Tag: Pallet Loscam

10 Best Practices for Effective Pallet Management

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Pallet Management

Pallet management plays a vital role in the logistics industry, ensuring smooth operations by helping businesses track inventory, reduce product loss, and streamline the supply chain. Whether you’re dealing with product movement, storage, or transportation, an effective pallet management system is crucial for keeping things running efficiently. Many Australian pallet companies are now leveraging advanced technologies to help clients stay compliant with industry standards and regulations.

In this post, we’ll explore 10 best practices that can make your pallet management system more efficient and cost-effective, ultimately improving your logistics operations

1. Pallet Tracking

In today’s world, technology plays a crucial role in pallet management. Using barcodes and RFID tags to identify pallets, companies can track stock movement across the supply chain with ease. Pallet tracking software automates data entry, reducing human error and improving accuracy. This means businesses can monitor their pallets in real-time, minimising stock loss and improving overall operational efficiency. With advanced systems in place, Australian pallet companies can manage inventories with minimal manual handling, ensuring accurate tracking and reducing the risk of errors. If you decide not to embrace this level of technology both Pallet Watch and 2ic pallet software provide tracking software requiring manual entry, data import and API connectivity to your Transport or Warehouse management systems.

2. Optimised Storage Systems

Proper pallet storage is essential to maximising warehouse space and ensuring easy access to goods. A well-organised pallet control system ensures that storage is efficient, with pallets stacked in a way that allows for proper airflow and minimises overcrowding. This is particularly important for industries such as food and beverages, where air circulation is crucial. By optimising storage, businesses can retrieve products faster, reducing delays in picking and shipping.

3. Standard Pallet Sizes

Consistency is key when it comes to pallet management. Using standard pallet sizes ensures compatibility across different supply chain systems, whether sea, air, or road. Standardised pallets make inventory management simpler; help streamline the movement of goods, and reduce space wastage in warehouses. They also pass through customs and quarantine systems smoothly, helping companies comply with regulations and avoid delays.

4. Optimised Inspection Systems

Routine inspections are vital to maintaining a smooth operation and minimising disruptions. An effective pallet control system enables regular inspections, making it easy to spot damaged or broken pallets. Pallet repair systems are crucial for maintaining product integrity and preventing workplace accidents. By keeping pallets in good condition, businesses can reduce costs related to damaged goods and maintain a safer work environment.

5. Clear Pallet Control Policies

Having a well-defined policy for pallet returns is essential for maintaining accountability and reducing discrepancies in inventory management. Clear guidelines around pallet returns, along with a structured pooling system, ensure that both suppliers and companies fulfil their respective obligations. In Australia, following these guidelines helps maintain stock levels and reduces the likelihood of missing pallets, which can disrupt operations.

6. Embrace Technology

Manual pallet management can be time-consuming and error prone. By embracing technology, businesses can automate many aspects of pallet tracking, inventory management, and logistics coordination. Warehouse Management Systems (WMS) and Enterprise Resource Planning (ERP) software are excellent tools for streamlining operations, providing real-time data on pallet movement and inventory. With automated systems, businesses can reduce human error and make informed decisions based on accurate, up-to-date information.

7. Cost Control

Effective pallet management isn’t just about optimising operations; it’s also about controlling costs. By tracking pallet usage and analysing data, businesses can identify areas where costs are exceeding budget, making it easier to implement cost-saving measures. Regular reviews of financial performance within pallet control systems are essential to ensure that costs are in line with business objectives. This kind of monitoring helps prevent operational inefficiencies that could lead to profitability challenges.

8. Staff Training and Development

A crucial component of effective pallet management is staff training. Employees need to be well-versed in proper pallet handling techniques to prevent damage and injuries. This includes training in the safe operation of logistics equipment like forklifts. Additionally, staff should be familiar with the company’s pallet control systems, such as those in Queensland, to ensure safety and efficiency. Regular training ensures that employees adhere to health and safety regulations, creating a safer and more productive workplace.

9. Sustainable Pallet Management Practices

Sustainability is becoming increasingly important in logistics. One way to make pallet management more eco-friendly is by recycling pallets instead of discarding them after one use. This reduces the need for new pallets, cutting down on manufacturing waste and lowering carbon emissions. Many Australian pallet companies are investing in eco-friendly materials and sustainable production processes to help reduce the environmental impact of their operations.

10. Pallet Pooling

Managing a pallet fleet can be resource-intensive, especially for businesses with multiple depots. To alleviate this burden, many companies turn to pallet pooling. Pallet pooling involves outsourcing the management of pallets to a third-party provider, allowing businesses to focus on their core operations. This practice ensures that pallets are always available when needed, reducing the need to purchase, recover, and maintain additional pallets. It’s a cost-effective and efficient solution for businesses with a widespread distribution network.

Conclusion

An effective pallet management system is critical to maintaining smooth logistics operations, reducing costs, and improving inventory management. By implementing these 10 best practices, businesses can optimise their pallet systems, ensure better product flow, and improve overall operational efficiency. Whether you’re using advanced technology or focusing on staff training and sustainable practices, the goal remains the same: a streamlined, cost-effective, and safe pallet management system that supports your business’s long-term success.

For all your pallet control system needs, please visit the Precise Pallet Management website for more details. Our email address is connect@precisepallets.com.au, and the phone number is (03) 9020 4700. 

 

Pallet Management Services: Enhancing Efficiency and Safety in Supply Chains

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Pallet management services are a key components of the logistics and supply chain operations of many businesses. However, pallets are often overlooked at distribution sites. Storage facilities and fulfillment centers have many facets to manage, and thus, pallet management often takes a backseat. This is where pallet management services come to the rescue. Outsourcing these services can significantly and positively impact operational efficiency, cost-effectiveness, and sustainability. In this blog, we’ll discuss five reasons to invest in pallet management services.

1. Reliable Pallet Supply

To run an efficient warehouse, you need a dependable pallet supply source. This becomes especially important if you operate a high-volume facility with a large inventory. If you don’t have pallets to place the products on, it can slow down or even shut down the entire operation. Today, the demand for pallets is much higher due to increased shipping demands in consumer and other business sectors. Pallet management services can simplify pallet control and are responsible for lost pallet recovery.

2. Optimized Use of Space

With large operational areas, it becomes incredibly challenging to manage hundreds of pallets in-house. In cases of low pallet stock, facilities often encounter the problem of leaving inventory stacked on the floor. This naturally takes up a lot of valuable space, reducing productivity and increasing the risk of stock damage.

Outsourcing pallet management services provides effective pallet control and organization. They reduce the burden on the facility by making the best use of space possible and removing and replacing decommissioned pallets before they start causing losses and obstructing operations. With pallet management services, workers can store and move items more effectively, saving both time and cost.

3. Increased Safety Standards

Having an adequate supply of pallets is what every facility wants; however, having too many at your location can pose a safety risk for your staff. Unused pallets can occupy your site and increase tripping hazards, potentially resulting in severe injuries for employees. Keeping pallets for too long can also result in damaged or broken pallets entering the workflow, increasing the likelihood of pallet failure, which could be detrimental to operations or lead to product damage.

This is where pallet management companies come to your rescue! They arrange removal damaged pallets and ensure high-quality replacements, taking the danger out of your facility. 

4. Access to Quality Repairs

Businesses that leverage pallet pooling systems not only remove old pallets and supply shippable ones but also offer repair services that can repurpose your more specific or costly pallets. When pallets sustain minor damages, fixing them is much more affordable compared to replacing them entirely. With knowledgeable staff, pallet management services can develop a pallet recovery and repair program in a reasonable amount of time.

For facilities, it’s sometimes challenging to manage pallet needs with what’s available to buy. Many pallet management services offer valuable insights to help facilities make the best decisions for their warehouses. This helps you spend your money wisely, reduce costs, and reinvest in your establishment.

Conclusion

Investing in pallet management services enhances operational efficiency, optimizes space, improves safety, and ensures access to quality repairs. By providing reliable supply, effective organization, and expert repair solutions, these services streamline logistics, reduce costs, and support sustainability, ultimately boosting your warehouse’s productivity and long-term success.

The Unsung Heroes of Logistics: Pallets and Their Crucial Role in Supply Chain Management

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Pallet Control Adelaide

Pallets are the backbone of logistics and supply chain management, silently carrying the weight of industries worldwide. Whether in bustling cities like Sydney or quieter regions like Tasmania, pallets keep goods moving efficiently. Yet, the world of pallets is more intricate than it first appears. From ensuring a steady supply to reducing losses and improving tracking systems, businesses need a firm grasp on pallet control. In this article, we will dive into the importance of pallet plastic, pallet tracking, and effective pallet control across various regions in Australia, including New South Wales (NSW), Tasmania, Perth, and Brisbane.

The Rise of Pallet Plastic: A Game Changer

Traditionally, pallets have been made from wood. But over the last few decades, pallet plastic has become a popular alternative, and for good reason. Plastic pallets are not only more durable but also provide a cleaner, lighter, and more consistent solution for businesses.

From my personal experience managing logistics in a local retail business, we made the switch to plastic pallets a few years ago, and it’s been a game-changer. Plastic pallets don’t splinter, are weather-resistant, and can be easily sanitized, making them perfect for industries like pharmaceuticals and food where hygiene is critical.

Key benefits of pallet plastic include:

Longevity: They have a much longer lifespan compared to wooden pallets, which can break or deteriorate over time.

Reduced weight: Easier handling for workers and reduced shipping costs.

Environmental benefits: Often made from recycled materials and can be recycled again at the end of their life.

For companies operating in extreme weather conditions, like those in Brisbane’s tropical climate or Tasmania’s unpredictable winters, plastic pallets provide an extra layer of reliability and ease of use.

The Importance of Pallet Tracking

Keeping track of pallets may not sound like the most exciting part of logistics, but it’s one of the most crucial aspects. Imagine trying to run a warehouse or a busy shipping operation without knowing where your pallets are—it would be a nightmare! Pallet tracking helps companies stay organized and avoid unnecessary losses.

One of the challenges I faced when managing a logistics project was the frequent misplacement of pallets. We would often waste hours searching for misplaced pallets, leading to delays and unnecessary costs. Introducing a pallet tracking system was like a breath of fresh air—it completely changed how we operated.

With pallet tracking, companies can:

Monitor the location of each pallet: Whether in a warehouse or during transit.

Track the movement history: Understanding the journey each pallet takes can help improve efficiency.

Identify loss or theft: Reducing the number of ‘missing’ pallets can save significant money.

Optimize usage: Knowing which pallets are in use and which are sitting idle allows for better resource management.

Modern pallet tracking technologies use RFID chips, barcodes, or GPS, ensuring real-time updates on the status and location of pallets. In regions like NSW and Perth, where industries operate at a large scale, pallet tracking is no longer optional but a necessity.

Pallet Control in New South Wales (NSW)

When it comes to pallet control in NSW, the state’s vast economy demands precise and efficient pallet management. Whether it’s manufacturing, retail, or agriculture, NSW businesses rely heavily on robust pallet systems to ensure their goods move smoothly across the region.

My cousin, who works for a mid-sized logistics firm in Sydney, often shares stories about the challenges they face when managing thousands of pallets for their clients. Without proper pallet control, they could easily lose track of inventory, incur high costs, or delay shipments. Their secret? They’ve implemented a sophisticated pallet tracking system that integrates with their inventory management software, making pallet control a seamless process.

In NSW, pallet control helps companies:

Reduce losses from misplaced or damaged pallets.

Improve turnaround time for orders.

Streamline operations by ensuring pallets are always in the right place at the right time.

Pallet Control in Tasmania

Tasmania, with its more rural setting and smaller population, faces unique challenges when it comes to logistics. However, just because it’s a smaller state doesn’t mean pallet control in Tasmania is any less important. In fact, due to the state’s geographic isolation, efficient pallet management is critical.

From the booming salmon farming industry to the fresh produce sector, businesses in Tasmania rely on reliable pallet control to get their products to mainland Australia and beyond. In my own travels to Tasmania, I’ve seen how essential pallets are to the island’s agricultural sector, ensuring products like apples, berries, and dairy reach supermarkets across the country.

Effective pallet control in Tasmania helps businesses:

Minimize transportation costs by optimizing pallet loads.

Ensure product safety, especially for fragile or perishable goods.

Track pallets across regions for better logistics planning.

Pallet Control in Perth

Over on the west coast, pallet control in Perth takes on a different flavor. As one of Australia’s most isolated major cities, Perth faces the dual challenge of long-distance shipping and regional supply chain management.

Several years ago, I worked on a project in Perth that involved transporting mining equipment to remote sites. Having an efficient pallet control system was essential. Without it, we would have faced significant delays, not to mention the added cost of replacing lost or damaged pallets.

For businesses in Perth, the benefits of pallet control include:

Efficient management of large-scale operations, especially in industries like mining and agriculture.

Reduced downtime by ensuring pallets are readily available for loading and shipping.

Cost savings by avoiding the need for constant pallet replacements.

Pallet Control in Brisbane

Lastly, let’s turn to Brisbane, a city known for its dynamic economy and growing infrastructure. As Brisbane’s industries expand, so does the need for better pallet management.

When I visited a friend’s warehouse in Brisbane, I was surprised by the size and scale of their operation. They dealt with everything from consumer goods to heavy machinery, all of which relied heavily on pallet systems. Implementing an advanced pallet control system allowed them to manage their stock more efficiently, improve tracking, and reduce losses due to damaged pallets.

For Brisbane’s businesses, pallet control ensures:

Improved scalability, allowing them to handle both small and large shipments.

Enhanced stock control, reducing errors in shipping and receiving.

More reliable shipping times, which is crucial for customer satisfaction.

Conclusion

Pallets might seem like simple tools, but they play a crucial role in keeping the wheels of commerce turning. From the flexibility and durability of pallet plastic to the necessity of precise pallet tracking systems, businesses in NSW, Tasmania, Perth, and Brisbane need to invest in effective pallet control.

In the fast-paced world of logistics, staying on top of your pallet game can mean the difference between smooth operations and costly disruptions. So, whether you’re in a warehouse in Sydney or shipping goods from Tasmania, take a moment to appreciate the humble pallet—your business depends on it!

Maximizing Efficiency with Effective Pallet Management

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Pallet Management

Pallets are essential for cargo protection, bulk shipment, and damage reduction. They also promote stock organisation, making them a crucial feature of modern supply chain systems. Through pallet management services, businesses can streamline operations and improve communication systems. This blog explores key factors for effective pallet management.

Establishment of a Detailed Pallet Policy

Formulating a viable pallet policy and communicating it to customers and suppliers is crucial. All parties must understand the terms and conditions to minimize misconceptions and disputes. Align your policy with industry standards to safeguard accountability and integrity, avoiding legislative arguments that may disrupt operations.

Use of Web-Based Software

Utilise web-based software systems to reduce human input and minimise errors. These systems enhance the effectiveness of your operations by generating up-to-date reports and trading partner details which ultimately improve your return on investment.

Understanding Your Supplier’s Invoice

Understanding your supplier’s invoice is essential for accurate payments and identifying irregularities. Recognise different aspects of the invoice, such as the on-hire balance and invoice cost, to detect inconsistent patterns and overpriced equipment.

Creation of Monthly KPI Reports

Monitoring pallet account trends is crucial. Understand issues like account variance, flowthrough ratio (FTR), and exception rates. These factors are relevant to cost control initiatives and indicate the need for staff training and process improvement.

Selecting Your Pallet Controller Carefully

A competent pallet controller is vital for reducing costs and ensuring profitability. They should understand the commercial impact of pallets in the supply chain and possess excellent communication skills. Whether in-house or outsourced, a skilled pallet controller is a major step towards a smooth supply chain and efficient operations.

Pallet Pooling

Pallet pooling, a circular economy concept, involves companies sharing pallets. This strategy reduces procurement, management, and recovery complications, lowering the Total Cost of Business (TCOB) by eliminating the responsibilities of managing a company’s pallet supply.

Auditing Your Processes

Auditing helps identify potential pallet losses and errors. It reveals weaknesses in staff performance and business processes, allowing for corrective measures such as staff training, process improvement, and compliance reporting.

Weekly Reconciliation of Your Invoices

Reconcile your pallet account weekly to safeguard transaction accuracy. Verify expected transfers and investigate unexpected ones. Weekly reconciliation is more manageable and effective than monthly, ensuring efficient operating systems.

Addressing Issues from Their Root System

Set deadlines for weekly and monthly workflows to recover lost pallets promptly. Addressing issues when pallet movements are fresh in mind and documentation is available simplifies the recovery process and reduces future risks.

Summary

Proactive management practices in pallet control are crucial for maximising effectiveness and minimizing expenses. Key practices include:

    1. Clearly Defined Policies

    2. Automation Technology

    3. Understanding Supplier Invoices

    4. Monitoring KPIs

    5. Selection of Competent Controllers

    6. Sustainability Considerations

    7. Routine Audits

    8. Timely Invoice Reconciliation

    For the best pallet solutions in Australia, contact Precise Pallet Management today. PPM provides expert services to maximize pallet recoveries and minimize losses, saving time, effort, and resources.

    Best Pallets for Your Business

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    Chep Pallets

    Pallets are flat structures that support mechanical equipment like forklifts and can sometimes be moved by pallet jacks, front-end loaders, and cranes.

    Pallets’ primary goal is to facilitate the smooth movement of items and prevent damage. Although their load handling capacity varies, most can withstand a significant size and weight. Therefore, pallets are essential in the logistics industry.

    Table of Content:

    Advantages of Pallets

    Pallets are environmentally friendly products that can be reused and disposable without violating environmental preservation principles. Some are made of wood, plastic, and metal.

    Pallets are configured differently in design; some are assembled in a reversible format, and the rest are designed in stackable structures. Both structures are advantageous for packing and storing products in high-rise and generic locations.

    Why Do They Vary in Configuration?

    Each pallet is configured according to its intended use or purpose. Some are designed to carry heavy loads, while others can be used for light tasks. Depending on the nature of your business, it is advisable to research and understand various facets of the product.

    Therefore, one must refer to the recommended guidelines before buying or hiring high-quality pallets. That includes CHEP pallets and Loscam pallets Australia. The following are ISO standard size pallet sizes that must be used as a guide;

    • 1200mm x 1000mm (North America)
    • 1000mm x 1100 mm (Aisa)
    • 1165mm x1165mm (Australia)
    • 800mm x 1200mm (Europe)

    What Are the Types of Pallets?

    Pallets present in various types and forms, each classified based on the material used to manufacture them. Like any other product, every kind of pallet has advantages and disadvantages. Pallets can also be configured in different sizes and shapes to align with work specifications.

    One of the categories draws its strength from the horizontal boards called stringers. They also have top and bottom decks that aid in weight bearing. The following is a description of the most widely used pallets;

    1. Injection-moulded pallets

    This category of pallets is injection-moulded in structure and comes in different colours and sizes. They weigh less than wooden pallets and are easy to stack on storage fixtures, particularly in warehouses.

    HDPE injection-moulded pallets last longer because they can withstand corrosion. They can also be recycled; the material is water resistant, so they can be cleaned using water. This type of pallet is commonly used in the food and pharmaceutical industry, considering expectations of high standards of hygiene and sanitation.

    1. Stringer Pallets

    Stringer pallets are recognised for providing more substantive support than block pallets. Given their design configuration, they provide additional reinforcement through the two boards between the top and bottom decks.

    They also have another support structure that runs through the centre of the structure.

    The pallet can only be lifted through the open sections based on the design and configuration. Those with a notch or four-way stringer pallets cut in the stringer, enabling the forklift to pick them easily. According to Australian standards, the CHEP pallets and Loscam pallets are most often classified as stringer pallets.

    1. Double-wing pallets

    Double-wing pallets are convenient because they can transport many products. The top and bottom decks extend beyond the stringers to facilitate additional surface area. These nonstandard-sized pallets

    sometimes cause transportation challenges, so it is important to verify with the supplier before acquiring the product.

    Roto Moulded Pallets

    Rotational moulding is the process applied when designing roto-moulded pallets. These pallets are affordable and available in different sizes. They can be modified to increase their load-bearing capacity by adding steel frames. Roto-moulded pallets are used in industries where hygiene is prioritised.

    1. Double-Face Pallets

    Double-face pallets are designed with both the top and bottom surfaces. The bottom deck increases strength and helps to distribute the weight evenly across the load. Considering that they have the top and bottom decks, they can be used on either side. Double-face pallets are commonly used in heavy-duty industries.

          2. Solid Deck Pallets

    A solid deck pallet consists of a single, continuous sheet of plastic, wood, or metallic material without a gap between them. The design provides a flat surface for the load.

    Solid deck pallets prevent items from slipping through the gaps, giving them outright support for the load. They are suitable for moving small items that would otherwise slip through gaps if transported through other versions of pallets.

    How Do You Choose the Best Pallet for Your Company?

    Pallets are essential for storing and transporting items. The type, size, and loading capacity of the pallets required for your business’s operations will depend on your business’s nature.

    Plastic pallets, such as those from CHEP Australia and Loscam Pallets Australia, can be recycled. They also have a longer life span than wooden pallets. Based on these qualities, plastic pallets are the most widely used type of pallet.

    What Are the Key Factors to Consider When Choosing Pallets?

    1. Dimensions of packaging:

    The dimensions of your packaging, such as the height, width, and quality of items, determine the selection of a pallet.

    1. Shipping Destination

    Your pallet selection must be consistent with the ISPM 15 regulations, especially for companies intending to transport items offshore or overseas. Given the volume of international trade in Australia, pallets like Chep and

    Loscam Pallets have gained popularity. However, verifying the pallet

    relocation costs is essential before choosing one that suits your situation.

    Budget

    Minimising transportation and delivery costs is expected in the packaging industry. Your budget plays a critical role in your choice of pallet. Research has shown that hiring pallets is more cost-effective than acquiring them as part of capital expenditure.

    1. Product Type

    Your product is the key factor determining the pallet type to be used. The weight of the commodity, given the variations in their weight-bearing capacity, affects your choice of pallet. Depending on the product that

    needs transportation, you can choose between wood, plastic, or metal pallets. For example, Loscam Plastic Pallets are ideal for food and beverages. In fact, options such as crates and beverage trays are available at CHEP and Loscam Pallets.

    2. Frequency of use

    If your shipping frequency is low, it is advisable to use reconditioned or second hand pallets. However if your frequency of use is high, it is important to choose materials with high readability thresholds.

    3. Conditions of transportation

    Different conditions determine the choice of a suitable pallet. These include temperature, storage conditions, and duration of transit. Pallets made of wood or paper are affected by moist conditions; hence, they are unsuitable for moist or wet conditions.

    Summary

    Therefore, it is important to consider the following factors when choosing a pallet type:

    • Product type
    • Frequency of use
    • Budget (Financial Status)
    • Shipping Destination
    • Packaging Dimensions
    • Transportation Conditions

    Every type of pallet like wood, plastic or metal presents with unique specific advantages. That makes it imperative to assess the underlying factors buying or hiring pallets from suppliers like CHEP Australia or Loscam Australia for use in your business.

    Pallet Management Services

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    Pallet Management

    Pallets are essential for cargo protection, bulk shipment, and damage reduction. They are also convenient for inventory management because they promote stock organisation. Pallets are a crucial feature of modern supply chain systems.

    Pallet services include managing companies that rely on inventory. Through pallet management services, businesses can streamline operations and improve communication systems.

    It is essential to consider these factors for pallet management: 

    Establishment of a Detailed Pallet Policy

    It is important to formulate a viable pallet policy and adequately communicate it to your customers and suppliers. All parties must

    understand the terms and conditions governing the pallet policy, which will minimise misconceptions and disputes related to the handling of pallets.

    Your pallet policy must be aligned with those of your counterparts in the same industry to safeguard accountability and integrity. The policy must underscore fair trade rules and regulations to avoid disputes or legislative arguments that may disrupt your operations. In addition to the setbacks, unconstitutional policies will affect your networks and partnerships.

    Use of Web-Based Software.

    Pallets rely on a system similar to a copy paper-based system, but that doesn’t mean you can’t use technology. Web-based software systems

    reduce human input and minimise the incidence of errors, which enhances the effectiveness of your systems when generating up-to-date reports. The major limitation to your success will be your return on investment,

    something that the skills and services of a pallet management provider.

    Understand Your Supplier’s Invoice

    The invoice delivered by your supplier is an essential document given that it summarises your transactions. When you understand the invoices, your payments will also be accurate, with no possibility of overpaying your

    supplier. When you understand the invoice, it is possible to identify

    different aspects of the invoice, such as the on-hire balance and invoice

    cost and identify irregularities. It is also possible to detect inconsistent patterns and overpriced equipment. In the event of an overpriced equipment, the error can be rectified as long as it is detected on time.

    Creation of Monthly KPI Reports

    Pallet account trend monitoring is a crucial component of the Pallet Management Procedure. Companies need to understand the issues of account variance, flowthrough ratio (FTR) and the exception rate. All these factors are relevant to your cost control initiatives.

    A negative variance indicates an overpayment. FTR signifies a variance shift and a high exception rate affects the accuracy of your reporting. The scenario will indicate the need for staff training and process improvement. Understanding the above concepts is important to achieving a viable pallet management process.

    Select Your Pallet Controller Carefully.

    Having a competent pallet controller is an integral step in the right

    direction. A pallet controller’s responsibility is to reduce costs and ensure that the company operates from a profitable position by minimising losses.

    One of the key qualities of a pallet controller is to understand the commercial impact of pallets in the supply chain system. He must be an effective communicator with excellent interpersonal skills.

    Depending on the company policy, some businesses prefer to have an

    inhouse controller and others outsource third party controllers to capitalise on the expertise.

    Whatever option the business may choose to operate on, the move will

    help in terms of eliminating unnecessary costs emanating from poor pallet control services. Therefore, a competent pallet controller will guarantee a smooth supply chain system and efficient operations.

    Pallet Pooling

    Pallet pooling is a circular economy concept in which companies share pallets. The strategy reduces the complications of procurement, management, and recovery processes. Instead of buying pallets, some

    companies rent them and outsource the management part of the process. Pooled pallets reduce waste and lower the Total Cost of Business (TCOB)

    because they eliminate the responsibilities of managing a company’s pallet supply.

    Auditing Your Processes

    Auditing is an investigative process that is designed to identify potential pallet losses and how the errors were committed. The process helps the business to identify irregularities which can be the weaknesses in staff performance and business processes.

    Based on the audit’s findings, the business can implement corrective measures such as staff training, process improvement, and compliance reporting.

    Weekly Reconciliation of Your Invoices

    Your pallet account, like a bank account, deserves reconciliation to safeguard the accuracy of your transactions. It is also essential to verify the expected transfers and identify the unexpected ones for further investigation.

    Invoice reconciliation may be as simple as correcting dates, quantities, and types of equipment and rejecting transfers. The recommendation is that

    the company opt for the weekly invoice package instead of the monthly option.

    It is easier to manage an error within the week it was committed than rectify the mistake after a month. Therefore, reconciliation is vital in maintaining efficient operating systems.

    Addressing Issues from Their Root System

    Set deadlines for your weekly and monthly workflows to recover lost pallets and address the matter as soon as it is identified. When a pallet movement is fresh in the minds of those who handled it and documentation is available, the process of recovering your pallets becomes much easier. Using your documentation to recover lost pallets is not an effective strategy, especially if the documentation is incomplete.

    Backdated records of pallet rental are not the best way to trace and recover lost pallets. The strategy’s outcome will improve the process and reduce recurrence, hence managing future risks.

    Summary

    Proactive management practices in pallet control are crucial for maximising the effectiveness of pallet management and minimising expenses. These include:

       

        • Clearly Defined Policies

        • Automation Technology

        • Understanding Supplier Invoices

        • Monitoring KPIs

        • Selection of Competent Controllers,

        • Sustainability Considerations

        • Routine Audits,

        • Timely Invoice Reconciliation

      If you are searching for the best pallet solutions in Australia, contact Precise Pallet Management today. PPM provides expert services to maximise pallet recoveries and minimise losses, saving time, effort and resources.

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      In-house pallet control has a high turnover rate, with staff members often not staying in the role for extended periods of time. This could be due to the unique skillset required for the complex, sometimes cumbersome, and hard going position. This can impact your business negatively in several ways and it is important to consider this fact when choosing how to best manage your pallet account. 

      One factor that’s often overlooked is the impact staff turnover can have on your pallet control processes. 

      Pallet control is a very niche skill that requires specific knowledge. That knowledge only comes with experience. When you have pallet control skill gaps, the risks can be detrimental to your business and it can happen fast, but take months or years to fix. 

      The training and experience required to become an exceptional pallet controller is not easily passed on in a quick replacement handover when there is a staff change or due to absence. 

      Skill gaps in your pallet control process leads to: 

      • Recoveries not being actioned in a timely manner, incurring extra hire day costs.
      • Queries and claims from your customers remaining unactioned
      • Discrepancies on invoices being left past the date range possible to make corrections
      • Missing pallets not being spotted or recovered
      • Untrained pallet controllers often don’t even know what to look out for 
      • Gaps in software programs to complete the tasks required. 
      • Transfers not being processed with the suppliers. 

      If you choose to have an in-house pallet controller it is vital to cross-train multiple employees to the same standard as your dedicated pallet controller. Keep the cross-trained staff up to date with all things in the pallet management space so if the moment strikes, they are able to step in and competently continue to best manage your pallet account. Ensure they have full knowledge of your processes, software and ongoing issues. 

      PPM is an outsourced pallet management company, wholly dedicated to pallet management and control. PPM offers their clients a security blanket in the sense you are always covered. We are a whole company dedicated to pallet control with many employees trained to the same standard and replacements are always available and able to look after your pallet accounts to the level you have come to expect. 

      With 18 years in the pallet business, PPM, offers extensive staff training programs providing an excellent service you can rely on consistently, without the fear of staff turnover negatively impacting your supply chain and bottom-line. 

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      Monthly Pallet Count

      What is a pallet stocktake and why does it matter?

      A lack of visability is often why business leaders pay hire on pallets they are no longer using and end up paying the hirer for lost pallets. It becomes expensive and the only way to see it coming is to conduct regular pallet counts. We suggest monthly and on the same day as your reconciled pallet hire invoice.

      DOWNLOAD OUR 2021 stocktake count calendar.

      If you want to know how much money a business has you can’t just look at the bank account. You need to consider accounts payable, accounts receivable as well as owed entitlements and tax obligations. It is the same for pallets.  You can’t just look at your on-hire balance and compare it to the number of pallets in your warehouse. 

      Once you have a physical count add any pallets that are owed to you and deduct any pallets that you owe to others, software makes this step easy. This is your adjusted count. 

      Next, take the on-hire balance from the invoice, add ‘transfers on’ that have not been processed yet and deduct unprocessed ‘transfers off’ to arrive at your adjusted on hire balance. 

      The difference between your adjusted count and adjusted on hire balance is your variance and a deficit means you have lost pallets, you are overpaying on hire and you are liable for the loss. A downward trending deficit means that you are still losing pallets and need to give us a call or at least make a change in your business.

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