When charged with managing or controlling your pallets in the shipping and receiving department of your business, there are some common problems many face, regardless of business size. What you may not know how to do is take control of these problems before you lose too much money. Outsourcing this logistics headache to a pallet management company can help you untangle the mess of problems you face.
Common Problems with Pallets and Other Shipping Equipment
Losing track of the shipping equipment is quite common and problematic. Sometimes, the equipment is deemed lost so you end up paying the equipment hiring company lost equipment charges. However, if they do turn up, you likely will never know and aren’t likely to receive a refund.
Late declaration fees may be charged to you because of misfiled or late submission of equipment transfer papers. If you are juggling several different kinds of pallets from different hiring companies, it can be tough to keep them all straight, especially if you are using a combination of them in one shipment. Unless you have some good tracking software such as that done by a specialty company, it can be almost impossible to manage this equipment properly due to it being done manually.
Because of late pallet pickups, you could end up paying more for the hiring than necessary. In addition, pickup may not be as aggressive as they should be and this means the client ends up storing the shipping equipment used. If they need their space back, they might end up throwing the equipment away or leaving it out where there is the potential it will be stolen.
Perfectly functional shipping equipment may be swapped in transit for damaged ones so you end up footing the bill for damage fees. How would you know if this actually occurred if not for the diligence of your pallets management company on retainer? Lack of training, holiday mishaps, lack of verification from different sources, and confusing pricing structures and rules also play a part in managing your shipping equipment effectively.
Resolutions
The good news is an equipment management company can follow the paper trail (or lack thereof) and find the breakdowns. They can help you recoup some of the overage payments as well as prevent invoice markups. If necessary, they can physically visit trouble sites to find the problems.
Negotiating new contracts with the hiring companies is a part of the management company’s job as is forecasting for future needs. Pallets are a necessary and even vital part of many businesses supply chain operations but they also can be a drain on operations finances if left unmonitored for too long. Outsourcing to a pallet management company is a smart, fiscal move that will keep your shipping and receiving department operating smoothly and efficiently.
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About the Author:
Interested in learning more about professional services that can help you save on the cost of pallets? Visit the website of B&M Associates at http://www.bmpallets.com.
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