Pallet Pooling

Pallet Pooling image

I chose to write about pallet pooling because it was my one slide topic a few weeks ago, but because of time issues in class I was not able to explain it. What I found most interesting in pallet pooling was that it seems to be of utmost efficiency in saving time, money and resources.

Pallet pooling is the use of the same pallets in a “network of customers in various markets, for the storage and transportation of their products” (Demes Logistics, 2004). The cycle begins with manufactures or their customers leasing pallets from a third-party pallet leasing company; products are then placed on these pallets and are transferred throughout the supply chain of a product. By pallet pooling, the manual handling of products is minimal. In some cases pallets are even used as part of in-store product storage and display.

There are various advantages to pallet pooling starting out with eliminating the cost of purchasing pallets and storage space for pallets in warehouses. There are many other benefits that manufactures and customers have reported such as less damage to products and loss of pallets. Transportation costs are also reduced and there is better tracking of pallets and products. Perhaps one of the most important aspects of pallet pooling is that pallets are of better quality due to the fact that the leasing company takes care of inspecting, maintaining, and repairing them on a regular basis before they re-enter the system.

Demes Logistics. (2004). What is pooling? Retrieved April 8, 2014 from, http://www.demes-logistics.com/pooling

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