Strategies and Modeling of Reverse Logistics Networks of an Industry in India

Among the various aspects of SCM, emphasis has been placed on reverse logistics: closing the loop of a supply chain by integrating waste materials into logistic management decisions. Logistics network design is commonly recognized as a strategic supply chain issue of prime importance. While consumers traditionally dispose of products at the end of their life cycle, product take-back legislations introduced by governments shift this responsibility from consumers to manufacturers. As a result, manufacturers have to collect products at the endof-life (EOL) and control their recovery or disposal. Product recovery, which encompasses reuse, remanufacturing and materials recycling, requires a structured reverse logistic network in order to collect products efficiently at the end of their life cycle. Meanwhile, ever growing concern for environmental problems and pressure from the global competitive marketplace toward further improvement of customer service, have been presenting industries with a new challenge; development and management of effective reverse logistics processes. The purpose of this paper is to present an overview to reverse logistics, and to provide insights on how to manage the creation of economically efficient EOL product returns and recycling practice in an Industry of India.