Challenge load carrier management: What is happening to late returns and lost items?

There is a common problem among K.Hartwall customers: a proportion of returnable load carriers is either lost or returned too slowly by the end customers. This is particularly challenging for highly specialized units, as it is nearly impossible or very expensive to replace them with alternative load carriers. Companies must either increase their safety stock or risk delivery shortages.

A widespread belief is that lost units are used by competitors, end customers or other logistics operators without permission. Wouldn’t it be great to get data about the real root cause without spending a huge amount of time or investing in expensive asset management solutions that cover the entire fleet?

Introducing the Health Check System 

In 2014, K.Hartwall launched its “Health Check System”, a service which tracks a batch of randomly chosen load carriers for a defined time period. For the hardware, the Kizy GSM tracker was chosen for its reliability to work nearly anywhere in the world.

All the cases investigated over the years have revealed interesting findings. Some load carriers destined to the UK market were delivered to France. Some others travelled back and forth between Sweden and Finland for no valid reason. It could also be seen, that tracker signals were lost at the location of metal scrapyards. Also, units would pile up in store backyards because drivers would refuse to pick up empty load carriers.

At the beginning of 2019 K.Hartwall started to use GSM trackers boosted with Wi-Fi to track expensive assets. Thanks to this technology the customer is now able to identify the current location of the units with higher precision and can monitor and recall them faster for further deliveries.

Logo of K.Hartwall

About K.Hartwall
K.Hartwall was founded in 1932 in Söderkulla, Finland. With a focus on innovative solutions and services, the company has generated in-depth knowledge of logistics processes and their financial and environmental impacts over the past 85 years. K.Hartwall is internationally recognized for providing logistics efficiency for goods delivery and merchandising, including returnable goods carriers and systems and services around them. K.Hartwall works closely with its customers around the world and is the preferred partner to several companies in retail, dairy, beverage, logistics and lean manufacturing.

www.k-hartwall.com

Supply chain visibility eliminates delivery issues and losses

With its Health Check System, K.Hartwall has helped its customers to identify the real reasons behind load carrier-related challenges. The collected data has also been used to improve the quality of the supply chain and specify the requirements for asset management solutions.

Customers who have opted for continuous tracking of expensive load carriers have almost eliminated their asset losses and delivery problems due to out-of-stocks. The units are returned 50% faster so the same fleet of assets can be used to deliver 15% more goods, significantly increasing its efficiency and sustainability.

“We’ve been using Kizy from the start for our Health Check system, because the trackers are very robust, perform as promised and work in many countries. The service helps our customers to gain visibility into their supply chain and improve asset management, resulting in much greater efficiencies and fewer losses and delivery problems.”

Antti Sarkkula

New Business Development Manager, K.Hartwall

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Elimination of asset losses and delivery problems

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Faster item returns

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Capacity increase with the same fleet size

Logo of K.Hartwall

About K.Hartwall
K.Hartwall was founded in 1932 in Söderkulla, Finland. With a focus on innovative solutions and services, the company has generated in-depth knowledge of logistics processes and their financial and environmental impacts over the past 85 years. K.Hartwall is internationally recognized for providing logistics efficiency for goods delivery and merchandising, including returnable goods carriers and systems and services around them. K.Hartwall works closely with its customers around the world and is the preferred partner to several companies in retail, dairy, beverage, logistics and lean manufacturing.

www.k-hartwall.com