Literature Review on Network Design Problems in Closed Loop and Reverse Supply Chains

Abstract

The productivity of an organization is very much affected by non-value adding activity like logistics, which moves the resources from suppliers to factory, raw materials/semi-finished items within the factory and finished goods from factory to customers via a designated distribution channel called as forward logistics. In some cases, parts of the products such as automobiles, computers, cameras, mobile phones, washing machines, refrigerators, garments, footwear and empty glass bottles of beverages, etc. will be brought back to the factories as a product recovery strategy through reverse logistics network which is integrated in a sustainable closed loop supply chain network. So, it is highly essential to optimize the movement of the items in the reverse logistics network. This paper gives a comprehensive review of literature of the design of networks for the reverse logistics as well as for the reverse logistics coupled with forward logistics. The contributions of the researchers are classified into nine categories based on the methods used to design the logistics network.