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  • Pallet/ULC pooling

    Pallet/ULC pooling has become increasingly popular around the world over the last 25 years. There is, however, some confusion about how it all works. Some explanation is given below. 1. 1. Pallet/ULC pooling Pallet/ULC pooling is basically renting or leasing Pallet/ULCs from a shared pool, regionally, in country or globally. The Pallet/ULCs are provided on an agreed hire charge with the Pallet/ULC provider/supplier invoicing an account holder on a specified basis. The Pallet/ULCs remain the property of the leasing/renting company. This service enables companies to hire as many Pallet/ULCs as required to complete their deliveries and to cover the distribution or storage requirements. When the Pallet/ULCs are moved to the next link in the logistics chain, or are no longer needed, they can be returned or transferred off their Pallet/ULC account and the lease / hire charges stop. Pallet/ULC pooling is now a popular economic model which supports cost reduction. Businesses now do not need to buy new Pallet/ULCs for each delivery or maintain their own Pallet/ULC pool. flexibility and cost reductions will soon be realised as Pallet/ULCs are only taken when needed and returned when the tasks are completed. Businesses are taking more responsibility of the environmental impact of their logistics and supply chains through this additional ability to reuse and recycle assets. 2. How it works Instead of tying up working capital to purchase own assets these assets are basically rented from specialist suppliers. It is important to ensure you are fully aware of all transactions because other account holders may also be performing transactions on your account depending on the type of activity your product is involved in. Customers should be able to ensure all the transactions both on and off your account are correct, good TMS or Integrated Platforms can do this with you so your account remains in good order. Once a Pallet/ULC account is opened with an appropriate service provider, Order the number of Pallet/ULCs you need from a supplier, for this there will generally be a document (electronic in most cases) for controlling the product. Arrange delivery or collection from the supplier location. The Pallet/ULCs are delivered to you or your client whenever you have set the drop date. Responsibility for the Pallet/ULCs, once delivered, goes to the user so you should control the operation of your transfers. When using the Pallet/ULCs with your products, and despatching them to your customers, you will need to control the account changes. It is essential that you ensure the Pallet/ULCs are taken from your account and transferred to the receiving party using an electronic transfer note or a paper docket. Every Pallet/ULC movement must be tracked with an electronic transfer note or docket, these can be created through a Pallet/ULC tracking system such as PalletizIndia has. Supplier invoices must always be reconciled with transfer notes - remember these assets do not belong to you - it is equally important to confirm the product on the pallet as it is to confirm the pallet transfer. Return excess or damaged Pallet/ULCs directly to your service provider, damaged Pallet/ULCs can be refurbished and returned to the supply chain. All transactions between the issue of Pallet/ULCs and returning them to the supplier is the responsibility of the account holders, therefore it is crucial to accurately track Pallet/ULC movements. 3. Lifespan for Pallet/ULCs Should a Pallet/ULC become unfit for purpose it can be refurbished, repaired, or even remanufactured which can bring the product back to life. Wooden Pallets and steel or plastic fabricated ULCs are the most common Pallet/ULC types and these can often last many trips before needing repair in fact this lifespan can often exceed 5 years. There are several rental/lease service providers in India today who offer repair services for all their equipment types, this increases the life span of the equipment significantly. 4. Benefits of a Pallet/ULC pooling Include: Significantly reduced tied up working capital, change from capex to opex! Reductions in administration and transaction costs. No, storing, repairing, tracking, and recovering Pallet/ULCs from the clients for reuse. Easy access to quality Pallet/ULCs without storing them onsite. The costs of repairing and refurbishing damaged Pallet/ULCs lies with the supplier. The environmental impact is clearly measurable and reduces the carbon footprint of the company. 5. Pallet/ULC exchanges or transfers Differing trading terms in the any marketplace means it is easy to lose control of your pallet/ULC account so you have to have good management of the account, or use a service provider to support you! Invoices should be reconciled to ensure each Pallet/ULC transaction has been processed along with the transfer of the product on the pallet. If a Pallet/ULC transfer processes with incorrect details you must correct it speedily so that it matches your account. Proof of delivery is required when adjusting or correcting, so it is important to ensure each Pallet/ULC movement is tracked effectively. 6. Pallet/ULC Returns You will have different options when it comes to returning your Pallet/ULCs to the service provider. And many LSPs will offer a collection service. Once the Pallet/ULCs are returned you will receive documentation for you to record and process on your account ensuring that the Pallet/ULCs are removed from your account and issued back to the supplier. 7. Ownership or pooling? Now you need to take the time to calculate the following regarding your supply chain: The purchase of Pallet/ULCs, the cost of safely disposing scrap Pallet/ULCs and maintenance of Pallet/ULCs (including lost products). Transport costs, such as handling, shipping, and returning the Pallet/ULCs from the receivers. Administrative costs, such as Pallet/ULC reconciliation of balances with parties and manufacture turnover. Once you have a baseline for your current transport costs you can calculate the difference in hiring those same Pallet/ULCs. 8. Account status With an active service provider account you will most likely have access your account with the providers online portal these services will allow you to understand if your transfers have processed so you can check against any invoice. 9. Pallet/ULC management. Pallet/ULC accounts can be managed by an inhouse account manager, or you can choose to employ an outsourced Pallet/ULC management company to complete the tasks for you. Either way, you should always have a dedicated Pallet/ULC controller, this ensures you are not overpaying on your Pallet/ULC hire and that you are not losing Pallet/ULCs. 10. PalletizIndia iPaaS is made to support you. Our links with service providers and our considerable experience managing accounts for clients can reduce the risk of losses from your account and ensure every aspect of your online pallet/ULC management meets your business expectations. #palletizindia #palletsdistribution

  • Palletisation grows in India

    References – extracts from AUTOMOTIVE LOGISTICS magazine over recent years The use of pallets in the Indian automotive sector is patchy and influenced by a lack of infrastructure but there are signs that palletisation is about to be embraced. Seldom in the history of Indian industry has the concept of movement & storage attained the levels of importance as it has today. In India, storage relevant to movement of goods from points of production to points of consumption has typically received scant attention. This attitude can be traced b ack to the state-controlled economy that was Indian’s main feature since independence in 1947, in which the economy faced constant shortages. How any goods–be it raw materials for production or finished products for consumption–moved on road or rail was immaterial because the condition in which they were bought never raised consumers’ concern. In a closed economy, availability itself was a boon. Dents–minor or major–were non-issues. But this was not to continue forever. Until very recently vehicles had hardly changed! Until now. Though global giants such as Glaxo, Cadbury, Coca-Cola and IBM have been present in India for decades before the economy was opened or even before independence, and were exposed to modern storage and movement methods, most of the rest of India Inc. were not privy to these best practices. However, the liberalisation of the Indian economy in the 1990s and the major foray of auto and telecom giants have brought about a major transformation. A brief review of the history of pallets suggests that they have been in use for close to a century now in the West and that their initial evolution was mostly driven by changes in lift trucks. Today, India may finally be catching up. Palletisation as a practice was only widely adopted around the Second World War by the US armed forces as it helped speed up distribution, improve space utilisation and free-up manpower (something much needed in India today). Since then, pallets have been widely used the world over by businesses to reap these (and other) benefits that have a direct positive impact on their bottom line. Today’s logistics professionals are faced with unprecedented pressure to drive costs out of their operations. In a supply chain that has the requisite infrastructural support, a pallet forms the backbone of an efficient operation, says a director of supply chain for Chep India, a company that specialises in renting out its storage equipment–pallets in particular–instead of outright sales. Low take-up of palletisation What’s the level of palletisation in the automotive segment? “It’s very low,” is the direct response from the head of logistics at Om Logistics. His words are as good as they say because Om Logistics has been servicing Maruti Suzuki, India’s automotive giant, right from inception. But why is palletisation so low? “India still believes in manual labour because of its abundant supply,” he says. Om Logistics services every conceivable automotive major for both inbound and outbound logistics. As a 3PL service provider, Om Logistics postulates that wholesale palletisation in the automotive segment has to come from the suppliers’ end– meaning the tier one and tier two vendors. With automotive production growing quickly, and the industry poised for a continued leap thanks to easy finance and growing economic indicators, there is considerably more pressure on auto component suppliers to get their items to the assembly line and thus help OEMs to churn out vehicles at a faster rate so that they don’t lose out on market share as a result of non-availability. Creating customer satisfaction must be the number one priority for every carmaker and supplier today since, unlike in the past when there was limited supply, today’s astute customer can move between one dealer and another and compare products. It’s a shortage of a different kind. Need for infrastructure improvement If Chep is to be believed, the low penetration of palletisation in the automotive sector is down to the fact that infrastructural developments in India, such as standardised and robust trucks, efficient highway systems and state-of-the- art warehousing, are still in their infancy and thereby reduce pallets to “an article of storage” in most cases. An assistant vice president, corporate SCM, Fiat India Automobiles, offers a wider perspective on the same issue: “First of all, very few vendors are using pallets for material supply due to cost pressures and other factors such as vehicle cube utilisation. Moreover, palletisation with corrugated or PP boxes [Polypropylene] is not recommended as stacking is not permissible with this type of material. Nonetheless, palletisation with standard crates and uniboxes (LogBiz ULC) is good to have a better cube utilisation during transit.” When space is a premium stackable Unit load containers (ULCs) are great from warehouse to vehicle to shop floor As a result, Fiat’s Ranjangaon facility, in the western state of Maharastra, has gone in for 40% palletisation. What is holding back a greater percentage of palletisation is a lack of awareness in the industry and simultaneous change in other packing materials (plastic or hard PP) as well as the non-availability of standardised side-opening trucks. One Director of Pilco Storage Systems, a Delhi-based manufacturer of storage systems including pallets, bins and crates, has been a regular supplier to Maruti Suzuki among other carmakers and tier one and tier two auto component vendors. “There was a time when Maruti used to face an onrush of trucks bringing in items from vendors and their waiting time used to be a minimum of three hours. This was a drain on time and resources. Palletisation, it was felt, would solve this problem and rightly so,” he explains. Unlike Chep, Pilco does not rent out but goes in for outright sales like Neel Kamal, another big name in this sphere. Pilco has boasted of 30% annual growth and is investing in Italian machinery to augment manufacturing to meet the unending appetite of the automotive sector, particularly in the passenger car sector. Stabilisation of sizes Sizes have more or less stabilised as far as palletisation is concerned. They are available in 1200 x 1200mm, 1200 x 800mm and 1000 x 1000mm. Sizes are not important, what matters is the cube utilisation of the vehicle. The key issue is how to achieve an optimum utilisation of vehicle space. “The industry is not matured as far as packaging and transportation is concerned, which is resulting in a lot of inefficiencies as far as pack density is concerned,” points out Fiat’s senior management. According to Fiat, current pack density, including returnable container supplies, is to the tune of 70–75%. Om Logistics’ adds, “Today, vehicle cube utilisation is done manually. Trucks are loaded haphazardly. There has been little, if any, scientific planning, though technology is readily available. But before technology can help us, standardisation of packaging should happen. Otherwise, even a supercomputer would find it extremely impossible to yield optimum results.” Notwithstanding these hardships, there is a general belief that a system orientation will happen in India, resulting in better space utilisation. Why? Because everyone desires better returns. Better space utilisation for tier one and tier two vendors would mean increased business opportunity for every trip to the assembly line. For transporters or 3PLs, this would also mean higher mileage and higher returns since there would be more volume carried. Transport as an asset-yielding returns is all about maximising volume and distance. Even for carmakers, better pack density or vehicle space utilisation can help to justify a just-in-time logistics strategy justification. It is a win-win for all stakeholders. Pallet trailer in action Vehicle design is another area for innovation and improvement. A truck with three side openings is yet to happen effectively in India (LogBiz/Palletizindia transport has this), with the exception of major soft drink companies for retail distribution. Vehicle designers and manufacturers claim that designing this vehicle wouldn’t be a problem and that there is no dearth of domestic talent in terms of design and fabrication. “Let the customers place orders and then see,” says one Pune-based heavy commercial vehicle manufacturer. Who will be the first to jump? But the question is who will be the first to take the plunge for increased palletisation, OEMs or tier suppliers? Both of them know that the usage of palletisation means a lower incidence of damage. In addition, palletisation would result in a higher percentage of ready-to-assemble components that would, in turn, result in a faster market release of passenger cars. Notwithstanding Chep India’s assertion that cost is not an issue, price-sensitive Indian entrepreneurs are still reluctant to embrace palletisation. Those vendors who have been associated with Maruti Suzuki for many years look at it as a big-ticket investment and therefore look to financial assistance from the country’s top carmaker. Interestingly, auto component manufacturers that tend to collaborate with Western companies (whether technologically or financially) also see merit in investing in palletisation because the long-term returns are very high. Besides, newer players (and more are coming in) are embracing palletisation more readily to grab more business volume and make larger financial gains. With the increasing competition in the Indian market, suppliers have to go in for modern storage and movement facilities. Hyundai Motors India, the country’s second-most important player in the passenger car sector, has gone in for 100% palletisation. Hyundai uses steel pallets and plastic bins that are fabricated according to Hyundai specifications. According to a head of production planning and control: “Palletisation plays a very important role in mass production-based plants for the easy movement of parts from one location to another, such as vendor to manufacturing plant, receipt area, lineside, and so on. Palletisation helps to avoid damages to the parts during logistics–pallets create easy retrieval of parts by the line operators assembling the car and it also helps to maintain good house-keeping in the factory.” Parameters for pallet standards To sum it up, the debate in India is no longer about ‘why?’ but ‘when’ palletisation will come into wider use. Peer pressure would certainly kick in once more large players moved towards it, and palletisation would become the norm over the years as part of the streaming of the supply chain process. Vendors wanting to survive and thrive would certainly choose it. Perhaps the time is not ripe to roll the dice, but vendors looking to get ahead of the curve would do well to measure the gamble against the success seen in other markets.

  • Why you should palletize your inventory today.

    References – LOGISTICS BREW - By stockarea The modern warehousing sector dramatically emphasizes the efficiency of storage and movement of materials inside and outside the warehouse. Pallets are one of the critical components designed to facilitate optimal storage and handling of goods. A ‘pallet’ is a rigid horizontal stage firmly fixed with a superstructure and a supporting deck at the bottom. Typically, a pallet acts as a base for containing one unit load of inventory at warehouses. Pallets are rigid flat surfaces that have extensive load-bearing capacity and goods can be stored and handled in large numbers, ultimately creating efficiency in logistics and other in-house operations. Pallets have been in use ever since warehouses were merely godowns. Let’s see how palletization transformed the complete warehousing scenario by incorporating different approaches to palletization. Standard pallets at warehouses Pallets have played a significant role over the years at warehouses by enabling stacking, storage, protection, and transportation of goods. What is Palletization? Palletization Palletization was said to be the smartest invention of the twentieth century after the barcode. The process of palletization simplified materials handling operations at warehouses in terms of both time and money. Palletization showed businesses that it’s easier to move goods collectively on pallets, instead of carrying cartons or boxes individually. The process of palletization is placing multiple goods (packaged or bulk) on pallets. Pallets are broad horizontal surfaces that have a high load-bearing capacity and facilitate stacking of products both horizontally and vertically. Material handling equipment such as forklifts or pallet jacks is incorporated to facilitate smooth and efficient mobility of palletized goods within the warehouse and in transit. “Pallets and the process of palletization are age-old concepts that came into existence over ten centuries back and have dramatic implications in the logistics and warehousing sectors even today.” Approaches to Palletization Even though palletizing goods is the most optimal process of carrying goods in bulk, there are different modes incorporated at warehouses depending on the nature of products that are shipped and dispatched. Approaches to palletization are generally the methodologies used to stack goods on a pallet. There are three fundamental approaches to palletization. Manual Palletization Image source: wikiHow Manual Palletization involves human workers to place goods on pallets as per requirement. Workers at warehouses play the role of carrying goods from the conveyor line and stacking them on pallets layer-by-layer. These palletized goods can be stacked in the form of columns or in a staggered fashion, both of which are case-dependent and ensures sturdiness in a pallet. After the palletization of goods, material handling equipment such as pallet jacks or forklifts are used for the storage or transportation of goods. Semi-Automatic Palletization Semi-Automatic Palletization System A warehouse deals with different types of goods and relying on manual labour leads to inefficiencies, primary injuries to the workers. The process involves the delivery of heavy goods on a conveyor to an ‘operator’. The operator uses material handling equipment to raise and land the goods as per the requirement. This approach ensures that workers are safe and severe injuries are avoided. Semi-Automatic Palletization also increases the efficiency of storage and handling, as an automatic height lift table also has rotational features that offer even greater ergonomic benefits. “Semi-Automatic Palletization only requires an operator to arrange goods layer-wise with mechanical equipment and save the energy and time invested in physical work.” Automatic Palletization Fully-Automatic Palletization System Automatic palletization is the most technologically advanced method to carry out the palletization process. It is the fastest and most optimal way to stack goods on a pallet. Automatic Palletization can be further categorized into conventional and robotic systems. · Conventional System: These systems involve the transfer of goods through a conveyor belt, the conveyor belt delivers bulky products to the ‘layer building table’. The layer building table is pre-coded and innately follows a pattern that is in concordance with the code. This automatic equipment retrieves heavy goods and starts arranging them in layers and follows the same pattern repetitively. Automatic Palletization nullifies the scope for human error and has the potential of operating at different speeds that range from 10–200 cases per minute. · Robotic Systems: This system is the futuristic method to palletize heavy or bulky goods. The robotic System involves the utilization of robotic arms that are equipped with ‘end effector’ (vacuum or clamp). These robotic arms are capable enough to lift goods from the conveyor belt and stack it on pallets appropriately. The Robotic System has become immensely popular for operations carried out under harsh environments — for instance, accumulating products in cold storages. Robotic System plays a significant role in ‘rainbow stacking’, which is typically incorporated in the beverage industry. Why Palletize? Benefits of Palletization Thousands of warehouses across the world are leveraging the benefits that come along with palletizing the goods. In such a competitive environment, pallets are an integral part of the warehousing sector. There are several key advantages that come along with palletizing your inventory. Quicker Handling The basic feature of palletization is the process of placing goods on pallets, this innate feature enhances the handling of goods at a warehouse. A single unit of palletized goods is known as a unit load, a unit load typically comprises of multiple goods stacked in layers. Carrying goods all at once in the form of several unit loads ensures faster handling. Also, perishable goods such as fruits and vegetables are handled and shipped optimally. Optimized Functioning Palletization plays a substantial role in the majority of the warehouses of today’s generation. The process of palletization has been an age-old discovery and the approaches towards palletization are inclining more towards the efficiency of operations. This shift is occurring by the inclusion of automated and semi-automated systems being introduced especially for palletization. Improvisation in the efficiency of ‘palletization’ is increasing the efficiency of other warehouse and logistics functions as well. Reduced Risk Palletization is also ensuring better safety of goods and especially bulky products. Many goods that are stored at a warehouse are heavy and valuable and contains higher risk due to damage or loss. Pallets are strong and flat surfaces that have a massive load-bearing capacity. Businesses can always be less worried about the safety of their goods if they are palletized. Easier Transportation Palletization reduces efforts in shipping and transporting goods. Since palletization allows multiple goods to be carried at once in multiple unit loads, it makes the transportation of goods much quicker, easier and hassle-free. Pallet Racking Pallet racking is a revolutionary phenomenon and has transformed the way you store palletized goods. Pallet racking is the process of storing palletized goods on a material handling structure known as a Pallet Rack. A pallet rack comprises of horizontal rows and vertical columns that facilitates efficient storage of palletized goods. ‘Pallet Racking’ ensures that the maximum number of goods are stored and maximum space is utilized. Mobile Pallet Racking Mobile Pallet Racking follows the same fundamentals of basic pallet racking, only here the pallet rack can be moved. Mobile Pallet Racking is an advanced way of optimizing the storage space in your warehouse. Mobile Pallet Racks serve the purpose of exploiting the unused space at your warehouse. These racks not only allows a warehouse to increase storage of palletized goods but also handle palletized goods more optimally. Palletizing Robots Innovation in palletizing has reached far until now and palletization is no more reliant on humans completely. Palletizers are robots that are designed to automate the process of stacking goods on pallets. Palletizers are a part of automated systems being incorporated at warehouses for palletization. Palletizers have the ability to operate at high speed which ranges from 10–200 cases per second and avoiding human error. Palletizers significantly increases the speed of palletization, that manual or semi-automated system cannot provide. LogBiz/Palletizindia In a Nutshell… Almost every warehouse in the sub-continent is working with palletization as their key optimisation facilitator. We at LogBiz Group/Palletizindia are now helping businesses across the sub-continent to further optimise their stored pallets with their transport demand and additionally manage their inventory as goods in transit to facilitate a significant reduction in time to market. GET IN TOUCH

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  • Warehouses for Rent: Find the Perfect Warehouse Space - Logbiz Private Limited

    WH000004 Property Id : Block-C BTS 2,66,386 SQ.FT. Gurugram Site Overview Specifications Request Site Visit Upload BTS Specifications Mezzanine BTS Column Span BTS Floor BTS Design Live Load BTS Additional Roof Load BTS C Load on Columns BTS Roof BTS Roof Slope BTS Type of Storage solution ​ Dock Opening BTS Pallets for Storage ​ Reverse Canopy BTS Google Location NA Ventilation BTS Availability Date 11/21/23 Fire Hydrant Yes Power Back Up BTS Finished Floor Level BTS Warehouse Structure PEB Turning Radius BTS Height from Centre BTS Louvers BTS Insulation BTS Height from Sides BTS Plinth Height BTS No of Docks BTS Water Storage Capacity BTS Mainline Power BTS Seating Capacity BTS Parking Space BTS Fire Noc NA Warehouse Compliance Yes Land Size 32 Acres Built Up Area 0.72 mmsf Under Construction Compliant Grade A Development Built Suit options available Close to KMP and Bilaspur Chowk Site Description Site Description Site Description Gurugram :30KM IMT Manesar :20KM Balwal AI :40KM IGI Airport :30KM Dharuhera :20KM RICO Bhiwadi :40KM IMT Sohna :18KM Site Connectivity Site Connectivity Site Connectivity Road Network Distance Road Network Distance Road Network Distance NH 919 :05 KM NH 48 :08 KM KMP :8.5KM NH 248A :6.5KM Site Layout Site Layout Site Layout Service Request Property Id WH000004 Service Request placed Successfully Submit

  • HR55AL6349

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