Better Management of Returns Using SaaS Saves Large Retailer $4 Million a Month
A top retailer needed to consolidate returns processing and improve returns management, vendor returns consolidation and liquidation yield. They were sorting returns at more than 450 store locations, and sending single packages in small shipments to vendors receiving returns. The company wanted returns data visibility to aid forward-focused planning and warehouse management.
Inmar Intelligence provided the group with a SaaS solution that catered to the retailer's needs and supply chain structure. The goal was to provide returns data visibility to aid forward-focused planning and warehouse management. The hope was that the solution would streamline problems such as vendor interlocks, processing needs, and business rules for the disposition of returns and overstocks.
As a result, and with improved visibility, merchandisers could analyze returns trends in various categories to better inform buying decisions. The retailer repositioned returns consolidation from its hundreds of back-store locations to 13 distribution depots — saving $4 million monthly in labor and transportation costs. Vendor returns are now consolidated and shipped more frequently in truckloads vs. individual packages, improving overall inventory visibility.
Nucleus had a similar experience with a major retail client and the optimization of their expedite platform services over a 12-year period, With the use of some similar methodologies, Nucleus was able to save the client R250 million.