February 2018

February 2018

February 2018

Introduction & Methodology

2

Objectives• This research was conducted by Peerless Research Group on behalf of Supply Chain Management

Review (SCMR) magazine and two leading professional associations for supply chain and operations management professionals, Reverse Logistics Association (RLA) and Warehousing Education and Research Council (WERC).

• The study was conducted to better understand how organizations are handling their reverse logistics operations and the challenges top managers face in managing reverse logistics procedures.

Methodology• Sample: Subscribers to Supply Chain Management Review and members of RLS and WERC.• Method: All sample members were sent an e-mail asking for their participation in this study. The e-mail

invitation included a URL linked to the questionnaire.• Incentive: Opportunity to enter a raffle for a $200 American Express e-card.

Field and ResponseField: January, 2018Response: Results are based on 272 qualified respondentsMargin of error: At a 95% confidence level, results are projectable at a margin of error of is +/- 6.1%

February 2018

PROFILE OF RESPONDENTS

3

February 2018

Which of the following best describes your job title or function?

11%

14%

19%

8%

7%

7%

9%

2%

23%

Corporate/Divisional Director

VP/General Manager

Logistics/Distribution Director/Manager

Warehouse/DC Director/Manager

Supply Chain Director/Manager

Operations Director/Manager

Reverse Logistics/Returns Director/Manager

Purchasing Director/Manager

Other

4

A wide range of titles & functions are represented. Here is a sampling:EngineerInventory Control ManagerLogistics SupervisorOwnerProduct EngineerPurchasing and Logistics ManagerSalesShipping Supervisor

February 2018

Which best describes your business?

34%

7%

6%

12%

5%

12%

11%

13%

Manufacturer

Retailer

E-tailer/E-commerce

Wholesaler

Consulting

3PL

Transportation/Warehousingservices

Other

B2B 34%

B2C 11%

Both 55%

5

What is the nature of your business?

February 2018

What do you estimate your company's sales or revenues were in 2017?

Less than $50M 37%

$50M - $99.9M 11%

$100M - $249.9M 8%

$250M - $499.9M 9%

$500M - $999.9M 8%

$1B- $2.49B 10%

$2.5B billion or more 17%

6

Average revenues $862.7M

Median revenues $137.5M

February 2018

JOB TITLES/FUNCTIONS INVOLVED IN

REVERSE LOGISTICS OPERATIONS

7

February 2018

How would you best describe your organization’s reverse logistics operations?

Have a reverse logistics

department/division which is

solely dedicated to

reverse logistics

17%

Is handled across various

departments 56%

Is organized under a

single group or

department 16%

Other 11%

8

55%

48%

42%

32%

32%

31%

30%

24%

16%

14%

10%

7%

5%

LogisticsOperations

Supply ChainInventory Management

Customer serviceDistribution

SalesFulfillment

ManufacturingFinance

Field or other serviceProduct Marketing

Other

Which department(s) handle your reverse logistics operations?

Logistics 31%Distribution 16%Supply Chain 14%Operations 12%Inventory Management 9%Sales 7%Fulfillment 7%Manufacturing 2%Finance 2%

February 2018 9

44%

18%

16%

13%

9%

Director/Manager [Specifydepartment]

Vice President [Specifydepartment]

President/CEO/Owner

Supervisor [Specifydepartment

Other

Who would you say is the highest ranking TITLE OR FUNCTION in your organization responsible for

reverse logistics functions/operations?In which department is this person?

Supply ChainOperationsLogisticsSales

LogisticsInventory ManagementShippingReturns Department

LogisticsFulfillment OperationsOperationsPurchasingSupply ChainWarehousingDistribution ManagerCustomer ServiceReturns & WarrantyAsset Management

February 2018

To whom does this person report?

10

% of resp.VP/Director/Manager of Operations 15%CEO 13%President 13%VP/Director/Manager of Supply Chain 9%Vice President 5%COO 4%Owner 4%Warehouse manager 3%General Manager 3%Board of Directors 2%CFO 2%VP/Director/Manager Logistics 2%Customer service Manager 2%DC Operations Manager 2%Distribution Director 2%Other Managers 5%Other 5%

Purchasing Manager 3 mentions eachSales DirectorDirector of SalesExecutive Vice PresidentManagerVP Transportation

VP of Distribution 2 mentions eachRegional VPShipping ManagerPlant Manager

February 2018

Who else is involved in your organization’s reverse logistics operations? What other titles/functions are involved?

11

# of mentionsManager/Supervisors (miscellaneous) 31VP/Director/Manager Operations 23VP/Director/Manager Warehouse 23VP/Director/Manager Logistics 18VP/Director/Manager Customer Service 17Sales 16Account Manager 15Transportation Manager/ Supervisor 13Reverse Logistics Manager/Supervisor 11Shipping & Receiving 11Inventory Control 10Quality Assurance 10VP/Director/Manager Procurement 9Returns Manager 7VP/Director/Manager Supply Chain 7Distribution Manager 63PLs 6Vice President 5Business Analysts 4Buyers/Purchasing 4Clerks 4Other C-level 4Refurbish/Repair 4Technical support 4Senior Directors 4

# of mentionsBusiness Development 3Credit 3Drivers 3Field Service Rep 3Finance and Accounting Manager 3IT 3Materials manager 3Program manager 3VP of Finance 3CFO 2Comptroller 2Coordinator 2CSO 2CSR 2Dispatch 2Driver Managers 2Ecommerce 2Engineers 2Fulfillment 2Global Trade and compliance Manager 2Manager 2Manufacturing 2Manager Customer Excellence 2Service Manager 2Reclamation Coordinator 2Trade Compliance Manager 2Miscellaneous 29

February 2018

Does your company have someone on a corporate/C-level who is responsible for reverse logistics?

Yes 32%

No 68%

12

February 2018

ORGANIZATION’S REVERSE LOGISTICS OPERATIONS

13

February 2018

How important is reverse logistics to your organization?

Extremely important

26%

Very important

34%

Somewhat important

28%

Not very/Not at

all important

12%

63%

40%

36%

33%

32%

27%

20%

15%

Improved customerservice/satisfaction

Less waste

Tangible cost savings

We’ve improved inventory tracking

We’ve improved product quality/design

We’ve improved packaging

A reduction in labor/man-hours

Other

14

What benefits is your organization realizing as a result of your reverse logistics processes?

February 2018

What are the common reasons for returns?

59%

42%

29%

35%

Defectives Buyers' remose/Buyers didn’t want/need it

Product wasn’t what I expected/Product was

misrepresented

Other

15

% of returned merchandise that is defective: 16.3%

Core and dunnage returnsDamaged in transitEnd of service contractIncorrect product shippedIncorrectly orderedObsolescenceOverbuysReturn for recyclingUnused goodsWrong AddressWrong pick

February 2018

How do you learn about returns?

39% 38%

32%36%

Returns just show up We receive scheduledreports

Tracking POSinformation at our

returns center

Other

A wide range of titles & functions are represented. Here is a sampling:Auto RMA generatedCall centerConsumer portalContact for returnsCustomer direct contactCustomer ServiceEmail from sales repERP systemReturn AuthorizationUtilize a 3rd Party Processing CenterWe schedule pick-ups on behalf of our clients customers

16

February 2018

What challenges or frustrations do you experience with returned items?

52%

40%

38%

36%

33%

19%

Damaged goods

No reason given for return

Missing parts

Incorrect/Inaccuratemanifests

Our reverse logisticsprocesses needimprovement

Other

17

Bad product / miss picksContamination or packagingCostCustomers claiming mistakes in orderingCustomers don 't use supplied shipping labelCustoms and taxes globallyDelays in return due to 3rd partyFraudInternational shippingInvalid returns (out of warranty or product not defective)Manual processing and inspectionNew ideasNon-client product returnedOrdered then returned missing partsOut box returnsOutdated database/programPackaging damagedProcess management/many moving partsProduct that is not ours but shipped to usQualityRetailer processes are not conducive to receiving goods in condition they can be re-

dispositionedReturns to wrong warehouseRoot cause analysisSanitation issues reflect operation of the storeSplit shipments, inadequate packagingTHE CUSTOMER IS ALWAYS RIGHTTurnaround time and no RMAsWarehouse space used at little or no storage payWaste associated with over ordering and then returning; too lenient policies

February 2018

How does your company primarily accept returned items?

44%

9%

9%

5%

15%

18%

Back to ourfulfillment/returns center

Back to a retailer/distributor

A 3rd party that managesreturns

At a storefront

We’re a 3rd party who handles reverse logistics

tasks

Other

Yes 25%

No 75%

18

Will this process be changing over the next two years?

Back to manufacturerBack to our returns centersBack to our DC/warehouse

February 2018

How will this process change?

19

Accepting more returns at our storesAdd more 3rd partiesAs our sales keep going up, our returns do too. Enhancements are needed.B2C business will increase dramaticallyBetter Return Authorization Management systemCustomers want this process in the front of stores instead of just warehousesDigitized, StreamlinedElectronic informationFormalized process and automation to make easy for the fieldHope to improve management and controlIncreased visibility from return recreation to arrival at reverse facility dockInternal process improvementLeveraging repair partner(s) with more sophisticated reporting and triageMore In-Store returns expected as new locations openMore uses to transpose condition monitoring dataMoving from stand alone site to consolidated multi-function facilityNo idea, but need helpOperational improvements, use of voice/RFsPotentially look to receive returns at stores to be re-sold at stores instead of being shipped back to the Distribution Centers.Redesign in the entire processReturns will be sent back to one of 3 of our facilitiesThrough better processes and software available to handle.To be efficient and lower logistic cost reverse logistics is an important part of the whole processWe are growing the reverse logistics side of our business.We will be adding returnable crates for our product.We will have a new 3PL returns partner.Wider distribution pointsWill outsource when volume exceeds the ability to do internally without more staff

Among those whose process be changing over the next two years

February 2018

How do you handle refurbished and returned items that are in re-sellable condition?

56% 56%

21%18%

9%

38%

Liquidation sales Goes back on the shelf Sell to a discount retailchain (such as Job Lot,Big Lots, BLINQ, etc.)

Auction off We have a dedicatedwebsite/page on our

website for these items

Other

20

Charitable donationsClearance/Outlet storesDestroyEmployee sale / giveawayRefurbished and discounted

February 2018

Do you collect, track or gauge any information regarding returned items?

Yes 71%

No 11%

Sometimes 15%

Unsure 3%

24%

40%

36%

Yes

No

Not sure

21

Are you able to determine how much your reverse logistics operation is

saving your company?

These companies claim their reverse logistics operation is yielding , on average, revenue savings of 16.5% annually.

February 2018

What information are you collecting?

81%

79%

60%

60%

44%

35%

14%

Who is returning theitem

Modelnumber/Information

If the returner is a repeatreturner

Date sold

Where the item waspurchased

How the item waspurchased

Other

92%

81%

64%

57%

27%

Who is returning the item

Model number/Information

Date sold

Serial number

Other

22

Among Retailers, e-tailers, wholesalers, etc. . . . Among Manufacturers . . .

February 2018

How has the reverse logistics operation in your supply chain changed over the

last two years?

They’ve improved

56%

No change 41%

They’ve deteriorated

3%

53%

44%

38%

23%

19%

There was a need toimprove/upgrade reverse

logistics process efficiencies

Customers are becoming moredemanding

Volume of returns

Volume of sales

Other

23

What prompted changes to your reverse logistics processes?

February 2018

What would you like to improve with your reverse logistics operations?

24

• An understanding of who's returning items• Automate the internal order process. • Back to inventory process• Communication among departments handling RMAs• Cycle time and cost to process RMA's• Decreasing amount of returns. streamlining return to stock process.• Internal notification process• Lower the percent of returns• Notification of returns.• Process efficiency/Process returns faster• Response time. Waste• Restocking fees for overbuys.• Reuse and recycle • Skills of the RL team.• Streamline customer return process; improve fraud identification procedures• Streamline the receiving process and internal system rules• Supply chain connectivity• Tracking and communication across all departments involved• Understanding the reason for returns• Visibility from start to receipt or shipment of return• Visibility of what is inbound• Visibility with a greater level of accuracy (# of items, better package integrity, appropriate tagging, etc.)

See Appendix for complete listing of verbatim comments

February 2018

How will the reverse logistics processes in your supply chain change over the nexttwo years?

They will improve

57%

No change 40%They may

deteriorate 3%

25

Increased scale and scope of returns

Less manpower , less detail

Systems changes

The volume will increase

Volume

Ability to track and address root causeAmount of labor neededBetter "Return Authorization" ManagementBetter efficiency and trackingBetter forecastingBetter use of technologyBetter visibility and alerts from origin to

destinationImproved communicationCustomer serviceEarly warning of returnsEasier path to returning goods.Fewer losesLess mistakesMore efficient, more use of data, more

automationSpeed of processing, both to the customer and to the vendorVisibility and agilityWorking with our customers to

understand why the product is being returned

See Appendix for full list of verbatim comments on how reverse logistics processes will improve

February 2018

Which best describes your outsourcing or any plans to outsource reverse logistics

operations?

We now outsource

13%

We don’t outsource

now, but will be

outsourcing 4%

We outsource some tasks and keep others in-

house 13%

We outsource but will be

pulling these tasks back in

house 2%We don’t,

and don’t plan to

68%

60%

60%

38%

33%

25%

10%

It’s not our core competency and others could handle better

It is more cost effective tooutsource

Can be moreresponsive/quicker to respond

to customers on returns

We don’t have the resources/Manpower

We don’t have the space to handle at our facility

Other

26

Why are you outsourcing or planning to outsource your reverse logistics task?

February 2018

Why are you/will you be handling your reverse logistics tasks in-house?

54%51%

47%45%

11%

Allows us to keep bettercontrol over returns

We can be moreresponsive/quicker torespond to customers

on returns

We have the resourcesto handle in-house

Cost/ Cheaper to handleinternally

Other

27

February 2018

THE IMPACT OF E-COMMERCE AND IOT

ON ORGANIZATION’SREVERSE LOGISTICS OPERATIONS

28

February 2018

To a great extent 16%

To some extent 22%

Not very much 26%

Not at all 36%

29

To what extent is e-commerce changing your reverse logistics process?

How is e-commerce impacting your reverse logistics process?

75%

39%

11%

The number ofreturns hasincreased

It’s affected our ability to manage

our reverse logistics operations

Other

February 2018 30

26%

22%

22%

16%

11%

3%

Increase warehouse space

Added part-time labor

We’ve set up a separate department to handle e-

commerce specific returns

Added full-time labor

We are now outsourcing

Other

What changes are you planning as a result of the effects e-commerce is placing on your

reverse logistics operation?Is e-commerce causing a higher return

rate?

Yes 32%

No 32%

We do not yet have an

e-commerce operation

22%

Unsure 14%

February 2018

To what extent will e-commerce impact your overall business operation in the next 2 years?

They will improve 57%

No change 40%

They may deteriorate 3%

31

February 2018

How well-prepared is your reverse logistics platform to handle a growing e-commerce business?

Very prepared 28%

Somewhat prepared 53%

Not very/Not at all prepared

19%

32

February 2018

To what extent is the Internet of Things (IoT) driving return rates?

To a great extent

7%

To some extent 13%

Not very much/Not at

all 70%

Just implementing

IoT/Do not have an IoT strategy in

place 10%

33

Why do you say this?

Analytics and knowledge about sale

Changing technology drives customer selection and sophistication.

External sales to increase via IoT and need the reverse logistics process in place to handle

IoT gives more transparency

Key to improvements and scalability

More options are available to customers. Customers mindset is ship now and return just a quickly if the wrong decision is made in initial order placement.

Using IoT data to help predict failure events and resolve proactively reducing the need for returns

We are able to give a much better returns experience utilizing the internet for returns and return tracking. Increase customer visibility into status of a return.

We are seeing reduced rate through e-commerce channels.

February 2018

IoT will increase our return rates

12%IoT will not affect our

return rates 8%

IoT will not have much/any impact

19%No plans for IoT at the

present time 30%

Don’t know 31%

34

How do you expect IoT to impact your return rates in the upcoming years?

February 2018

Summary: What is your level of agreement with each of the statement?

75%

35%27%

3%

19%

41%

34%

20%

6%

24%

39%

77%

Reverse logistics is a keycomponent to a

streamlined supply chain

Our reverse logisticsprocess needs to be re-

engineered

Our process for handlingreverse logistics lacks focus

Reverse logistics is a wasteof time

Disagree

Neitheragree nordisagree

Agree

35

February 2018

APPENDIX

36

VERBATIM COMMENTS:

Q. What, in particular, will improve with your reverse logistics processes over the next two years?

Q. What would you like to improve with your reverse logistics operations?

February 2018

What, in particular, will improve with your reverse logistics processes over the next two years?

37

Ability to handle higher volumes due to increased salesAbility to track and address root causeAbility to track cause and action - Retailers are making policy changes that will affect - New ways of working HAVE to come into play at Retailers, OEMs and

marketers to reduce consumer's need or addiction for easy returns. - Easy Returns Was and still IS still a key selling feature of for many "successful" retailers. However, the "tail" now vigorously wags "the dog". This current situation is not sustainable long term without major change. Things must change in the marketing mix to compensate for lost profits (retail shelf and wholesale cost prices, availability - where it is sold, how it is delivered, who pays freight, who manages the end customers expectations like call center - store - returns centers)

Addition of returnable crates for our product.Amount of manpower neededApplying a handling charge should change behavior. Customers will be more inclined to check their order before submission. Approval and paymentsAttitude of the team. At least that is the case within my department. Attitude plays a key role in urgency and attention to detail which equals fewer errors and

reduces lead time and turnaround time in getting our products back out to the field. AwarenessBecome more efficientBetter "Return Authorization" ManagementBetter asset trackingBetter coordination and managementBetter efficiency and trackingBetter forecastsbetter info system, better data analysisBetter notification of material in transitBetter notification to original customer (3PL)Better tracking of units being returned. Better use of technologybetter visibilityBetter visibility and alerts from origin to destinationBetter visibility into the status of a returnBrand new, standardized way of working as we evolve our ERPCommunicationCommunication with customer, vendors, etc.

February 2018

What, in particular, will improve with your reverse logistics processes over the next two years?

38

Consolidation activitiesCoordination between us and customer so product can be returned when a delivery is made thereby using the same truck.Customer handlingCustomer ServiceCustomer support & reduction in returns Decision treeDeveloping more, cleaner dataDifferent way to processDo not know, we have to get betterEarly Warning of ReturnsEasier path to returning goods.Easy of returns. Working with management to improve our return policy, hence improve our processesEfficiency of process.Entire methodology and non-existent processFaster Piece countFaster processingFocusForm one process company wide; further review data on returns to make better decisions on buying and/or looking at discontinuing an item if it is not performing like it shouldGreater collaboration with Buyers to ensure specs are called out prior placing the order(s)Hopefully automated. part identification systemhow we manage -change in processImplementing an inventory model to improve product availability (right time, right place, right amount)improve service executionImproved IT support to the processImprovement in systems & network simplification

February 2018

What, in particular, will improve with your reverse logistics processes over the next two years?

39

Increase in quantityIncrease recovery of B2B returns from 130+ stores of sister companyIncreased efficiency and trackingInitiation and controlInventory tracking, Product routingJust started with the 3PL, so I expect improvement in the overall process.Less losesLess mistakesLess returns being held in stores, so there will be more room for new units Making sure we have the correct delivery address and following up with client when an order is returned to us. More automation and better staffingMore efficienciesMore efficient orders directly from salesforceMore efficient, more use of data, more automationMORE SPACE BETTER PROCESSES.....MANGING OTHER COMPANYS REVERSE LOGISTICSmore streamlined more training and steady staffingMore transparency, next customer will know that product has defectsMove to mobile solutionMy visibility Negotiate allowances with some accounts in lieu of returnsNew 3PL partner.New ERPnew improvements & space for the returns areaNew system introduction Offer more services to the customer and increase the equipment sparing programOrdering methodsOur customers are evaluating and strategizing on moving toward the dark factory (robotics).Our reimaging process will improve.

February 2018

What, in particular, will improve with your reverse logistics processes over the next two years?

40

Process flowProcess will be more efficientProcesses will be upgradedRecycling Reduction of warehouse as a whole for all customers as their goals are to eliminate labor but maximize returns Restoring returned product back to new statusSales order info and item packagingShowing the clients value in good customer relationships, value mining on the returned items, and methods for improving customer relations

and retentionSpecialization with more focus on providing service to specific industry verticalsSpeedSpeed and better product sizing Speed of credit and overall process back to stockSpeed of processing, both to the customer and to the vendorSystem integration and reportingSystemic improvementsTechnology The return process and accountabilityThe team is growing so more people focused on it and new perspectives ideas will be brought forward. Through operational efficienciesTime on shelfTraceability and performance Tracking capabilities, both in physical movement and cost of returns.Use of partners to handle repairs and better overall metricsVerify all shipped orders.Visibility and AgilityVisibility of inventory and less write offs due to returns sitting for long periods of time.

February 2018

What, in particular, will improve with your reverse logistics processes over the next two years?

41

Volume increase for sure

We are continuing to build our company so more changes are sure to come from expanding

We are going benchmark it and look for areas of improvement

We are looking at the way we handle the returns and storage of the returns.

We are moving to a new ERP that will give us better visibility.

Working on programs with small parcel carriers to increase visibility and ease of processing

Working with our customers providing more information on why the product is being returned

February 2018

What would you like to improve with your reverse logistics operations?

42

A better accountability of people who are returning, what they are returning and when. A complete overhaul and new process design with dedicated resources involved.Ability to scan to pallet to develop more accurate manifestsAdd handling charges for returnsAdvanced notificationAnything that will be a cost savings. We are continuing to look.Assigning a point person to handle returns at each of our branches.

At this point, nothing on the manufacturing side. The products we make have a long life cycle and few come back. In fact the majority of those will come back in-house before they ever ship to the customer. We have a specific team that facilitates our returns directly from the field. The process itself is solid and a good one. The one improve is the same for most organizations of any size and it is this: Common sense must prevail and as managers and leaders our best asset is and will always be our team members. As such, those that work in the various areas are often subject matter experts in those area we fail to get input from when we come up with our grand schemes. A gigantic error on leaderships part. Most process improvements in any phase of the organization have the best consultants already working for them yet, they pay big bucks to firms to ask questions the organization itself should be asking its team members to make better well informed decisions. There is a serious lack of trust from leader to employee and vice versa. Most team members care about what they do and want to do better and have a purpose in what they do. Leaders need to understand that and help make all the work areas purposeful.Encouragement and Empowerment are two big E's that help make this a reality as both instill trust and belief in the ability(s) of our team members. Tap into that and many plans in Reverse Logistics or any other form of operations will improve almost immediately because work is not just work but a purpose which is what many are looking for regardless of what stage of their careers they are in.

Automatic visual part identificationBack to inventory processBe able to glean even more, cleaner dataBetter communications with all involved staff and product distributors.Better identification of items: example customer may order an assembly, salvage what parts they actually need, return the assembly for full

credit. We have to take extra time processing the assembly to bill back to customer parts taken from the assembly. Better in transit visibilitybetter information of pending returns before arrival Better internal notification processes.

February 2018

What would you like to improve with your reverse logistics operations?

43

Better product flowBetter supply chain connectivityBetter systems integrationBetter trackingBetter tracking and communication across all departments involved.better tracking information better understanding for why some of our shipments need them are rejected.Better visibility from start to receipt or shipment of return.Better visibility into the customers install base to assist with warranty validation and minimize receipt discrepanciesBetter visibility of what is inboundBill of ladings ClutterCommunicationCommunication among departments handling RMAsComplete all inclusive system to trackConsistency of product flowCreate it in the first placeCustomer service & TrackingCycle timecycle time and cost to process RMA'sdamage claimsData managementDecreasing amount of returns. streamlining return to stock process.determine if we could benefit the same way if we did not return much of anythingDocument and follow a standard processEfficiencyEliminate unknown returnsEnhanced return process through software interactionEstablish a policy publish document enforce

February 2018

What would you like to improve with your reverse logistics operations?

44

Establish lanes to eliminate the bidding process on high frequency lanesExpanding and simplifying the manner in which we move the returned product out the door.Expense management and customer satisfaction in terms of judging our process in making it easy for a customer.Feedback loop from accounting to give the fulfillment return operations better metrics by vendorFind a way to eliminate need for it.FocusForecasting of arrival; better quality of returns shipmentsGet a better understanding from customer the reason for returnGreater information and communications from start to finish Having correct addresses to deliver product ordered. I would like the returns to have accurate diagnostics as to what failed internally to part.Improve forecast to reduce returnsImprove information timelinessImprove policies to limit returns Better process to reuse product prior to expirations Show customers that we can manage inventory

better by partnering in inventory management and ordering practices Improve processImprove Skills of the RL team. -Automate the internal order process -Streamline the receiving process and internal system rulesimprove visibility, rmo process, international shippingImproved notification of returns. Restocking fees for overbuys.Improved sales/returns policyInventory accuracyInventory or aging items trackingInventory tracking and tracing of main components is easier but accessories to support main component are a challenge It would be great to put a dollar figure to the amountItem tracking from inventory to final disposition

February 2018

What would you like to improve with your reverse logistics operations?

45

Less losesless returnslower the percent of returnsMake better use of returns data. Reduce cost.Manual Process. Automate processes within return to stock.MarginMeasurement of costs versus revenueMetricsManufacturing support Minimize themMore automated tracking and less returnsmore efficient communicationsMore friendly for customer More efficient process to flow back into inventoryMore infoNeeds to be marketed more - Needs to be incorporated into the product lifecycleOne process company wideOur process worksOur receiving piece is solid, our requesting RMAs is lacking easy of use and information to the customer. Overall visibility of what is coming back. Proportion that is coming back damaged due to customer use. Pallet movements Potentially hand off to a 4PLPre-notification of returns Established standards for disposition of goods returned Automated receiving process.Prevention PricingPROCESSProcess efficiencyProcess the returns fasterProper sized staffing; ability to flex resources in/out as needed; better forecasting as to what is coming back and when and from which customers;

more automated returns processQuicker Piece count on Returns

February 2018

What would you like to improve with your reverse logistics operations?

46

Reasons for returnRecords management and overall processreduce the returns %Reduce touchesReduction of items handled. Improved tracking of returned productResponse time. Wasterestocking fee would cut these downReturn process improvement, improve visibility and controlReuse and recycle Reuse of wasteRevamp the entire process with a viable call center for warranty returns, automated process utilizing ARS labels for the field and

easier processing at the warehouseSensorization of itemsservice execution simpler returns processingSimplified process to get RMAs in advance of returns received at facilitysimplify the process while still meeting ever-changing customs requirementsSimplify, destroy product returned to wrong warehouse, (personally, I would like to just destroy all returns)Smoother reporting processesSpeedSpeedstreamline customer return process; improve fraud identification proceduresstreamlined datasystem communicationSystem integrationsThe entire process is not fully integrated and relies on a lot of manual processes. The overall cost of this process is not well tracked

or reported on.

February 2018

What would you like to improve with your reverse logistics operations?

47

The handling once received at returns center and turn around to restockTHE WAY PRODUCT SHOWS UP/ GOOD PRODUCT NEEDS TO BE PUT BACK INTO INVENTORY CORRECTLYthe whole process is not uniform and is outdated. This is a very small part of our operation.Tighter control of distribution & traceabilityTime handling returnTo receive returned products back in our warehouse in a controlled and affordable manner from the Retailer To get regular and

usable "Reasons for Return" from Retailer so we can action improvements To better connect with customer's OOBE, so Remorse and Second look at quality/design affecting consumer returns decisions are reduced by 50% or more at root

too much time to return goods to stock shelvesTraceability and true factors for returns Track reasons for return and try to reduce TrackingTracking of received returns, end of life solutionsUniformity in process, as a 3pl servicing both B2B Industrial and B2C Retail we are currently required to follow multiple processes at

the behest of individual customers.Updated database/programusing internet platform and dataVisibilityVisibilityVisibilityVisibility and agilityvisibility and better information from all wholesale accountsVisibility and ReportingVisibility on incoming returns.Visibility with a greater level of accuracy (# of items, better package integrity, appropriate tagging, etc..)Ways to reduce costsWe are an online seller of mobile phones and dealing with iPhone returns with the Find My iPhone feature active is a pain point.We have very few issues, so not much can be improved.

February 2018

What would you like to improve with your reverse logistics operations?

48

We have very few returns in our industry - no special departments / personnel required

We would like to start an operation focused solely on returns and reverse logistics.

work in a larger area, at this time we are 5 states at this time