REVERSE LOGISTICS

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by

Balaji.G Mba
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CONTENTS

WHAT IS LOGISTICS.? NOWWHAT IS REVERSE LOGISTICS? WHATS THE SCOPE? WHY INDUSTRIES FOLLOWING REVERSE LOGISTICS? PROCESS INVOLVED IN REVERSE LOGISTICS.. OPERATIONS INVOLVED FOR EFFICIENT REVERSE LOGISTICS
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WHAT IS LOGISTICS
As defined by The Council of Logistics Management LOGISTICS is: The process of planning, implementing, and controlling the efficient, cost effective flow of raw materials, work-in-process inventory, finished goods and related information from the point of origin to the point of consumption for the purpose of conforming to customer requirements.

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Reverse logistics:

Reverse LogisticsIs:

The process of planning, implementing, and controlling the efficient, cost effective flow of raw materials, in-process inventory, finished goods and related information from the point of consumption to the point of origin for the purpose of recapturing value or proper disposal.

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WHY REVERSE LOGISTICS TAKE PLACE..

Products that have failed, but can be repaired or reused. Products that are obsolete but still have value. Unsold products from retailers. Recalled products. Parts repaired in the field that still have value. Items that have secondary usage, i.e. items that have another usage after they have exhausted their original use. Waste that must be accounted for and disposed of or used for energy production. Containers that must be returned to their origin or some sort of consolidation facility.

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SCOPE..

Helping The Customer Warehouse Operations Refund, Restock, Refurbish, Refilling Recycling and waste disposal Product recall Remanufacturing

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Industry

Software Industry: eg. Hp, dell Retail Industry : Grocery retailers were the first to begin to focus serious attention on the problem of returns and to develop reverse logistics innovations. The large retailers are much more powerful than the manufacturers

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Process

PRODUCT LOCATION PRODUCT COLLECTION SYSTEM PRODUCT RECYCLING AND DISPOSAL CENTERS DOCUMENTATION SYSTEM COST IMPLICATION LEGAL ISSUSES

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Video

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Operations
Bar-coded RMA Labels
q

Timely, accurate Information is paramount to an efficient reverse logistics process. Barcoded RMA labels are key to getting product off the dock and processed quickly.

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Streamlined Receiving / Triage Process

The primary goals of the triage process are speed and accuracy. A robust information system is leveraged to capture information for multiple departments (sales, accounting, operations,) disposition product, and to set up downstream processing

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Automated Sortation
qThe information gathered during the triage process is used to sort product by disposition. qSecondary sorts may be used to separate product into logical groupings (I.e. putaway zone, vendor, ). In many cases it makes sense to automate this process.

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Integrated Repack Stations

Repack or rework workstations should be integrated into the reverse logistics process. It is important to minimize the pools of inventory that can accumulate in these operations.

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System Directed Restocking

The returns processing software should be tightly integrated with the Warehouse Management System to facilitate seamless transitioning of saleable product back into inventory.

Streamlined Retur n To Vendor Process

It is critical that product to be returned to the manufacturer is processed in a timely manner so appropriate credit may be received. If it is necessary to accumulate product prior to shipment, this process should be system directed and occupy space out of the way of on-going operations.

Intelligent Scrap Process

Product with no value or with value less than the cost to process should be identified and scrapped as early in the process as possible.
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Questions ?

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