Lack of innovation over the past few decades around how organizations approach disposing of their returned, excess and obsolete inventory has resulted in billions of dollars lost and can no longer be left to inefficient, reactive or outdated methods.

You're trying to do everything right to lure in online shoppers: You offer free shipping. Customers can return merchandise to a retail location. You even offer free returns through the mail. But this freedom for the customer can mean a lot of headaches and cost for you.

Analyst Insight: Online sales surged last year, and many companies saw their e-commerce sales grow by double digits. This growth is expected to continue for the foreseeable future, so the good news is that rising rates and revenue for e-commerce are significantly exceeding expectations. But there is bad news too - e-commerce is stressing distribution operations and many companies are having difficulty keeping up. Adopting the right operational practices for order fulfillment is essential for business success. - Kelly Reed, Partner, Tompkins International

London's Kingston University is employing TrackerPoint's TrackCAB solution to automate its after-hours return process, as well as to conduct inventory counts of 2,000 pieces of media equipment, such as cameras, laptops and computers, that it loans out to students and faculty.

Research released by Voxware indicates two thirds of consumers return online or phone purchases because of retailer error - usually delivering an item in the wrong size or color - and repeat business suffers as a result. On top of that, the returns process is flawed in many cases.

A survey by ShopRunner, which brings together a network of retailers to deliver shopping services, found that consumers are not concerned solely about free shipping on purchases, but free return shipping is increasingly at the forefront of their needs.