{"id":23581,"date":"2020-10-01T13:54:35","date_gmt":"2020-10-01T13:54:35","guid":{"rendered":"https:\/\/msi-automate.com\/?p=23581"},"modified":"2021-09-14T19:55:14","modified_gmt":"2021-09-14T19:55:14","slug":"is-your-returns-process-a-ticking-time-bomb","status":"publish","type":"post","link":"https:\/\/msi-automate.com\/is-your-returns-process-a-ticking-time-bomb\/","title":{"rendered":"Is Your Returns Process a Ticking Time Bomb?"},"content":{"rendered":"\n

With the explosion in ecommerce demand brought to us largely by the pandemic, there has been\u00a0 an equally impressive mushrooming in returns processing<\/strong><\/a> demand.<\/p>\n\n\n\n

And given that for some businesses, the cost of returns can amount to 30% of online sales and, depending upon their processing approach\/capabilities, can account for as much as 65% of the cost of goods sold, many companies may be feeling a bit shell-shocked by now.* <\/p>\n\n\n\n

What’s more, with peak season just around the corner, many of those businesses may be wondering if this will be the year their returns process blows up completely.<\/p>\n\n\n\n

The \u201cticking time bomb\u201d of returns processing as Tom Enright, Vice President in Gartner Supply Chain Research for the retail industry famously put it, is a make or break discipline that can\u2019t be ignored if retailers are to succeed in ecommerce.<\/p>\n\n\n\n

As Enright put it, unless retailers \u201cinvest in their ability to manage returns, the volume of returns coming back will cause problems in their overall supply chain.\u201d<\/p>\n\n\n\n

For some businesses the answer is to outsource the returns process, but for companies that want to integrated their reverse logistics process into their overall supply chain processes there are many innovative and creative options that businesses can use to enhance their competitive edge. <\/p>\n\n\n\n

Here are three critical steps you can take to ensure your returns process is working for you instead of against you.<\/p>\n\n\n\n

Step 1: Multi-Task Your Automated Fulfillment Equipment Systems<\/h4>\n\n\n\n

Automated fulfillment providers often view the returns processing challenge as one that should be separated from the order fulfillment process.  As a result, they will propose their clients build a second material handling system to tackle their reverse logistics requirements.<\/p>\n\n\n\n

But don\u2019t be fooled, that is simply not necessary.<\/p>\n\n\n\n

With the right software and integration expertise, even the most sophisticated order fulfillment system can be designed to process reverse logistics on the same equipment on which outgoing orders are processed.  <\/p>\n\n\n\n

By multi-tasking equipment with multiple processes, companies can:<\/p>\n\n\n\n