With the world working towards making the necessary changes to help improve the environmental aspects on the planet. There is one aspect of the supply chain department that creates new opportunity help turn the supply chain departments inherently green, that is what is now referred to as reverse logistics. To explain reverse logistics since prior to my research on this subject this was relatively new to me, reverse logistics is the process of remanufacturing, refurbishing and recycling by engaging in reverse logistics-based activities that can help to turn everything green.
The biggest takeaway of this initiative is understanding that if resources are put in place to help companies achieve a green initiative, then at the end of the products life cycle, then perhaps certain parts can be salvaged and again reused? For example, the majority of pallets used to ship products are reusable and according to Pallet Consultants, “the wooden pallet industry recycles hundreds of millions of pallets every year, saving over 40 million trees!” Since the pallet industry is working diligently to save trees by reducing, reusing and recycling lumber then once it has been considered unusable it is transformed into an environmentally friendly resource. What reverse logistics does it finds new ways to transform the materials to be made into new parts. Taking the time to remove metals such as nails and staples can assure that they are being properly disposed of. This is also beneficial as the process of reverse logistics allows for companies to reduce returns and cut unnecessary transportation runs, this will also help to reduce the carbon footprint that semi-trucks that can provide a great opportunity for improving the environment as well as working to favor the bottom line.
Reverse logistics is intertwined with sustainability by contributing to the growth and financial stability of an organization as a lot of stakeholders will valuate a company based on their green initiative, and by using supply chains to minimize the environmental impact on the economy and community it will help to increase the supply chain companies’ sustainability performance that is typically measured by the social, economic and environmental impact. Throughout the past few years, the discussion of sustainability in supply chain has gained rather long recognition, partially due to the community concerns regarding the effects it has on the environment and why many logistics companies are looking toward considering reverse logistics or implementing green strategies that can provide recognition in social responsibility as well as need for companies to try to reduce their environmental impact by trying to switch to electronic vehicles and completing all paperwork electronically to reduce paper consumption. However, in recent years, supply chain organizations were commonly referred to as the missing link in the development of sustainability.
As a functioning supply chain consists of companies manufacturing and transporting various goods. Since most supply chains account for almost 80% of gas emissions as well as 90% of the impact it had left on air, land and water. Many supply chain companies are working effortlessly with clients and suppliers to manage various risks than can make the new initiative unsuccessful. To make the full transition to collaborative opportunities within supply chain then benefits such as customer relations, positive public relations as well as reducing the amount of waste can be considered an aid to enforcing a smart economic perspective.
The whole focus of this idea is by reducing what is used then perhaps the components can be economically recovered but by reducing what is used in a logistics standpoint it is most beneficial to understand the products impact. This design coordinates with green logistics, while logistics is not recognized for a high level of sustainability, green logistics works to gauge the carbon footprint of logistics, suck as the use of raw materials sensibly. To further this initiative, many sustainable alternatives have been discussed as to how they could have a positive impact on either reverse logistics or green logistics.
Optimizing fleet management apart from purchasing vehicles that pollute can use various systems to plan routes and prioritize cargo consolidation. Other options such as using two or more means of transportation to relocate loads to increase the level of competition and reduce the amount of pollution. In due time, clients will begin to evaluate companies based on their environmental impact and logistics companies that can offer alternatives will have an advantage as to how to achieve this, through either reverse or green logistics.