Benchmarking of product recovery alternatives in reverse logistics

Abstract

Purpose

Selection of best product recovery alternative in reverse logistics (RL) has gained great attention in supply chain community. The purpose of this paper is to provide a robust group decision-making tool to select the best product recovery alternative.

Design/methodology/approach

In this paper, fuzzy values, assigned to various criteria and alternatives by a number of decision makers, are converted into crisp values and then aggregated scores are evaluated. After obtaining experts’ scores, objective and subjective weights of the criteria have been calculated using variance method and analytic hierarchy process, respectively. Then integrated weights of criteria are evaluated using different proportions of the two weights. The superiority and inferiority ranking (SIR) method is then employed to achieve the final ranking of alternatives. An example is presented to demonstrate the methodology.

Findings

The proposed methodology provides decision makers a systematic, flexible and realistic approach to effectively rank the product recovery alternatives in RL. The alternatives can easily be benchmarked and best recovery strategy can be obtained. The sensitivity analysis carried out by changing different proportion of objective and subjective weights reveals that best ranking alternative never changes and proves the robustness of the methodology. The present benchmarking framework can also be used by decision makers to simplify any problem which encounters multi-attribute decision making and multiple decision makers.

Research limitations/implications

The proposed methodology should be tested in different situations having varied operational and environmental conditions dealing with different products. A real case study from an industrial set up can help to assess the behavior of the proposed methodology. The presented methodology however can deal with such multi-disciplinary and multi-criteria issues in a simple and structured manner and ease the managers to select the best alternative.

Originality/value

A novel approach for decision making taking into account both objective and subjective weights for criteria has been proposed to rank the best recovery alternatives in RL. The proposed methodology uses SIR method to prioritize the alternatives. As RL alternative selection is an important issue and involves both technical and managerial criteria as well as multiple decision makers, the proposed robust methodology can provide guidelines for the practicing managers.

Citation

Sharma, S.K., Mahapatra, S.S. and Parappagoudar, M.B. (2016), "Benchmarking of product recovery alternatives in reverse logistics", Benchmarking: An International Journal, Vol. 23 No. 2, pp. 406-424. https://doi.org/10.1108/BIJ-01-2014-0002