Logistics and Supply Chain Management Report - Decathlon Case Study

This report delves into the intricacies of logistics and supply chain management within the context of e-commerce, specifically examining the return processes. The report analyzes both internal and external returns, with a particular focus on the operational aspects of a company like Decathlon. It identifies key areas for improvement, such as optimizing transportation, enhancing customer service, and streamlining the return process through value stream mapping. The report also suggests specific initiatives, including increasing weight thresholds for shipments and implementing pre-inspection of orders. Furthermore, the report emphasizes the need for a more customer-centric approach, including offering flexible payment options and a dedicated customer support team. The analysis considers factors like the number of returns due to customer mistakes, product quality issues, and incorrect sizes to propose data-driven solutions.

Running head: LOGISTICS AND SUPPLY CHAIN MANAGEMENT
Logistics and Supply chain management
Name of Student:
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Author’s Note:

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LOGISTICS AND SUPPLY CHAIN MANAGEMENT
Table of Contents
Answer to Question 1......................................................................................................................2
Part A...........................................................................................................................................2
Part B...........................................................................................................................................2
Answer to Question 2......................................................................................................................4
Part A...........................................................................................................................................4
Part B...........................................................................................................................................4
References........................................................................................................................................5

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LOGISTICS AND SUPPLY CHAIN MANAGEMENT
Answer to Question 1
Part A
The different aspects of internal returns has been determined with transportation of goods
from loading dock to the e-commerce department. The two main types of the returns faced by
Decathlon has been identified with transportation return and client return. In
case the client is not aware of his order the warehouse man is seen to be in
charge of customer service with the Google Drive file. In such a return order
customer service are able to reach to the client first. The client return
process is a result of client changing his mind for ordering due to wrong size,
customer mistakes or poor quality of the product. The external returns on
the other hand is identified with returning of the goods from a date of
purchase of up to 365 days (Lai, Ulhas and Lin 2014).
Part B
Some of the initiatives which can be taken in the external flow of the materials has been
identified with allowing for higher weight categories of product. At present the external flow
shipments are restricted to only 30 Kgs , by improving the maximum weight threshold the
company will be able to send shipments of the customers in more bulk quantity.
The internal process of transformation return can be improved by doing a pre-inspection
of the orders for the final delivery to the customers. The client return process needs to be made
more dynamic by facilitating a customer support team who can help with the customer queries
online.

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LOGISTICS AND SUPPLY CHAIN MANAGEMENT
Some of the steps that can be added to the present return process has been stated below:
Figure: Value Stream Mapping of the Return Process
(Source: Solutions-for-sharepoint.com. 2017)

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LOGISTICS AND SUPPLY CHAIN MANAGEMENT
Answer to Question 2
Part A
The process in the e-commerce return needs to be improved with faster inspection of the
goods in the e-commerce department itself. The inspection for size should be also be ensured as
this will significantly reduce the increasing number of internal returns in the warehouse.
Part B
The overall return process needs to be re-optimised based on three important factors
namely:
 Total number of items returned for customer mistakes
 Total number of items returned for bad quality
 Total number of items returned for wrong size
The next step should include giving more options for payment to the customers such as cash on
delivery. This will ensure that in case an order is cancelled there would be no hassle for online
repayment (Valmohammadi and Dashti 2016).

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LOGISTICS AND SUPPLY CHAIN MANAGEMENT
References
Lai, J.Y., Ulhas, K.R. and Lin, J.D., 2014. Assessing and managing e-commerce service
convenience. Information Systems Frontiers, 16(2), pp.273-289.
Solutions-for-sharepoint.com. (2017). [online] Available at: http://solutions-for-
sharepoint.com/wp-content/uploads/2010/12/image.png [Accessed 20 Oct. 2017].
Valmohammadi, C. and Dashti, S., 2016. Using interpretive structural modeling and fuzzy
analytical process to identify and prioritize the interactive barriers of e-commerce
implementation. Information & Management, 53(2), pp.157-168.