Return handling is often regarded as a slow and complex process. Studies
have shown that it is not unusual for a return to cost up to nine times as
much as a standard outbound delivery. An efficient return handling process
is therefore essential to all competitive companies dealing with logistics.
This report investigates, analyzes and gives suggestions on development
with the purpose to improve the return handling process at LensLogistics AB
in Kista, north of Stockholm, Sweden.
The study has been conducted from a deliberately practical point of view in
order to suggest improvement suggestions possible to implement and thereby
change the entire return handling process. In the last chapter a number of
substantial positive changes at LensLogistics are shown as a direct result
of this thesis which together have made changes in work methods, ERP
systems as well as organization. The improvements can be summarized in the
following five bullets: automatic return confirmations e-mails to
consumers, elimination of inspections, custom built interface, automatic
refunds and extended education of customer service agents.
Finally the study has, in complement to it's non quantifiable improvements
such as quality or increased customer satisfaction, capitalized the effects
of the implemented improvements to a cost reduction of 40 % of the total
return handling staffing costs.
LensLogistics operative top management has, with information given from
both staff as well as customers, identified the return handling as an area
with great improvement potential when it comes to capacity, efficiency,
costs reduction as well as quality. The purpose with improving the return
handling is to strengthen LensLogistics position and competitive advantages
as a third party logistical partner by creating an efficient process with
satisfied customer...