Abstract
In the past few years, reverse logistics practices have successfully managed to gain more attention in various industries and among supply chain researchers and experts. This is due to globalization, environmental concerns, and customer requirements, which have asserted industries’ concerns for reverse logistics management. In E-commerce, the process of reverse logistics originates with parcel refusal, undelivered goods, and exchanges. In developing countries like Pakistan, the adoption and implications of reverse logistics are still at their early stages. E-commerce companies give more attention to forward logistics and ignore logistics’ upstream flow in the supply chain. This study aims to identify, as well as list, the barriers and obtain the solutions to those identified barriers, and rank the barriers and their solutions so that logisticians and experts can solve them as per their priority. From the extensive literature review and experts’ opinions, we have found 14 barriers in implementing effective reverse logistics. Eight solutions to those barriers were also found from the literature review. This paper proposed the methodology based on fuzzy analytical hierarchy process (fuzzy-AHP), which used to get the weights of each barrier by using pairwise comparison, and fuzzy technique for order performance by similarity to ideal solution (fuzzy-TOPSIS) method, which was adopted for the final ranking of solutions to reverse logistics. The case of the Pakistan E-commerce industry is used in the proposed method.
Highlights
Reverse logistics have received great significance over the last few years
The ranking of infrastructure barriers sub-criteria is IB2 > IB1, which shows that lack of technological infrastructure barrier to adopting reverse logistics is more important than lack of infrastructure
Adopting reverse logistics practices arises as environmental concerns increase and green logistics, green production, and waste management grow
Summary
Reverse logistics have received great significance over the last few years. This is due to environmental concerns, global competition, legislation, and corporate social responsibility. The shift of business from traditional to online business has increased the ease for customers to shop. In this digital world, with millions of online businesses, it is pretty easy to purchase anything from all over the world with just one click. Purchasing products online allows customers to buy a variety of products, and if it does not meet their requirements, it can be returned to the seller as as how it was bought. Returns in E-commerce businesses can make a difference between the success and failure of a company, and it directly affects the company’s reputation and buyer experience [1]
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