Turnkey Solution for Management of Return, Repair and Redistribution of Wireless Handsets, Smartphones and Accessories
Situation
A leading wireless service provider was managing reverse logistics regionally after a series of acquisitions. Recognizing the advantages to be gained by integrating this fragmented network, they decided to adopt a centralized returns strategy. New Breed Logistics was chosen to manage returns processing, repair and redistribution, including the operation of a new central returns facility in Texas.
Solution
New Breed Logistics designed and implemented a turnkey solution for managing reverse logistics and repair. The handset returns center processes tens of thousands of handsets and accessory units a day. Elements of the solution include:
- Receipt and inspection (triage) of cell phones for serviceability, function, repairability and warranty status.
- Cell phone repair. The New Breed Logistics facilities are certified by major OEMs and ODMs as authorized service centers for Level 1, 2 and 3 repair of smartphones and handsets.
- Flashing. All electronic devices go through a flashing process where New Breed Logistics technicians clear and upgrade software. The process includes a completely automated check to assure no customer information remains on the device.
- Financial credit processing. Outbound orders are placed in a "suspense" file pending receipt of returned product against this order. When a return arrives, the system automatically selects the appropriate crediting option for the specific unit based on pre-programmed business rules.
- Management of field replacement unit loop. Refurbished units are used as field replacement units for customers. New Breed Logistics ensures that adequate inventory is available at the right locations at the right time.
- Visibility. All serialized handsets are tracked through each step of the returns/repair process with complete visibility of each unit provided to authorized program participants via a web portal.
Results
- Reduced inventory through Demand-Supply planning model that postpones unneeded repairs and focuses repair activity on meeting projected requirements for specific units
- Reduced return/repair cycle by integrating return and repair operations
- Enhanced control through centralization of returns processing and enabling visibility to all inventory throughout the return/repair cycle
- Reduced investment in buildings and systems to manage reverse logistics
