Supply Chain Management: Reverse Logistics vs. Forward Logistics
IQRA UNIVERSITY
Assignment
Supply Chain Management
Submitted By Zain Ali Samo 6261
Submitted to Mr. Masood Sabzwari
Date 17-9-2013
What is reverse logistics (RL)? How does it differ from forward logistics?
Many organizations and individuals have tried to define Reverse Logistics. We refer to the term "reverse logistics" as all activity associated with a product/service after the point of sale, the ultimate goal to optimize or make more efficient aftermarket activity, thus saving money and environmental resources. Other terms synonymous to Reverse Logistics™ (RL) are Aftermarket Logistics, Retrogistics, or Aftermarket Supply Chain.
The reverse supply chain is also a term used in the industry. RL is not to be confused with forward logistics or getting the product to market commonly known as the forward supply chain. Types of activity common with reverse logistics includes: logistics, warehousing, repair, refurbishment, recycling, e-waste, after market call center support, reverse fulfillment, field service and many others. Wikipedia
"In other words, anytime money is taken from a company's Warranty Reserve or Service Logistics budget, that is a Reverse Logistics operation" - Gailen Vick, President RLA
The chart below shows how ReverseLogistics™ comes into play in the Supply Chain.
Difference between Forward and Reverse Logistics
Tibben-Lembke and Rogers establish several variations between reverse and forward supplying, this involves forecasting, transportation, product and packaging quality, pricing, selling ways and visibility of information within the provide chain:
Forecasting is tougher in reverse supplying as a result of the bigger uncertainty concerned in reverse logistics.
Transportation prices tend to be higher in reverse logistics; this can be owing to many factors. Initial of all, the higher costs are often as a result of lack of coming up with in modes of transportation, routes and different strategic decisions involved in
Assignment
Supply Chain Management
Submitted By Zain Ali Samo 6261
Submitted to Mr. Masood Sabzwari
Date 17-9-2013
What is reverse logistics (RL)? How does it differ from forward logistics?
Many organizations and individuals have tried to define Reverse Logistics. We refer to the term "reverse logistics" as all activity associated with a product/service after the point of sale, the ultimate goal to optimize or make more efficient aftermarket activity, thus saving money and environmental resources. Other terms synonymous to Reverse Logistics™ (RL) are Aftermarket Logistics, Retrogistics, or Aftermarket Supply Chain.
The reverse supply chain is also a term used in the industry. RL is not to be confused with forward logistics or getting the product to market commonly known as the forward supply chain. Types of activity common with reverse logistics includes: logistics, warehousing, repair, refurbishment, recycling, e-waste, after market call center support, reverse fulfillment, field service and many others. Wikipedia
"In other words, anytime money is taken from a company's Warranty Reserve or Service Logistics budget, that is a Reverse Logistics operation" - Gailen Vick, President RLA
The chart below shows how ReverseLogistics™ comes into play in the Supply Chain.
Difference between Forward and Reverse Logistics
Tibben-Lembke and Rogers establish several variations between reverse and forward supplying, this involves forecasting, transportation, product and packaging quality, pricing, selling ways and visibility of information within the provide chain:
Forecasting is tougher in reverse supplying as a result of the bigger uncertainty concerned in reverse logistics.
Transportation prices tend to be higher in reverse logistics; this can be owing to many factors. Initial of all, the higher costs are often as a result of lack of coming up with in modes of transportation, routes and different strategic decisions involved in