HOW DOES PALLETIZING HELP WITH INVETORY MANAGEMENT AND COST REDUCTION?

What is palletizing?

This method is present in almost every company, it is relevant to highlight the way palletizing operates in everyday business life. In short, it is the process of storing all the company’s products and parts in stock with the use of pallets.

In practice, the products are organized on pallets and stacked with the help of machines, allowing space savings and greater efficiency in inventory management. In other words, verticalization is the main characteristic of this method.

What are the basic characteristics of pallets?

Pallets are essential to the palletizing process and have some important characteristics. Firstly, it should be made clear that they have standard dimensions, with measurements of 1 m by 1.20 m, and can be made in different materials: wood, plastic, steel, and even disposable.

The wooden pallet is the most common and is usually made of pine – a more resistant wood. The plastic one, on the other hand, is widely used in companies that produce chemical material, since wood can get contaminated and deteriorate more easily.

The steel pallet is most often found in cold storage rooms. It is perfect for these conditions because, besides being easier to clean, it is resistant, durable, and can even be an item of the company’s property insurance.

Finally, the disposable model is produced exclusively for the product – with the appropriate size and support – and is discarded after use. Being more malleable and easy to work with, wood is the most used material for this type of pallet.

What are the pallets sizes / weights / dimensions?

  • UK Standard Pallet:

LENGTH: 1200 MM

WIDTH: 1000 MM

HEIGHT: 154 MM

9 block with a full-perimeter base.

Weight 20-24kg

  • EUR/EPAL Pallet

EUR, EPAL, EUR1:

LENGTH: 1200 MM

WIDTH: 800 MM

HEIGHT: 144 MM

Weight 20-25kg

  • EUR 2:

LENGTH: 1200 MM

WIDTH: 1000 MM

HEIGHT: 144 MM

Weight 33kg

  • CHEP Pallet

LENGTH: 1200 MM

WIDTH: 800 MM

HEIGHT: 144 MM

Weight 28kg

  • ISO/GMA Pallet

LENGTH: 48″ (Inches)

WIDTH: 40″ (Inches)

HEIGHT: 6″ (Inches)

Standard wooden GMA pallet is mainly used in North America.

Weight 33kg

How long does a pallet last?

This is a common question among logistics managers and the answer varies according to the material used to make this product. Steel has no expiration date, so it has great durability.

If the proper hygienic care is taken, it can help you store goods weighing up to one ton. Wood has its limitations and can deteriorate if exposed to high or low temperatures.

Likewise, it can be harmed by termites and fungi, but it has an average lifespan of ten years. Finally, plastic pallets can deform with exposure to heat and with the weight of the products. In these cases, their efficiency may be compromised, requiring replacement.

What are the most commonly used palletization processes?

In order to offer the best palletizing solutions, it is very important to evaluate all the conditions of the available space in your stock, as well as its arrangement. After all, if there are limitations, you need to make a plan that allows you to optimize the loading and movement of the products according to your production.

For this reason, there are different palletization methods, as well as endless options of layouts that can be applied in your warehouse, with the idea of facilitating and improving the performance of your operations. Check them out below!

  • Functional Layout or Functional Palletizing

The functional layout is one of the palletizing processes that is characterized by keeping resources and equipment grouped together according to the activities they perform. Usually, the machines used for a certain function are grouped in a specific location, while other resources used for different functions are grouped elsewhere.

In other words, in the functional palletizing process, the machines and resources necessary for each task are grouped together in the sector where they are to be used, thus facilitating the work of the teams, optimizing time, and improving the organization of spaces.

  • Layout in cells or palletization in cells

As the name suggests, this type of palletization aims to create specific cells for each type of product. That is, the idea is to group only the quantity of items needed for a particular task.

For example, within a factory, this type of palletizing can be used to form families of specific parts for the production of a product for a particular customer. Generally, the process requires a continuous flow or at least small batches.

Cells help to reorganize the plant and production resources since they create places dedicated to the transport and storage of materials in common use for the same task.

  • Line Layout or Line Palletizing

The process of palletizing line is characterized by storage that follows a predetermined production flow, from start to finish. Resources are distributed to meet the need for raw materials to be used.

In this way, a production line is established, in which the raw material arrives exactly at the places where the parts are being produced. A practical example of this palletizing process would be a vehicle assembly line.

  • Layout by usage or palletizing by usage

The palletization process by utilization is also very interesting since its objective is to make the products available according to the needs of their production. In this way, the raw materials are usually ordered in advance, to be loaded onto a pallet and delivered to the production line.

This method requires a lot of planning, as it takes time to organize the items in advance. However, at the same time, it optimizes the production process, because it has the possibility of positioning the materials, following an order to be unloaded.

What care is needed for palletizing?

As we mentioned, palletizing is already widespread in the logistics industry. However, not all managers in the industry know how to extract the full potential of this method of organizing stocks. For this reason, it is important to study and understand some important precautions. Read on!

Pay attention to the characteristics of the pallet and its products

The first care to avoid problems with palletization is the choice of the appropriate pallet for the type of product to be stored. After all, not all cargo can go through this process and some require specific materials.

In this sense, it is important to evaluate the resistance of the product to be stored and, of course, its weight. All this influences the choice of resources and every detail must be carefully analyzed.

Observe the type of forklift used

As well as the choice of pallet, it is essential to observe the forklift that will be used. Currently, the models available in the market are prepared to work with the PBR standard, with mouldable and adjustable forks according to the size of this tool.

Do not neglect Hygienization

Hygienization is another essential care for the palletization process, especially in businesses that work with loads that demand this care.

Cold storage plants and companies in the food industry, for example, should bet on the steel pallet and develop a strict cleaning and conservation policy for these materials – some companies prefer to replace them in a certain period.

What are the benefits of this storage method?

The palletization, no doubt, contributes to a greater organization of the stocks. In fact, this is one of the reasons why the method has become so widespread and is present in businesses of all sizes and segments.

The resource is democratic, simple to be used, and still brings countless advantages:

  • optimizes space in the stock;
  • helps in process control;
  • improves the flow of movement in the aisles;
  • reduces operational costs;
  • Guarantees the integrity of the products;

In short, stock management becomes much more agile and efficient through palletization. The loads can be organized vertically, with the help of storage systems, which considerably reduce the space used in warehouses, reducing costs and facilitating the movement of employees and the forklifts themselves.

Why invest in verticalization and palletization?

It is imperative to emphasize that the palletization process only makes sense when you bet on the verticalization of stock. When organizing your goods on pallets without stacking, there will be a great waste of space and resources of the warehouse and distribution centers.

However, verticalizing stock by resting the pallets directly on top of the loads can damage the products and even cause them to collapse, putting warehouse operators and product integrity at risk. For this reason, the need to invest in a good verticalization structure cannot be ignored.

More clearly, the manager must prepare the site for this method of organization, investing in a resistant, quality structure compatible with his needs and limitations (such as the height of the warehouse).

In summary, the union of verticalization with palletization is fundamental for any business. Betting on these two methods increases the control and conservation of products in stock and expands the storage capacity of the warehouse – which can further optimize the company’s production.

As we have shown, palletizing is a method that increases the quality and efficiency of the storage and warehousing processes. Still, care must be taken and it must be combined with the verticalization method. According to these steps, your sector will be more organized, efficient, and productive.

Do you need a logistics company to send and receive your company’s pallet loads on the Same Day? You can always count on FREX LOGISTICS specialists to always present the best transportation solutions for your company.

Ask to speak to one of our advisors TODAY!

Call: 03333 – 442972 or Email: sales@frex.co.uk