it&M presentation - Internet Retailing Expo

Dr Jonathan Gorst, Sheffield Hallam University
Mike Bernon, Cranfield University
Prof. John Cullen, University of Sheffield
Agenda
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Setting the scene
Changing Reverse Logistics Landscape
Latest Research
Omni Channel
The Future
Good supply chain practice
Slick…
Retail Returns in 2000’s
… not so slick
40 retailers & manufacturers
Core Themes
• Avoidance
– Reduce the level of returns experienced
• Returns management
– Identify effective product return processes
and networks to minimise logistics costs and
maximise asset recovery
• Product dispositioning
– Considers the options for product disposal
that maximise asset recovery while
minimising the impact on the environment
Key Areas
Cost and performance measurement
Avoidance or returns
Process management
Physical network design
Inventory management
Material handling
Information technology
Sustainability
Compliance
Toolkit Overview
Self assessment
statements
Self assessment
scoring
Hyperlink
appendices
An integrated approach
- Internal
• The problem – Return rates for technical equipment exploding
but……..
– Poor compliance for returns process from stores
because……..
– Poor training of store staff but….
– Stores given full credit for a return anyway…..
– Control of the process across various functions
but…..
– Cost incurred by distribution
– Full costs not understood across the chain plus
– High level of credit disputes with manufacturers
Halfords – solution
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Board level reporting
Avoidance strategies - We-fit
Store management league tables
Charge back for non-compliance on returns
RL manager employed to implement initiatives
The Changing Reverse
Logistics Landscape
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Omni Channel shopping
Complexity
The bedroom - the new changing room
The return
De-shopping
Fraud
Omni Channel Shopping
Complexity
Collect from:
Return
through:
Store
Store
Internet
Post
Post
Mobile
Phone
Courier
Courier
Collect +
Collect +
Purchase
Store
Customer
YouTube
Twitter
Facebook
Google+
Product
Information
Tablet
Computer
App
Mobile
Site
24 routes to purchase a product
The Return
Deshopping / Fraud
Keep it simple…
Thank you for listening.
Dr Jonathan Gorst, Sheffield Business School
Mike Bernon, Cranfield University, School of Management
Professor John Cullen, Sheffield University Management School