In business, there is nothing more important than saving and cutting costs. The more you are able to save, the more you are likely to see an increase in profits and revenue for the business and the company. One area of work where it makes all the sense to cut costs is in the supply chain area. Often time’s companies purchase things which they can simply get by using a service or a pooling agreement. These are mostly reusable and returnable equipment, which are not necessarily the need in any business. You can simply borrow or hire them.
The theory of pooling one particular asset to help businesses has been proven to be highly effective. Especially in the supply chain business, things like this are extremely beneficial in a business which relies on minimising resource usage. One such resource, which is used frequently in places like docks and cargo holds, is the pallet system. These are flat surfaces with wheels or no wheels at times, on which heavy loads can be placed and transported. They can be easily lifted using forklifts and moved around from place to place. A trivial piece such as a pallet is one of the main causes of companies incurring losses. They can get lost quite easily, and with no proper way to keep track of hundreds of thousands of these things, it might be very hard to get a hold the whereabouts each pallet.
How can you Curb this Issue?
Pallets are mostly made of wood or metal, in some cases expensive plastic polymers. These things are very easy to carry around, and hence, theft or misplacement is common. The one obvious solution is to pool all of them, i.e. all the companies that operate in docks come together to use all of their pallets. This can work very well if managed correctly, as there will be cases when there is the requirement of a big amount of pallets for important shipments and if the dates coincide, then it could get catastrophic.
The best idea would be to rely on a company which distributes pallets and personnel. Such a solution solves two major problems; the first one being buying and taking care of pallets, which also means your inventory of pallets is not limited and can use as per demand. The second one is that the company or service will provide you with a fixed number of pallets wherever and whenever along with the personnel to ensure your product gets moved around from place to place in the required time.
All of this means that you are not expending too many resources; in fact, the only expenditure is the fee to the company, and that also can be a good deal if you tie a contract with the pallet supplying service. Such a solution is the best way to go forward if the business is highly reliant on the supply chain. It will also mean your expenses are only a one-time investment and you need not worry about any of the logistical support required.