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I. Reduce air in your packages:
- Get and keep deadly accurate product item master dimensions so your cartonization software actually works. This works well for pre-made cartons and manual packaging, but it also helps improve automated on-demand cartonization and paper mailer systems. There are 4-5 different strategies here, all customer dependent. ROI is typically in weeks.
- Evaluate on-demand cartoning and/or paper mailer systems. There are a lot of good options, the key is understanding what is best for YOUR operations and supply chain. ROI based solely on shipping cost reduction through right-sizing is typically 3-6 months.
- Having accurate product item master data will move the needle here; it ensures you send the right orders to the automated systems.
- Average air in packages is approaching 60% Shipping air now costs more than shipping products.
II. Get and keep deadly accurate package dimensions and weights on all your orders:
- The carriers will reward you by not charging shipping charge corrections (SCCs). There are a few strategies here, all customer dependent.
- Accurate package dimensions will dramatically drive the efficiency of rate shopping. Rate shopping is no better than the data you feed it.
- Accurate rate shopping can now be done between automated on-demand packaging and labeling.
- You can know the exact shipping cost per order before it leaves your machine. Data is key. Data is power. Know more than your carrier.
- This strategy also works for LTL; your load is just a big package.
Customer Experience
Greater sustainability, smaller packs, less fillers, speed of delivery, and lower shipping costs will drive a better customer experience.
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