Information Technology in Reverse Logistics
This really is the combination of Paper 1 and Paper 2 with Paper 3.
Go to the APUS online library.
Look up the article �Internet Technology Use Across the Food Industry Supply Chain� written by Martin
Dresner, Yuliang Yao and Johathan Palmer.
Summarize what they found about the use of the Internet at that time frame.
Then do a search of current issues and problems and solutions for the use of the internet for food and
beverage industry, but with a focus on reverse logistics operations. The specific focus of your reverse
logistics operation is to be one of the following:
You decide which of the above you want to write about.
The paper will be then an analysis of what was written about by Dresner at the time of their research, and
updated by your own research for the items they focused on. That makes this a compare and define and
identify and explain type of paper.
Dresner, Yao, and Palmer (2001) carried out a study to establish “the internet
technology use across the food industry supply chain in order to determine whether distributors
INFORMATION TECHNOLOGY IN REVERSE LOGISTICS 2
are currently using or are expected to use IT at the same rate as manufacturers and retailers.”
They found out that there are no substantial differences in use of the Internet between retailers
and distributors, or between manufacturers and distributors in the food industry sector. Besides,
they established no significant differences anticipated in the use of the Internet. However, the
authors established remarkable differences in using the Internet according to the size of the
firms. They established that distributors are smaller than manufacturers and are at some risk of
reduced usage of Internet technology in supporting their logistics activities.
Internet usage facilitates direct sales for the food industry to final consumers.
According to Dresner, Yao, and Palmer (2001), there is comparatively less adoption of web-
based technologies in the food industry logistics because most transactions with customers and
suppliers are mostly carried out using by fax, personal contact, and telephone. Besides, logistics
firms find it costly to establish Internet connections, and they are reluctant to shift from the
legacy system to the Internet. Thus, logistics firms use the Internet as a complement to EDI use.
Despite the advantages attributed to the use of the Internet in reverse logistics, there are low
levels of Internet adoption in the food and beverage sector. This signifies potential for first-
mover advantages in the sector. The authors believe that companies that will swiftly establish a
web-based structure for sharing information and transacting across the food industry logistics
will realize a competitive advantage. The larger companies are adopting Internet technology at a
higher rate than minor companies in the food and industry. Therefore, minor distributors should
accelerate their rate of adopting Internet technology as well as merging with others to increase
their resource and size availability. According to Dresner, Yao, and Palmer (2001), there was a
low intake of Internet usage in the food and beverage industry. However, recent studies show
that there is increasing intake of e-commerce in the food and beverage industry. There is
INFORMATION TECHNOLOGY IN REVERSE LOGISTICS 3
increasing adoption of online services such as ordering, purchasing and doorstep delivery. This
has made the food and beverage industry extremely competitive, and consumers can afford
excess a wide range of products quickly as well as reduced delivery time. However, when it
comes to reverse logistics, the intake in slow because of the cost associated with reverse logistics
Internet usage, especially the Internet of Things is changing the operations of
reverse logistics because online sales and e-commerce have forced distributors and
manufacturers to become cognizant to operational challenges and costs associated with reverse
logistics. This is because online sales contribute significantly to returned sales in the food and
beverage industry. Reverse logistics are faced with the challenges of assessing the value of
reselling and reuse of products, which bring into distributing and manufacturing costs.
Focusing on waste management company, Internet usage plays a significant role
in streamlining reverse logistics management. Waste management companies are using the
Internet to enhance the performance of reverse logistics such as the use of barcodes, RFID, DSS
and UPS Return Flexible Access. The UPS Returns Flexible Access program enables clients to
drop their products at any UPS center or on their mailboxes enhancing service delivery of
logistics companies. Besides, waste companies are using smart tags, which are connected to a
cloud server in real time and helps in enhancing product tracking. The use of barcodes has
enabled reverse logistics companies to increase data capacity while 2D codes provide an
omnidirectional reading. RFID logistics is applied in broad services in retail to help managers to
achieve their objectives. These logistics technologies speed up asset management and inventory
processes. Besides, RFID logistics is applied in vehicle authentication and tracking process
(Grayson & Hodges, 2017).
INFORMATION TECHNOLOGY IN REVERSE LOGISTICS 4
Waste management should establish robust system integration and network in
order to speed up internet usages such as RFID, DSS and smart tags which assist in sorting and
establishing products for repair, replacement, re-manufacture or reuse. Waste management
companies are tapping the Internet of Things for servicing products in reverse logistics in order
to determine depreciation, performance and service timing of products. Waste management
companies should have robust reverse logistics strategies for sustaining themselves in the
circular economy. This not only reduces costs but also serves as a sustainable development
model for advocating for recycling and reuse of waste products. Besides, the increasing Internet
usage concerning RFID, barcodes, the Internet of Things and Smart tags means that waste
management companies can sort products that need reuse and re-manufacture to use in other
products. Also, the use of TPS, DSS, and EIS help waste management companies to manage
customers and develop strategies that are effective in enhancing reverse logistics success
regarding operations and strategic planning. TPS logistics has helped in inventory planning while
DSS is essential in enhancing sustainable reverse logistics management by authenticating
managerial decisions. EIS logistics is essential in ensuring integration of open systems for
reverse logistics of waste management (Grayson & Hodges, 2017).
In summary, Internet usage promotes services of reverse logistics in the food
industry as it enhances service delivery. Logistics managers are equipped with real-time to make
smart decisions as well as monitor and track movement of products and as well as establishing
sustainable reverse logistics.
INFORMATION TECHNOLOGY IN REVERSE LOGISTICS 5
Dresner, M., Yao, Y., & Palmer, J. (2001). Internet technology use across the food industry
supply chain. Transportation Journal, 14-26.
Grayson, D., & Hodges, A. (2017). Corporate social opportunity! Seven steps to make corporate
social responsibility work for your business. Routledge.