Which term describes the process of handling returns and recycling of goods?

• A. Nearshoring
• B. Distribution Center
• C. Reverse Logistics
• D. ERP

Answer: (C)

Reverse logistics is the part of the supply chain that deals with the backward flow of goods—from customers back to the seller or manufacturer—for returns, repairs, refurbishing, recycling, or proper disposal. It covers activities like return authorization, reverse transportation, inspection and sorting of returned items, deciding whether to reuse, resell, remanufacture, or recycle, and recovering value from products at the end of their life. This is different from forward logistics, which focuses on moving products from suppliers to customers. Nearshoring refers to moving production closer to the market, a sourcing decision, not a returns process. A distribution center is a facility for storing and sending goods forward to customers, with reverse flow not its primary purpose. ERP is software that integrates core business processes, including some support for reverse logistics, but it is not the term for the returns and recycling process itself.