A Study on the Activities and Decision Factors between In-house vs. Outsourcing Reverse Logistics Processes

역물류(Reverse Logistics)의 아웃소싱을 위한 연구

Reverse logistics (RL) covering the flow of products/parts in a reverse direction from product returns to product disposal. Companies are faced with a decision on whether to manage RL in house or to outsource it to a RL third party service provider (3PSP). A survey was conducted in 2004 to study RL outsourcing practices. Through the survey, various RL functions outsourced in industry are identified, and the factors considered to decide between in-house vs. outsourcing RL management are studied along with their importance. In addition, this research presents the performance measures of a 3PSP and problems faced by companies while managing RL in-house and outsourcing.