How to optimise the load capacity of pallets

In the last two years, the cost of pallets has increased by 400% due to increased demand and shortage of wood supply and other supply chain issues. As a result, many companies found themselves overpaying for pallets, thus decreasing profit margins.

For this reason, it is important to consider optimising the load capacity of pallets as a way to reduce overall shipping costs. In addition, it can also help to reduce logistical storage costs, This is done per pallet. By reducing the total number of pallets, the storage cost per pallet is reduced.

Pallet optimisation focuses on the planning and construction of pallets to ensure the best use of the available space, i.e. to get as many units per pallet as possible. By being able to store and ship more units at the same time, you can save a lot of money on transport, storage and other costs.

The dimensions of cartons and pallets are just two of the many factors that need to be taken into account when choosing the right size cartons and pallets. optimise the load capacity of pallets. The dimensions of the units, the layers of the pallets, the height of the load and the maximum permissible weight, among other essential variables, must also be taken into account. This helps to really know the best way to place the units in the boxes and the boxes on the pallets.

Types of pallets and how can we optimise their use?

A pallet is a portable platform that serves as a sturdy base used primarily for storing, stacking, handling and transporting goods. They are designed to be lifted by material handling equipment such as forklifts and pallet trucks. Most types of pallets look the same, although they are not constructed from the same materials, which can be wood, metal, plastic and paper.

Types of pallets according to their structural design

• Block palletsThey are known for the wooden blocks that form their base and usually consist of nine blocks, placed at each corner, in the centre of each side of the pallet and right in the centre of the pallet itself to provide excellent structural support. These pallets are also known as quadruple access pallets because forklifts and pallet trucks can access them from all sides and they can be built with or without bottom boards.
• Pallets made of beams2 x 4 or 3 x 4 lumber is used instead of blocks to support the unit load. Beams are placed between the top and bottom boards. Beam pallets are usually designed to have two entry points, which means that they can only be accessed from two sides.

Pallet types by point of entry

• Pallets with access from two sidesAccess points at the front and rear for the forks of the forklift truck.
• 4-way access palletsThey have entry points on all four sides, so they can be accessed from all sides using a forklift or pallet truck.
• Open deck palletsIt has gaps between the boards which makes it lighter than other pallets. However, it is not ideal for shipping small items because they slip through the gaps.
• Solid deck palletsThey have a large top board with no gaps in between, which makes them perfect for small items, compared to open top pallets.
• Double-sided palletsThey have a top board and a bottom board to improve structural strength. The boards can be open with gaps or closed without gaps.

Why are pallets important in the company's operations?

Pallets are important because they help to:

• Protect goods in transit by land, air or sea: Many vendors do not use pallets in shipping containers and load on the floor to maximise space. Lately, however, some vendors are palletising to avoid breakage to protect goods in transit.
• Accelerate loading and unloading time: Instead of loading or unloading individual boxes or units, pallets allow bulk items to be moved easily. Simply put the boxes on a pallet, wrap them and move several boxes at once.
• Keep warehouse costs low and improve logistics: If you have your own warehouse, faster loading and unloading times help reduce labour costs because there is less need for staff to work overtime.
• Ensure good working conditions and safety of employees: Moving several boxes on a pallet is much more stable and safer than loosely stacked items as they can fall off the pallet when moved. It could be argued that an improperly loaded pallet can also present some risk, but training employees to load/unload pallets safely can help reduce the possibility of work-related injuries.

Pallet calculator to optimise load capacity

The number of boxes per pallet may vary depending on the size of the boxes. A pallet calculator can be used to calculate the number of boxes per pallet. optimise the load capacity of the pallets. Having this type of information helps to make more informed decisions on:

• Product packaging: If it is too tall or too large, it may be necessary to trim a couple of centimetres to achieve the smallest possible dimensions. This strategy will allow you to place more units per box and per pallet. It can also help you get into the lower shipping rate tier with the major carriers and reduce fulfilment and warehousing costs with Amazon. Overall, you need to do the math and see if you can adjust anything to pay less in shipping and warehousing fees.
• Type and size of boxes: Consideration should be given to adjusting the size of the boxes to fit as many units per box as possible.
• Pallet configuration: This refers to: the type and size of pallet, the stacking pattern (block, brick or windlass), the packaging of your product (boxes or bags) and the number of boxes stored per layer and per pallet. Depending on the type of packaging of a product or the size of the boxes, you may be able to fit two or more items per row/layer. Choosing the right pallet type (stackable or non-stackable) and stacking pattern for shipment can be key for optimise the load capacity of the pallets.

Tips for reducing pallet costs

The most effective way to reduce the cost of pallets is to follow the best techniques for optimising the load capacity of pallets . These include:

• Perform calculations and make necessary adjustments

  With shipping costs expected to continue to rise in 2022, the 100% percentage of pallet volume usage needs to be approached to save money. Getting as many units or cartons per pallet as possible reduces the total number of pallets needed. If you can get 150 units per pallet instead of 100, an order of 6,000 units will only need 40 pallets instead of 60. That can be a significant saving based on current pallet rates.

• Optimising product packaging

  Intelligent packaging optimisation can also help you save on fulfilment and storage fees. Therefore, by reducing product packaging, you can get into a lower product size level, which means lower storage and fulfilment fees. In addition, even small packaging adjustments, such as removing excess air from your packaging, can make the product smaller and lighter, which can also help reduce the carbon footprint. Optimising your product packaging can also lead to increased warehouse racking capacity for 3PLs that charge per pallet. With improved warehouse racking capacity, you can fit more units per pallet without increasing storage space, allowing you to save on warehousing costs and maintain profitability.

• Choosing the right stacking pattern for the inventory

  Once you find out how many cartons fit on a pallet, the next step is to determine the most efficient way to stack them to ensure proper load and weight distribution.

  There are three types of pallet patterns that carriers recommend following:

  • Block or column stackingThe boxes are stacked directly on top of each other, allowing you to achieve maximum stacking strength. This means you may not need to invest in more high quality cartons, so you can keep your costs down.
  • Stack of blocks or columnsThis stacking pattern usually consists of four boxes or bags placed perpendicular to each other to create a pinwheel and keep everything in place.
  • Brick or interlocking pileInterlocking pattern: Involves alternating the way the boxes are stacked so that each row is offset, creating a pattern similar to a brick wall. An interlocking pattern provides excellent resistance against lateral movement and prevents loads from shifting. It also tends to work best if cartons of the same size are stacked together. The orientation of cartons in palletised shipments can have a major impact on product integrity. To keep costs down, it is important to avoid inventory shrinkage due to damage. Stacking patterns that carriers do not recommend are:
    • Hanging. Some parts of the boxes hang over the edge of the pallet.
    • Pyramid stacking. Place the smallest or lightest boxes on top of the pallet, making the stack narrower as it rises.
• Do not leave wide spaces between boxes

  The space occupied by the boxes or bags on the pallet must be carefully observed to see if there are wide spaces or if there could be one or more cartons that collapse somewhere. A good pallet footprint needs to be worked out with the 3PL to eliminate any unnecessary wide gaps between boxes. Changing the pallet footprint can allow one more carton or pack per layer to be inserted, achieving optimise the load capacity of the pallets. This also means that more units can be shipped and stored for the same cost of transport and storage.

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