Special Cargo Security

It would be great if we could ship cargo off to its destination while secure in the knowledge that your cargo arrives safely to its destination. Unfortunately, there is a disparity between your wants and the reality of our uncertain times. It has become necessary to procure outside security services to make certain that cargo arrives securely. Issues such as theft, damage, acts of terrorism, and piracy influence customer relations and return on investment adversely. If it happens often enough, customers get discouraged and will look for other sources to stock their inventory despite the fact that you were not at fault for the delay.

Cargo security services monitor the shipment from the time that the freight departs the warehouse and are transported to the agent’s premises. Security services monitor cargo electronically, confirm quantity, report to clients using software that allows real-time tracking, request warehouse positioning to eliminate theft and damage, and arrange for the storage facilities.

Armed security escorts can also be secured to escort distribution trucks, sea freight, and cargo in transit. This service can be used to identify possible dangers, for high value cargo, which travels either internationally or nationally.

The trucking industry is helping to implement a standard of excellence by promoting training for the (CCSP) Certified Cargo Security Professional in the hopes of helping to promote the security of freight in Northern America. Individuals that study for this certification receive comprehensive training in security issues, which aids them in the understanding of vulnerabilities in supply chain management, evaluate and employ the proper resources to secure cargo in transit from the warehouse facilities to its final destination.

Sources
cargo security international
http://www.cargosecurityinternational.com/
Certified Cargo Security Professional
http://www.businesslink.gov.uk/bdotg/action/detail?type=RESOURCES&site=101&itemId=1080018924

A Warehouse Management System Appropriate for the Semi-Conductor Industry

Not all warehouse management systems (WMS) are created equal. In the third party logistics world, the right WMS will make or break your rate of productivity, efficiency, and your return on investment (ROI). The semi-conductor industry works on an entirely different level. Semi-conductors are used in electronics, computers, cell phones, and digital and analog integrated circuits. A single unit may take 200 to 500 operations to manufacture, so a minimal adjustment can make a huge affect on your financial outcome.

The development of a software system that is specifically developed towards the semi-conductor industry is imperative to the success of your organization, especially in an economy that the survival of a company is measured by minimal financial increments. A few years ago, a visual software system was developed by ILOG called Fab PowerOps (FPO). This system optimizes technology by applying mathematics and computer science schematics to create algorithms to adjust production process every five minutes. All the specifications are calculated within the provision required for the semi-conductor manufacturers. PowerOps offers an operating solution software that is configurable for the process areas: such as diffusion, which is the gradual mixing of material from a high concentration to a lower concentration, photodiodes that is similar to regular semi-conductor diodes, plasma etching process, and CMP.

This system also integrates with your current WMS system, so do not feel that you need to begin from the basics to implement this system. The benefits of a system that is specifically created to work within the semi-conductor industry allows you to use real-time detailed production scheduling to maintain just-in-time manufacturing. In fact, the production schedule is recalibrated every five minutes. Gone are the days of manually working out plans and schedules for manufacturing in order to maximize efficiently.

Source
the-new-economics-of-semiconductor-manufacturing-part-3-final/
http://www.fabtech.org/product

Are You Ready For Fleet Management?

You have the goods and the customers to buy your products, but where do you even begin to start finding ways to distribute your merchandise to the population at large. A grand solution is to hire a fleet management company to take care of your distribution needs. By using the fleet of an outsourcing company, you have access to refrigerated trucks, dry vans, tankers, and trailers without the worry or the capital expenditure involved in starting and running the trucking fleet internally.

Fleet management encompasses the distribution of goods though out all fifty states in the union, so you can focus on your core competencies as well as work without the strategic approach with the warehouse / distribution center. Expenditures do not stop once you purchase a truck. You then have expenses such as maintenance costs like cleaning, preventative maintenance, emergency roadside service, licensing, and the need for substitute vehicles.

Not only do you have to worry about the physical maintenance of the vehicle but your are also responsible for the documentation involved in running a distribution center. You are responsible recording and filing quarterly fuel tax, payment of federal highway taxes, annual permit renewals, and mileage recording.

A distribution service has the flexibility to substitute, increase, decrease, or change equipment depending on the needs of your company. You have the benefits of cutting operating costs, maintenance worries, and have one predictable invoice instead of a cluster of unexpected expenses.

Payroll Outsourcing

As a warehouse and logistics manager, you are responsible for timely payroll processing otherwise you are at risk of breaking employment law and violating internal revenue regulations to file local, state, and federal taxes every quarter, which can result in costly assessments. Business owners have the unenviable task of making sure that their employees are paid, benefits deductions are appropriately allocated, and 401(k) allocations deposited in the correct retirement accounts. This time consuming, arduous task requires a great deal of attention to detail and knowledge of tax laws.

Typical payroll services provide the following service which help you run your business efficiently:
· Online resources that you can utilize to input employee information and hours worked
· Quarterly tax returns; make sure to ask about local tax filings as well as state and federal
· Flexibility to make last minute adjustments
· W-2 and 1099 filings
· Reduced paperwork
· Integration of the payroll and accounting system
· Secure transmission of payroll information
· Allocation of benefits and retirement funds to the correct accounts
· Knowledge of payroll laws

When looking for a payroll company, there are a few concepts to consider.
1. Research several companies and have each do a sample presentation
2. Find out if they use an encrypted and secure transmission system
3. Some payroll companies do not remember to process local or city taxes, so make sure that they can provide this service, otherwise you may find that you will owe back taxes at the end of the year
4. Online input capability
5. Get references

Typical charges will include a set up fee, per check fee, yearly W-2 filing and distribution, and some companies will charge a fee for the quarterly tax filings, but most do not. Outsourcing payroll can be a useful tool for warehouse companies since it will allow you to focus your energy on warehouse logistics, you will typically write one check rather than several, and you can outsource the task and paperwork involved in doing payroll.

warehouse Productivity

Running productively is the goal of every organization even distribution and warehouse companies. It is becoming increasingly difficult to run your business efficiently and control costs when gas prices are unstable and the economy is making it difficult to conduct sales projections effectively. The Warehouse Management Benchmark Report notes that productive, cost efficient, and successful warehouse logistics companies have several commonalities.

Most notably: leveraging technology to improved your current warehouse practices and use a flexible warehouse management system application to automate equipment and services in order to streamline the work flow and manage labor costs. The use of an integrated warehouse management system allows for the capability of providing labor management planning and report recapturing. Along with the above, use slotting and warehouse layout tools and conduct warehouse analysis and capturing data in real-time.

Another key area of concern is keeping an agile work environment in order to meet the needs of the customers. As the economy fluxuates and the needs of client changes, you will need to be flexible enough to change with the business plans of the customer and still have competitive pricing. Another area of consideration is extensive cross training of all your associates.

To determine the areas that should be addressed, conduct a warehouse analysis and review areas such as the effectiveness of your WMS, inventory, task management, materials handling effectiveness, and measure the productivity of your current system. Measure the changes you implement before and after the changes are instituted. You should continue to make adjustments, and measure productivity, and the effectiveness of your changes continuously.

Source
Aberdeen_Warehouse_Benchmark_Report

Warehouse Clubs Still Going Strong in a Waning Economy

Although a waning economy has affected most retailers, warehouse clubs have enjoyed an increase in overall profitability. As consumers are realizing a rising unemployment rate and slowing economy, they continue to look for ways to save money. The rising cost of food and gas along with the fear of a waning job market, has put consumers in a state of alert. Warehouse clubs such as COSTCO, BJ’s, and Sam’s Club offer consumers the opportunity to purchase items in bulk effectively reducing expenditures on food and gas. Purchasing in bulk allows fewer trips to the stores. Warehouse clubs also offer durable goods at discounted prices, which offer consumers an alternative to shopping at the typical full cost retail outlet.

Part of the reason warehouse clubs like COSTCO AND BJ’s is doing so well has to do with the fact that they sell the top ten percent of what interest consumers rather than taking a shotgun approach and keeping stock that consumers may not purchase. As of last quarter, while COSTCO has seen a 12% increase in same store sales and BJ’s has seen a 12% increase, Kohl’s has seen a reduction in profits of 4.1%. Warehouse clubs have focused their efforts on consumer goods such as household staples like groceries that consumers are spending their fund because of reduced or no disposable income.

Does this mean that every purchase from a warehouse club is the best deal? That depends on the items and how you feel about investing in a club membership. The general belief is that if one has a membership then you are getting a better deal. What matters to you the consumer is that you continue to do price comparisons to ensure that you really are getting the biggest bang for your buck.

Sources
businessweek.com: warehouse clubs find the sweet spot
moneymorning: warehouse-clubs-profit-as-economy-wanes

Clean Port USA

Trucks are not the only thing affected by the Environmental Protection Agency’s clean air act. Ports are also taking responsibility for their part in impacting the environment. Heavy freight equipment, trucks, tugboats, ferries, and ships promote sulfur oxide, and nitrogen oxide in emissions. The ports have taken aggressive action to promote lower emissions rates and cleaner burning devices in order to protect the environment.

Several steps have been taken that will help ensure a cleaner environment over the next several years. These include: 1) tracking emissions inventory to see if changes are making a positive impact, 2) instituting anti-idling policies, 3) educational programs for terminal operators and fleet owners about air quality, air pollutants, improvements in technology, and opportunities for grants through local and state agencies that will help owner operators meet EPA regulations, 4) extending terminal gats hours to reduce truck idling and traffic congestion, 5) substituting electric power for diesel power, and 6) sub-rails which equals less congestion.

Third party logistics / warehouse facilities will be impacted by these new regulations, because many companies will not have the resources to comply with the new regulations. This will provide new opportunities for warehouse transportation services to provide the added service that some clients may not be able to provide.

Fortunately, there are grants available for regional, state and local government agencies, as well as certain non-profits that are eligible. If you are unable to afford to make the changes needed to comply with the new EPA regulations, then look for grant assistance for the National Clean Diesel Campaign Grants and Funds programs.

Clean Truck Program

There is a new opportunity for third party logistics companies and warehouse facilities to provide additional services to clients that cannot afford to comply with the 2007 Clean Truck Guidelines set by the U.S. Environmental Protection Agency (EPA).

The EPA has set the monumental task of cleaning up the 8,000,000 trucks that do not comply with the new clean truck program. The new regulation sets forth the requirement that diesel trucks must reduce the toxic emissions, which consists of sulfur oxide, ozone forming nitrogen oxide in the air. This will affect both private and public flees.
The goal is to eliminate trucks that are huger polluters by replacing them with clean, green vehicles that are 80% cleaner by 2012.

This will be accomplished in phases
By October 2008, no trucks will be allowed in the marine terminals that are model year 1988 or older. By 2010, the ports will prohibit trucks to enter ports that are model year 1989 – 1993 engine and 94-2003 trucks that are not retrofitted with the approved diesel emission controls.
Currently, the marine terminal operators assess a fee on any truck that does not meet EPA regulations. The fee is charged on loaded import and export containers only and consists of $35 per 20-foot container and $70 per 40-45-foot-container.

Several options exist that will help you meet the EPA standards. These include retrofitting the truck with emissions reducing technology, replacing the engine with a new one, purchasing new trucks that meet or exceed the emissions requirements. This option will allow you to utilize a third party logistics service that can provide trucks and drivers for you if you cannot afford to fork out the capital.

Sources:
Epa.gov: National Clean Diesel Campaign
3plnews:Natinal Retail Systems…