Reverse Logistics in Hotel Operations
Hotel operations are a unique industry as they do not provide a product but a service. Describe and
explain how you see hotels using reverse logistics in their day to day activities.
Reverse Logistics in Hotel Operations
The modern business environment is changing at an increasing rate. There is an
increasing focus to deliver value to customers at affordable costs. Many industries realize the
benefits of incorporating reverse logistic services in their supply chain in order recapture value
and ensure improved customer satisfaction. Hotel operations are a unique industry because they
don’t provide products but customer services. Hotel companies both small and big should focus
on strategies for offering services while keeping their cost very low. Hotel operations include
food services and accommodation, entertainment, gaming, events and meeting, tourism and
recreation services. Hotel operations include room services, travel services, catering services,
and other activities in the line of hotel and hospitality services. Therefore, hotel companies
should develop established reverse logistic systems in order to give specific hotels a sustainable
competitive advantage (Robin, Pedroche & Astorga, 2017). This is because the use of efficient
REVERSE LOGISTICS IN HOTEL OPERATIONS 2
and effective reverse logistic services not only assists in improving quality and services of hotel
operations but minimize operational costs.
The hotel industry can significantly profit from embracing both integrated and
comprehensive practice of reverse logistics. This helps hotels to deliver consistently reliable and
high-quality services at optimal prices and costs. Reverse logistics has been used in the hotel
industry by solving customer complaints of previous experiences in the hotel. Since there are no
product returns, the hotel industry focuses on providing attractive and fascinating services that
keep customers happy and helps in building the company brand. Reverse logistics is not highly
adopted in hotel operations. However, hotel companies can significantly change their operations
by adopting the services of reverse logistics. This is because reverse logistics will reduce costs
and improve efficiencies. Hotel companies save money in offering their services and also
positions companies themselves as the leading players in their industry (Robin, Pedroche &
There is a growing understanding of reverse logistics in creating a competitive advantage.
However, hotel companies still face challenges because management views reverse logistics as a
separate function to their operations. Companies in hotel industry figure out competitive areas
that need increased focus on their operations. There is a continued change in the logistics
environment, and it is vital for hotel companies to take prompt actions to fulfill the needs and
requirements of customers. This helps in building and maintaining sustainable customer value.
Hotel operations should focus on reverse logistic activities based on the requirements of the
company in order to achieve a competitive advantage (Robin, Pedroche & Astorga, 2017).
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Hotel industry focus on procurement services in order to support the operational needs of
the company. Also, there are other services that hotel companies should focus on in order to
ensure customer satisfaction and improve efficiencies. Hotel management should focus on all
services offered to customers and those that can lead to improved profitability. Customer
complaints and increased number of customers should be used as the basis for determining the
design for reverse logistics activities to be adopted in the hotel operations. Therefore, reverse
logistics management can be used to reduce costs and in delivering high-quality services to
customers. However, reverse logistics is underutilized in hotel operations. Companies should
adopt both forward and backward logistics in their supply chain network in order to improve
services and ensure customer satisfaction. It is crucial to adopt reverse logistics in order to
eliminate waste in hotel operations. This helps to create a competitive advantage for hotel
companies in the industry.
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Robin, C. F., Pedroche, M. S. C., & Astorga, P. S. (2017). Revisiting green practices in the hotel
industry: A comparison between mature and emerging destinations. Journal of Cleaner
Production, 140, 1415-1428.