Why do we need a reverse logistics solution?

Reduced costs.
By planning for returns and making the return order right, you can reduce related costs (administration, shipping, transportation, tech support, QA, etc.)

Customer retention.
Dealing with errors is just as important as making sales. If a customer had a bad experience with your product, you must make it right. Fulfilment blunders can create educational opportunities. Learn how to keep your customers happy and engaged with your company – even after you’ve made a mistake.

Faster service.
This refers to the original shipping of goods and the return / reimbursement of goods. Quickly refunding or replacing goods can help restore a customer’s faith in a brand.

Reduced losses and unplanned profits.
Recover the loss of investment in your failed product by fixing and restocking the unit, scrapping it for parts, or repurposing it in a secondary market. With a good reverse logistics program in place, you don’t have to leave money on the table. Take a product that would otherwise just cost your company money and turn it into an unforeseen asset.

How can our reverse logistics process be improved?

Prevention.
Minimize returns by using Lean tools and ensuring the quality of the product.

Financial incentives.
Avoid processes that cause RMA delays.

Core competencies.
Consider outsourcing your reverse logistics to a 3PL that can manage it efficiently.

Suppliers.
Review the returns handling terms you have established with vendors.

Cycle times.
Evaluate the entire returns process and identify potential sources of waste.

Technology.
Invest in the right tools to help you control and measure the reverse logistics process.

Why can’t my distributor also handle reverse logistics?

Can certainly do the transportation

Although not geared for:

  • Holding returns in an assortment area of their warehouse
  • Sorting returns into different processing bays
  • Re-selling returns into liquidation channels
  • Managing the re-work of returns to capture asset value
  • Destruction of returns where necessary

What is the cost benefit of outsourced reverse logistics?

  • Reverse Logistics Companies Can Lower Supply Costs
  • Outsourced Reverse Logistics Improve Reputations
  • You Can Focus on Manufacturing and Selling, Not Repairing
  • Inventory Management Is Simplified
  • It Improves Flexibility
  • Take Advantage of Profits after the Product’s Lifecycle