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71 Q2, 2016
A QUARTERLY NEWSLETTER PUBLISHED BY
QUARTERLY NEWSLETTER
WWW.COLUMBIANLOGISTICS.COM
Reducing Inventory
Loss in the Warehouse
Page 2
HEATING UP
Jim Gadziemski
Vice President, Warehousing Operations
us on
It All Adds Up
Values Series pg. 5
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REDUCING
INVENTORY
LOSS
CONTENTS
LETTER FROM VP
REDUCING INVENTORY LOSS
CARRIER MANAGEMENT
CORE VALUES SERIES
EMPLOYEE UPDATES
EVENTS CALENDAR
LEGENDARY CUSTOMER SERVICE AWARD
1
2
4
5
6
7
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Network Newsletter
DAMAGE
Lets start with damage, one of the most common
types of inventory loss. To think about what is
causing damage and how to avoid it, first think
about where and when damage occurs. Is your
damage happening in inventory or in transit?
Warehouse damage is often caused by one of
two major factors: packaging or handling. It is
important to understand the capabilities of your
corrugate boxes or other storage conveyance and
how those materials will stand up to the conditions
in the warehouse. For example, in hot, humid
Memphis, Tennessee, a box will sag and possibly
fall over far more quickly than in the bone-chilling
cold of a Michigan winter. Also consider the empty
space at the top of a package, also known as headspace. If your materials do not completely fill your
packages, you are inviting an opportunity for a creased seam or crushed box that could cause a domino effect
throughout the warehouse.
For materials damaged in transit, it is very important to consider loading technique, platform composition, and
trailer properties. Loading technique refers to the method used by the material handler at either the shipping
or receiving facility. Is that person properly trained? Do they take proper care when handling the product?
Taking a walk out to the loading dock might surprise you. Platform composition simply refers to what, if any,
materials are used to hold the product in the trailer or container. Grade A heat-treated pallets are very reliable
and sturdy, but can run upwards of $10 each for the convenience. Slipsheets are simple corrugated platforms
that can help shield goods from splinters in the trailer floor or walls. Speaking of the trailer floor or walls, the
composition of a trailer itself can be a big reason for product damaged in transit. Wood-sided walls and floors
are less expensive than their metal counterparts, but have a higher frequency of leaks and splintering, which
is very risky. Be careful to consider these factors when shipping product.
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INVENTORY CONTROL
While this piece addresses inventory loss in general, sometimes inventory in a warehouse simply gets lost.
A robust inventory auditing and cycle counting program can provide numerous returns, including a reduction
in simply losing inventory. In this arena, technology can help as well. Many current Warehouse Management
Systems (WMS) offer count-back functionality wherein a person who picks product from a specific location
is asked to validate the remaining inventory
in the location before moving on to his or
her next task. Even without expensive
technology, simple cultural shifts can be
almost as effective. If you see a pallet of
product sitting in an aisle, is there a process
for how to find out where that pallet should
be? Is every location where someone
might put product labeled appropriately
with clear and effective signage? If not,
think about what cultural shifts you might
need to make.
PILFERAGE
While many do not want to think about it, there are just bad actors out there, and proper precautions can help
ensure that they do not do damage to your bottom line. Warehouse theft is most common in warehouses
where the products stored are either high value or easy to fence. If you look around your area and walk the
local flea markets, take a look at the items that are selling popularly. You will typically see food products,
household goods like soaps and paper products, and others. In todays times, eBay and Craigslist are also
common marketplaces for stolen goods. If your company makes products like this, you may be at risk for
pilferage, and it may be time to take action. A clear, consistent, and fair inspection program could be valuable,
wherein you search the bags of employees, executives, and visitors alike. Video cameras are also helpful as
both a deterrent and investigatory tool. Yes, a person has a reasonable expectation of privacy, but advance
notification and implementation that does not show bias or discriminate are well within the rights of an
employer.
These are just a few tips to get you thinking about what might be slipping through the cracks in your distribution
network. In the end, careful consideration and some simple changes can be a big step in the right direction.
Finally, simple measurement of loss, damage, and pilferage is the best way to start setting the baseline for
understanding what you are missing.
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What does it mean to be agile? Agility is the power to think and draw conclusions quickly. Columbian moves at
the speed of business to keep you ahead of opportunities and market conditions that are constantly evolving.
It is our teams knowledge and experience that allows us to provide effective and dynamic solutions. As your
company grows, Columbian Logistics Network will develop the best possible solution.
AGIL
CE
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P
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I T Y IN T HE
Josh Sund
Logistics Technician
CLN Ideas
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The CLN Suggestion system allows our experts to suggest process improvements to aid
in Columbian Logistics continuous improvement journey.
Network Newsletter
Columbian Logistics employees and leaders wrap up all employee meetings for this quarter.
See An Opportunity?
Someone who needs
transportation or warehousing?
Submit the lead online or
by phone or email to
Sarah Mosher-Byer.
If your lead is
QUOTED
If your lead
PRODUCES REVENUE
Bea Mohr
Huston Rodriguez
Marcelino Leon
Marion Donahue
Columbian-Q2-16-Newsletter.indd 6
!
s
t
a
r
g
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o
C
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Events Calendar
Columbian Logistics Network will attend the highlighted events.
We look forward to the opportunity to connect, and encourage you to contact
Blair Thomas, Director of Customer Care at blatho@columbian.us or by phone
at 616-514-5977 to schedule a time to meet.
Food Defense Conference
MDVA Convention
CSCMP Conference
June 29-30
August 5-6
Minneapolis, MN
Boyne Falls, MI
thefooddefenseconference.com
mdva.org/convention
September 25-28
Kissimmee, FL
cscmp.org/annual-conference
est.
1894
Custoicemer
serv
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If you have experienced Legendary Customer Service from a Columbian Logistics employee, please take a few
minutes to nominate them! Fill out a nomination form online at 'columbianlogistics.com/legendary-customerservice' or contact Jilia Hagen at jilhag@columbian.us, or 616-514-1934
6/6/2016 1:06:04 PM
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6/6/2016 1:06:13 PM
Q2 NEWSLETTER
WWW.COLUMBIANLOGISTICS.COM
CONTENTS
LETTER FROM VP
REDUCING INVENTORY LOSS
CARRIER MANAGEMENT
CORE VALUES SERIES
EMPLOYEE UPDATES
EVENTS CALENDAR
LEGENDARY CUSTOMER SERVICE AWARD
1
2
4
5
6
7
7
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