A new value paradigm for materials as a counterpart to emissions trading is being embraced by business leaders in response to a landmark approach being published next month in the Springer Encyclopedia of Sustainability Science and Technology.
Closed Loop Supply Chains
Closed Loop Supply Chains (CLSC)
The management of product returns in order to create business and ecological value through reintroduction of product return flows into forward supply chains (‘closing the loop’) is what we call “closed loop supply chain management”.
The CLSC centre at Rotterdam School of Management, Erasmus University, is the portal for dissemination of news and research on all facets of Closed Loop Supply Chain Management. For this it draws on an international network of top research institutions and its researchers.
As technology development advances, new products are being introduced to the market everyday, making it harder for the production of some products to survive. However, companies are obliged to satisfy demands for service parts of the old generation products, due to warranty or service contracts. Thus, on the one hand, service satisfaction is a priority for firms and on the other hand excessive parts being held renders extra carrying cost and risk of obsolescence. In his dissertation entitled End-of-Life Inventory Decisions of Service Parts, PhD candidate Morteza Pourakbar attempts to explain that in order to mitigate these risks, firms resort to employing various countermeasures.