A common saying in the pallet industry is that “pallets move the world”. This also happens to be the slogan of the National Wooden Pallet and Container Association. But before anything does actually get positioned on a pallet and then sent into the supply chain, a pallet RFQ is likely part of the process.
While pallet RFQ’s aren’t the sexiest part of procurement, they are essential to ensure that facilities have a steady pallet supply available when needed.
Our goal at Pallet Central Enterprises is to make sure our customers have a successful outcome to this process because there are details that can mean the difference between the flow of pallets being in sync to your facilities or not getting the pallets needed and shutting down production, and nobody wants that to happen.
Over years of experience in working with companies to manage pallet supplies, we’ve come to learn a few things that just work as part of the process. In this blog post, we share the top three secrets that translate to getting the pallets needed, where they’re needed, when they’re needed.
Secret #1 – A Detailed Pallet Specification
A pallet is just a pallet, right? Not so fast. The overall goal of a pallet specification is to help the customer find a balance between performance and cost. Of course, this “balance” does depend on the unit load that is sitting on the pallet. The unit load is merely the materials that are being shipped. The questions that need to be asked about the unit load usually start with concerns like these:
- What is the full weight of the items sitting on the pallet? Boxes of goose feathers are going to have significantly different weight requirements for a pallet versus a pallet full of beverages which can weigh several thousands of pounds.
- How are the items packaged? Are the items in boxes or pails (buckets), or super sacs (large sacs). This will dictate how the items may shift in transport and how they may sit in warehouse racks as well.
Properly defining the unit load will help guide procurement teams in creating a pallet specification that accounts for the variables listed above. There are certainly more variables and that is where a good pallet partner will help the customer identify them and which ones to prioritize.
If it is new pallets that are required, this will define the required measurements of the components and likely the type of wood species that are acceptable for the pallet components.
If recycled pallets are used, the unit load information is a guide to ensure that the recycled pallet adheres to a set of tolerances and measurements that are within an acceptable range.
Also, recycled pallets may have small defects from being used previously, in example a “chip back” which is where a forklift has cracked off a small section of the leading-edge board. This typically does not affect the functionality of the pallet, but it is good practice to determine what is acceptable and what is not.
In regard to the wear and tear that may be present in recycled pallets, a picture is worth a thousand words. Pictures will define what is acceptable and what is not. These pictures help not only the pallet supplier, but they can also be a great help to internal warehouse staff in understanding which pallets are admissible into their operations. These and other items should all be within the pallet RFQ because they will have an effect on price. Remember, we are trying to balance performance vs price.
At Pallet Central Enterprises, our knowledgeable staff will make sure that all variables are accounted for in the RFQ and help the customers decide which should be a priority based on the supply chain operations.
Additionally, our experienced team can help build the proper pallet specification with state-of-the-art software tools like the Pallet Design Software which can display mechanical drawings of the pallet and provide usage and lifecycle data and information.
Secret #2 – Site Visits
Allowing the pallet supplier to do site visits is an excellent way for them to understand how the facility operates and an opportunity for them to meet with the employees who will regularly use the pallets.
A site visit allows the pallet supplier to get a look at the machinery that pallets will interact with during their time in the facility. Why is this important? Well, most production machinery will have electric eyes that will trip if something isn’t within spec during the process. This could be the because the pallet sits differently when running through the load process, or it can be because the load is “teetering” which means that the unit load and pallet are see-sawing slightly on the rollers. This is due to the spacing of the rollers when the pallet moves through the production facility. Allowing an experienced pallet supplier to identify these small details will make a world of difference in production running smoothly.
Also, a pallet professional can get a look at the racking, is it “pushback” or “drive through”? Again, these small details let the supplier know what pallet will work best in that particular warehouse operation.
They can also get a look at the flow of the facility. Once the pallet is loaded, where does the forklift take it for storage? Or does it go directly to transport?
Beyond the interior facility concerns, there is also what goes on outside the facility. For instance, are drop trailers necessary? Where are they located on the property? Is there an overflow of pallet/waste materials? Where is it stored? What dock doors are allocated for pallet loads?
All of these inquiries are useful to provide the pallet supplier with the proper understanding of the facility operations so they can get a sense of pallet flow and what kind of resources are needed on their part to supply pallets effectively.
Pallet Central Enterprises has over 800 partners around the country and can visit facilities any time to conduct a proper audit process to ensure the details of the RFQ are adequate to the needs of the facilities.
Secret #3 – Set Expectations and Be Realistic
The last secret is the most intangible because it assumes that all other factors are accounted for and relates to the process of the RFQ itself. For instance, it is imperative that a proper timeline is put in place to ensure completion of the RFQ.
But this does not necessarily mean that some arbitrary date be used to define the conclusion of the RFQ. While it is important that the RFQ be completed in a timely manner, it is equally important that the end goal be achieved, which is to supply pallets where, when, and how they are needed at a reasonable price.
Outlining the expectations of what is required of the pallet and pallet supplier will go a long way toward mitigating any challenges that may arise between supplier and customer. Also, setting expectations includes involving those outside of the normal RFQ process and incorporates the end user, finance and admin, and operations personnel that are all stakeholders and can be affected by disruptions.
Being realistic doesn’t mean allowing for subpar performance in a pallet supplier, far from it. Being realistic does mean that communication is paramount and is key to success in any challenges that may be faced when onboarding a new supplier.
Being realistic also means that challenges will arise, it is a natural part of the process. A good pallet management program and a good pallet partner are there to help overcome these challenges quickly and keep facilities supplied properly.
At Pallet Central Enterprises, we do this every day with customers both large and small and welcome the opportunity to do it for you.