ISSUE

71 Q2, 2016
A QUARTERLY NEWSLETTER PUBLISHED BY

COLUMBIAN LOGISTICS NETWORK

QUARTERLY NEWSLETTER

WAREHOUSING | TRANSPORTATION |FOOD LOGISTICS | MANUFACTURING LOGISTICS

WWW.COLUMBIANLOGISTICS.COM

Reducing Inventory
Loss in the Warehouse
Page 2

HEATING UP

Jim Gadziemski
Vice President, Warehousing Operations

us on

It All Adds Up
Values Series pg. 5

In the food logistics business, summer time is always busy. At

Columbian, our warehouse activity is heating up along with the
temperatures. With full buildings and growing inventories, we are
ramping up our crews to make sure we meet our customers business
needs. Getting through the busy summer season on time and safely
is tougher than many people realize. Hot summers
require different handling processes, storage
profiles, and potentially different packaging to deal
with humid conditions. Another major concern
is for our associates, who need to stay hydrated
and healthy through a very busy season. So this
summer, as you are having a picnic in the park or
a cold drink at a ball game, remember to thank the
logistics professionals who made it possible.

Like

REDUCING
INVENTORY
LOSS

CONTENTS
LETTER FROM VP
REDUCING INVENTORY LOSS
CARRIER MANAGEMENT
CORE VALUES SERIES
EMPLOYEE UPDATES
EVENTS CALENDAR
LEGENDARY CUSTOMER SERVICE AWARD

1
2
4
5
6
7
7

Facebook

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REDUCING INVENTORY LOSS IN THE WAREHOUSE

Lets face it: inventory disappears once in a while. Materials get damaged, lost, or pilfered (stolen) on a daily
basis in America. Over time, those losses can add to real and significant dollars. The good news is that there
are some simple steps one can take to minimize the impact of inventory loss on a business.

DAMAGE
Lets start with damage, one of the most common
types of inventory loss. To think about what is
causing damage and how to avoid it, first think
about where and when damage occurs. Is your
damage happening in inventory or in transit?
Warehouse damage is often caused by one of
two major factors: packaging or handling. It is
important to understand the capabilities of your
corrugate boxes or other storage conveyance and
how those materials will stand up to the conditions
in the warehouse. For example, in hot, humid
Memphis, Tennessee, a box will sag and possibly
fall over far more quickly than in the bone-chilling
cold of a Michigan winter. Also consider the empty
space at the top of a package, also known as headspace. If your materials do not completely fill your
packages, you are inviting an opportunity for a creased seam or crushed box that could cause a domino effect
throughout the warehouse.
For materials damaged in transit, it is very important to consider loading technique, platform composition, and
trailer properties. Loading technique refers to the method used by the material handler at either the shipping
or receiving facility. Is that person properly trained? Do they take proper care when handling the product?
Taking a walk out to the loading dock might surprise you. Platform composition simply refers to what, if any,
materials are used to hold the product in the trailer or container. Grade A heat-treated pallets are very reliable
and sturdy, but can run upwards of $10 each for the convenience. Slipsheets are simple corrugated platforms
that can help shield goods from splinters in the trailer floor or walls. Speaking of the trailer floor or walls, the
composition of a trailer itself can be a big reason for product damaged in transit. Wood-sided walls and floors
are less expensive than their metal counterparts, but have a higher frequency of leaks and splintering, which
is very risky. Be careful to consider these factors when shipping product.

"Taking a walk out to the loading dock

might surprise you."
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INVENTORY CONTROL
While this piece addresses inventory loss in general, sometimes inventory in a warehouse simply gets lost.
A robust inventory auditing and cycle counting program can provide numerous returns, including a reduction
in simply losing inventory. In this arena, technology can help as well. Many current Warehouse Management
Systems (WMS) offer count-back functionality wherein a person who picks product from a specific location
is asked to validate the remaining inventory
in the location before moving on to his or
her next task. Even without expensive
technology, simple cultural shifts can be
almost as effective. If you see a pallet of
product sitting in an aisle, is there a process
for how to find out where that pallet should
be? Is every location where someone
might put product labeled appropriately
with clear and effective signage? If not,
think about what cultural shifts you might
need to make.

PILFERAGE
While many do not want to think about it, there are just bad actors out there, and proper precautions can help
ensure that they do not do damage to your bottom line. Warehouse theft is most common in warehouses
where the products stored are either high value or easy to fence. If you look around your area and walk the
local flea markets, take a look at the items that are selling popularly. You will typically see food products,
household goods like soaps and paper products, and others. In todays times, eBay and Craigslist are also
common marketplaces for stolen goods. If your company makes products like this, you may be at risk for
pilferage, and it may be time to take action. A clear, consistent, and fair inspection program could be valuable,
wherein you search the bags of employees, executives, and visitors alike. Video cameras are also helpful as
both a deterrent and investigatory tool. Yes, a person has a reasonable expectation of privacy, but advance
notification and implementation that does not show bias or discriminate are well within the rights of an
employer.
These are just a few tips to get you thinking about what might be slipping through the cracks in your distribution
network. In the end, careful consideration and some simple changes can be a big step in the right direction.
Finally, simple measurement of loss, damage, and pilferage is the best way to start setting the baseline for
understanding what you are missing.

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CARRIER MANAGEMENT TIPS

Congratulations! You have successfully executed

your Request for Proposal (RFP) event and contracted
all of your new carriers. You have even acquired
some pricing locked in for two years. All of your plant
locations have routing instructions, and your vendors
are onboard with entering your inbound material
shipments into your Enterprise Resource Planning's
(ERP) transportation module for automatic carrier
selection and tendering.

Your freight is ready to be moved within the model

you have set up. You have spent a significant amount
of time on network design, planning, procurement,
and contracting. Then suddenly, you realize that
you did not clearly and formally define expectations
for
performance,
measures,
score-carding,
communication, performance improvement, and
corrective action. How will you control this beast?
First, do some reflection on your business. What value,
service, or product are you selling to your clients?
Is the nature of your market place and competition
dynamic with compressed timelines and high
volatility or is it more relaxed with a slow-boat modus
operandi? This element and many other business
rules will determine how you choose to measure
performance and success in your supply chain.
Functional areas from Electronic Data Interchange
(EDI) integration, freight invoicing, status tracking,
timely acceptance of orders and load tenders, and
communication of all information related to your
supply chain is fair game when considering how to
manage relationships with carriers.
The key to keeping a strong and positive relationship
with your carrier partners is setting realistic
expectations early enough in the procurement
process. Make sure to have clear expectations for
measurement types and frequency, time period, intent
of the program, improvement, and corrective action
processes toward mutual benefit. If there is value to
the partner beyond retention of your business, you
will be much more successful.

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COLUMBIAN LOGISTICS CORE VALUES

AGILITY
This series details Columbian Logistics Network's Core Values, which include
Safety, Legendary Customer Service, Respect, Performance and Agility.

What does it mean to be agile? Agility is the power to think and draw conclusions quickly. Columbian moves at
the speed of business to keep you ahead of opportunities and market conditions that are constantly evolving.
It is our teams knowledge and experience that allows us to provide effective and dynamic solutions. As your
company grows, Columbian Logistics Network will develop the best possible solution.

AGIL

CE
A
L
P
K
R
O
W
I T Y IN T HE

One of our warehousing and transportation clients had

an urgent request to expedite a load down to their plant in Indianapolis,
Indiana to prevent a production shut down. There were several considerations
we had to look at before we could commit to saving-the-day.
Does the warehouse have the stock or inventory to fill the order and make it
happen? Does the warehouse have an available dock appointment to accommodate the
transportation resources? Can we find an available truck to pick up at our appointment time
and drive straight through to meet production need? When does the truck arrive? Can the
receiver have manpower on site to live unload outside of normal operating hours?
In the end, we were able to confirm necessary inventory levels, secure a 20:00
dock appointment to load a truck, and reach out to partner asset who had a driver starting
his shift at 8PM. They were also able to drop the trailer on site at the receiver, thus
accomplishing the task of solving an urgent customer-need with Agility.

Josh Sund
Logistics Technician

Questions about the Core Values series?

Contact Marion Donahue, Marketing Coordinator,
at mdonahue@columbian.us

LET'S PLAY BALL COLUMBIAN VISITS FIFTH THIRD BALLPARK

Lets Play Ball! In order to carry on the warm feeling of family and belonging at Columbian
Logistics Network, a couple of company outings have been scheduled this summer.
Columbian Distribution Services (CDS) will be attending a Whitecaps game in June, while
Sprinter employees have tickets for July. Bring your families, lawn chairs, and foam fingers
for a fun-filled day. Go Whitecaps!
For more information, email Human Resources Manager, Chris Killman, at chrkil@columbian.us.

CLN Ideas

Suggestions For Continuous Improvement

Columbian-Q2-16-Newsletter.indd 5

The CLN Suggestion system allows our experts to suggest process improvements to aid
in Columbian Logistics continuous improvement journey.

Submit Suggestions via the portal

OR email idea@columbian.us
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THAT'S A WRAP! ALL EMPLOYEE MEETINGS

Columbian Logistics employees and leaders wrap up all employee meetings for this quarter.

As the second quarter came to an end, the All

Employee meetings did as well. CEO John
Zevalkink discussed our company vision, values,
and 2016 goals. He also discussed the progress
made on each of the goals, leaving the employees
with positive outlooks, hope, and motivation.
Vice President of Warehouse Operations, Jim
Gadziemski, discussed our efforts regarding the
safety and security of both our employees and
our customers' products including training and
other initiatives that management is working on to
ensure that safety is our number one value.
Chris Killman, human resources manager, reviewed successful wellness initiatives including: the
fundraiser for the American Heart Association, Michigan Blood Drive, health challenges completed
and those which will commence this summer. As of May 2016, 74% of employees are receiving the
wellness discount and 86% of eligible employees are participating in the 401K plan.
After conducting eight consecutive meetings, these three leaders deserve a round of applause.

Lead Generation Program

The lead generation program is a way for employees as individuals to
contribute to the over-all success of Columbian Logistics by identifying
potential new business opportunities.

Submit Leads Online: www.columbianlogistics.com/leads

See An Opportunity?
Someone who needs
transportation or warehousing?
Submit the lead online or
by phone or email to
Sarah Mosher-Byer.

If your lead is

QUOTED

If your lead
PRODUCES REVENUE

Contact Sarah Mosher-Byer at 616-514-1904 or sarbye@columbian.us

STAY HYDRATED! THE WATER CHALLENGE

This quarter, Columbian encouraged employees to participate in a 30 Day Water
Challenge. During the challenge, employees were motivated to drink at least
64 ounces of water each day. We had 49 employees that participated in the
challenge. Congratulations to the following employees for winning the prize
drawings:

Bea Mohr
Huston Rodriguez
Marcelino Leon
Marion Donahue

Columbian-Q2-16-Newsletter.indd 6

!
s
t
a
r
g
n
o
C

KEEP POSTED FOR UPCOMING

HEALTH CHALLENGES!
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Events Calendar
Columbian Logistics Network will attend the highlighted events.
We look forward to the opportunity to connect, and encourage you to contact
Blair Thomas, Director of Customer Care at blatho@columbian.us or by phone
at 616-514-5977 to schedule a time to meet.
Food Defense Conference
MDVA Convention

CSCMP Conference

June 29-30
August 5-6

Minneapolis, MN
Boyne Falls, MI

thefooddefenseconference.com
mdva.org/convention

September 25-28

Kissimmee, FL

cscmp.org/annual-conference

Columbian Logistics Network is pleased to announce that we will present

an educational session at the Food Defense Conference, held on June
29th through June 30th. The conference, which will be held in Minneapolis,
Minnesota, is a two-day event focused on safe and secure food supply. Vice
President of Warehouse Operations, Jim Gadziemski, will be presenting.
For more information about the event, visit:
http://www.thefooddefenseconference.com/
or contact mardon@columbian.us

LEGENDARY CUSTOMER SERVICE THE AWARD WINNERS

Congratulations go to the Legendary Customer Service (LCS) Award winners for the
first quarter of 2016: Jesse Sweezea, Nate Stowe, and Shannon Burton!

Nate Stowe, Bob Christian, and Jesse Sweezea

est.

1894

Custoicemer
serv

Jesse Sweezea & Nate Stowe - Internal Nomination

Jesse Sweezea, corporate controller, and Nate Stowe, assistant corporate
controller, were both awarded the internal nomination for Legendary Customer
Service. Director of Customer Care, Blair Thomas, commented on their efforts:
"Jesse and Nate were the primary resources in a huge effort to design and
implement a new accounting system, Microsoft Dynamics GP. They served as
subject matter experts and worked both together and with other departments/
groups like IT, Operations, and Executives to come up with how they wanted the
new system to service what they do. Their efforts were always on time, thorough,
and done right the first time."
Shannon Burton - External Nomination
Shannon Burton, transportation supervisor at Kentwood Campus, was awarded
the external nomination for Legendary Customer Service. A large food logistics
customer had high praises for Shannon. They mentioned that Shannon was
extremely helpful in the operations, communicated well, reacted timely, and was
always available when they needed him. Keep up the good work, Shannon!

Shannon Burton and Doug Johnson

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If you have experienced Legendary Customer Service from a Columbian Logistics employee, please take a few
minutes to nominate them! Fill out a nomination form online at 'columbianlogistics.com/legendary-customerservice' or contact Jilia Hagen at jilhag@columbian.us, or 616-514-1934

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A QUARTERLY NEWSLETTER PUBLISHED BY

COLUMBIAN LOGISTICS NETWORK

WAREHOUSING | TRANSPORTATION |FOOD LOGISTICS | MANUFACTURING LOGISTICS

Q2 NEWSLETTER

WWW.COLUMBIANLOGISTICS.COM

CONTENTS
LETTER FROM VP
REDUCING INVENTORY LOSS
CARRIER MANAGEMENT
CORE VALUES SERIES
EMPLOYEE UPDATES
EVENTS CALENDAR
LEGENDARY CUSTOMER SERVICE AWARD

1
2
4
5
6
7
7

www.columbianlogistics.com Phone: 1-888-609-8542

2900 Dixie Ave SW Grand Rapids, MI 49418

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