Business Aspects of Closed-Loop Supply Chains

Abstract

The major difference between closed-loop supply chains and traditional forward supply chains is for a forward supply chain the customer is at the end of the processes, and for a closed-loop supply chain there is value to be recovered from the customer or enduser. We posit that the best way to address the extended producer responsibilities requirements imposed on businesses is to approach the problem from a business perspective. Simply put, we believe that economic incentives (increased profits) provide the strongest argument in favor of firms developing closed-loop systems. We have attempted to take a multidisciplinary approach with the development of this book. We asked the leading academic experts to write chapters for a workshop sponsored by the Carnegie Bosch Institute and held at Carnegie Mellon University. Each of the 13 chapters includes a more detailed discussion of the research needs for each of the areas we address in the book. We hope that these ideas and questions will generate further academic research into closed-loop supply chains and that this represents the beginning of research in this area.