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Question 323 - CSCP discussion

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Which of the following outcomes typically is the primary benefit from implementing a reverse logistics system?

A.
Reducing returns processing costs
Answers
A.
Reducing returns processing costs
B.
Reducing legal costs
Answers
B.
Reducing legal costs
C.
Extending the product life cycle
Answers
C.
Extending the product life cycle
D.
Complying with the SCOR framework
Answers
D.
Complying with the SCOR framework
Suggested answer: C

Explanation:

Implementing a reverse logistics system primarily aims to manage the return of products from customers back to the company. One of the significant outcomes is extending the product life cycle by:

Refurbishment and Resale: Returned products can be refurbished and resold, extending their usability and lifecycle.

Recycling and Reuse: Components from returned products can be recycled or reused in manufacturing new products, reducing waste and conserving resources.

Cost Savings: Effective reverse logistics can reduce costs associated with waste disposal and procurement of new materials by reclaiming value from returned products.

'Reverse Logistics: Quantitative Models for Closed-Loop Supply Chains' by Rommert Dekker et al.

Council of Supply Chain Management Professionals (CSCMP)

asked 16/09/2024
Jenny Silva
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