It is "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. More precisely, reverse logistics is the process of moving goods from their typical final destination for the purpose of capturing value, or proper disposal. Remanufacturing and refurbishing activities also may be included in the definition of reverse logistics.The reverse logistics process includes the management and the sale of surplus as well as returned equipment and machines from the hardware leasing business. Normally, logistics deal with events that bring the product towards the customer. In the case of reverse logistics, the resource goes at least one step back in the supply chain. For instance, goods move from the customer to the distributor or to the manufacturer.

When a manufacturer's product normally moves through the supply chain network, it is to reach the distributor or customer. Any process or management after the sale of the product involves reverse logistics. If the product is defective, the customer would return the product. The manufacturing firm would then have to organise shipping of the defective product, testing the product, dismantling, repairing, recycling or disposing the product. The product would travel in reverse through the supply chain network in order to retain any use from the defective product. The logistics for such matters is reverse logistics.

                                  

Other terms synonymous to Reverse Logistics are Aftermarket Logistics, Retrogistics.

Aftermarket Supply Chain. The reverse supply chain is also a term used in the industry. RL is not to be confused with forward logistics or getting the product to market commonly known as the forward supply chain. Types of activity common with reverse logistics includes: logistics, warehousing, repair, refurbishment, recycling, e-waste, after market call center support, reverse fulfillment, field service and many others. 

Our definition of Reverse Logistics has evolved since our founding to encourage all industries towards managing their assets… “Reverse Logistics is the scientific process of managing assets, in every department in all industries and across all disciplines”…. Not only supply chain solutions in the High Technology Industry, but all industries and every department from Legal to Human Resources.