Without argument, if you have a facility that is currently using Metal Halide, Mercury Vapor or High Pressure Sodium, you need new lighting.  The great thing about it is that very often, these are self funding projects.  Yes, you heard me correctly.  You can put new lighting in at no cost to your company. 

Each month you get a bill from your energy company.  You have to pay this bill otherwise your power will be cut off.  Using new lighting technology will lower your lighting costs up to 75% under the right circumstances.  If you pay $10,000 a month in lighting costs and that is cut in half, the $5,000 savings will pay the lease payment.  There is no impact to your cash flow.  Once you pay off the lights, you’ll be putting that $5,000 right to the bottom line.  That is essentially increasing your net revenue by $60,000 a year.  In this economy, more revenue certainly isn’t a bad thing.

There’s more.  The federal tax credit has been extended.  That means that you can take up to $.60/sq. ft. up to the cost of the project as a credit to your taxes.  This can mean big money, lower the cost of the project and improve the payback period.

It just doesn’t make sense not to change your lighting.  Period.

Protecting Your Rack

Rack is an expensive asset.  Even with steel prices at a low point, a rack system still represents a large percentage of your warehouse investment.  When you make that investment, you want to protect it.  Unfortunately it is common practice to overlook protection for your investment on the basis of cost.  This is a slippery slope.  Protection is inexpensive as a percentage of your total rack project.  Don’t forget that the cost to repair or replace damaged uprights and beams will quickly justify the upfront cost of protection.

What kind of protection is available?

1. Rack guards – There are many types of guards available on the market, from individual upright protection to end of row protection.  They come in all shapes and sizes and should be tailored to the type of lift truck your operation employs.
   1. Post protector – Comes in many varieties, mostly rounded or angled to deflect impacts.  Comes in a variety of material including steel and plastic
   2. End of row – Protects the entire width of the upright, usually curved around the front of the upright at the entry point of the aisle
   3. Bollard – Multi-functional free standing post to create a protection barrier
   4. Guard rail – Is used in a number of manners.  It can be used to create a safe walk way for pedestrian traffic or to protect sensitive equipment that is exposed to potential truck damage
2. Driver training/responsibility – Making sure that your drivers are well trained and understand that there are consequences to poor performance can be a great deterrent.
3. Shock Switches – These are modules that are installed on your lift trucks that will disable the truck if it impacts anything.  The only way to enable a truck is to have a supervisor do so.  This will make sure that your drivers are more conscientious as the work in the warehouse.

Oftentimes, the strength of the forklift dealership fails to play a prominent role in the selling process.  Historically, a dealership’s value proposition has primarily focused on the strength and benefits of the particular brands they represent.

It is this value proposition that has always allowed the market leaders to differentiate themselves from the competition.  Premier brands always commanded a premium.  This differentiation essentially created a two tier market.  One tier supplying a ‘premium’ forklift and a second tier supplying a ‘price’ oriented forklift.  While the differentiation remains, second tier suppliers have gained ground by skewing the definition of ‘value’ from performance to price.  This is extremely dangerous for both customers and dealers as the operational demands on a forklift are strenuous and require a robust product and quality dealer support to be effective in the long run.

It is important to keep in mind that the quality of the dealerships within a manufacturer’s network can vary tremendously by territory.  The same brand may have a different reputation in two different parts of the country based on the quality of that particular dealer. 

Leveraging your strengths can set you apart from your competition and create value the customer can see.  This can be a huge advantage in diffusing price as the primary decision point.  Response time, number of technicians, first call completion rate, breadth of product offering and parts availability are all things that are at your disposal to gain an advantage over your competition.

Use every advantage you can.  Your dealership has value.  Use it.

As a whole, installation of material handling projects can be a nerve-wracking prospect. Even when working under the most ideal of circumstances it becomes the most critical piece in ultimately labeling a project a success. Many a good project has succumbed to improper installation.

Successful installation begins with proper planning and solid project management. Designs have been finalized, vendors have been chosen and the job has been sold. It is now up to the project manager to ensure that deadlines are met and progress is made according to pre-determined timelines.

Without a doubt, the insidious ‘Mister Murphy’ will rear his ugly head to throw a wrench into even the best laid plans. However there are steps that can be taken to minimize the impact of these occurrences within the installation period:

1. Plan, Plan, Plan. Anything that can be accomplished ahead of time should be.
2. Clearly and concisely relay proper product specifications to vendors.
3. Work closely with vendors to ensure that product delivery is on-time.
4. Meet with installation crews to discuss the project and make sure there is a clear understanding of what needs to be accomplished.
5. Stay close to the installation; if not on-site, via phone. Be available at all times to answer questions and give direction so downtime is minimal.
6. Keep the customer up to date as to progress. Relay progress on a regular basis so that if a delay occurs, the customer understands the reason and expectations are adjusted.
7. Be honest. Don’t set timelines that aren’t reasonable and relay any concerns to the customer if timeline demands exceed the reality of the installation.

Installations will commonly have bumps in the road. Be prepared for this inevitability, pre-plan and be flexible to make adjustments ‘on the fly’. Follow these guidelines and you will give your installation the greatest chance for success.