Optimizing Supply Chains: PalletBiz Consultative Approach for Cost and Emission Savings

Case Study
Retail & E-commerce
Business, Consultancy, Partners
November 9, 2024

In logistics, the smallest change can make a big difference. At PalletBiz, we pride ourselves on our hands-on, consultative approach to problem-solving. Recently, we partnered with a major Austrian wholesaler facing some serious logistical headaches. Serving 850 points of sale, they currently rely on bulky steel collars, which often remain fully extended during return trips, wasting valuable space. Here PalletBiz saw an opportunity to make things much smoother with our solution: foldable Gitterboxes equipped with tracking technology.

Understanding Their Challenge

Understanding the client’s unique challenges is the first step in any successful project. This wholesaler operates a vast network, using a system that involves putting steel collars on Euro pallets—a method that, while sturdy falls short in efficiency.

When empty, steel collars are almost impossible to fold, leading to trucks often carrying them back fully extended and taking up valuable space. Furthermore, many retail locations keep these collars for storage or display, disrupting the return flow and causing unpredictable availability. This results in higher transport costs and unnecessary CO2 emissions as trucks haul these bulky, empty collars back to the distribution center.

The PalletBiz Solution: Foldable Gitterboxes

At PalletBiz, we don’t just sell products—we listen, analyze, and propose strategies that perfectly match our client’s needs. For this wholesaler, we recommended switching to foldable Gitterboxes.

These Gitterboxes collapse to a quarter of their size, which means they take up far less space when empty, leading to more efficient use of each truckload and significant savings on transport costs. To further enhance their effectiveness, we also proposed for each Gitterbox to be equipped with a beacon for real-time tracking. This allows for precise monitoring through an automated system, ensuring complete visibility over the flow of loading equipment. Furthermore, we suggest that retail points would have a designated period of free use for the Gitterboxes, after which a daily rental fee would kick in, encouraging their prompt return.

The Benefits: Saving Money and Cutting Emissions

Switching to foldable Gitterboxes offers numerous benefits. By collapsing to a quarter of their size, they maximize storage capacity without the need for additional infrastructure, keeping your warehouse organized and efficient. Besides, by reducing the space occupied by empty loading equipment, the wholesaler can cut transport costs and reduce CO2 emissions by 37.5%, aligning with the company’s sustainability goals. In addition to this, the beacon technology provides transparency, enabling better inventory management and preventing both shortages and excesses.

As you can see, the value of PalletBiz’s services extends beyond just products. “We find that our consulting service is a necessary addition besides our product offerings, especially since most companies spend an average of 3%+ of their revenue on tertiary packaging material costs. With our help, these costs can potentially be reduced by 8-10%,” says a Network CTO of Consulting at PalletBiz. Our main objective in providing focused consulting services is to find and implement innovative ways to optimize spending on packaging and handling materials without compromising health and safety (EHS-Q). With over 20 years of experience, our consulting practice guarantees a solid return on investment for our clients.

As the logistics landscape evolves, PalletBiz is here to guide your businesses through each step of the journey toward smarter, greener, and more cost-effective operations.

Why wait? Reach out to us at info@palletbiz.com for expert consulting on your logistics & packaging needs.