Reverse Logistics
LOGISTICS
The implementation of sustainable rules and regulations as well as constraints in the markets across the world, have compelled international industries, in this case, the food and beverage industry, to establish reverse logistics, which is the backflow management of the supply chain system. Reverse logistics encompasses the waste management of products and merchandises in the backward supply chain. There has been a gap or limitation in research studies on the implementation of reverse logistics on the food and beverage industry. Due to the fact that food and beverage products are delicate in nature, the backward flow of packing and food supplies compel the formation of a free-flowing reverse logistics system throughout the supply chain. The development of an efficacious reverse supply chain practice for the food retail industry necessitates the conduction of studies on prevailing reverse procedures, and their enactment across the diverse retail set-ups.
Introduction
The food and beverage industry experiences plenty of difficulties and challenges with regard to the supply chain. This is largely because of the underlying fact that the industry trades easily perishable food products. Retailers, in this industry, across the globe, face a number of issues in waste management, the estimation of available stock, quality management and consistency in the supply of food (Vijayan et al., 2014). This implies that there is not just the necessity for quick and effective movement of the food and beverage products in the supply chain, but also the need for onward supply chain management, in addition to the establishment of a recessive flow management system for the products (Vijayan et al., 2014). The use of reverse logistics can offer great solutions to these issues. Reverse logistics encompasses the management of waste resulting from the products and merchandises in the backward supply chain. The purpose of this paper...
It will encompass a literature review on the same, with reference to different studies that have analyzed the aspect of reverse logistics in different industries (Vijayan et al., 2014).
Literature Review
There is a limitation in the number of research studies, which are focused on the implementation of reverse logistics in the food and beverage industry. This may be deemed to be as a result of the intricacy in tracking and locating food and beverage products along the supply chain channels, as well as other elements. According to Rogers and Tibben-Lembke (1998), reverse logistics is commonly defined as the procedure and practice that involves the preparation and management of information and product in a backward manner, from the customer to the source of origin. This occurs with the main objective of disposal or recreating value (Rogers and Tibben-Lembke, 1998).
The common emphasis is placed on forward supply chain movement, at all times. Nonetheless, a number of particular factors, such as expiration of the products, recalls on the products, inaccuracies in orders, and also damage on products during transportation or delivery, result into the backward movement of the products (Kabir, 2013). This brings about the reliance of reverse logistics on goods and supplies. Product returns can be coarsely classified into returns from the consumers and those due to overstocking; and, products recalled and returns due to products being harmful to the environment. A number of general causes of returns include: poor quality of the products, overstocking of goods, and slow business operations. Other causes include: poor management of inventories and recurrent product promotions (Kabir, 2013).
According to Sharma et al. (2011),…
