3HP: Reversed logistics

Question 1

What is sustainable development?

Answer 1

Development that meets the need of the present without compromising the ability of future generations to meet their own needs

Question 2

What is the triple bottom line? Give examples in terms of supply chain and logistics and production

Answer 2

Three dimension of sustainability:

1. Profit (Economic): Transport savings, improved product quality, increased productivity and resource utilization
2. Planet (environment): Local sourcing, reduce transport demand, switching to sustainable transport modes, elimination of waste etc.
3. People (social): Code of conduct, safe working conditions, training and education of employees

Question 3

What are reversed logistics?

Answer 3

The process of moving goods from their final destinations back through the supply chain for returns, recycling, repair or remanufacturing

• Manages the product flow backwards to recover value

Question 4

What are the challenges with reversed logistics? Name 3

Answer 4

1. Uncertainity to qualitative (condition) and quantitative characteristics
2. Uncertainity about customer behavior: end customer initiates the process
3. Infrastructure challenges: hard to predict number and location of collection points

Question 5

What are open-loop vs closed-loop system?

Answer 5

Open-loop: No feedback or reuse
- Products are not returning to the system
- usually ends at secondary market

Closed-loop: products returns back to the system
- Products are returned, reused or recycled and goes back into different stages of the system/supply chain
- Minimizes waste and promotes sustainability

Question 6

Tell me about the waste hierarchy

Answer 6

Values different recovery options depending level of added value:

1. Reduce use of resources
2. Reuse or resale
3. Remanufacture/recondition/repair
4. Recycling och collecting parts
5. Disposal with energy recovery (burning waste or biogas plant)
6. Disposal without energy recovery (landfilling)