Measuring returns management orientation

Abstract

Purpose The field of returns management has become an important supply chain management topic. The purpose of this paper is to develop a conceptualization of returns management orientation (RMO), a topic that has been largely ignored by the academic community. Design/methodology/approach A series of interviews with experts and a review of the literature were used to develop the construct. Empirical survey data were used to validate the proposed RMO measurement scale. Findings Statistical results support the validity and reliability of the new RMO construct. Different analyses show that the proposed conceptualization satisfies the criteria of the tests for unidimensionality, construct validity, internal consistency reliability, and nomological validity. Furthermore, the results of this study confirm the positive relationship between a firm’s RMO and returns management performance. Research limitations/implications The present study provides a starting-point for further empirical research on returns management from a behavioral perspective. Practical implications RMO has a significant impact on returns management performance. The proposed RMO measurement scale provides a useful tool for companies to evaluate their management’s emphasis or recognition of the returns management function. Originality/value While the field of returns management has gained increased attention from both academics and practitioners, empirical research efforts on this topic are still limited. In order to address this issue, this study takes a behavioral perspective and follows a well-established approach to operationalize the construct of RMO.