What Your Returns are Telling You |
![]() |
![]() |
![]() |
Articles - General Reverse Logistics | |||
Written by Paul Rupnow | |||
Thursday, 08 April 2004 | |||
Andlor Logistics Systems associate Mike Mannella recently wrote a feature article for APICS magazine (The Educational Society for Resource Management) entitled “What your returns are telling you”.
The full article originally appeared in the July/August 2003 issue of
APICS magazine. Past issues can be obtained by APICS members by
visiting http://www.apics.org
Mike outlines the three principal approaches that companies undertake when attempting to reduce the serious impact that product returns have on an organization. This usually involves some combination of: 1. decreasing the processing cost per return, 2. improving asset recovery values and 3. simply reducing the overall number of returns themselves.
Of these three options, companies usually focus on reducing the numbers of returns.
...
written by Matthew McHale, Sat, Jul 31, 2004 Mike- To expound just a little, returns volumes and their related $ values speak to the performance (at the SKU, vendor, category and/or retailer department level)of the supply chain. Specifically, suppliers and their distributor (retailer) trading partners are attempting to appropriately satisfy a "demand plan" with a given supply strategy. If the returns of an item represent a point "off the data curve" (more than the standard deviation), the various issues/causes you touch on should be investigated. With so much focus on near real-time supply chain management, analysis of returns is significant throughout. Many industry channels struggle with reverse logistics issues BEFORE the product ever reaches a customer, and must implement solutions to do so. The outputs resulting from the capture of returns data should be part of the various metrics used to support enable performance internally and to the customer. Thanks for the article. I certainly enjoyed it. Please keep 'em comin'. Regards. Matt McHale Innovative Return Concepts LLC |
< Prev | Next > |
---|