1. Purpose

To define the overall process for managing returned products, ensuring all returns are properly received, processed, and resolved in a timely and organized manner. This SOP provides a unified standard across warehouses, clients, and system integrations.

2. Scope

This SOP applies to:
  • Authorized and unauthorized returns
  • Expected and unexpected return parcels
  • Returns via OMS or Loop
  • Domestic U.S. returns using integrated return label systems

3. Return Process Overview

3.1 Return Initiation

  • Return orders need to be initiated via OMS (manual or Loop integration).
  • Returns may originate from original outbound orders or third-party channels.
  • Clients must input carrier, tracking number, SKU details, and return method.

3.2 Types of Returns

A. Authorized Returns:
  • Clients authorize the warehouse to make decisions on return handling.
  • Warehouse performs quality inspection, takes photos, and decides on:
    • Restocking to original SKU
    • Disposal
    • SKU relabeling as replacement or lower-grade inventory
B. Unauthorized Returns:
  • Clients receive photo evidence within 3 working days.
  • Items are stored in temporary storage.
  • Clients have 15 calendar days to provide instructions.
  • Options include:
    • Restock to original SKU
    • Disposal
    • SKU reassignment or other actions

4. Unexpected Returns

  • Warehouse receives a package with no matching return order in OMS.
  • If identifiable, warehouse assigns the return to a client.
  • OMS will generate a “Unexpected Return Order.”
  • Client must claim this order within 7 natural days, inputting all SKU and item details.
  • After 7 days, warehouse has the right to dispose of the parcel.

5. Return Inspection & Processing

  • Warehouse inspects, photographs, and logs items.
  • If authorized: items are processed immediately based on client settings.
  • If not authorized: item photos are uploaded to OMS for client review.
  • Clients have up to 15 natural days to respond.

6. Return Status & Notifications

  • OMS dashboard allows tracking of return status and pending actions.
  • Email notifications can be enabled for:
    • “Return Order Created”
    • “Client Action Required”
    • “Return Instruction Reminder”

7. Return Label Options

  • OMS Return Label: Clients use system-generated labels with tracked carriers.
  • Custom Return Labels: Clients/customers generate their own, such as walk-in UPS store drop-offs.
  • OMS supports UPS return service for domestic U.S. returns.

8. Third-Party Return Integration (Loop)

  • Clients enable return automation through Loop portal.
  • Customers initiate returns via Loop and receive return labels (either Loop’s or OMS-integrated).
  • Loop creates return orders directly in OMS.
  • Warehouse processes returns as usual, and Loop syncs the results back to Shopify.
  • Clients can configure how Loop handles restocking or refund options:
    • Refund, credit, partial value, or SKU replacement
  • OMS integrates with Loop shipping services (USPS, FedEx, etc.) or supports OMS shipping labels if configured.

9. Timeframes

Step Timeframe
Photo feedback for unauthorized return 3 working days
Client feedback period (regular returns) 15 calendar days
Claim period for unexpected returns 7 calendar days
Final action without client response Disposal or default action per policy

10. Exceptions & Manual Handling

  • Returns without proper tracking/label info are flagged for manual review.
  • High-volume or flagged return customers can be tracked via Loop history.
  • Manual creation in OMS is allowed with optional order ID for third-party warehouse returns.