Returns don’t just have to be a black hole for inventory and resources, they can be a revenue stream, adding value for customers and helping reduce costs.
The truth is 95% of retail returns of electronics can be easily refurbished and re-sold. This is a great way to recoup some of the profits lost from retail returns.
Reverse logistics is all processes leading IT equipment to its final stage, either to be reused or recycled. IT asset management organizations certified in reverse logistics handle each asset starting with complete data erasure and ending with the maximum return for clients.
How does reverse logistics add value?
Data Erasure: You can’t put a price on peace of mind. Reverse logistics services include best-in-class on-site and off-site data erasure of devices to ensure optimal data security. Proper data erasure practices keep sensitive information secure without physically destroying the device.
However, data erasure practices have flaws too. The DoD data erasure wipe calls for a “three-pass” approach to data destruction. Some people may say “how can you wipe data too many times?” With every extra data wipe, your company’s time and resources are being depleted. Technology constantly changes, as so should data destruction policies. The most current standard for data erasure is NIST 800-88, which states that a single pass is all that is necessary. One pass is enough, if you do it right!
Consumers Returns: The truth is 95% of retail returns of electronics can be easily refurbished and re-sold. Return products are often an overlooked source of additional revenue, but they can be catered to a niche market. This is a great way to recoup profits lost from retail returns. Returns don’t have to spell disaster for your business.
Responsible Recycling: R2-certified IT asset management and disposition providers are experts in extracting precious metals from electronic devices. The U.S. EPA estimates that recycling 1 million mobile phones reclaims 35,274 pounds of copper, 772 pounds of silver, 75 pounds of gold, and 33 pounds of palladium. With proper recycling, these precious metals can be repurposed resulting in minimized mineral mining.
Corporate Reputation: As customers and consumers become increasingly conscious of the environmental impact of the corporations they deal with, being able to honestly promote reverse logistics activities can help a firm gain repeat business and increase customer loyalty. Many firms are finding that significant brand equity can accrue by being an environmentally responsible corporate citizen.
Reducing IT costs is among the top three business priorities for CIOs as IT asset cost optimization becomes a growing concern. Mismanaged IT equipment could lead to significant fines for IT procurement professionals. Partnering with a reverse logistics specialist can help reduce those costs.
The End Result
Partnering with a certified IT asset management organization for reverse logistics saves your company the burden of paying hefty fines that is a result from improper electronics recycling.
HOBI’s innovative reverse logistics process maximizes customer ROI. Our experts determine the benefit of either refurbishment or recycling in order to recover the most value for each piece of equipment entering our warehouse.
Data security is one of the most important issues when it comes to the reverse logistics process. Certified IT asset management and ITAD organizations have experience in on-site data erasure and destruction. Don’t let your sensitive data slip through the cracks.
Contact HOBI for more information on our reverse logistics process and how our professionals can assist your company.