An introduction to Returns Management
Three global trends, direct-to-customer commerce, the subscription economy, and the circular economy all lead to product returns. Companies that sell products need to be prepared for product returns. At this page we like to explain the Why, How, and What about returns management. For more details you can also read this returns management course.
Customer have multiple reasons to return while using a product. When returning a product customers ask for service. Therefor the service journey is part of the overall customer journey. The service journey offers undiscovered opportunities for service interaction with the customer.
Returns can be a burden but are an opportunity if managed well. The Reverse Supply Chain delivers value in 5 different areas.
Companies need return-cycles in their supply chain to support product returns in different phases while the customer is using the product. Typically, a company deals with 3 main return-cycles:
Return-to-Settlement is a new business process that exists of a customer part that is typically service focused and an operational part that is typically cost and product focused. Together with Record-to-Report, Procure-to-Pay and Order-to-Cash it completes the suite of business processes for a Closed Loop Supply Chain.
The Return-to-Settlement process comprises of 4 processes that manage product returns from customers. Returns Disposition brings products to life in a new value chain.
12Return is the leading cloud-based solution for product returns management in a customer-centric and circular economy. The 12Return platform streamlines the inflow of product returns from customers and the recovery of product value in a new value chain.
Returns are customers asking for service. The returns management process is a service process with your customer.
Returns are products coming back to you. The returns management process is an operational process with internal operations and external partners.