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WAREHOUSING, HANDLING & STORAGE
returns. Another special case is after the festive season, when large numbers of unwanted Christmas gifts are returned.
FIELDING A RETURN SERVE Dealing with a high volume of returns has multiple consequences. Transporting parcels back to a distribution centre is expensive and generates emissions. Once the parcel arrives, special infrastructure is needed to process the items, as most facilities are not geared for receiving parcels from customers. In fact, many e-commerce businesses are setting up dedicated warehouses just for handling returns. Either approach means a large investment and increased operating expenditure (OPEX). Another challenge is that the process cannot
be fully automated. Manual intervention is essential for checking goods and sorting them based on condition - whether that is for resale, recycling or in the worst case, disposal. This makes the process inherently inefficient and time consuming, which has an adverse effect on profitability. However, all is not lost.
STREAMLINING A MANUAL PROCESS WITH AUTOMATION Targeted utilisation of computer vision, robotics and analysis software can help e-commerce businesses streamline returns. Let us follow the journey of a returned order as
it arrives at the warehouse. Most online retailers will provide return labels, so instead of relying on employees to carry out sorting, cameras identifying barcodes and addresses can be used to automatically direct goods to the correct areas. Prime Vision’s Barcode Vision and Text Vision systems with optical character recognition (OCR) make this possible, eliminating human intervention and greatly expediting the process. Object recognition and label reconstruction backed by artificial intelligence (AI) further enhances the proficiency of the system. With the returned parcel properly identified,
robots take over. Autonomous and highly flexible, robots can move the scanned item to any destination within a mapped area of the warehouse. Using information from computer vision and warehouse management systems, robots drive the parcel to an available checking station. As well as using onboard light detection and ranging (LIDAR) for onboard guidance, an overarching fleet management system ensures that robots don’t impede each other, further speeding up the process. Versatility is built in - Prime Vision robots can carry a wide range of parcels weighing up to 35 kg. Once the parcel has arrived at the station,
warehouse employees can do the job they are best at: checking the condition of the return and deciding the appropriate course of action. Marking the parcel, it can then be passed onto another robot or fed into a chute, onto the next stage. Analytics software takes an overview of the entire process, delivering data that warehouse operators can use to streamline the system or identify best practices, helping to increase throughput.
BENEFITS BEYOND THE WAREHOUSE Streamlining the handling of returns reduces OPEX by allowing items to be received, checked and readied for resale, recycling or disposal faster. Furthermore, it stops warehouse staff engaging in labour intensive or unfulfilling work by using robots for carrying parcels and computer vision for boring sorting processes. However, it has benefits beyond the
warehouse, especially with regards to customer retention. In 2022, nearly 80 per cent of US shoppers in a survey stated that a poor return experience would make them less likely to visit the same retailer again. Meanwhile in the UK, 90 per cent said they would be more likely to order from a shop that made returns easy. Back across the Atlantic, retailers in the US are responding, with eight in ten already using or planning to use returns processing technology as of 2022.
ENSURING CUSTOMER SERVICE IN BOTH DIRECTIONS Increasingly, a straightforward returns policy is becoming as important as a quick delivery. Customers do not want to pay high fees or wait a long time to receive a refund. Efficiently processing returns means businesses can offer a speedy, low cost or free service to help safeguard customer loyalty. With automation helping to reduce OPEX, this can be achieved without adversely affecting profitability. Ultimately, retaining a customer through a straightforward returns policy is more lucrative than losing them to a frustrating one. Prime Vision is a global supplier of
computer vision systems, robots and analytics software, all of which can be tailored to meet the unique requirements of handling returns. Experienced in working with leading e- commerce businesses, Prime Vision can offer integrated automation solutions to ensure that logistics processes are not simply one-way, making handling returns a less onerous experience for shops and customers alike.
Prime Vision
primevision.com
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