While it has been common for suppliers to stop measuring themselves post the delivery of a product, the emergence of reverse logistics means a new variable in customer satisfaction. Although this is not to suggest that it is a novel aspect of retail – large retail businesses have been managing product returns even preceding the e-commerce era. However, the see-saw battle between various corporations on the said digital platforms necessitates that companies put forward and reverse logistics at par on their priority list. Yet, the simple truth is that many myths and misconceptions cloud executives’ views on strategies for reverse logistics. And even though studies predict phenomenal benefits to ramping up this department, only a minuscule number of companies name it an essential investment.  

Apart from the one obvious reason which is volume: the number of transactions in reverse is usually far lesser that forward logistics. 

Why do retailers continue to let reverse logistics play the second fiddle? 
It is, essential to identify and solve some of the major puzzles in reverse logistics.   

1) Lack of dedicated team  

Most firms do not boast a sole reverse logistics department. It is, many a time, assigned with an underqualified individual/team discrediting its importance as a domain of itself.  However, the Inability to monitor the condition of products returned, percentage of sales lost, customer base lost, secondary revenue loss etc., could break the foundation of your enterprise, especially  if the returned products can be repaired or repurposed, scrapped for parts, or directed to the secondary market.   

2) Categorisation of the returned products as trash   

As cited earlier, this is one of the biggest misconceptions of the modern retail industry. At the same time, less than 20% forms the bulk of all defective returned products; even defective products can find value through proper processing. Analytics has shown that the number one reason customers return items is remorse, not defect. The key to reclaiming value from returned goods, damaged or otherwise, is the implementation of streamlined and effective reverse logistics processing.  

For instance, we know that the reverse logistics chain is initiated the second a customer clicks return on the purchased product. Therefore, the initial assessments must happen at this instant, making an effort to understand the cause of the return to make an informed guess on how it can be dealt with to ensure your company’s losses are minimal.  

3) Absence of tailormade reverse logistics software  

It is appalling how every subsequent point made in this analysis leads back to the others; here, we see the consequences of a common myth in action: ‘managing returns is simpler than running distribution.’ Nothing could be further from the truth. 

 The fact is that  returns management is far more complex than distribution. Returns management requires executives to work with buyers, operations, sales, accounts payable, and systems. While the leadership on the distribution side needs to care only about the safety of their loads as a whole, the reverse logistics manager must inspect every item in detail. In the case of returns, the OEM has to grant authorization before shipping. F 

Most distribution centres employ WMS to expedite these tasks to manage the large volumes, and the returns are synchronously processed through the same software resources. This creates complications because the software is just not designed to hadle the unique workflows and level of detailing required for Reverse Logistics management   

Warehouse management system for reverse logistics  

While your firm’s standard WMS will encounter difficulties in processing forward and reverse logistics, it is possible to build them to maneuver in both operational areas seamlessly.  Much rides on the symbiosis between the WMS and the enterprise resource planning systems (ERP). This combination works in a customer-oriented manner, maintaining what looks like a thorough customer record, complete with the profile of all transactions between the company and the customer. The ERP platforms, paired with a warehouse management system, allow companies to track returns easily, monitor the movement of goods, issue credits through the accounting system, and update everything in the customer record.  

The post The Importance of Reverse Logistics in the Modern Retail Industry appeared first on Black Rock IT Solutions – Software Product Engineering Services.

With little competition and a fresh market, this may be the best time to set up an on-demand fuel delivery business, especially in a world emerging from the shadow of lockdowns and the automobile industry seeing a resurgence.   

The Building Blocks 

With the global gasoline/diesel requirements consistently outweighing the capacity of fuel stations over the years, on-demand fuel delivery is bound to be an imperative in the coming years. However, with that said, one must play their cards right at the very beginning, partnering with a reliable IT solutions provider, securing compliance from governmental authorities, and so on.   

The next step must be to build your fleet, equipped with the resources for everything from transportation to maintenance and safety. Businesses must do it with a keen eye on the reasons for the very existence of this market and the audience the firm specifically caters to. For instance, companies must hire HAZMAT (Hazardous Materials) drivers, who are elite drivers involved in the transport of flammable material. Digital Solutions that complement the fleet must also be in place simultaneously (real-time tracking systems, forward-looking camera systems, IoT sensors, collision mitigation technology, and the like).  

It is also vital at this juncture to address the towering safety concerns involved in transporting highly combustible liquids and gases over significant distances by road. The companies must immaculately monitor the transportation tanks to ensure safety; they must appropriately allocate funds to ensure this, without which the company’s existence will perennially hang by a thread.   

Only then must intrepid business owners venture into creating the on-delivery app to enable the service, though last is not the least. The usability shortcomings of the application are hurdles many entrepreneurs fail to cross, with order tracking and route management being the Achilles’ heel in these solutions. The architecture of the app backend is another crucial hallmark as end-users will use the app over data or Wi-Fi all the time. Thus, the seamless delivery operation is staked almost wholly on some key app features that demand discussion.   

Vital features of an On-Demand Fuel Delivery app: 

• Pricing charts  

The customers must get a glimpse of the savings they make through properly illustrated price charts; the introductory offers may be the bait for most customers. However, no compromise must be made on fuel quality, with double-filtered fuel as the norm.   

• Real-time tracking  

Given that the orders for fuel delivery often are in emergencies, the two-way tracking system will be equally valuable to the delivery agent and the customer while also winning the customer’s long-term trust. In addition, they can use third-party maps that show the delivery routes with ETA.   

• Accept/Reject options  

Since safety is paramount in an on-demand fuel delivery service, the fuel delivery agent must have the right to reject orders if they are inaccessible or compromise security in any manner. There must also be an option to keep charges pending until the delivery agent can make an informed decision.  

• Synced with various payment options  

      The customers should be able to make their payments over a broad range of payment methods at their convenience. They must be aware of the various situations the customers may find themselves in and be adaptable to COD, online banking, and the slew of mobile banking apps with whom they must ensure compatibility. There must be an order/transaction history so the users can keep track of their expenditure online.   

• Customer support  

The business must address the fears and misconceptions of their customers by establishing communication channels between the people and expert employees who can mitigate their doubts and create clarity over the ins and outs of the delivery protocols. Automated messages can also have a positive impact in this regard.  

blackrock recently built a digital platform for on-demand fuel delivery for a US-based early-stage enterprise. You can read the complete success story here. 

If you have an idea for a big change in the automotive world and need the right IT support to help you realize it, drop a mail to sales@blackrockdxb.com.  

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From governments closing the borders and enforcing lockdowns to businesses struggling to meet the supply and demand, the novel coronavirus is changing the way businesses operate, collaborate and compete. Traditional business models are on the verge of being wiped out by their digital counterparts. Digital Transformation is something that has been predicted by leading analyst firms as the way forward for years now, and certain organizations have already implemented it, with a fast-tracked future now becoming a reality.  In this current scenario, the first movers will have the upper hand in the long journey ahead, and unfortunately, the laggards will struggle to tackle the situation. 

This article takes a predictive look at how various industries will flourish post COVID-19.

Healthcare

Unlike any other industry, COVID-19 has affected the healthcare industry the most. The current situation is an opportunity for healthcare stakeholders to utilize the available tools, software, and technologies such as AI, ML, IoT, Data Analytics, etc to offer better solutions.

Mobile healthcare, IoT, Virtual Assistants, and Robotics are some of the leading areas that healthcare providers can look into. Mobile apps to get in touch with doctors at your convenience, sensors/IoT devices to monitor real-time patient data, virtual assistants to guide healthcare professionals with complex procedures remotely, machine-learned robots to assist doctors in patient examination, etc. are some of the areas where digital transformation is going to make its mark.

Ultimately, new business models will emerge, as all healthcare providers need to rethink their current business strategies and pave the way for the vast opportunities that will come along with this pandemic. 

Retail 

With people staying inside their homes and practicing social distancing, the impact of COVID-19 on retailers will be severe. Leading retailers have started adopting omnichannel digital transformation strategies rapidly to win the customer pie. Most traditional retail customers, who once swore by the in-store experience, have now been forced to experience the convenience of digital purchasing, and are likely to continue with the trend even once this phase of being locked in is over.  

Brick and mortar stores have noted reduced footfall during this situation.  In order to stay afloat, they must now look into newer and more innovative ways to do business – be it through online platforms or even just becoming available on social media platforms to take orders. We are yet to see how the retail industry will evolve post-pandemic but surely, COVID-19 has dramatically accelerated the digital transformation in the retail industry too. 

InsurTech

The insurance industry thrives on predictability and the uncertainty that COVID-19 has caused is unprecedented. Most of their customers will be devastated with the fear of losing their jobs, their businesses and even their lives and they will rely on the insurance industry to be a ray of hope. 

Collaboration with various governments and other industry players to collect data from all possible sources should be the priority. Be it in the form of sensors, IoT devices, weather reports, and drones, they must generate meaningful insights in real-time to offer pro-active and personalized solutions. Coupled with advanced data analysis, they can come up with data models that predict possible future outcomes like this. 

InsurTech players must lead the digital transformation journey in terms of leveraging the latest technologies, optimizing the processes, personalizing the solutions, and bringing in automation to reduce costs and improve efficiency and effectiveness. All the players in the ecosystem must embrace digital transformation at the heart of their strategy to be the front-runners in the new insurance era. 

FinTech

With people being asked to remain indoors and governments and central banks announcing economic relief packages, everyone is looking at FinTech to help implement their ideas.  The current situation brings a new sense of urgency to the need to examine ‘going digital’ by accelerating the rush to digitization. Digital payments have become an integral part of everyday life across the globe, opening up new avenues of innovation and business opportunities in the coming future. 

Digital onboarding, omnichannel retailing and eWallets will likely grow to new heights. Financial institutions must utilize these opportunities and go digital in their offerings. Technologies such as Artificial Intelligence, Blockchain and big-data analytics will play a crucial role in formulating FinTech strategies in the digital-only era. 

EduTech

The global learning population has been keenly impacted by the spread of the C0VID-19 virus. Though the infrastructure in terms of internet access, data costs, etc are yet to catch up with the rising requirements, the time is ripe for EduTech companies to make their mark. This will be the point of transition in the adoption of the online medium against the traditional educational model. 

Instead of focusing on replacing mundane administrative and managerial roles, which unfortunately most providers are doing right now, they must embrace and accelerate the digital transformation of education itself. EduTech companies need to collaborate with traditional universities and schools and offer an online-offline system. They must leverage the latest technologies such as online video-based learning, artificial intelligence, machine learning, advanced analytics to personalize the learning experience and ensure a more engaging and valuable offering to the user.

The change here must come from the educational institutes as well, as they need to take the step towards embracing this change – but the current pandemic has only proven that it is high time they understand that this is the future of education. 

Transportation & Logistics

Transportation and logistics players globally are trying to fix things with whatever resources they have because they are the lifelines that make sure the logistics of essentials stay in place. With limited manpower and severe restrictions, they must leverage technologies to overcome this hurdle. 

This is an opportunity for them to rethink their business practices. Instead of working and relying on outdated legacy software systems, they should embrace digitization and automation to stay competitive within the industry. They must accelerate their digital transformation process and partner with technology companies to develop tech-driven solutions to offer streamlined and personalized end-to-end services. They must harness the power of “digital” to handle any unforeseen events in the future. 

The challenges that COVID-19 poses cannot be generalized as it varies from industry to industry. Post epidemic, organizations should revisit and reinvent their business strategies with more focus and weightage on innovation, research and development. Inevitably across industries, digitization shall be embraced with an urgency more than ever before. 

Survival and recovery of core operations should be what organizations focus on post COVID-19. Collaborating with digital technology consultants like Black Rock IT Solutions can help you get the kick-start you need to successfully restart your businesses.

The post Predicting Post-COVID19 Success through Digital Transformation appeared first on Black Rock IT Solutions – Software Product Engineering Services.

Factors driving adoption of automation in transportation 

• High per capita cost of manual labor: Enterprises may find it challenging to find skilled labor, or they cannot meet the per capita cost for maintaining a large manual labor force. Because of fierce market competition, enterprises must keep their expenses to the minimum to win this race. Also, it is not an ideal solution to hire more labor to meet fluctuating demand and supply. To address this situation, enterprises can leverage automation as the best choice.
• Technical advancements: Technological advancements in artificial intelligence, machine learning technologies, and IoT is redefining the entire ecosystem, and transportation & logistics is not spared. From planning until execution, AI will play a vital role such as automated transportation, order prediction, optimizing warehouse locations in line with requirements. However, lack of clarity on which technology will emerge as the winner may create some amount of confusion among the organizations to channelize and prioritize their investment in these technologies. 

How is automation moulding the future of logistics industry?

Automated warehouse

Warehouse automation is one of the first areas companies try to attend when it comes to investing in automation. On a bigger scale, it encapsulates the automation of existing processes to improve efficiency, reliability, enhance accuracy, and leads to improved ROI. Bringing inventory to the order picker to minimize his movements inside the warehouse, automated storage and retrieval systems (AS/RS), automated carrying vehicles, automatic conveyors, etc. are some areas where automation can play a significant role in a warehouse. 

On-demand Automated trucks

Consumers have moved from owning a product to avail its benefits- the sharing economy. Uber and Airbnb are classic examples of how taking away the ownership of privileged customers. Transportation & Logistics industry is also witnessing the same “shared economy” model in the form of on-demand automated trucks. On-demand autonomous trucking improves the efficiency of freight movement and reduces the increased cost of hiring and training drivers. The autonomous truck would work round the clock with double the work done by non-automated trucks. On-demand trucks remove the burden of enormous initial capital investments from the organizations, reduced transportation costs, and ultimately elevate customers with competitive prices. 

Real-time tracking

Consignment delivery has always been a significant concern for enterprises as timely delivery of goods is directly proportional to customer experience. Real-time monitoring can enable logistics providers to address demurrage and detention problems and take corrective measures such as informing the customers about any possible delays due to traffic or bad weather, resulting in reduced failed delivery instances and improved customer satisfaction. 

Automated Analytics Systems 

In this era of “Data is the new Oil,” T&L companies must leverage the power of data analytics to stay ahead of the competition. Those organizations who rely on traditional or outdated IT systems can’t drive insights from available data and hence fails to understand and meet customer preferences and market dynamics. T&L companies are sitting on a vast amount of data which is not explored for generating insights such as customer churn prediction, demand generation analysis, and supply shortage prediction.  Automating the entire system help enterprises to create actionable insights periodically and salespersons can act accordingly. Sales figures can directly be induced back to the system from sales POS, and the system can generate revised insights to best suit the current situation. 

Automation: Gateway to the future

Though Transportation and Logistics companies have been relying on advanced technologies to handle the complex network, they haven’t explored the commercial side of automation yet. When employed correctly, automation can substantially improve organizational efficiency, sales growth, performance, reduce the cost, and most importantly increased revenue.

At Experion, we have implemented several projects spanning across the transportation and logistics industry building future with digital. To know more about our offerings in the T&L industry, drop a mail to sales@blackrockdxb.com 

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