Abstract:
Reverse logistics is the process of planning, implementing and controlling the efficient and
effective flow of raw materials, in process inventory, finished goods and related information
from the point of consumption to the point of origin for the purpose of recapturing or creating
value or for proper disposal. The crucial purpose of this study was to explain the effect of
reverse logistics practice on competitiveness of TANA plastic factory. With specific aim of;
determining effect of remanufacturing practice, examining effect of recycling practice and
investigating effect of re use practice on competitiveness of tana plastic factory. This study was
guided by two fundamental theory (system based and resource based theory). To achieve the
aim of this study, explanatory and descriptive research design were adopted with quantitative
research approach. The target population of the study was formed by 68 employees from six
departments. And a total of 50 sample units were employed for study from the main
departments through census. The researcher employed primary data collected by
administering questionnaire. Accordingly, 48 (96 %.) of questionnaires were correctly filled,
returned and applied for analysis and SPSS version 23 was employed to analyse the gathered
data. In which, descriptive statistics of mean and standard deviation was used to establish
patterns and trends. Multiple regression model was established to predict the relationship
between the dependent and independent variables. The study found that reverse logistics
practices (re use, remanufacture and recycle) have a significant and positive impact on the
organizational competitiveness of TANA plastic factory. Which means, an effective reverse
logistics practice can give an organization the necessary competitive advantage to move
beyond competitors, and possibly have larger market share within their industry. All the three
variables were found to have statistically significant predicting power on the competitiveness
of firms. Thus, this study recommended that the management of tana plc and various plastic
manufacturing firms should improve on adoption of reverse logistics practice.