Optimization of Pallet Management for Transportation Efficiently

Abstract

A pallet is used for the transport of goods in order to ship the products from the manufactures to the retailers. However, in the pallet industry, the pallets may represent a sizable investment by a company in operating assets that have enough real, intrinsic, regulatory, or strategic value to warrant tracking. Thus, the main objective of this paper is to do the optimization of pallet loading in the pallet production industry for transportation efficiently. To do the pallet loading, evaluating product packaging design, and product distribution using CAPE PACK program as a tool. The results demonstrated that the new loading pallets design using CAPEPACK can reduce transportation costs by 21.0% per year. Moreover, the program did a track space optimization to contain the pallet with increase load capacity by 26.67%. Backhaul analysis as the transportation management can increase income by 29.8% per year. On-going research, to propose renewable energy such as natural gas for vehicles (NGV) is one of the methodologies to reduced transportation costs.