Cost of Expired Product Shipments
Definition
Failure to implement lot tracking and FEFO results in shipping products past expiry, triggering refunds, warranty claims, and brand damage in a regulated market.
Key Findings
- Financial Impact: AUD 5,000-20,000 per major return incident (refunds + disposal + lost margin)
- Frequency: Per non-compliant shipment batch
- Root Cause: Lack of automated lot traceability in warehouse picking
Why This Matters
The Pitch: Personal care product manufacturers in Australia 🇦🇺 lose AUD 10,000+ per incident on refunds from expired shipments. Automated FEFO picking prevents this.
Affected Stakeholders
Fulfilment Supervisor, Quality Assurance Manager, Customer Service
Deep Analysis (Premium)
Financial Impact
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Current Workarounds
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Methodology & Sources
Data collected via OSINT from regulatory filings, industry audits, and verified case studies.
Related Business Risks
AICIS Record-Keeping Non-Compliance
Inventory Shrinkage from Poor Lot Tracking
Cost of Poor Quality in Batch Production
Capacity Loss from Quality Rework
GMP Non-Compliance Audit Failures
AICIS Non-Compliance Fines
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