Palletize with care

By Ray Bohman -- Logistics Management, 1/1/1999

More and more shippers today are palletizing their shipments. They do so for a number of reasons--cost savings, greater ease of handling, directives from their customers, and reduced transit damages, to mention a few.

The nation's LTL motor carriers of general commodities, in most instances, are encouraging them to do so. But many carriers are experiencing difficulties handling these palletized loads. And unfortunately, some shippers who palletize are either unaware of these problems or really don't give a hoot.

Most carriers would prefer that their shipper customers use standard-sized pallets--48 by 40 inches--so they can utilize the full width of their trailers. Odd sizes sometimes make it difficult to fill in void spaces depending on the type of freight available for loading into a particular trailer at the time. In addition, optimal space utilization demands that carriers stack pallets and freight as high in the trailer as possible.

One of the biggest difficulties for LTL carriers, therefore, is palletization in a "pyramided," "rounded off," or "topped off" manner. Some palletized loads are so configured that nothing can be loaded on top of them, forcing the carrier to sacrifice valuable space. (A number of carriers have even published penalty rules to deal with this problem, generally applicable only on light and bulky freight. When those rules, sometimes called "Minimum Charge for Low-Density Freight" or "Linear Foot Minimum Charge" rules, are invoked, not only are shippers or consignees hit with higher charges, but they also forfeit all of their discounts.)

Some shippers use a variety of techniques to deliberately keep carriers from loading freight on top of their pallets. Several place specific instructions on their bills of lading to the effect that no other freight is to be loaded on top of the article--even when their palletized loads have flat tops. We've heard of a few shippers that added an extra tier of cartons on top of their palletized loads to make it impossible for the carriers to load a third pallet on top of their freight. Other shippers have placed a single carton on the top center of the load and then stretch-wrapped the entire load to the pallet, again making it difficult--if not impossible--to load anything else above it. (In one case, such a carton turned out to be empty.)

Palletized loads tendered with no packing around them also can present problems. So do those that are covered with just shrink-wrap or stretch-wrap, with no flat surfaces on the tops or sides.

Another potential problem area that you might want to ask your carriers about is how well your packages are stacked on pallets. Are they stacked so the load will stay intact while in transit and not list to one side? Are they stacked so that other freight, including other palletized loads, can be loaded on top?

And don't overlook the fact that some products probably should not even be palletized--at least from the carrier's standpoint. Your freight may be best tendered carton by carton, particularly if it can be used as top freight. And some carriers might well, without your knowledge, be breaking open your palletized loads to accomplish just that.

My advice to shippers, particularly those planning to switch over to pallets in the near future, would be to sit down with your carriers, let them know what you contemplate doing, and find out what suggestions they may have. Who knows, you might even qualify for some bigger pricing concessions than you presently enjoy. On the other hand, doing palletization the wrong way could hurt your company's negotiating position.

Ray Bohman is a well-known consultant and author. Mr. Bohman is editor of several highly successful newsletters on transportation and is a consultant to a number of national trade associations. He is president of The Bohman Group, consultants and publishers in the freight-transportation field. His offices are located at 27 Bay Lane, Chatham, MA 02633. Phone: (508) 945-2272.