Article | REF: AG5250 V1

Setting up reverse logistics - Process study

Author: Ruddy SOCHAY

Publication date: October 10, 2003

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12. Outlook for reverse logistics

Some companies are just beginning to take reverse logistics on board. Some are content to follow the trend by complying with European directives, while others are anticipating and trying to find ways of taking advantage of them. They do this by reducing reverse logistics costs, for example, through gatekeeping, efficient information technology and reduced cycle times for returns processing.

They all agree that reverse logistics management varies according to the product's life cycle. Indeed, returns are higher when a product reaches the end of its life cycle. But they can also be high at the beginning of its life; indeed, a product recently launched on the market may be returned or recalled by the manufacturer because it has a design flaw.

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