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Reverse logistics and the supply chain

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Anonim

Many organizations tend to forget about their products once they have been sent to the destination they have been given or the customer who has placed an order, in the same way, when receiving a return, a large part of the companies see it in a bad way, from The cost benefit point of view, since a return may be due to a claim or that something was done wrong and that is why the customer returns it.

A large part of organizations today are looking for a way to reduce their costs and that is where a useful tool can be applied which without knowing it in a certain way can cushion us to reduce those costs and even be able to increase our profits or profits, said tool or technique is reverse logistics.

Reverse logistics will allow us to solve many of the problems that are generated when having returns from the client and will give us benefits in the long term, as long as the managers of the organization know above all how to implement it since it covers many aspects and the more detailed one is when applying or starting it up, the better performance one of this technique will have.

In this article we will cover this topic, we will know and define concepts such as logistics and reverse logistics, we will see what are the main benefits of applying it correctly and the best ways to do it, as well as the risks that are run when doing it in the wrong way and at least little by little it has made its way into organizations in Mexico.

Definitions

So that we can define what reverse logistics is, we will first define what logistics itself means to give way to the next term.

According to (ingenieria.unam.mx) logistics we can define it as follows:

According to (Ballou, 2003) it is the following:

We also have the definition that it provides us (RAE, 2018) which is:

Once having understood this term, we will now talk about the subject of this article which is reverse logistics, for which we will also see definitions that some authors give us about what it is.

We can define reverse logistics according to (ingenieria.unam.mx) in the following way:

Another definition that we can find is performed by (Oltra Badenes) which is:

Reverse logistics and the supply chain

Reverse logistics is a key tool for environmental reasons, in the same way to carry out in the best way the introduction of different products to the supply chain to recover as much as possible their value and contribution.

In reverse logistics, as in logistics, a supply chain is considered, with the particularity that in said supply chain it will be in reverse, where it is sought to carry out the management of all products or materials returned by the customer so that they return to the manufacturer or the corresponding supplier for proper treatment.

Basically what is sought to be done with reverse logistics is for the product to travel backwards from the point of consumption (which are the customers) to the point of origin (where it was manufactured) where the aim is to recover the maximum the materials and product that is returned and also seeks to give a suitable destination to the waste generated by said action.

Reverse logistics - Research

According to (Morales) The following table shows:

Reverse Logistics from different authors

Reverse logistics arises from the need to know what to do with customer returns and make the most of it, generating the least possible loss and being able to give those returns a greater weight.

Reverse logistics is responsible for managing the entire return process by the customer to the manufacturer, this with the purpose of taking advantage of the greatest number of resources that can be, such as containers, packaging, waste that are dangerous, It also takes care of excess inventories that may have or obsolete or expired products and seasonal inventories that are stranded in the organization.

All this is a process to efficiently plan, plan, implement and control all the flow of raw materials, inventories, finished products and the information related to them from the point of consumption to the starting site with the purpose of recovering them, create value for them, or discard them.

By carrying out a correct reverse logistics plan it is possible, through returns, to efficiently undo all the product returned by the customer, so to speak, since with the plan it is possible to determine which parts of the product are going to be discarded, which are going to reuse, which can be recycled and at the same time which can be reprocessed or how much product can be reused, likewise you can determine which are hazardous waste and know where to store or dispose of them.

Reasons to apply reverse logistics

Reasons to apply Reverse Logistics

Processes in reverse logistics

  • Procurement and purchases: It is required that all the materials that will be used to make the product are environmentally friendly, for example, containers, packaging, packaging, among other things. Reduction of virgin inputs: This activity mostly involves the cultivation of human resources, since the culture of reusing materials must be implemented, preferring materials of recycled origin. Recycling: Implement recycling policies in the company, try to use recyclable materials, reuse their own, in the same way carry out studies within the same organization which allow a reduction of virgin materials and increase the recycled material. Substitution of materials:This should promote the use of lighter materials than those normally used, this from a cost benefit point of view, since a heavier material costs more than a lighter one, on the other hand, the use of lighter materials such as plastic makes it easy to recycle or reuse. Waste management: Materials procurement policies should assess the rate of waste in the use of materials; waste management is a not inconsiderable cost.

Causes that generate the need for reverse logistics

Causes of need to do Reverse Logistics

Services that reverse logistics can offer.

Reverse logistics is an option for the reuse of raw materials, but if your logistics network prevents you from collecting the products, you can contract through outsourcing or subcontracting to carry out the tasks, it is also possible to subcontract warehouses.

According to (Zopiyaxtle, 2017) the services that logistics can offer are the following:

Catering:

  • CollectionCenter where they are consolidated Delivery of product "just in time" Handling of packaging Returns to suppliers Management of customs and ports Management of warehouses: Reception of materials Storage Management of stocks and inventories Preparation of orders Cyclical controls of inventories Management of waste recovery Re-packaging

Transportation and distribution

  • Delivery managementControl of freight clearance areasTransportation between plantsCustoms managementShipment planningInternational documents

According to (Zopiyaxtle, 2017) these are the 6 «Rs» of reverse logistics.

  1. Recycling of raw materials and compounds Recovery of elements that other companies use Renewal and sell them as second hand Reuse to increase the life cycle of the product

Reverse logistics activities.

  • Destruction Recovery, recycling of containers and packaging and hazardous waste Removal of merchandise Administrative processes Classification of merchandise Return of origins Reconditioning of products

Scope of reverse logistics.

  • Cash and carriers (the cash and carriers) End customer.

The future of Reverse Logistics

E-commerce is one of the great revolutions in the world of transport, and Reverse Logistics is going to be one of the great protagonists. Its role is going to be essential when it comes to helping companies win customer trust in a critical area: the management of returns.

The road to reverse logistics optimization never ends and every day new opportunities arise. For example, among the most popular trends is the redesign of packaging and products. Traditionally, wrappers have only been intended to fit things into them and then remove them only once. However, it is more and more frequent that the need to reintroduce the products in their packaging in case they need to be returned is taken into account during design.

Making the entire Reverse Logistics process visible and integrating it into our Supply Chain will be another of the priorities of this field in the coming years. (transgesa.com, 2016)

conclusion

As we could read in this article, reverse logistics is a system that is beginning to be implemented in most organizations, since they have realized that this type of tools helps the organization in reducing costs, at the same time as Society benefits from the reduction of pollutants or waste in the environment and the reuse of materials to avoid further pollution.

Undoubtedly, reverse logistics provides a win-win benefit for society and for the organization, as long as it is implemented correctly since it must be done in a responsible way, determining exactly what will be done with hazardous waste in any case, with the recycle material, as well as the product that can still be reused.

The problem faced by reverse logistics for the most part is that it is only implemented by large companies in the world so far, being SMEs the ones that almost entirely do not carry out this action, which must be considered since being SMEs the bulk of the country's economy, we must see this as a new culture for the benefit of all.

Thesis proposal.

Implement reverse logistics in company X in Córdoba Veracruz.

Overall objective.

Carry out a strategic plan that allows the correct implementation of reverse logistics for the reuse and recycling of the products of company X and in this way be able to determine the benefit in costs that are generated by implementing it.

Thanks.

I thank my mother who is the strength to continue every day and who has made me get to where I am, my teachers who have given me their time and knowledge to continue my studies, Doctor Fernando Aguirre y Hernández since He has given us all his experience and knowledge in this matter of Fundamentals of Administrative Engineering, as well as CONACYT since it gives us its support to motivate us to move forward in our adventure for mastery.

Bibliography.

Ballou. (2003). RH Business Logistics: Suppl Chain Management. Upper Saddle River, NJ: Prentice Hall.

ingenieria.unam.mx. (sf). http://www.ingenieria.unam.mx. Retrieved on March 16, 2018, from

www.ingenieria.unam.mx/industriales/descargas/documentos/catedra/loginve r.pdf

Morales, BB (sf). https://www.legiscomex.com. Retrieved on March 16, 2018, from https://www.legiscomex.com: https://www.legiscomex.com/BancoMedios/Archivos/la%20logistica%20reversa%2 0o% 20inversa% 20basilio% 20balli.pdf

Oltra Badenes, RF (sf). https://riunet.upv.es. Retrieved March 16, 2018, from https://riunet.upv.es:

RAE. (2018). http://dle.rae.es. Retrieved on March 18, 2018, from http://dle.rae.es:

transgesa.com. (April 5, 2016). https://www.transgesa.com. Retrieved on March 16, 2018, from https://www.transgesa.com:

Zopiyaxtle, YP (October 26, 2017).

Retrieved on March 16, 2018, from

www.gestiopolis.com/la-logistica-inversa/

Reverse logistics and the supply chain