In the context of SCM, what is "reverse logistics"?

Reverse logistics refers to the process involved in moving goods from their final destination back to the manufacturer or another location for various purposes, including returns, repairs, refurbishing, recycling, or disposal. This concept is essential in supply chain management as it not only deals with the return of products from customers but also includes the processes necessary for handling defective or unsold items.

By managing reverse logistics effectively, companies can enhance customer satisfaction, reclaim value from products that would otherwise be wasted, and promote sustainability through recycling initiatives. This process is increasingly significant in today's economy, where sustainability and resource efficiency are paramount.

The other options are not aligned with the definition of reverse logistics. Moving goods to their final destination focuses on forward logistics, which encompasses the journey of products from the manufacturer to the end consumer. Reducing warehouse expenses falls under cost management and operational efficiency rather than the specialized framework of reverse logistics. Finally, managing logistics for international shipping primarily deals with the transportation of goods across borders and does not address the return flow of products.