Value creation in product returns management - A synthesis of the literature

Value creation and maximising the appropriation of value vis-a-vis other entities in the supply chain are key aims of any organisation. Studies on the contribution of product returns management to firm value are limited and fragmented. Most have taken the narrow view that value is derived from product disposal activities. This paper synthesises the literature on value and applies the value construct to the product returns process in the business-to-business (B2B) context. The paper reviews the literature on value and distils the applicability of this construct to the management of product returns. The Strategic Profit Model (SPM), which connects an organisation's revenues, costs, and resources to its return on assets based on activities in the forward supply chain, guided the literature synthesis. The value elements were mapped against key elements of the SPM to develop an integrated framework for value creation in the B2B product return chain.