The supply chain is the cornerstone of a company’s logistics, regardless of its business profile and customers. In this article, we explain what a supply chain is and what it means.

What is a supply chain (supply chain)? It can be said that the supply chain is an extremely extensive process. The term supply chain is such a broad one that it cannot be described in just a few words. Supply chains are a whole sequence of events, it is also the process of moving goods. The main purpose of a supply chain is to meet the demand for a product. It can be said that the supply chain is a network of organizations involved in the process and is characterized by extensive connections with suppliers, as well as customers. The activities they carry out create value, it is the product and service delivered to consumers or end users.

One may wonder what a supply chain is. What is certain is that the process consists of a network of plants, companies and manufacturers, as well as contractors, who firstly supply raw materials and components, and secondly process them into sub-assemblies and semi-finished products. And further, from these intermediates and sub-assemblies a final product is produced, which reaches the consumer. It is also worth knowing that the basic elements of the supply chain are transportation and warehousing. They are the ones that make delivery possible and possible.

Logistics is also related to the concept of supply chain. It is important to know that logistics is a so-called subordinate concept to supply chain. This is because logistics covers only a small part of the supply chain.

We present three basic features related to the supply chain. They are:

• Entity structure – these are the entities that participate in the supply chain,
• The object of the flow – is all kinds of materials and products processed and then moved through the subsequent elements of the supply chain,
• Objectives – are the activities and areas of interaction of the entities that participate in the supply chain.

What does the supply chain consist of? three elements should be mentioned:

• company
• suppliers
• customers

It is worth knowing that there are extended supply chains. Thus, the extended supply chain includes:

• suppliers of suppliers,
• customers of customers,
• Companies that provide logistics, financial, marketing and IT services.

You should also be aware that the following processes are distinguished within the supply chain:

• Development,
• production,
• sales,
• service,
• supplies,
• resource management,
• distribution,
• all kinds of support activities.

What are the types of supply chains? The supply chain covers the entire life cycle of a product. It includes sales, after-sales service, and disposal. In other words, it is a value chain. The supply chain is made up of all the elements and values transferred by a given company to the market and society. There are two parts of the supply chain. The first is the upper part of the supply chain – from the manufacturer through first- and second-tier suppliers to the company. The second is the lower part of the supply chain. It runs from the company through distributors and sellers to the consumer.

There is also a sustainable supply chain. What is it? It’s all kinds of business activities that span the life cycle of a product. They are the ones that allow value creation for all parties to the contract and ensure commercial success. This, in turn, has an impact on social welfare and environmental health.

Another type of supply chain is the green supply chain (responsible supply chain). The characteristic of a sustainable supply chain is that the so-called ideas of green operations and green design, as well as green production, are included in its process. Reverse logistics and waste management are also characteristic in this model. In a green supply chain, it is important to seek to maximize profits, but in a different way than is done in traditional supply chains. In this case, all activities carried out are directed at reducing the consumption of natural resources or energy. Participants in a green supply chain also seek to reduce emissions.These are actions characteristic of responsible businesses.

What are the goals of the of the supply chain?

It can be said that the primary purpose of introducing supply chain management is financial benefit, or simply money. This is because every innovative solution is associated with savings for the company and its financial gain. Supply chain management improvements that are introduced give companies the highest return. This is because it is possible to reduce the cost of goods sold. Taken together, logistics, production, means of obtaining raw materials, transformation of raw materials, storage of goods or transportation, as well as all kinds of fees and manpower are costs of up to 80% of the cost of sales. So if even a small decrease in this percentage, such a state of affairs will have a huge impact on the company’s profitability, and this is already crucial for the company in question. This makes it possible to achieve better financial results.

What are the objectives of supply chain management? We can list 5 main objectives of supply chain management, they are:

• Creating effective cooperation to automatically coordinate logistics on the part of suppliers and buyers,

• To provide end customers with valuable and high-quality products,
• Attention to long-term stability and sustainability. In this process, an important role is played by planning and executing each activity in an optimal way, i.e. starting from the material acquisition cycle to the procurement cycle. These activities are carried out to be able to meet consumer needs,
• Anticipating and then exploiting potential opportunities and threats.
• enabling success and reducing financial risk by reducing or bringing about cost reductions – the costs of product storage, manpower and logistics are also important and need to be reduced. In this process it is also necessary to bring about an increase in sales, market availability and product differentiation play an important role.

What is supply chain management?

Let’s consider what effective supply chain management is all about. It can be said that at the first and basic level, effective supply chain management is based on managing the flow of goods, data and funds that are directly related to products or services. In this case, the time span covers the moment from the purchase of raw materials until the delivery of the product in question to its final destination (to the end customer).

Supply chain is often confused with logistics. And it is only one part of the supply chain. All operations that take place within the supply chain include:

• ordering,
• product lifecycle management,
• Supply chain planning along with inventory and maintenance of company resources,
• Logistics, which includes transportation and fleet management,
• order management.

In addition, directly related to the concept of supply chain management is also the management of global suppliers, as well as all kinds of international production processes.

The primary goal of supply chain management is to reduce company costs, as well as increase efficiency. Nowadays, it is the customer who determines management priorities by giving companies experience.

Nowadays, the customer attaches itself only to the company that is able to meet customer expectations quickly and efficiently. Therefore, all the supply of raw materials carried out, followed by the production, logistics and sales of products, as well as the management of acquired orders must work together and be well coordinated. Only then will the customer receive what he expects within a timeframe acceptable to him. Nowadays, companies need to analyze supply chains from the consumers’ point of view in some way. Only then will it be an efficient supply chain.

Like today’s world, supply chains are now highly complex and constantly evolving. The efficiency of supply chains depends on flexibility. This is because customers have a wide range of choices and different purchasing options. They can freely purchase products in stationary stores, but also online. Customers are now focused on personalization, and only a modern flexible supply chain can provide them with this.

The world is moving forward, and as a result, sourcing is also constantly evolving and is now extremely fluid. The ability to reconfigure supply chains flexibly, quickly and seamlessly is very important. As you can see, flexibility plays a key role in this process.

A fundamental issue of business management is supply chain management. Modern companies do everything to be able to cooperate with each other, because only such cooperation increases efficiency and makes it possible to reduce the costs associated with running a company. This approach to business also makes it possible to adapt to the needs of customers. Below are the elements necessary for supply chain management:

• Location of warehouses and production facilities,
• transportation,
• storage,
• Resource and inventory control,
• Information, especially its collection, processing and transmission (information flow),
• Emphasis on marketing and customer service,
• A well-thought-out packaging and residue management strategy.

In addition, the following methods are used in supply chain management:

• LM – slimming management,
• QR – quick response,
• AM – flexible management,
• TQM – total quality management,
• BPR – involving the redesign of the business process,
• TBM – or time management,
• Six Sigma,
• ECR – efficient service in consumer supply chains,
• JiT – that is, delivering goods exactly on time,
• SCOR – which is a supply chain reference model,
• VMI – vendor management of inventory.

Each time, supply chain management is tailored to the company. Today, it is impossible to imagine a company’s operations without an effective supply chain. This is because it is the essence of any company’s logistics regardless of the company’s profile, and regardless of the profile of its customers.

Pallets are carriers, so-called platforms used for transporting, storing and manipulating goods. These products are widely used in logistics and transportation. They are also used in warehouses and stores. Pallets can be made of various materials, such as wood or plastic. In the article we will explain, What is pallet transport and how goods placed on pallets are transported.

What is pallet transport?

It is worth being aware that not every commodity is suitable to be transported in bulk or taken by hand from the shipper, placed in a delivery truck, then unloaded without using specialized equipment. Most often, shipments of significant size and weight must be transported using pallets. Then we speak of pallet transport. For example, large-size shipments are delivered this way. So what is pallet transport? In other words, it is the transportation of pallets with goods that are placed on a pallet.

Pallet shipments use carriers, the so-called pallets. These carriers, in turn, are used to transport a significant number of goods or products of large dimensions. On the other hand, the transportation of goods placed on pallets is suitable for transporting so-called general cargo in bulk quantities. This is known as general cargo transportation. Thus, products used to supply stores, including food products and all goods of non-standard dimensions, are transported using pallet transport.

The above indicated products are transported on EURO pallets. What are EURO pallets? They are platforms or durable carriers, which are manufactured from wood or other materials – they are most often plastic. Pallets for transporting general cargo or bulky goods typically have dimensions of 1200 x 800 x 144 mm – this is their standardized size. The load capacity of a pallet per element is specified at 1500 kg.

Pallets are built on the principle of a rail system. Such a form of carrier facilitates the loading of goods, but also their protection. The form in which the transport pallet appears also makes it easier to unload the transported goods from the chosen means of transport. Pallets are unloaded using specialized equipment, viz. forklifts or the so-called popular pallet trucks.

What do you haul pallets with?

In road transportation, pallets are transported by a selected means of transport, i.e. various types of vans and trucks. Vans of various sizes are commonly used for this purpose, including vans and smaller trucks that are equipped with cargo space. These can be used to transport smaller quantities of pallets. Trucks with curtain side (tarpaulin) trailers are also used for shipping pallets. Vehicles of this type have side tarpaulins that can be easily slid or lifted, allowing easy loading and then unloading of pallets. This is a popular choice for transporting pallets over short and medium distances. Some delivery trucks are equipped with a loading elevator, making it easier to load and unload pallets, especially when there is no access to a traditional ramp. Container-type trailers are also often used. These trailers are used to transport pallets in containers. In turn, these containers can be easily moved on special trucks.

When transporting food products or other goods that require controlled temperatures, pallets can be transported using refrigerated trucks. There are also special delivery vehicles that are adapted to transport pallets. These vehicles can have pallet systems installed to facilitate loading and unloading.

When transporting pallets by road, the pallets used to transport the products are usually secured with strapping, stretch film and sometimes special pallet covers to ensure safe transportation on a pallet of goods. It is also important to adapt the type of vehicle to the number and characteristics of the pallets being transported to ensure the efficiency and safety of the transport. Proper preparation of pallets is also important.

Pallet shipping – what is transported on pallets?

A wide variety of goods are transported on pallets. However, ordering and shipping on a pallet mainly concerns such products as consumer electronics and household appliances, furniture, boxed small products or electronic equipment, including computer equipment. In addition, food products, all kinds of construction materials or car parts are transported on pallets. Pallets are an excellent carrier for transporting goods weighing more than 50 kg and dimensions that force the use of special tools, for example, forklifts or the previously mentioned so-called pallet trucks.

Pallet transport in practice – how does a pallet shipment take place?

If you intend to transport goods on a pallet, that is, to do a pallet shipment, you should measure and weigh the pallet shipment before ordering such a service. In particular, the height of the goods we want to transport is important. The width and its length should also be measured and specified. The dimension of the goods must not exceed the range of the carrier, that is, the pallet. This is important from the point of view of handling and securing the transported cargo.

The shipper of a pallet shipment is responsible for placing the goods on the carrier, or in other words, the pallet. It is also on his side to select the pallet and secure the transported goods. The transport company, on the other hand, takes responsibility for loading the goods and securing them on the vehicle. The transport company also takes responsibility for unloading the pallet shipment.

Pallet transport from A to Z, that is, how to organize the transportation of a pallet?

First of all, the transport company – when accepting the order – sets a deadline for receiving the pallet shipment. Most often, the time for receiving goods for transport is 2 working days. The exception is the so-called special orders. This type of order requires the transport company to prepare and substitute special, individually selected delivery trucks. Goods for transport placed on pallets are arranged on the transport surface of the vehicle. Among the vehicles used to transport shipments, we especially distinguish delivery vehicles, trucks, including those with an additional trailer.

Note that all pallets are set up in such a way that the goods can be secured with transport straps. It is important to secure the pallets in such a way that the goods do not move during transport while in transit.

Transportation using pallets – what weight is allowed?

The weight of the van, calculated together with the load on the pallets, must not exceed the total weight of the vehicle. Note that the pressure on the axles must be even and consistent with the maximum load. Sometimes, for this reason, pallets are placed in the middle of the loading area in the car transporting the goods. According to current standards, it is permissible to load 33 or 34 Europallets on a standard truck trailer. Usually 33 pallets are loaded in three rows; there are then 11 pallets in each row.

Pallet transport and ways to secure goods on a pallet

How to organize the shipment of a pallet? It is obvious that the goods placed on a pallet must be professionally prepared for transport. The mentioned loading must not go beyond the outline of the pallet on which it will be transported. The shipment on the pallet must be wrapped in stretch film. The shipment of a pallet also requires the goods to be secured to the pallet, using foil or transport straps. A single shipment must not be higher than 180 cm. It is also necessary to ensure that the weight of the goods is evenly distributed over the entire surface of the carrier.

It is also important to secure the top edges of the goods for transport. This is done even before the cargo is wrapped in stretch with the pallet. You can use thick cardboard, you can use corrugated cardboard or Styrofoam to properly secure the goods. After carefully securing the load, which will protect the cargo from unplanned damage during transport, the bill of lading should be glued. This is done in a conspicuous place. You can use tape or foil to attach the said waybill.

How much does it cost to transport a pallet?

Pallet transportation has gained popularity in Poland in recent years. It is assumed that most often the cost of transporting one pallet is about 150-200 zlotys. For larger orders, the indicated cost can be reduced to 120 zlotys per pallet. Prices that fall on the low side usually apply to cargo that does not exceed 100 kg. If it falls within the higher ceiling up to 500 kg, then the cost can be about 200 zlotys. On the other hand, pallet shipments weighing more than 500 kg can cost up to about PLN 1,000 per item.

International pallet transport is more expensive. When planning international pallet transport, arranging the shipment of a pallet, one has to reckon with higher expenses reaching even the level of about 600 PLN per piece. Of course, when deciding on the international transport of a pallet, we need to take into account several factors. The cost of transportation or transportation of a pallet depends on the size of the cargo, as well as the country of delivery, along with the destination of unloading of the transported goods. International shipping of pallets therefore depends on many of the values indicated above.

Pallet transportation is a widely used and extremely efficient solution. In recent years, it has become a popular method of transporting goods, especially in the context of supply chain and warehousing. Pallet transportation makes it possible to transport more goods at one time. Such a solution also saves money, saves time and ensures the safety of transporting large quantities of products, even in bulk. Pallet transportation services offered by shipping companies, which offer various modes of transportation, can be used by companies, but also by individuals. The relatively low price, combined with the possibility of transporting significant quantities of products, give a balance sheet on the plus side and indicate transport using pallets as a good, safe and optimal solution.