Optimize Supply Chains Using Reverse Logistics

Reverse Logistics is an eco-friendly approach enabling the re-use of products.

Reverse Logistics encompasses planning and implementation of a cost effective flow of inventory and relevant information from the point of consumption to the point of origin. Reverse Logistics has been a major concern for manufacturers and retailers due to the high costs of unsold and left out goods.

The main activities in Reverse Logistics include –

  • Processing returned or damaged merchandise as well as seasonal or excess inventory
  • An environment friendly approach of recycling packing material and containers
  • Reconditioning / Refurbishing / Re-manufacturing
  • Disposition of obsolete stuff

Trends in Reverse Logistics –

Reducing the Reverse Logistics Flow

Designing your supply chain that minimizes the reverse flow of goods, as reverse logistics is finally just a cost.

Designing for Reverse Logistics

Investing in a reverse logistics information system that is custom built for your business. The reverse logistics environment is very different from the forward channel that ready to use information systems do not generally handle.

Gatekeeping Technologies

Empower front line employees with technology as that is the beginning point for the reverse supply chain. A good Point of Sale (POS) solution that integrates with bar code and/or RFID, and one that handle reverse logistics is getting popular.

Standardization of Processes

Creating a standard and robust chain of events, just like that of forward supply chain, will make the big difference.

Computerized Return Tracking

Design for computerized return tracking through the use of Electronic Data Interchange (EDI).

Reverse Logistics is fast becoming an integrated function of a supply chain due to is eco friendly approach, the value that can be extracted from damaged and un-used goods, customer satisfaction and brand positioning.

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