The aftermarket parts sector has long taken a back seat to the manufacturing side. But that's beginning to change, as companies realize the importance of parts to the bottom line.
Some companies are adopting new returns management processes to gain competitiveness and reduce costs. It isn't magic, but most organizations still haven't caught on.
Greater attention and respect come to returns management as companies learn to exploit its potential for saving money and generating a positive customer experience.
In a perfect world, the tight coordination of systems and processes would allow goods to flow continuously from manufacturer to customer. With total understanding of consumer demand, who needs a lot of excess product taking up valuable real estate? • Second in the Best Practices series.
While logistics outsourcing may seem like a mature business concept, five smaller 3PLs show how new concepts, better technology and outstanding performance can bring new benefits to companies open to fresh ideas.
As off-price stores moved upscale in recent years with the creation of attractive, shopper-friendly outlet malls, the demands of consumers and value retailers changed. Low prices were still expected, but shoppers also wanted a better selection of style and colors. To meet this need, Levi Strauss revamped its value-channel logistics.
GTE's in-house recovery operation is so successful that it now handles reverse logistics services for other companies. Likewise, 3M turned to its own logistics and manufacturing groups to recover useable by-products - and lots of money.
Target Stores saved money and improved store efficiency when it decided to centralize its returns program and outsource returns-center management to third-party provider GENCO.