It may be best known for its "forward" supply chain software and services, but systems vendor Manhattan Associates is clearly getting ready to throw its operations into reverse as well. In a deal expected to close later this quarter, Manhattan Associates Inc. will purchase selected assets of ReturnCentral Inc., which provides reverse supply chain software and solutions. Through this acquisition, Manhattan Associates hopes to expand its reverse logistics capabilities,now pretty much limited to returns processing within the DC, to include both inbound and outbound returns management. As a result, Manhattan officials say, customers will gain earlier visibility into returns and minimize costs.
Following the acquisition, ReturnCentral's solutions will be integra ted into Manhattan Associates' Trading Partner Management (TPM) Solutions, which provide customers with real-time visibility and connectivity across the entire supply chain.They will complement the existing returns functionality in Manhattan Associates' warehouse management system, which manages all the physical processes that take place in the distribution center.
"Nearly 20 percent of everything that is sold is returned," says David Hommrich,CEO and founder of ReturnCentral."Creating efficiencies in the reverse supply chain is an often overlooked opportunity for companies to further streamline their overall supply chain and create better relationships with customers and trading partners."