Impacts of Reverse Logistics on the Environment
Impacts of Reverse Logistics on the Environment
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Impacts of Reverse Logistics on the Environment
Introduction
Logistics
The first thing that comes in mind when one hears the word logistics is the transportation of goods from one place to another but behold, the definitions of logistics is the well coordinated channeling of material and information across the chain of supply (Weken and Hoek, 1998). In supply chain management, it is the link between each tier in a chain of supply.
Reverse Logistics
Reverse Logistics refers to “the process of planning, implementing and efficiently controlling the flow of raw materials, in-process inventory, finished goods and related information from the consumption point to source point with the rationale of recovering the prime worth or dispose of them properly” (Smart and Harrison, 2003). De Brito and Dekker use a passage from the bible in Genesis 3:19 (“In the sweat of your face you shall eat bread, Till you return to the ground, For out of you were taken; For dust you are, And to dust shall return”) to define reverse logistics.
Firms are slowly giving importance to this aspect based mainly on three reasons: first one is the ever rising importance of environmental issues and public opinion on their impact (De Brito and Dekker, 2004), secondly the benefits gained by the company by improving their return processes including enhancement of their public image, improved efficiency and effectiveness in management of returned materials, it allows getting new profits (De Brito and Dekker, 2004) the third one is a new and growing environmental regulations (De Brito and Dekker, 2004). Thus, it is giving rise to a new situation for many companies, in which producers are responsible for the entire life cycle of their productions. Thus, proactive in Reverse Logistics is essential because the company currently operates in complex, changing and highly competitive environment (Pagell, 2004), and it expresses the
Name:
Institution:
Impacts of Reverse Logistics on the Environment
Introduction
Logistics
The first thing that comes in mind when one hears the word logistics is the transportation of goods from one place to another but behold, the definitions of logistics is the well coordinated channeling of material and information across the chain of supply (Weken and Hoek, 1998). In supply chain management, it is the link between each tier in a chain of supply.
Reverse Logistics
Reverse Logistics refers to “the process of planning, implementing and efficiently controlling the flow of raw materials, in-process inventory, finished goods and related information from the consumption point to source point with the rationale of recovering the prime worth or dispose of them properly” (Smart and Harrison, 2003). De Brito and Dekker use a passage from the bible in Genesis 3:19 (“In the sweat of your face you shall eat bread, Till you return to the ground, For out of you were taken; For dust you are, And to dust shall return”) to define reverse logistics.
Firms are slowly giving importance to this aspect based mainly on three reasons: first one is the ever rising importance of environmental issues and public opinion on their impact (De Brito and Dekker, 2004), secondly the benefits gained by the company by improving their return processes including enhancement of their public image, improved efficiency and effectiveness in management of returned materials, it allows getting new profits (De Brito and Dekker, 2004) the third one is a new and growing environmental regulations (De Brito and Dekker, 2004). Thus, it is giving rise to a new situation for many companies, in which producers are responsible for the entire life cycle of their productions. Thus, proactive in Reverse Logistics is essential because the company currently operates in complex, changing and highly competitive environment (Pagell, 2004), and it expresses the
References: De Brito, M. P. and Dekker, Rommert, A Framework for Reverse Logistics (30 2003 5,). ERIM Report Series Reference No. ERS-2003-045-LIS. Available at SSRN: http://ssrn.com/abstract=423654 McKinnon, A., Browne, M., Whiteing, A. (2013).Green Logistics: Improving theenvironmental sustainability of logistics. London: Kogan. Palanivelu, P., Dhawan, M. (2011).Green Logistics: White Paper Tata Consulting Systems. Retrieved 17 May 2013 fromhttp://www.tcs.com/resources/white_papers/Pages/Green_Logistics.aspx. Macharis, C., De Witte, A., andTurcksin, L. (2010). The Multi‐Actor Multi‐Criteria Analysis (MAMCA) application in the Flemish long‐term decision making process on mobility and logistics. TransportPolicy, 17 (3), pp. 303‐311. Huijbregts, M. A., &Rombout, L. J. (2006). Is Cumulative Fossil Energy Demand a useful indicator for the environmental performance of products?Environmental Science and Technology, 8(12), pp. 67-89. Pagell, M. (2004) ‘Understanding the factors that enable and inhibit the integration of operations, purchasing and logistics’, Journal of Operations Management, 22(7), pp. 12-27. VanHoek, R. and Weken, H.A.M. (1998).The impact of modular production on the dynamics of supply chains, International Journal of Logistics Management, 9(2), pp. 35-50. Smart, A. and Harrison, A. (2003) ‘On-line reverse auctions and their role in buyer–supplier relationships’, Journal of Purchasing and Supply Management, 9(3), pp.7-22. Marien, E.J. (2001), Reverse Logistics as Competitive Strategy:TheSupply Chain Management Review.London: Spring. Carter, C. R., &Ellram, L. M. (1998). Reverse logistics: a review of the literature and framework for future investigation. Journal of Business Logistics, 19(1), 85.