Wednesday, December 30, 2009

Meeting the Customization Needs of Retailers

Many large companies have a variety of needs to meet for their customers. These needs include shipping in bulk and merchandise that requires pick and pack, meeting compliance requirements, private labeling, as well as cost effectiveness, efficiency, and timeliness of deliveries. These customizations are costly, so organizations resort to third party logistics companies in order to accommodate the needs of large as well as smaller, mom and pop shops. Companies are using warehouse management companies that have the ability to customize according to the needs to the retailer.

In order to provide the global logistics services needed, the organization you employ must utilize a strong customization department, which includes over sight of quality control, documentations, accuracy of materials handling and shipping, inventory accuracy and rotations, product rotation, and meeting OSHA and MSDS requirements. Flexibility is of utmost importance when you need to provide services to a multitude of customers. In an effort to sustain high quality and lower cost, organization see the use of outside supply chain companies or warehouse distributers as a cost effective way to meet the challenges of an ever change industry that requires constant updating, new computer systems, continuous documentation, changing levels of distribution, and differing packaging and delivery requirements.

Wednesday, December 23, 2009

Emergency Response Team

Emergency response directives do not begin or end with information systems or business revitalization. It includes immediate emergency response to protect your employees and continue care for a short period if needed in the event of natural disaster or attack. The size of the emergency response team is determined by the size of your organization.
The team includes a team lead and several team members. Essential in the process includes an action plans in the event of fire or other issues that may arise.

Warehouse action plans take into account what is to be done in the event of a fire, earthquake, flood, etc. Plans include:
· Maps posted throughout the building demonstrates paths to exits
· Emergency lights and lighted EXIT signs
· Appropriate gear that shows that you are part of the response team
· A designated meeting area away from danger
· First Aid and CPR training
· Evacuation plans
· Contact the fire department and plan evacuation plans
· Communication with employees within your organization explaining the process
· At a minimum, three days worth of food and water for every member within the organization
· Emergency gear can include flash lights, transistor radio, back packs for each emergency responder filled with appropriate gear to assist individual, first aid supplies, CPR mouth guard, Willkie talkies are useful, additional batteries
·
Ideally, the team members should meet once a month to review and revise action plans. Practice evacuations with both team members and employees quarterly. It is important to reinforce to employees the importance of participation and not to ignore evacuations at any time.

Tuesday, December 22, 2009

Searching for NAFTA Requirements

The North American Free Trade Agreement (NAFTA) has forever changed how you import and export your goods throughout North America, ultimately affecting third party logistics. NAFTA was created to help eliminate trade barriers and improve transport between the United States, Canada, and Mexico by improving security and facilitating the flow of travel and trade between the three countries . NAFTA is an integration of both bi-lateral and tri-lateral agreements. For instance, the U.S. and Canadian bi-lateral agreement makes transport between countries easier and the transition has been relatively easier than between Mexico and the U.S. The U.S. has invested over 20 million dollars to help Mexico update and make the transition.

In an effort to protect North American goods from outside forces, heavy tariffs are levied against products that are imported from outside North America. NAFTA has also provided important concessions, such as safeguarding against imports that threaten each ones domestic producers. Additionally, sanitation measures have been instituted anything-affecting animals, humans, and agriculture.

On that note, the website for the U.S. Department of Agriculture is available to help you find information about basic exporting, acquiring permits, export financing, USDA Animal and Plant Health Inspection Services (APHIS) import and export information, and the U.S. Commodity Association supplier list. For additional information, visit the website at http://www.fas.usda.gov/.

Saturday, December 19, 2009

Commercial Warehouse Cleaning

Along the lines of food sanitation is warehouse sanitation. I spoke about sanitation of food products traveling though the third party logistics chain. Running a warehouse requires organization and cleanliness. Unless you have staff that handles all the aspects of keeping your business on the straight and narrow, it is likely that at some point you will hire a cleaning company to take care of your company. Some cleaning services handle residential homes and others deal with commercial property. Keep in mind that cleaning companies that say that they deal in commercial cleaning may be talking about office buildings, which do not require the same type of attentions as a warehouse or manufacturing plant.

For instance:
· Concrete flooring may not only require cleaning but also removal of stains and repair of cracks. Warehouse cleaning crews use sand blasters and acid wash to achieve results
· Carpets and upholstery may not only need vacuuming but also shampooing and stain removal, along with antistatic application
· The staff needs to be large enough to complete its business during closing time or in shifts to accommodate 24/7 manufacturing
· Cleaning of grounds and parking lot
· Washing windows both inside and out, which can be a challenge with the building that consists of thousands of square footage
. Not all warehouse-cleaning services are created alike, so ask for referrals from other warehouse managers, and check with your local Better Business Bureau as well as current licensing bureau.

Friday, December 18, 2009

Food Sanitation

Food sanitation and safety is a growing concern both in the United States and abroad. Food safety does not begin at the warehouse or manufacturing level of food transport to the consumer. It begins at the farm. As a buyer, you have the right to know if the food that comes to you is impeccable. One concern includes the use of reclaimed water, which is formerly wastewater that is treated. Although the water has gone through a water treatment process, studies have shown that people can ingest harmful pathogens. Other concerns at the farm level include clean equipment, maintenance, moisture deterrence, and cleaning practices.

Once the food is transported from the grower to the warehouse or manufacturer, it is imperative that appropriate measures are taken to ensure cleanliness. Areas of concern include maintaining a rigorous cleaning regimen, sanitation verification, and installing equipment such as filters, screens, or magnets to detect metal fragments, specifically structured to deter food contamination.

Along the entire supply chain, continual product testing, inspection, and compliance with food safety procedures is essential. Helpful to maintaining the utmost in food sanitation is documentation, training, continual process improvement, and third party audits conducted by individuals that have experience with the food processing industry.

Saturday, December 12, 2009

Authentic UPC Codes

Use the right UPC codes for its intended purpose. First, determine the type of code that you require. The code you purchase is determined by the need. For instance, The GTIN Global Trade Item Number is used for items or services that are bought or sold. These are products that requires a price, can be ordered, or require an invoice at any point within the supply chain. The bar code is linked to pre-determined information about the item within a global network.

The SSCC Serial Shipping Container Codes is used for tagging items that are used for transport and storage within the supply chain.

The GLN Global Location Number is used to identify the physical location and legal entity associated with the product. This type of coding helps to improve communications. This system is integrated with the Global Data Synchronization Network.

Important to all this is to purchase a UPC code that that is issued by a legal sources known as the GS1. Once bought, the UPC code is your asset and can be reused as needed. It is valid worldwide. Because a UPC code is a unique code, it is registered with the Global Trade Item Number Registry, which is the GEPIR Global Electronic Party Information Register: a database that contains information on over a million companies in over a 100 countries.

Thursday, December 10, 2009

The Appropriate Attorney for the Job

The importance of reviewing or writing strong contracts between yours organization and vendors or customers is vital. If contracts are one sided between your warehouse and a vendor, then you may run into difficulties releasing that vendor should quality or dependability become substandard. The same holds true for employment policies and procedures. Although, there are established federal regulations about labor standards, each state also has its own set of labor laws.

Attorneys are not one size fits all. Although, it would be ideal to have one lawyer handle all our company’s issues, reality is quite different. Attorneys are trusted consultants and each specialize in a specific field or industry.

Although you may be tempted to use an attorney that is well known to you and your business associates that has aided you for other issues in the past, it is best that you hire a lawyer that is knowledgeable within the field of concern. Use a labor law attorney for employee concerns, a real estate attorney to review a lease contract for a new building, and so forth.

Sound like too much trouble or money? You may change your mind if given incorrect information, or you have an attorney that cannot give you a confident answer. An “I believe” in any answer from an attorney warrants a red flag. Check with your region’s American Bar Association and trusted industry experts to help you find a competent attorney.

Friday, December 4, 2009

Smart Labeling

Along with the many labeling requirements that come along with warehousing and third party logistics is the responsibility of choosing the right label printer and encoder. The wrong decisions can cost you more than time lost. It can result in shipping delays, which ultimately means unhappy customers and lost revenue.

There are numerous types of printers from which to choose. So, what is out there?

· The print and apply method is pretty self-explanatory
· Thermal transfer print technology entails using heat to melt the material from the tape onto the label
· The Tamp-Down method includes pressing the adhesive side of the label to the product
· The Blow-on methods requires a burst of air to imprint the label
· The wipe-on technology uses a pressure sensitive application process

A relatively new method of labeling involves a reduced glue labeling technology, which uses less glue by applying the adhesive to the leading edge of the label and on the trailing edge, which overlaps the leading edge of the following label. This method has proven to be cost effective by reducing the cost of adhesive from 30 to 50%.

No matter what label printer technology you decide upon, make certain that you can integrate the software and hardware with your current equipment. Consider price-point, cost of integrating new and old technology, and allotment of time required to make the change.

Wednesday, December 2, 2009

Compliance Labeling

Hold on to your hats, compliance labeling is going to be getting bigger. Compliance labeling in the manufacturing and warehousing industry is incredibly important. Incorrect labeling can create issues with channel deliveries, delays, fines, and loss of business, because of shipping delays and non-compliance. Compliance labeling is used in retail, food industry, auto, electronics, healthcare, and many others.

Compliance labeling used depends upon your industry. The food packaging industry must include calories, ingredients, and food allergens. Retail labeling requirements include GS1-128, which was developed to create global standardization for the exchange of data. The symbology coordinates with a pre-determined description. The Unites States Department of Agriculture has recently developed the requirement of the USDA 2009 Country of Origin Labeling. Labeling also includes BISG ISBN Carton Labels, SCC-14, ISBN, Bookland EAN, and UPC, GTIN Database. It just keeps getting more complicated from there.

Most labeling systems integrate both shipping label and packing slips printed on a single unit. These systems also allow you to label and track the products. In the manufacturing industry, it is essential that the labeling system is efficient, does not smudge the label, utilized bar-coding systems, incorporate the appropriate information, has a reliable high volume printer, and works efficiently, so that production is not disrupted.
 
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