Early in my career, I was introduced to the CEO of the company that had just hired me to help make plastic pallets. "Mr. Leo" as he was affectionately called, shook my hand and welcomed me to the team. To help me get my head around what I had just gotten myself into, Mr. Leo said, "Our pallets cost a lot of money. But remember. They are the cheapest product out there!"
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In previous discussions about pallets, I touched on the nature of the load that a pallet might be expected to handle. If you are a pallet geek like me, the term “unit load” is often used to describe the goods that are configured in such a way as to be easily handled by that pallet.
So, I guess the unit load is and has always been associated with pallets, right? Well, not exactly. Although we can trace the use of pallets all the way back to ancient times, the common use of pallets to handle the unit load did not get going until World War II. Will a return program transform your expendable packaging expenses into reusable packaging assets?
Start by asking yourself four key questions about your packaging usage and distribution system. If you're in charge of material handling, you are constantly being looked at for the answers.
This time product is getting damaged in the warehouse or coming back after being shipped. An ongoing problem being blamed on careless workers. Have you noticed a change in your LTL shipping charges?
The methodology that LTL carriers are using to determine their rates is changing. This is in follow up to what the major parcel shippers (UPS and FedEx) have already done. As anyone who purchases or uses wooden pallets knows, pallet pricing is on the rise.
In the eastern United States, raw material costs for pallets have increased by 15% - 20% in the past year. This equates to pallet price increases of 10% - 15%. So what can users of wooden pallets do to offset these increases? |
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