CHALLENGES NEED TO BE FACED IN REVERSE LOGISTICS

1. CHALLENGES IN REVERSE
LOGISTICS
Presented By
T. S. Sharath
Logistics executive- Ensure support
services
Ensure support services

2. Logistics process flow
WARE HOUSE DISTRIBUTOR LOCATION/SERVICE CENTRE
Ensure support services
DEFECTIVE COLLECTOR
CUSTOMER
PRE-
SCREENING
REPAIR CENTER
SUPPLIER
DISPOSAL
F.L F.
L
F.L
R.L
R.L
R.LR.
L
IR UNITS/SCRAP
REFURBISHED
PARTS
F.L:-FORWARD LOGISTICS
R.L:-REVERSE LOGISTICS

3. Reverse logistics
Reverse logistics stands for all activities
related to the reuse of products and
materials which are collected as
defectives from customer place after
replacing the good part. It may also
referred as moment of products from
consumer to the manufacturer or point of
origin.
Since the future support is based on
defectives it should be treated equivalent
to good parts. Ensure support services

4. Reverse logistics plays a vital role in
the entire supply chain network.
Once the defective gets collected from
the customer place the same need to
be refurbished on urgent basis to
support future demands.
Ensure support services

5. Challenges to be faced in
reverse logistics
Since reverse logistics involves many
to one distribution point there are
more challenges need to be faced.
forecasting more difficult compared to
forward logistics.
Tracking the defectives is more
complex.
Transit losses/damages need to look
after in a serious manner.
CID(customer induced damage)Ensure support services

6. which do not match to the expectation
of the defectives standard from OEM.
Which in turn creates a huge loss to
the logistics provider.
Poor screening and repairing process.
Efficient time management.
Warehousing – allocation of resources
for quick accessing.
Ensure support services

7. How to overcome the challenges
Reverse logistics framework should be
designed in such a good manner for
better process.
Since the origin of the defectives are
many frequent tracking and follow ups
should be done.
TAT should be calculated at all the
sectors right from the customer returns
to the refurbishment of the defectives.
From which the delay in the process can
be diagnosed easily.
Ensure support services

8. Everything should be systemized.
manual data maintaining may lead to
some errors in tracking and stocking
the goods.
System should be framed in a manner
which provides clear tracking of the
goods right from providing delivery
report to the sender and the receiver.
Ensure support services

9. One of the major challenge in handling
fragile items are the transit damages.
Which results in huge loss to the
logistics provider. To overcome the
above packing standards should be
improved and the transporters need to
be taught how to handle fragile goods.
Ensure support services

10. Once when the transit losses/damage
occur the same should be
communicated to the respective client
on urgent basis seeking some
tolerance or solution.
CID creates a huge burden to logistic
provider since it involves technical
knowledge the same cannot be
identified by logistics person. To
overcome this loss engineers and
service persons need to be educated
well so that the defective standard will
be equivalent to the expectation fromEnsure support services

11. Transportation of the goods should be
framed in a systematic manner so that
the tracking of the consignment
becomes easier and legible.
Poor servicing results in the loss of
transportation costs for the logistics
provider. Hence the serviced defective
parts should be equivalent to good
standard.
Ensure support services

12. Efficient time management should be
maintained right from collection of the
defectives to repaired parts.
Warehousing plays an important role
in maintaining the stocks. Binning
each items in a locator helps to
identify the parts easily. Frequent
internal audits should be performed on
regular basis in order to ensure the
variance in stocks.
Ensure support services

13. Conclusion
On following the above the challenges
in reverse logistics can be minimized
to some extent. Incase of any loop
holes found in the entire chain the
same should be eradicated without
any further delay.
Ensure support services

14. Ensure support services
Thank you

15. Ensure support services