Aerospace Shipping Solutions
It is no secret the Pandemic has put an unprecedented strain on supply chains. Freight bills are getting more expensive every month. The News gives a bleak and bearish outlook on freight costs for the immediate future that is not likely to improve until sometime in 2021. This is a huge problem for traditional wood-crate shipments if you are paying the freight bill, because they are very heavy and expensive to ship. In this Blog, we take a look at the impact of these escalating freight costs on the shipping of Aerospace parts and assemblies; and, explain how Ecorrcrate can lower your freight bill.
What is Ecorrcrate?
Ecorrcrate is a lower cost, wood crate alternative built from a light weight, durable and resilient corrugated building material. Ecorrcrates are:
- 40-75% lighter than traditional wood crates.
- Highly moisture resistant to protect high-value parts.
- Internationally accepted, ISPM15 Export certified to ship Worldwide.
- Sustainably built from renewable resources, re-usable, and easily recyclable.
- Highly Customizable.
- Durable, Safe, and Easy to load / unload.
Aerospace has Traditionally Shipped in Wood Crates
The Aerospace industry has traditionally relied on heavy wood crates to protect their high-value parts in shipping around the world. Custom-sized wood crates are relatively easy to source and have been, for the most part, an effective shipper.
The most common Aerospace shipping solutions for parts and assemblies is via LTL and Air Freight. It is all about speed and service otherwise lower rates offered in Rail and Full Truckload shipments would be an attractive option.
Combining these factors poses a unique challenge. High value parts and assemblies must ship in a durable and resilient shipper via the costliest channels. So how can you save money on your shipping costs?
Weight is the Key Variable
Ironically, Aerospace parts are light weight but are transported in heavy wood crates. It is not uncommon for parts weighing no more than 75-100 lbs to ship in a 150-200 lb container. That means that you are paying the freight on the extra 150-200 lbs. It is not possible to eliminate all of the shipping container weight, but it is possible to save you money by significantly reducing the weight.
LTL, Air Freight, Inbound, and Outbound
We suggest a review of 4 areas to find savings: Air Freight, LTL Freight, Inbound Shipping, and Outbound Shipping.
First, air freight is expensive anyway but more so now that commercial airline traffic is stymied by the worldwide Pandemic. Air freight has a high cost per pound. Ecorrcrates are 40-75% lighter than comparable wood crates and are proven to significantly lower air freight bills.
In one case, a major OEM with a set contract price for air freight on a 42” x 42” x 42” shipper size, found savings by shipping more parts in the container. Replacing the heavy wood crate with an Ecorrcrate allowed them to add another 100 lbs to the container, reducing the number of shipments and lowering the cost of freight per part.
In other cases, Ecorrcrates further reduce the shipping weight because they are attached to corrugate pallets rather than the heavier heat-treated wood pallet option. Less weight directly lowers the air freight bill.
Second, LTL shipments are utilized in two ways in the Aerospace Industry, via standard LTL and via Dedicated / Pool truck. LTL rates are directly affected by two key factors, shipping weight and stack-ability. Heavy weight and “Do Not Double-Stack” shipments are the most costly. We have already shown that Ecorrcrate weighs less but you may not be aware that Ecorrcrates are also stackable, often up to 8,000-10,000 lbs, which is more than enough to perform in the most rigorous environments. The weight of the shipper is less problematic in dedicated / pool truck shipments, but you will pay for the floor space in the truck. If you can change your freight designation to “Stackable”, you will save money. This is even more true in standard LTL shipments.
Finally, review your inbound and outbound shipments. Most of our Aerospace OEM, 2nd Tier and 3rd Tier Ecorrcrate users report charging outbound freight to their customers around 50% of the time. For those customers, they are paying the inbound freight at least 50% of the time. In fact, there are many Aerospace companies that do not ship outbound in wood crates but receive much of their inbound parts and assemblies’ inventory in wood crates. We would suggest these companies talk to their suppliers about shipping their parts in Ecorrcrates to lower their freight bill and save money.
How to Talk to Your Supplier About Lowering Your Freight Bill
Now is the time to talk to your supplier about more cost-effective shipping solutions. If your supplier is not paying the bill then they will maintain the status quo. If you share only your concern or complaint, it may be dismissed as just one of the many challenges we all face. But, if you bring them a solution along with your concern, good suppliers will listen. Good suppliers look to help their customers reduce their costs especially if it benefits them as well.
Ecorrcrate is a win-win because they are:
- Easy to set up with no risky power tools.
- Easy to open on arrival / easy disposal in recycling stream improving the customer experience.
- Much lighter weight than wood packaging, 40-75% lighter.
- Durable, Protective, and Proven to perform in the most rigorous environments.
- Highly Customizable.
Conclusion:
The Pandemic has challenged us more than anything else in recent history. We are doing what we can to help businesses not only survive but thrive. Creative solutions are the answer to winning. Ecorrcrate is an eco-friendly, creative, durable, and light-weight solution designed to meet all of your needs and save you money.
Click on “Contact Us” now to join our many Aerospace customers in saving money with Ecorrcrate Aerospace Shipping Solutions.