The Operations Committee is endorsing common box size standards for the industry, in order to provide simplification and accuracy in our supply chain process. The situation we have today is that the industry, with the exception of California, has few standards in box sizes and that situation is causing inconsistencies in freight efficiency and cost calculation.
To provide an example please look at the following:
- Box A=41 x 10 x 9 box size packed 20 bunches is a 2.13 cubic foot half box
- Box B=40 x 10 x 8 box size packed 20 bunches is a 1.85 cubic foot half box
If you are paying 2.00 per cubic foot, including fuel surcharge, to a transportation company from Miami, then the freight cost per box with the same contents inside is of course more expensive for Box A. While the difference may be relatively small per bunch, summed up over thousands of bunches, the difference adds up.
- Freight cost Box A per box packed 20= $4.26 (per bunch .213)
- Freight cost Box B per box packed 20= $3.70 (per bunch .185)
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