In this episode of Supply Chain Now, Scott Luton and special guest host Claudia Freed , President & CEO of EALGreen , welcome Chuck Johnston , Chief Strategy Officer at ReturnPro , for a deep dive into the “dark side” of supply chain: reverse logistics and returns management. They unpack why returns are a nearly trillion-dollar challenge in the U.S., how BORIS (buy online, return in store) strains store operations, and why many retailers still under-invest: leaders often can’t see the full cost across functions or make the ROI case for what’s treated as a cost center. Chuck shares how the space has evolved from yellow notepads to data-driven decisioning, highlighting intelligent algorithms that route items at the customer’s first return click, fraud mitigation with imaging and behavior signals, and how third-party innovation is compressing software build times. Claudia adds a nonprofit and circularity lens: donation channels, extended tax credits, and AI pilots (computer vision + MCP agents) that identify item condition and slotting in real time. Together, they explore where to start, why cross-functional “ambassadors” matter, and how partnerships across retailers, manufacturers, nonprofits, and 3PLs can turn returns from margin erosion into measurable value and social impact. Jump into the conversation: (00:00) Intro (04:03) Warm-up questions and fun facts (05:54) Chuck Johnston's career journey (13:53) Challenges and opportunities in returns management (21:47) Technological innovations in returns management (29:50) AI solutions in inventory management (30:26) Tax benefits and opportunities for companies (31:06) The golden age of supply chain tech (31:44) AI's impact on fraud management (34:44) The debate on more returns vs. fewer returns (37:08) The EU Circular Economy Act (39:18) Returns fraud and data analytics (47:00) The importance of education and ambassadors (49:45) Connecting with industry leaders (52:01) Resources and upcoming events Resources Connect with Chuck Johnston: https://www.linkedin.com/in/chuck-johnston-b07b3b4/ Connect with Claudia Freed: https://www.linkedin.com/in/claudiafreed/ Connect with Scott Luton: https://www.linkedin.com/in/scottwindonluton/ Learn more about ReturnPro: https://www.returnpro.com Download a copy of the Returns Report: 2025 Holiday Edition by ReturnPro: https://www.returnpro.com/resources/blog/returns-report-2025-holiday-edition Learn more about EALGreen: https://www.ealgreen.org Register for The Optimized Digital Transformer: Key Concepts for Enhancing Modern Leadership and other upcoming webinars: https://supplychainnow.com/upcoming-live-programming/ Learn more about...