Adding technology-based infrastructure to your returns program is a must to maximize asset recovery values.
Failure to have a mature returns system in place can create challenges that strain assets and cash. Without proper planning, it can create increased costs and processing time, limited visibility to potential recovery, and restrict your ability to recover asset value.
The Reverse Logistics Association once published that managing the "return and repair" process for some can account for 10% of total supply chain costs. It further goes on to say, if the supply chain gets hung up due to inefficient processes, it can compound and reduce profit by up to 30%.
Worse yet, UPS reports high-tech manufacturers without a well-developed reverse logistics process could be losing more than 50% of returned inventory value.