Reverse logistics information system success and the effect of motivation

Abstract

Purpose – Information systems (IS) play a substantial role in managing reverse logistics (RL) processes. However, the RL literature rarely takes a holistic approach to examining the “success” of IS employment. Drawing on the rich literature base from the IS field, the authors explore IS Success theory in the context of RL. Considering Diffusion of Innovation theory, the authors also examine the effect of motivation on IS utilization. In doing so, the authors provide scholars and practitioners with insight into the factors affecting the success of a RL IS. The paper aims to discuss these issues. Design/methodology/approach – Based upon DeLone and McLean's IS Success theory, the authors develop the model to consider information quality, IS utilization, and RL cost effectiveness (as a proxy for net benefits). The authors disaggregate RL into two processes and thus consider the model from two perspectives: the process of receiving returns from customers (inbound) and the process of returning products to suppliers (outbound). The authors survey 136 RL professionals and employ partial least squares modeling for data analysis. Findings – For both inbound and outbound path models, information quality is significantly and positively related to IS utilization; in turn, IS utilization is a significant predictor of net benefits. For inbound, RL goals provide significant motivation to drive IS utilization. For outbound, RL challenges provide significant motivation for IS utilization. Originality/value – The authors bring IS Success theory into the context of RL. Additionally, by investigating the topic from both inbound and outbound perspectives, the findings suggest differences between inbound and outbound RL processes.

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