Managing a surging tide of post-holiday returns is a daunting task for the warehouse, where staffing shortages are all too common, and inventory challenges abound. The need for speed and efficiency has never been greater. Returns are an inevitable part of the supply chain, making their efficient management critical to overall business success. Companies now focus on reverse logistics to ensure that returned items are either quickly resold or appropriately disposed of.
“From the warehouse perspective, [getting] inventory back to saleable condition as quickly as possible is what really matters,” says Wes Coleman, industry principal for warehousing at mobile computing and workforce automation firm Zebra Technologies. This speaks volumes in an age where supply chains are strained, and every piece of inventory counts. Thanks to a growing focus on reverse logistics industrywide, more warehousing and supply chain professionals are devising new strategies and applying technology to manage the complexity of the returns cycle. Let’s look into how this can be accomplished through strategic thinking and the incorporation of cutting-edge technology.
1. Returned Goods are Received by the Facility
One of the first steps in enhancing efficiency in reverse logistics involves the proper receipt of returned goods at the facility. This is where the journey of a returned product begins. The initiated return action from the customer signals the beginning of the reverse logistics process. At this stage, returned products start arriving at the processing facilities, where they are first received and logged by the system.
Receiving returned goods requires a systematic approach, where each product is entered into the warehouse management system (WMS) upon arrival. This crucial step ensures that every item is accounted for and can be tracked throughout the entire reverse logistics process. The information logged includes details such as the item’s condition, reason for return, and any associated customer data that might be necessary for further processing or resolution. Utilizing mobile technology and handheld scanners at this stage can significantly speed up the process, minimizing errors and ensuring each return is handled promptly.
2. The Facility Inspects and Categorizes Returned Goods
The next critical step is the inspection and categorization of returned goods. At this juncture, warehouse personnel inspect each item to determine its condition and classify it accordingly. This phase involves a detailed assessment of the returned items to identify if they can be resold, repaired, refurbished, recycled, or disposed of. The goal is to sort out the merchandise efficiently to mitigate loss and maximize the potential for recouping costs.
Inspection categorically determines if an item can return to stock, needs repairs, or falls into a category requiring specific actions like recycling or disposal. This step is crucial as it directly affects the future handling of the item. Technologies such as automated inspection systems using cameras and sensors can aid in swiftly identifying and categorizing items based on predefined criteria. This not only expedites the process but also helps maintain consistent quality checks, ensuring that defective products do not inadvertently find their way back into the active inventory.
3. Returned Goods Designated for Restocking are Sent to a Temporary Holding Area until the Task is Initiated in the System
Upon inspection, goods deemed suitable for restocking are then moved to a temporary holding area within the facility. This holding area acts as a transitional space where items await further action, effectively decluttering the main working areas and preparing the goods for reintegration into the sales inventory. Efficient management of this temporary holding area is critical to ensuring that items do not stagnate and swiftly move through the reverse logistics cycle.
Technology tools, such as automated tracking systems and real-time inventory management software, play a vital role here. They provide instant updates and notifications to warehouse managers, informing them when items are ready for the next steps in the process. The holding area thus becomes an organized and manageable space where returned goods are systematically processed, ensuring that delays are minimized and inventory accuracy is maintained.
4. When the Task is “Active,” the Returned Item, Container, or Case to be Restocked is Scanned and Placed onto the Robot, which then Transports it to a Human Worker Near the Designated Location
Once an item is designated ready for restocking, the task is activated in the system. This triggers the next phase where the item, container, or case is scanned and placed onto a designated mobile robot for transportation. The use of mobile robots in logistics significantly enhances the efficiency of this step. These robots are programmed to navigate through the warehouse and deliver the items to human workers positioned near the designated restocking locations.
For the human worker, the display screen incorporated in the robotic system shows vital details such as the location, license plate, item UPC (Universal Product Code), and picture for the item or carton to be restocked. This integration of robotics and human effort streamlines the process, reducing the physical movement required from employees and ensuring precise and efficient restocking. The combined effort of automated robotics and reliable coordination system allows warehouses to handle large volumes of returns swiftly and accurately, efficiently recycling valuable inventory back to saleable condition.
5. The Worker Places the Carton or the Individual Units in the Appropriate Location
At this point, the responsibility shifts to the human workers who place the items in their specified locations. These employees, equipped with handheld devices or guided by robotic assistants, locate the precise spots indicated on their screens and perform the physical task of restocking. Proper placement is crucial, ensuring that inventory is easily accessible for future pick and pack operations.
Technologies like augmented reality (AR) can also be employed here, providing workers with visual cues and step-by-step guidance through wearable devices. This technology not only accelerates the restocking process but also minimizes errors. By ensuring that each item is returned to its correct location, warehouses can maintain orderly inventory management, making the picking process faster and more reliable for future sales fulfillment.
6. The Worker Places the Empty Carton on the Robot for Disposal
Upon placing items in their specified locations, workers must handle the disposal of empty cartons to maintain a clutter-free working environment. The process requires workers to place the empty cartons back onto the robot used previously. This continuous loop of utilizing robots for transporting goods and managing waste enhances operational efficiency and reduces the workload on human staff.
Efficient waste management within the warehouse ensures that resources are maximized and the workspace remains organized and safe. By integrating robotic technology for both the transportation of goods and the disposal of waste, warehouses can build a seamless process that speeds up reverse logistics while also ensuring environmental sustainability. This dual-purpose use of robots provides an innovative solution that streamlines various warehouse processes and improves overall productivity.
7. The Robot Travels to the Disposal Area. Empty Cartons are Disposed of, and the Process Begins Again with the Next Item(s)
Managing the wave of post-holiday returns is a challenging task for warehouses, particularly where staffing shortages and inventory problems are frequent. The necessity for speed and efficiency has never been more urgent. Returns are an unavoidable aspect of the supply chain, making their efficient management essential for overall business success. Companies are now concentrating on reverse logistics to ensure returned items are either rapidly resold or properly disposed of.
“From the warehouse perspective, getting inventory back to saleable condition as quickly as possible is what really matters,” says Wes Coleman, industry principal for warehousing at Zebra Technologies. This is significant in a time when supply chains are under pressure, and every piece of inventory is crucial. With an increasing focus on reverse logistics across the industry, more warehousing and supply chain experts are coming up with new strategies and implementing technology to manage the complexities of the returns process. Let’s explore how strategic thinking and advanced technology can achieve this.
