The APICS Foundation has put out a new report, Examining Remanufacturing in Supply Chain and Operations Management, and the gist of it is that, yes, remanufacturing is good for business. But we need to see more of it.
Built to Last
APICS finds that remanufactured goods are a major point of interest in price-sensitive markets and stand to offer an obvious new source of value. They surveyed roughly 18,000 supply chain practitioners to tap into industry feelings on the matter. In terms of visibility, about 48 percent of respondents said that “remanufacturing was somewhere between less than moderately visible and not visible at all.” Only 32 percent felt that most of their management knew the difference between remanufacturing and refurbishing. However, 41 percent stated that remanufacturing was a formal component of their organizations’ sustainability policies.
Stats for how respondents felt about the state of their remanufacturing-related IT solutions were all over the board, though most answers fell in the “Fair” to “Good” range. Sustainability and potential for new markets and price points were considered to be the biggest advantages of remanufacturing. On the flip side, added complexity to reverse supply chains and lack of customer trust in remanufactured goods were the main drawbacks.
For even more numbers and to get a better idea of what remanufacturing can do for you, you can read the full report here: http://www.apics.org/docs/default-source/industry-content/apics_reverseman_report_short_version.pdf?sfvrsn=2