Reverse Logistics

Okay, so I have talked about supply chain and logistics but something that manages do not often like to think about as part of the supply chain process is reverse logistics also known as return processing. There a various goals to accomplish some of which include to minimize return costs, remanufacture and refurbish products and materials, management and sales of surplus and returned equipment, and keep customers and investors happy.

Because companies typically see returns logistics as a costs rather than revenue, management will typically want to outsource this service. It is important to use a warehouse service that specializes in reverse logistics and keeps technicians on staff that is certified to handle repairs and testing for your specific industry as well as maintain inventory for replacement parts. Hiring a company that specializes in soft goods will not do you any good if your product line is technically based.

Ultimately, the opportunity is there to reduce costs, reduce exchange time, increase customer satisfaction, and introduce new revenue streams.
Use an efficient service that has the capacity to handle customer exchanges or repairs quickly.

• The goal is to track the item from time of call to departure back to the customer. Many will do so using a real-time web bases system.
  
• Another option in dealing with surplus and refurbished goods is to introduce them to a secondary market, donate them to charity, or liquidate them.
  

Finding a warehouse service that can provide a service that can rework, repackage, and help increase your revenue is the appropriate partner for you.

Sources
Reverse Logistics Association
Inboundlogistics.com