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Logistics

The role of reverse logistics in managing product returns in e-commerce

With the rise in e-commerce, there has been a sharp increase in returned items. Organisations have been bearing the cost of processing the returns to woo today's customers, who expect an easy and speedy returns process. The returns have a significant impact on the profitability of the sellers and the environment. A comprehensive reverse logistics strategy and process are needed to minimise the losses and maximise the value from returns. The reverse logistics process comprises processing, tracking, and transporting the return, storing it, and handling disposal options. AI, automation, big data, and IoT can enable organisations to reduce the costs associated with returns processing and optimise the process. An integrated, seamless reverse logistics function with an end-to-end owner enables accountability and transparency.

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