OMGT2085_Topic11_Reverse Logistics, Green Logistics, _ Supply Chain Sustainability_VietnamContextual

OMGT2085_Topic11_Reverse Logistics, Green Logistics, _ Supply Chain Sustainability_VietnamContextual

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OMGT2085 Introduction to Logistics & SCM Topic 11 Reverse Logistics, Green Logistics & Supply Chain Sustainability VpLyonII_0182 (2008), Available: flickr, http://www.flickr.com/photos/titlap/2779796068 / [accessed 1 October 2012]. Photo by Julien Haler.
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Topic Areas Reverse Logistics Green Logistics Supply Chain Sustainability 2 Intro to Logistics & Supply Chain Management
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What is reverse logistics? Definition of reverse logistics : (by the Reverse Logistics Executive Council) Reverse logistics 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 This is exactly the same definition as that of business (or forward) logistics except that the direction is reversed. (Source: Reverse Logistics Executive Council, http:// www.rlec.org/glossary.html ) 3 Intro to Logistics & Supply Chain Management
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A closer look at reverse logistics Recapturing value refers to asset recovery , reselling (in second- hand market) , remanufacturing and refurbishing activities Proper disposal refers to recycling programs , hazardous material programs , and obsolete equipment disposition Other activities may include redesigning products and processes to reduce waste (can be regarded as “green logistics”), reusing containers and recycling packaging materials To most organizations, reverse logistics often refers to processing returned merchandise due to damage, seasonal inventory, restock, salvage, recalls, and excess inventory If no goods or materials are being sent "backward" for processing , the activity is probably not a reverse logistics activity (Source: Reverse Logistics Executive Council, http:// www.rlec.org/glossary.html ) 4 Intro to Logistics & Supply Chain Management
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What are the returned items by type and source? (Source: 2008 Supply Chain Monitor “How mature is the Green Supply Chain?”, BearingPoint, Inc., p.30) 5 Intro to Logistics & Supply Chain Management
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What are the reasons for the returns? (Source: Rodgers DS & Tibben-Lembke RS (1998), Going Backward: Reverse Logistics Trends and Practices , Reverse Logistics Executive Council, Table 3.1, p. 74) 6 Intro to Logistics & Supply Chain Management
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What are the reverse logistics activities? (1) (Source: Rodgers DS & Tibben-Lembke RS (1998), Going Backward: Reverse Logistics Trends and Practices , Reverse Logistics Executive Council, Table 1.3, p. 10) 7 Intro to Logistics & Supply Chain Management
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What are the reverse logistics activities? (2) Waste Reduction Repair Refurbishing Material flows in forward logistics Reuse Material flows in reverse logistics Disposal Collaboration between supply chain partners Reverse logistics activities Source: Adpated from Srivastava (2008) Non-used or unrepairable products and parts, packaging, etc.
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