Panasonic was facing expensive costs and confusion from product returns arriving without proper paperwork. They implemented a smart solution called RTL ERL from The ECN Group, which is a web-based system to collect and analyze return data. This system allows Panasonic to set return policies online and provides consistent rules for retailers to view. It has simplified the return process and reduced Panasonic's reverse logistics costs by 20% by providing the right return actions and minimizing unnecessary product shipping. The system also improves customer, retailer and manufacturer satisfaction.

1. M.Assad Fahim Khan
MBA-IV (313001)
“Panasonic gets smart solution for product returns”

2. Background of Company
 Panasonic is a Japanese multinational electronics corporation headquartered in Osaka,
Japan.
 In addition to electronics, it offers non-electronic products and services such as home
renovation services.
 Panasonic is also manufacturing products for Automotive, Avionics and Mobile
communication industry.
 Panasonic has now subsidiary companies in North America , Europe , India and
Indonesia.

3. Is the process of moving goods from the point of consumption to the point of
origin for the purpose of recapturing value or proper disposal.
REVERSE LOGISTIC

4.  Facing expensive confusion of returned goods arriving at Panasonic’s warehouse
without the proper checks by retailers and without complete paperwork.
 Reverse logistics not add value to the product and generates financial pressure.
(freight, retail, repair, recycler, manufacturers departments etc)
 Product value fall by some percentage per month.
 Environmental Problems.
Problem Facing

5. Facing Return Reasons By Panasonic
• when the product is not what he/she is expected
• when the product does not arrive in a defined period
Customer NOT Satisfied
• The consumer assumes that the product is damaged but
really that was installed improperly due to lack of
instructions.
Installation or Usage
Problems
• when the product does not work properly
• when the product has physical damage
• - when the product is repaired by warranty
Warranty Claims

6. Facing Return Reasons By Panasonic
• Excessive quantities of productsRetail Overstock
• Product life finished
• New product trends
• Old products are eliminated
End of product life cycle
or product replacement

7. Reverse Logistics
Forecasting more difficult Many to one distribution point
Destination routing unclear Product quality not uniform
Inventory management not
consistent Product often damaged
Others Problems facing in Reverse Logistics

8. Smart Solution By Panasonic
 Panasonic has found a solution in RTL ERL™ — or Enterprise Reverse Logistics® — from
supply chain and logistics specialist The ECN Group.
 The ECN Group Limited provides business to business
messaging, business process management, and systems
integration solutions. It offers B2B messaging solutions that
allow users and their trading partners to exchange files to
validate, translate, and transmit them into their ERP system
 RTL Enterprise Reverse Logistics, a solution to collect and analyze data at the point of
customer contact.
 RTL Enterprise Reverse Logistics is basically web based solution.

9. RTL- ERL Benefits
 RTL ERL™ has simplified the process by allowing manufacturers like Panasonic to put
their policies and rules for numerous products on a single website which works out the
right actions for the return in the website and can also have multiple suppliers doing
the same – thus allowing retailers and others to view and use one site.
 It is an online service that applies consistent rules and is available to retailers when the
Panasonic warehouse is closed over the weekend is a big advance.
 Before RTL ERL retailers return products without the necessary checks. After RTL-ERL
this problem is sufficiently minimize.
 If a customer has a problem with a product, he/she can just work through the website
and it will suggest steps to check whether it’s a real fault or a problem with set-up,”

10. Contd……..
 Satisfaction of customer , retailer and manufacturer (Panasonic) has increased.
 The system leads the retailer rather than shipping a product back to our warehouse, if
there’s an authorized service centre a mile down the road, it will ensure it goes there.
 After implementing the web based system , Panasonic calculate 20% reverse logistics
cost has been minimized.

11. Conclusion & Learning
 The modern business is characterized by the growing capacity of supply, global
competition and even the increase on the consumers’ expectations.
 Realization of Information Technology in Logistics System.
 Paper based process which are highly redundant, wastes lot of time but through
modern technology is making rapid strides towards advancement.
 Technology can also provide an extensive network that connects individuals from all
areas of a supply chain.
 The instantaneous sharing of imperative market details and product detail can improve
the speed and overall efficiency of logistical procedures.