Reverse Logistics Case Study


The client mentioned in this case study will remain anonymous. In an era where reducing operating cost in the supply chain is more important than ever, retailers can find that meeting their commitments to corporate social responsibility is becoming less feasible by the minute. As the awareness of the carbon footprints of major corporations rises; we are seeing a trend in which many companies are turning to professional services and associations to create a process that will transform  their costly waste streams into revenue streams through reverse logistics programs that handle items such as returns and maximize their aftermarket value.

This firms’ commitment to corporate social responsibility has driven them to evaluate all aspects of their supply chain to simultaneously reduce operating cost and minimize their carbon footprint. Emphasizing the importance on the backflow of materials from their facilities support system has allowed them to accomplish the following through their reverse logistics program:

  • Reduce operating costs
  • Recapture asset value
  • Minimize their carbon footprint
  • Reduce fuel usage and therefore CO2 emissions

The respective firms’ public commitments to Corporate Social Responsibility do not make it easy on their Facilities Managers to meet the demands to drive down operating costs that all department heads experience.  Managers were faced with one major obstacle. How does one properly maintain their stores and manage their backflow in a cost effective manner?

The solution would need to include these aspects;

  • Didn’t affect retail operations
  • Had a positive ROI
  • Reduced their carbon footprint
  • Tracked and reported accurately
  • Turned waste into revenue

Patriot Logistics offered a complete solution to their obstacle. By implementing a comprehensive reverse logistics system, Patriot was able to redeploy $1.7 million in assets with a 56% ROI. Also, Patriot was able to reduce their carbon footprint by diverting 284,000 Lbs. of material from the landfill and eliminating 1,007,412 Lbs. of CO2 emissions.

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