Can Reverse Logistics Be Made Easier?
Monday September 22, 2008
A few weeks ago I attended a meeting at a potential client and was given a tour of the warehouse. I noticed several pallets containing a variety of items and broken boxes that had obviously been sitting there for some time. Considering that the rest of the warehouse was clean and tidy I asked our tour guide what was the issue with the pallets. Our guide looked over at the pallets and without skipping a beat replied "returns". We then carried on with the tour.
Later I asked about the "returns" and was told that the company had planned to implement a number of reverse logistics policies. However disagreement between the finance department and supply chain management on these policies had not been resolved and the issue of reverse logistics slipped down the company's list of priorities. The growing number of pallets were a constant reminder that something had to be done. I left our guide with a great article on reverse logistics best practices, that highlights after-sales service and the growing importance to satisfy customer demands. Hopefully the company's management can soon get on the same page and benefit from a successful reverse logistics policy.
Later I asked about the "returns" and was told that the company had planned to implement a number of reverse logistics policies. However disagreement between the finance department and supply chain management on these policies had not been resolved and the issue of reverse logistics slipped down the company's list of priorities. The growing number of pallets were a constant reminder that something had to be done. I left our guide with a great article on reverse logistics best practices, that highlights after-sales service and the growing importance to satisfy customer demands. Hopefully the company's management can soon get on the same page and benefit from a successful reverse logistics policy.


Comments
There are so many third party logistic solutions available on the market. Those boxes full of returns could have just a easily been figures in the sales column. There are solutions that handle the repair and refurbishment at a return center. The return could easily be placed back into a secondary channel design for product liquidation, including refurbished and opened merchandise.