Definition Of Reverse Logistics: Supply Chain Management

1343 Words6 Pages
1.1. Definition of Reverse Logistics:

Supply Chain Management (SCM), in general context, is defined as the management of the flow of goods and services from point of origin to point of consumption. Reverse Logistics (RL), on the contrary, is the flow of products, services & information in the opposite direction from the consumption end to the origin. In this concept, the explanation of the means and ends is reversed, with the consumer or distributor being the origin and the manufacturer being the end. Reverse logistical actions, though started taking place since the 1860s, its definition was first given by James R. Stock of the Council of Logistics Management in 1992.

The reverse logistical action was first commercially recognised in the
…show more content…
Popularly known as “Chicago Tylenol murders”, this incident was termed as a mass murder by a number of sources. A total of 7 deaths were reported during the scare, followed by certain many more people dying due to similar incidents. People were reported dead after consuming Tylenol-branded acetaminophen capsules, laced with potassium cyanide. The measures taken by Johnson & Johnson to reduce the deaths and increase awareness was highly appreciated during the incident.
• Recall

Product recall plays an important role in reverse logistics. Recall of products take place due to some defects that might endanger the customer or because of some safety issues that will put the manufacturer in a risk of legal action. When such an incident occurs, the manufacturer has to act immediately and effectively since this can harm the brand of company and can lead to adverse effects, upon consumption. The recalled commodities need to be refurbished or recycled, which is a different part of Reverse
…show more content…
Proper software to understand the traceability and cost variables to determine whether to replace or repair ii. Quality standard of the food material iii. Less wastage of food from both customer and producer side iv. Analysing and understanding in which part of the manufacturing section the update in food has to be done in order to reduce cost factor by not running the production from the beginning.
• Review

Review is the process that entirely lies under the hands of the customers and the distribution channel. The review from retailers can give the estimate about the sales details, the variables affecting the selection capability of customers and the amount of inventory to be kept in specific stores in order to avoid the piling up of stock.

Review from the customers, which is the most important link to listen directly to the end consumer, can be about the complaints they face on the product or service and how fast their complaints are being rectified. From their review they can understand how customer mind set works in being loyal to a particular brand. Review can also point out the defected products that reached the customer and thereby, which method helps in replacing them with good products.

The major factors affecting review aspect of reverse Logistics

More about Definition Of Reverse Logistics: Supply Chain Management

Open Document