Exploring an adaptability approach: how creative return processors impact firm performance
The International Journal of Logistics Management
ISSN: 0957-4093
Article publication date: 4 March 2021
Issue publication date: 22 July 2021
Abstract
Purpose
The authors explore complex adaptive systems (CAS) theory as an updated theoretical perspective for managing product returns that better matches the chaotic nature of recent consumer behaviors. CAS theory highlights the importance of agents who create and self-organize to help systems adapt in unpredictable environments.
Design/methodology/approach
This research utilizes data collected from return managers in an online survey and applies regression analyses to estimate the influence of the focal variables.
Findings
Empirical evidence of the firm flexibility–firm adaptability link is established, and return processor creativity positively relates to this link. The firm flexibility–firm adaptability link fully mediates the relationship between return processor creativity and returns management performance and partially mediates the relationship between return processor creativity and relationship quality. Nonmediated effects were observed for turnover and revenue size.
Practical implications
Managers of returns who embrace an adaptability approach become facilitators of returns by supporting processor creativity. Enhancing the autonomy of processors in their day-to-day work increases the knowledge-creation capabilities of the firm, which helps the firm move forward and adapt in an uncertain environment.
Originality/value
This research presents empirical evidence of the underlying mechanisms of CAS theory in the product returns context by studying processor agents and argues that CAS theory better fits the current dynamics of the product returns environment. Further, this paper extends work by Espinosa et al. (2019) and Nilsson (2019) by studying how a specific human characteristic – creativity – impacts product returns management.
Keywords
Acknowledgements
The authors gratefully acknowledge and thank the anonymous reviewers and editor Gammelgaard for their helpful comments during the review process. The authors gratefully thank the University of South Florida's L. Rene Gaiennie Endowment for funding to collect the data necessary to complete this research.
Citation
Espinosa, J.A., Stock, J., Ortinau, D.J. and Monahan, L. (2021), "Exploring an adaptability approach: how creative return processors impact firm performance", The International Journal of Logistics Management, Vol. 32 No. 3, pp. 790-820. https://doi.org/10.1108/IJLM-10-2019-0293
Publisher
:Emerald Publishing Limited
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