A cost-benefit analysis for the design and implementation of reverse logistics systems: case studies approach

Abstract

Reverse logistics (RL) has created new and innovative opportunities for academic researchers and business communities to explore the strategic, economic, environmental, and regulatory implications of recycled, remanufactured, and disposed products. This paper considered and analysed the relevant literature in RL and identified the present state of theory in RL regarding cost-benefit. The research methodology used is exploratory case study approach. The cost-benefit is analysed and evaluated in terms of specific sub-factors associated with it by use of two in-depth case studies. Two companies from different industries engaged in RL operations are considered. The analysis of these case studies resulted in propositions and insights regarding RL operations. Based on these insights, the cost-benefit sub-factors, propositions, and a framework for effective design and implementation of RL operations are provided. This framework determines the appropriate sub-factors and how the return process of products/parts with respect to cost-benefit works. In conclusion, the managerial implications and future research directions were provided.

Keywords:

• reverse logistics
• cost–benefit
• RL framework
• remanufacturing
• recycling
• case study
• exploratory case study research