The Hierarchy of Motivations Turning Manufacturers' Attention to Reverse Logistics

Abstract

The aim of this study is to outline the motivating factors hierarchically, which turn the manufacturing firms'attention to reverse logistics. Effective reverse logistics management provides many advantages such as reducing operational costs, increasing customer satisfaction, boosting brand value, and meeting the requirements of environmental regulations. Since reverse logistics helps firms to accomplish wide range of goals, this research searches for the fundamental motivation of Turkish manufacturers to give emphasis on reverse logistics. To this end, this study examines the reverse logistics processes of the Turkish giant manufacturing company, Vestel, for its electric-electronic product groups. The nominal group technique is applied with the participation of Vestel managers, which provides the data on how the goals aimed to accomplish via reverse logistics interrelate. Then, interpretative structure modelling is used to establish the hierarchy of reverse logistics motivation factors. This hierarchy shows the fundamental motivations through which it is possible to accomplish many goals together. Hence, the results of this study give guidance to both policy makers and managers in formulating their product return policies and strategies.