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Pallet Alliance brings control, transparency, and price optimization to multi-site corporate pallet spends by creating strategic corporate-level pallet programs. Most companies maxed out the value of traditional RFPs long ago. These RFPs are often performed with incomplete and incorrect specs, leading to results that are inconclusive and often misleading. These RFPs can create risk and uncertainty by allowing unvetted suppliers into the supply chain, only to find out they quoted an inferior product to win the bid, or supplied an unsustainable price that injected hidden risk into the supply chain. The corporation is usually left with a supply situation that is largely unchanged at best, or a pallet supply chain that erodes at critical times in terms of quality or supply.

Pallet Alliance follows a different path – one where we have clients, not customers. Our clients’ pallet spends are not seen as products to be sold but rather a spend to be optimized and managed with their best interests front and center. We start things off by working as an extension of our client’s business, not an outsider looking to sell products at the highest price we can obtain.

We start this process by visiting client sites to understand the pallets, products, and machinery that must successfully work together to get products to market efficiently and undamaged. During this process, we benchmark the current situation, document program goals, and ask for input from operators – the people that actually use the pallets every day.

We then begin a technical process of design review, where we consider pallet performance, operating environment, regional pallet industry resources, and internal processes to discover and identify the factors that drive cost. The result is a detailed plan to optimize the pallet designs, sourcing, and related processes to obtain the lowest cost to palletize, while also accounting for the need to build agility and resiliency into the supply chain. With this documented information, the client now has control and we can manage the pallet spend strategically.

Perhaps the most powerful aspect of our process is that we provide transparency. Throughout the process we invite, and actually encourage, the client to take part in the process with us so that they can gain a better working knowledge of their pallet spend. We document all conditions, reasons for decisions made, and the designs so that the process is fully transparent from beginning to end.

Once we install the program, we serve as the client’s single point of contact for all pallet related matters across all sites. Pallet Alliance provides detailed interactive reports and assists in communicating pallet related matters through out the organization where needed. We will continue to manage prices through changing lumber markets, conduct quality audits, strategically obtain market prices throughout the year, and make sure the client’s pallet program maintains optimization throughout the coming years.

About The Author:

Tyson Steffens started his professional career as a process engineer with United States Gypsum Company after receiving a B.S. in Chemical Engineering from The University of Akron and completing internships with General Electric. During his time with USG, Tyson moved into an operations role, where he managed manufacturing, quality control, and distribution. In 2003, Tyson joined Pallet Alliance, where he began creating custom solutions for manufacturing clients. His efforts refined pallet program management by incorporating pallet design and sourcing into a singular effort. In 2006, Tyson earned his MBA from the Keenan-Flagler Business School at The University of North Carolina at Chapel Hill. Since then he, along with the Pallet Alliance team, have created and managed pallet programs that provide significant cost savings, transparency, process efficiency, and supply chain security. Tyson serves as a trusted advisor to clients and values building collaborative partnerships that lead to innovative, strategic, and comprehensive pallet programs.

 

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