Authors: Tarig Khidir Eltayeb; Suhaiza Hanim Mohamad Zailani
Addresses: School of Management, Universiti Sains Malaysia, 11800 Penang, Malaysia. ' School of Management, Universiti Sains Malaysia, 11800 Penang, Malaysia
Abstract: Reverse logistics becomes a major issue of concern due to its strategic importance in alleviating environmental problems and generating economic benefits for business organisations. However, little is known about the actual drivers that motivate business firms to adopt reverse logistics initiatives. This study utilised survey data to examine the effects of four drivers: regulations, customer pressures, social responsibility and expected business benefits on reverse logistics in the Malaysian manufacturing sector. The results suggest that reverse logistics is affected only by expected business benefits. This result indicates that business firms give considerable importance to the expected returns from reverse logistics initiatives as a major stimulator for the adoption of these initiatives. The results provide insight into why Malaysian firms adopt reverse logistics activities. They also provide managers and policy-makers with recommendations that can be used in setting up appropriate policies to encourage business firms to adopt reverse logistics initiatives.
Keywords: reverse logistics; supply chain management; SCM; Malaysia; manufacturing sector; certified companies; environmental problems; economic benefits; decision drivers; motivation; business initiatives; regulations; customer pressures; social responsibility; business benefits; expected benefits; expected returns; major stimulators; managers; policy-makers; logistics systems; logistics management.
International Journal of Logistics Systems and Management, 2011 Vol.10 No.4, pp.375 - 397
Published online: 14 Oct 2011 *Full-text access for editors Access for subscribers Purchase this article Comment on this article