The objective of this paper is to research on the current strategies and importance of Reverse Logistic (RL) operations and their impact. This review also establishes the role of the returns policy in the fashion supply chain. It also covers the different strategies adopted in the reverse supply chain across various supply chains and how it can be interconnected in the fashion supply chain. Retrogistics has always been considered as one of the least explored cost-oriented research areas. Beyond the handling of recycling and reuse, there is a tremendous scope for analysis of the returns in the RL process for identifying the causative factors. An analysis of causative factors may help in taking remedial measures for reduction in number of returns. Hence, several retail organizations have started giving importance in developing a best strategy and process for returns on the management program. Again, it is imperative for evolving strategy specific to the fashion industry/business to their specific needs and nature of operations. This review paper discusses different elements/strategies of operations involving RL in the fashion supply chain, different applications highlighting advantages and profit improvement/cost savings.

Reverse Logistics (RL) has been defined as the movement of the product or materials in the opposite direction for the purpose of creating or recapturing value or for proper disposal (Rogers and Tibben-Lembke, 1999). Reverse logistics is basically the process of planning, implementing and controlling the efficient, cost-effective flow of raw materials, in-process inventory, finished goods and related information from the point of consumption to the point of origin for the purpose of recapturing value or creating value or for proper disposal (Daughtery et al., 2002). Going beyond the recycling and reuse, RL involves other processes including handling of the returned goods or merchandise, excess inventory, restock, product recalls, refurbishing, product disposals, etc. At the stage of supply chain designing, organizations should incorporate strategies for proper returns management. Such a proactive move can result in substantial savings in costs later. There is no one RL strategy that is applied/suited to all industries. Professionals call RL with other names such as reverse supply chain, after market supply chain, after market logistics or retrogistics. This is gaining momentum in the industry positioned as a competitive strategy for retailers. Many players consider the returns process an integral element in the product life cycle. Nevertheless, many supply chains do not have an element called returns management in their supply chain. Research potential is enormous in the area of reverse supply chain as a process. RL also goes beyond the stage of selling the product to the customer. It also considers the stage of disposal of product or reselling of product by the customer. This review helps fashion professionals to understand the trends, inside processes and importance of returns management as an imperative element in their supply chain.

The RL process is completely different from forward logistics. Figure 1 gives the basic elements of both forward and reverse logistics. In forward logistics, products are being sent to the DCs and then to respective stores. In this, it is much easy to predict the projections and track shipments via various visibility tools such as advanced shipment notifications, etc.; but RL does not have transparency and it is predominantly reactive, i.e., the company plans the handling of the returned materials after it reaches the manufacturer or place of disposal.

Supply Chain Management Journal, Reverse Logistics, Fashion Supply Chain, Returns Management, Incorporate Strategies, Reverse Management Programs, Customer Loyalty, Cost Reduction, Customer Relationship Management, CRM, Radio Frequency Identification, RFID, Electronic Data Interchange, EDI, Cost Increment Process, Material Accounting System, Supply Chain Networks.