Closed Loop Supply Chain

A Closed Loop Supply Chain (CLSC) is a system where products and materials are reused and recycled to minimize waste and enhance sustainability. In a CLSC, when consumers finish using a product, it is collected back by the manufacturer to be refurbished, recycled, or disposed of responsibly. This approach not only reduces the need for new resources but also lowers environmental impact. By creating a loop where materials cycle back into production, companies can foster a more efficient and eco-friendly economy. This contrasts with traditional supply chains, which often end with products being discarded.