Reverse Logistic
lorainegomez1630
Created on March 24, 2024
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Transcript
Return on Investment (ROI) for Reverse Logistics Initiatives: This metric measures the financial benefit gained from implementing reverse logistics programs. It compares the net profit generated from recovered products (through resale, refurbishment, recycling, etc.) to the overall costs associated with operating the reverse logistics system.
Concepts
Evaluate EffectivenessOptimize Processes.Make Strategic Decisions
Understanding ROI helps businesses:
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ROI acts as a financial compass for businesses with Reverse Logistics programs. • Measures Efficiency and Effectivenes • Guides Decision-Making • Supports Strategic Planning
Why is this Indicator Important
ROI of a Mobile Phone Take-Back ProgramCompany: Eco-Phone, a leading manufacturer of eco-friendly smartphones.Scenario: Eco-Phone implements a take-back program for used phones. Customers can return their old phones in exchange for a discount on a new model. Eco-Phone refurbishes the returned phones for resale or responsibly recycles them..
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Group 242008_2 / Date 14.05.2024
Loraine GomezFinancial Indicators in Reverse Logistics
EXAMPLE: