Reverse logistics

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Reverse logistics encompasses all operations related to the upstream movement of products and materials.^[1] It is "the process of moving goods from their typical final destination for the purpose of capturing value, or proper disposal. Remanufacturing and refurbishing activities also may be included in the definition of reverse logistics."^[2] Growing green concerns and advancement of green supply chain management concepts and practices make it all the more relevant.^[3] The number of publications on the topic of reverse logistics have increased significantly over the past two decades. The first use of the term "reverse logistics" in a publication was by James R. Stock in a White Paper titled "Reverse Logistics," published by the Council of Logistics Management in 1992.^[4] The concept was further refined in subsequent publications by Stock (1998) in another Council of Logistics Management book, titled Development and Implementation of Reverse Logistics Programs,^[5] and by Rogers and Tibben-Lembke (1999) in a book published by the Reverse Logistics Association titled Going Backwards: Reverse Logistics Trends and Practices.^[6] The reverse logistics process includes the management and the sale of surplus as well as returned equipment and machines from the hardware leasing business. Normally, logistics deal with events that bring the product towards the customer. In the case of reverse logistics, the resource goes at least one step back in the supply chain. For instance, goods move from the customer to the distributor or to the manufacturer.^[7]

As of 2023, the global reverse logistics market is estimated to be worth approximately $993.28 billion. This value is projected to increase at a compound annual growth rate (CAGR) of 10.34% from 2023 to 2032.^[8]