A Business Framework for Product Take‐Back—A Structured Multiple‐Case Analysis

ABSTRACT The potential of take‐back systems remains largely unrealized as initiatives have proven difficult to implement in practice. The question is why we do not see more take‐back systems given the substantial environmental benefits. We try to understand the challenges and stumbling blocks in setting up take‐back from a business perspective. A literature review identifies several factors and elements that matter in building a take‐back system, including the choice of product, the development of internal capabilities, and an ecosystem for take‐back. These are applied to five case companies implementing take‐back systems to develop the theoretical frameworks of take‐back further. Two distinct take‐back systems are identified, differing in complexity: Material value retention and functional value retention. Functional value retention requires significant changes in internal capabilities and organizational setup, as well as the development of an ecosystem for collecting and handling discarded products. Companies will have to combine their existing linear production flow with a reverse flow of discarded products, which arrive with substantial variation in versions and physical conditions. The challenge of material value retention take‐back systems is building and aligning the ecosystem, as most processes occur outside the company's facilities. The company will act more as an orchestrator of the ecosystem and will likely also need to make an initial investment in building the infrastructure for the take‐back system.