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MANAGEMENT & LEADERSHIP STRATEGY, MARKETING, SALES OPERATIONS & SUPPLY CHAIN ORGANIZATION & CHANGE IT/MIS Other

What Are the Pros and Cons of Palletizing?

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The term palletization means putting and packaging products on pallets. The latter is always of a pre-determined size and layout. This process appeared at the beginning of the 20th century and became more widespread during World War II. It was the best way to store goods in a warehouse and transport them between companies or even countries.

Back then, palletizing was all about manual labor, as people had to lift extremely heavy weights. It wasn’t really effective but had its advantages since other transporting methods for large batches didn’t exist. Years have passed bringing modern palletizing systems automated nature. Let’s dig deeper to see what advantages and disadvantages modern palletizing brings to manufacturing and packaging.

Safer Working Environment

Palletizing used to be a dangerous and maiming process, as people had to do it with their hands. Today’s factories strive to apply different palletizing solutions, implementing automated robots being one of them. These are the upsides robotics offers you in this sphere today:

  • Reduced chance of maiming yourself
  • Speeded up the manufacturing process and improved quality level
  • A machine can work for several lines without getting exhausted

This isn’t the final list, as automation is always forging ahead coming up with new options to choose from and upgrading the old ones.

Investing Pays Back

Purchasing and installing an automated palletizer seems to cost a fortune. However, your enterprise replaces a human operator with an AI-powered machine that rarely needs any pauses. The latter needs neither a lunch break nor holidays. You will also cut corners on a salary and sick leaves that cost a lot to your company’s budget. The initial high-cost installation is nothing compared to all these downtimes and must-paid benefits.

No Labor Crisis

Manual labor becomes less payable therefore hiring a person who’s ready to perform recurring tasks is a rare phenomenon. Even if you recruit someone, they’re likely to quit soon leaving your factory to wait for another worker. Implementing a robot to do this action instead of a human operator is a wise and far-sighted decision.

Reprogramming Can Be Expensive

The most significant downside is hiring a costly programmer to change palletizing robots’ settings. It’s necessary when a product size or production process changes. This was a huge problem until recent years, as an unavoidable downtime would occur due to compulsory reprogramming. Still, this is an inevitable thing if you wish your machine not to become redundant and useless.

The Necessity to Calculate ROI in Advance

Despite being a valuable investment, a palletizing machine isn’t always a necessity if your factory isn’t large enough. It may not bring the benefits and profit you expect, as its initial cost won’t be covered with what you make out of it. If you’re still ready to bring changes to your enterprise, RIOS Company is here for you to help.

By installing our VULCAN robot, one can forget about hiring manual workers to sort items, pack them up, and palletize them. All that is done by a single AI-powered machine that needs no human intervention and brings a man-made factor to zero. It’s also easy to reprogram in case any changes are amended and doesn’t require much time and effort for that.

33-slide PowerPoint presentation
Companies are constantly looking to improve efficiency and reduce costs. One area that has a significant potential for achieving both is the Supply Chain. Companies generally neglect Supply Chain simply because they do not consider it their core competency. Warehousing and Transportation in [read more]

Want to Achieve Excellence in Supply Chain Management (SCM)?

Gain the knowledge and develop the expertise to become an expert in Supply Chain Management (SCM). Our frameworks are based on the thought leadership of leading consulting firms, academics, and recognized subject matter experts. Click here for full details.

Supply Chain Management (SCM) is the design, planning, execution, control, and monitoring of Supply Chain activities. It also captures the management of the flow of goods and services.

In February of 2020, COVID-19 disrupted—and in many cases halted—global Supply Chains, revealing just how fragile they have become. By April, many countries experienced declines of over 40% in domestic and international trade.

COVID-19 has likewise changed how Supply Chain Executives approach and think about SCM. In the pre-COVID-19 era of globalization, the objective was to be Lean and Cost-effective. In the post-COVID-19 world, companies must now focus on making their Supply Chains Resilient, Agile, and Smart. Additional trends include Digitization, Sustainability, and Manufacturing Reshoring.

Learn about our Supply Chain Management (SCM) Best Practice Frameworks here.

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About Shane Avron

Shane Avron is a freelance writer, specializing in business, general management, enterprise software, and digital technologies. In addition to Flevy, Shane's articles have appeared in Huffington Post, Forbes Magazine, among other business journals.


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