Digitalisation of logistics of reusable transport packaging

Reusable transport packaging such as containers, barrels, pallets, crates and transport containers require a unique digital system landscape. The customers your products are rented to are not necessarily the ones who return them. You therefore encounter unique problems. How do you organize the logistics of products for which you are not sure when they will return and where they are? Just as important: who pays for the use?

Various challenges

As an owner of reusable means of transport, you face various challenges. This is how you want to:

• include a regular return flow in inventory management;
• where possible, map all flows within the logistics chain;
• register how long each party has used your products;
• tailor the billing process to usage;
• agreement within the logistics chain on products and quantities;
• exchange data digitally and cross-system with the parties involved;
• manage and administer activities to make the product suitable for rental again after return;
• coordinate transport planning both internally and externally.
  

A continuous, positive return flow contributes to the circular economy

Reusable transport packaging contributes to the circular economy. In essence, they form a continuous, positive return flow. Positive in the sense that, unlike defective items, for example, the goal is to have the packaging returned. In fact, the return flow is a critical business process. The faster you as the owner get your packaging back, the faster they can be rented out again, possibly after a cleaning process. The multitude of logistical movements requires that all parties involved communicate and administer properly.

A complex rental process requires a corresponding invoicing process

Invoicing is a complex rental process. A rental process because, despite all changes in the logistics chain, the transport packaging never changes ownership. Complex due to various factors including the multiple tenants per transaction and the deposit. Charging for the actual period of use per tenant requires additional administration and the registration of legally required deposits is also a challenge. The invoicing process must be set up taking these requirements into account.

Asset management extends the lifespan of transport packaging

To extend the lifespan of transport packaging, maintenance issues must be answered. The use of asset management can support this. Within this field, Emixa offers a solution that focuses on classic assets. By using this application in parallel with the support of reusable transport packaging, it is possible to further optimize the occupancy rate. Read here how BAM Infra Materiële, together with Emixa, has digitized its rental process and optimized asset management.

Additional income with up- and cross sales such as VMI

The purchase of transport packaging offers an excellent opportunity for up- and cross-sales. Additional information services are obvious. For example, it may be interesting for the renter of the transport packaging to obtain location and condition data from the lessor in order to monitor the contents. With a service like 'Vendor Managed Inventory' (VMI), you as a landlord can take a lot of work off the hands of your customers.

A flexible link between internal and external transport planning is required

Rental of reusable transport packaging requires coordination of the internal logistics planning with that of your customers. Buyers want the guarantee that transport packaging will be ready when the truck comes to pick them up. Conversely, as a landlord you need advance warning if returns are on their way to you. Even if only to reserve sufficient space in the warehouse. If pallets are also exchanged, additional administration will be required. All this requires a flexibly deployable digital link with which your own systems and those of the customer can communicate with each other.

Digitalisation faces unique logistical challenges

The rental of reusable means of transport is characterized by unique logistical challenges. Unlike regular sales, the product does not change ownership. This entails continuous return flows that are reminiscent of regular rental. But with reusable means of transport, both location and tenant are not always easy to trace. Emixa offers a digital solution that meets these challenges. We would be happy to tell you more about this. Contact us without obligation and we will talk to you!

Get in touch

Ready to make a business change? At Emixa, we'd be glad to share our comprehensive insights. Contact us to discover how our approach can help your organization thrive in the cloud era. Let's embark a journey towards enhanced efficiency and effectiveness together!  

Martijn van Dam

Martijn van Dam is a senior consultant and has more than 20 years of experience in the field of Supply Chain Management and digitalization.