The flow of product returns is always a major concern for manufacturers. Typically, these returns have been viewed as a nuisance, which in reverse. Supply chains that are designed to minimize the cost This minimal cost reverse supply chains often than not return speed. The longer it takes to retrieve a returned product, the lower the chances of it financially attractive reuse options. Unlike forward supply chains, are design strategies for reverse supply chain … Read more »

The flow of product returns is always a major concern for manufacturers. Typically, these returns have been viewed as a nuisance, which in reverse. Supply chains that are designed to minimize the cost This minimal cost reverse supply chains often than not return speed. The longer it takes to retrieve a returned product, the lower the chances of it financially attractive reuse options. Unlike the forward supply chain design strategies for reverse supply chains are largely unexplored and undocumented. The most influential product characteristic of reverse supply chain design is the marginal value of time. Responsive reverse supply chains are the right choice when the marginal value of time for products is high, and efficient reverse supply chains are the right choice when the marginal value of time for products is low. Returns and their reverse supply chains represent a potential value stream and earn as much attention as forward supply chains.
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from
Joseph D. Blackburn,
Gilvan C. Souza,
Luk N. Van Wassenhove,
V. Daniel R. Guide Jr.
Source: California Management Review
18 pages.
Release date: 01 February 2004. Prod #: CMR273-PDF-ENG
Reverse Supply Chains for Commercial Returns HBR case solution