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In this paper, we intend to analyze the complex issues that OEM’s face in managing their worse nightmare – Reverse Logistics. Viable solutions will be proposed to solve the problems, streamline the operation and ultimately enhance the bottom line.Since our com-pany, Supply-Chain Services Inc. (SSI) is a 3rd party reverse logistic service  provider for major corpora-tions from a variety of industries, the numbers used and scenario described are based on our own experi-ence and data. However, a number of published re-search papers are also used as references and ap-propriately noted.

Published in Best Practices

According to a study conducted by Dr. Dale Rogers, Professor of Supply Chain Management of University of Nevada, U.S. companies spent over $35 billion a year to handle Reverse Supply Chain problems and issues in 2000.
As indicated by Gartner Group (May, 2001), returns can erode 100% of the profit margin on the Cost of Goods sold if not managed effectively and efficiently.

Published in Best Practices

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