Improving organisational performance through reverse logistics

Abstract

Reverse logistics involves several activities that, based on decisions on how to implement and use them, seriously affect and impact the performance of an organisation. This paper analyses how different activities of reverse logistics could affect costs, and thus the performance of the organisation. The study is based on a survey of companies of the Spanish market and applies a structural model. The analysis provides evidence that: (1) based on the type of an activity, reverse logistics has different cost; therefore, it is important to select the most appropriate combination and implementation of reverse logistics activities. (2) Reverse logistics activities affect reverse logistics cost, and thus it decisively determines organisational performance. A number of implications and contributions stems from the discussion and conclusions of the study.

Keywords:

• logistics
• reverse logistics
• management
• organisational performance