Sustainability in Logistics | 3PL Sustainability

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Sustainability

Barrett Distribution's Commitment to Sustainability

As the midpoint of the supply chain, distribution centers are in a unique position to drive sustainability throughout the supply chain. Barrett, through their efforts, has not only been recognized for their business success, as one of the fastest growing companies by Inc. Magazine, and as a winner of the Pacesetter Award from the Boston Business Journal, but has also been inducted in the GXT Green Honor Roll in recognition of their significant investment and success in mitigating their carbon footprint and climate impact. At Barrett, we have embraced several sustainability initiatives as we work to reduce the carbon footprint of our U.S. warehouse network.

To date, our Sustainability efforts have included:

Solar panels in Franklin, MA which generate more than 6,000kw of power
Innovative high efficiency LED warehouse lights and usage measurement dashboards that reduce energy use
Modern fleet of fuel-efficient vehicles and no-idle rules
Recycling programs in all locations
Motion detector lighting
Natural lighting and installation of sky lights

In recognition of our efforts, in . GXT Green recognized twelve organizations that made significant contributions to sustainability efforts in their companies, their communities, and to the global community.

Sustainability

Tim Barrett, COO of Barrett Distribution, and his brother Arthur, President, have proof of their conviction that becoming sustainable has been a boon to their business. Contributing to their customers' Return On Investment is key to Barrett's success. Established as a single warehouse in 1941, Barrett runs a privately owned network of more than 2.1 million square feet of state-of-the-art warehousing capacity, providing customized logistics solutions for customers throughout the United States and Canada from a network of facilities in the Northeast, Southeast, Mid-Atlantic, Northern California, Southern California and Calgary, Canada. "Being sustainable in every aspect of our business has improved our bottom line, as well as bringing value to our customers", said Tim. "It also provides that extra edge that gives us an advantage when competing for new business".

Barrett management has done a tremendous job of focusing on the triple bottom line (three "P"s of sustainability): People, Profit, and Planet. When asked to identify the 10 most important sustainable initiatives that Barrett Distribution has undertaken or is in the process of implementing throughout their facilities, Tim and Arthur described the following projects as keys to their success. Below are goals for all distribution centers to consider:

Waste & Energy

Reduce Obvious Energy Waste

This includes strict rules on truck idling time in the parking lots and warehouse, diligence and clear procedures regarding the opening of loading dock doors, and proper insulation of the office and warehouse space.

Water Saving Toilets and Fixtures

Although we sometimes forget about water use in our analysis of resource usage, this is a prime area for sustainable savings. Waterless urinals, dual-flush toilets, and motion detecting faucets can all contribute to sustainable savings. And don't forget those motion detectors on the restroom lights, and high efficiency hand dryers.

Solar Energy

What good is hundreds of square feet of roof space if you don't put solar arrays on them? In their Franklin facility, Barrett has installed a state-of-the-art solar power system which generates more than 6000kw of power per month. This is enough to power the facility, with leftovers which are sold back to the power company at a profit. Best of all, with tax and energy incentives, this investment of over $2,000,000 had an ROI of less than a year.

Reduced Lighting and Energy Use

Older, inefficient fixtures that require frequent bulb changes should be replaced with bright, efficient, LED lighting, focused appropriately in work areas. In addition, motion detectors should be put in place to turn lights on and off, both in the warehouse and office areas, to eliminate lighting use when not needed. Barrett has also installed a large number of Prismatic skylights in warehouse areas, along with sensors that operate lighting based on the amount of sunlight shining in. "We have found that, in addition to saving energy, having well lit facilities has boosted morale and productivity of the staff in the warehouse", noted Arthur.

Monitoring

Smart Meters

In many areas of the country, smart meters are becoming available for commercial use. Not only can usage be better monitored, but as power companies develop "time of day" energy rates, usage can be adjusted accordingly. For example, electric forklifts can be charged at night, when power is less expensive.

Energy Monitoring, Management, and Comparison

With energy monitoring software, it becomes easy to identify and remedy any and all inefficiencies in the use of electricity, gas, and water. In collaboration with their sustainability consultant, GXT Green, Barrett is currently a beta-sight for new state-of-the art software from 1Efficiency. This software allows them to monitor energy and resource usage across multiple facilities, comparing them to both industry benchmarks and to similar facilities in their network. The data is loaded automatically through the utilities. With this data in one screen it is easy to track and identify opportunities for improvement.

Optimized Facility Layouts

In their quest to reduce costs and improve efficiency for their customers, Barrett pays tremendous attention to optimizing their warehouse layouts. They constantly analyze the movement of products, as well as the seasonality of demand. Thus, they increase efficiency of picking efforts, minimizing energy use, time, and effort.

Involve Your Employees in the Effort

At the end of the day employees are a key contributor to sustainability improvements. They are the ones that turn the lights on and off, run the forklifts, and open and close the doors. Employees are educated in sustainable behaviors, and encouraged to suggest additional ways to improve. In the Franklin facility, a screen showing the power usage is displayed on a large monitor, showing employees and visitors how efficient their usage is, and reminding them of their success.

Energy Zones

Distribution centers have very distinct usage patterns, all of which can be optimized in different ways. By installing separate meters in facilities, offices, warehouse, and refrigerated sections can be isolated and optimized accordingly. This is especially relevant where smart meters are available.

Engage Your Suppliers

Sustainability is an important element throughout the supply chain. It starts with your manufacturers, and ends with the ultimate customer. Ensure that your suppliers and clients understand ways to eliminate waste and cost. Ship efficiently. If products need to be taken out of packaging and kitted, think about ways to eliminate waste in the bulk packaging. Choose warehouse locations that are most efficient for the manufactures and the end-users. Help them understand how this helps the triple bottom line, and how sustainability efforts will help their business, as the future of our planet.

The Barrett Customer Success Blueprint

By Katherine Wroth • 25 Jul, 2024

"For over a decade, Barrett has been more than just a logistics partner; they've been an extension of our company. Barrett facilitated our expansion into the West Coast, enabling quicker turn times for our screen-printed goods. This partnership played a crucial role in our growth during the first several years." – Mike McAllister, Fruit of The Loom At Barrett Distribution, we pride ourselves on being more than just a logistics provider; we are a committed partner in our clients' growth journeys. Our ideal customers seek a deep, collaborative relationship, and our success stories, like that of Fruit of The Loom, highlight the importance of engagement, professional communication and mutual growth. This blog explains the key characteristics that define the ideal Barrett customer blueprint and how these traits contribute to a successful and long-term 3PL partnership. The Importance of Engagement When considering our most successful relationships at Barrett, it becomes clear that our best customers thrive on engagement. These customers are not just looking for a vendor; they seek a true partner. This partnership approach contrasts sharply with the transactional nature of typical vendor relationships, which often lack the depth and collaboration necessary for mutual success. Professional Communication and Mutual Growth Our ideal customers prioritize high levels of professional communication. They understand that a successful partnership with a 3PL provider requires ongoing dialogue, transparency and trust. This communication ensures that both parties are aligned and can work together seamlessly to achieve shared goals. Many of our most successful partnerships started with small, emerging brands. These companies were new in their journey and sought a partner who could help them scale. Through consistent performance and effective communication, we've helped these brands grow, and as a result, our credibility and level of trust have increased over time. Avoiding the Transactional Trap On the other hand, brands that frequently change 3PL providers, often in pursuit of the lowest cost, do not align with the Barrett approach. These short-term, cost-focused relationships lack the cultural fit we seek. We aim to enter partnerships with the expectation of a long-term commitment, ideally spanning ten years or more. This long-term perspective fosters deeper collaboration and a stronger, more resilient partnership. Conclusion The ideal Barrett customer values engagement, professional communication, and mutual growth. These customers view us as partners rather than vendors and share our commitment to long-term success. By focusing on these characteristics, we ensure that Barrett and our customers thrive in the competitive 3PL industry. Why Choose Barrett Distribution? With over 80 years of experience in the logistics industry, Barrett has a proven track record of helping businesses overcome their 3PL challenges. Our commitment to innovation, scalability and customer satisfaction sets us apart from other 3PL providers. You're partnering with a logistics provider dedicated to your success. Are you a company looking for a long-term 3PL partner? Contact us today to learn how our 3PL services can help your business scale and thrive.

Three Key Considerations for E-Commerce Brands Looking for a 3PL Partner

By Katherine Wroth • 23 Jul, 2024

Did you know that global e-commerce sales are expected to reach $8.1 trillion by 2026, a 56% increase from 2021? According to a report by Statista , the rapid growth in online shopping is driving this significant increase. Brand and consumer demands have fueled an explosive expansion of the third-party logistics (3PL) industry. 3PL services cover the full range of e-commerce fulfillment processes, from warehousing to pick-and-pack, shipping, and returns. If you’re an e-commerce company and fulfilling orders in-house is no longer viable, it’s time to turn to a third-party logistics (3PL) provider like �°��ϲʹ�� to expand your fulfillment strategy. Here’s what you should know about working with a logistics partner and how to choose the right one for your business's needs: 1. Experienced and Reliable Team The first and foremost consideration is the experience and reliability of the 3PL partner’s team. When leading a Request for Proposal (RFP), you might evaluate several companies, initially focusing on price and cost. However, these elements can often be quite similar across different proposals. What truly distinguishes one 3PL from another is the team’s expertise and proven track record. You want a partner who has “been there, done that” and can easily navigate the complexities of logistics. At Barrett, we pride ourselves on our people and culture, which consistently win us business. The team’s ability to do things efficiently and effectively is crucial for a successful partnership. 2. Exceptional Service Levels Service quality is another critical factor. The ability to fulfill orders accurately and on time is paramount, especially in the e-commerce sector. Customers expect their orders to arrive when promised, and any delays or inaccuracies can lead to dissatisfaction and lost business. When choosing a 3PL partner, ensure they have a robust system for managing order fulfillment and a track record of delivering exceptional service. The right partner will help you maintain high standards and keep your customers happy. 3. Scalability and Systems Lastly, consider the 3PL’s scalability and technological capabilities. While most large, reputable 3PLs have sophisticated systems in place, scalability is what sets them apart. You need a partner who can grow with your business and support you as you expand into new channels and markets. At Barrett, we aim to be your long-term partner, making it virtually impossible to outgrow our services. We think five, ten, or even fifteen years ahead, ensuring we can support your business's growth and evolving needs. Look for a 3PL that seamlessly integrates with your current operations and scales as your business grows. In summary, when hiring a new 3PL partner, prioritize their experience, service quality, and scalability. By focusing on these key areas, you can ensure a successful and long-lasting partnership that supports your business’s growth and operational efficiency. Why Choose Barrett Distribution? With over 80 years of experience in the logistics industry, Barrett has a proven track record of helping businesses overcome their 3PL challenges. Our commitment to innovation, scalability and customer satisfaction sets us apart from other 3PL providers. You're partnering with a logistics provider dedicated to your success. Are you a high-velocity D2C brand looking for a 3PL? Contact Barrett today to learn how our e-commerce fulfillment services can help your business thrive.

Optimizing Carton Sizes for KAO Brands

By Katherine Wroth • 10 Jul, 2024

KAO Brands is a leading consumer products company specializing in haircare and hygiene products. They rely on �°��ϲʹ�� (BDC), to manage their entire fulfillment operation. As KAO's e-commerce business flourishes, optimizing costs per order becomes increasingly crucial. A Sustainable Impact Historically, KAO used seven carton sizes for packaging all their e-commerce orders. With ever-increasing shipping costs, BDC knew exploring hidden opportunities to improve KAO’s packing efficiency was necessary. Beyond the impact on their bottom line, KAO Brands strives to develop sustainable products and packaging, “making the world healthier and cleaner.” BDC’s Industrial Engineering team, spearheaded by Nick Halcombe , investigated potential cost reductions through cartonization optimization. Halcombe stated, “By partnering with Paccurate to pilot their innovative cartonization platform, BDC sought to determine if Paccurate’s software could identify a more efficient carton suite for KAO Brands. This collaboration can lead to significant savings in transportation and materials and positively impact the environment.” Leveraging Simulation for Real-World Impact The power of Paccurate’s packaging analysis tool, PacSimulate, lies in its ability to analyze vast amounts of order data and perform millions of cartonization iterations rapidly and at scale to test different carton sizes, cartonization rules, rate card changes, and more. In this case, BDC leveraged Paccurate to evaluate an entire year’s worth of order data to determine what savings might be found by optimizing the outbound shipping container sizes. Data-Driven Results The analysis revealed a clear path toward significant savings by comparing KAO's existing seven-box system to the ideal-fit cartons suggested by PacSimulate. Five out of the seven existing cartons were identified for replacement. This strategic shift resulted in a projected annual transportation cost reduction of 5.9%. Furthermore, PacSimulate's analysis identified a substantial opportunity for material savings. The optimized carton suite yielded a 33% reduction in corrugated material usage and a 34% net DIM weight reduction. These savings will contribute to KAO Brand’s ESG initiatives of ensuring 100% of their products will leave a full lifecycle environmental footprint that science says the natural world can safely absorb. Additionally, further analysis identified that KAO Brands could even reduce the number of cartons they stock while still seeing some benefits from a transportation and corrugated waste perspective. Optimization Results By implementing Paccurate's cartonization solution, BDC identified significant cost savings for KAO from both a transportation and materials perspective. The power of data-driven cartonization and its potential to significantly impact e-commerce fulfillment costs benefit customers and provide a value-added service for 3PLs like Barrett Distribution Center. The Bottom Line for KAO + BDC 33% Less corrugated material usage 5.9% Transportation cost reduction 34% Net DIM weight reduction About Barrett Distribution: With over 80 years of experience in the logistics industry, Barrett has a proven track record of helping businesses overcome their 3PL challenges. Our commitment to innovation, scalability and customer satisfaction sets us apart from other 3PL providers. You're partnering with a logistics provider dedicated to your success. Ready to overcome your logistics challenges? Contact Barrett today to discover how our tailored solutions can help your business thrive.

What Should Be in an SLA for Order Fulfillment?

By Katherine Wroth • 26 Jun, 2024

At �°��ϲʹ�� , we know that not all SLAs are created equal. When partnering with a 3PL provider for order fulfillment services, a well-designed Service Level Agreement (SLA) is your blueprint for success. A strong SLA sets the stage for a productive and transparent relationship, ensuring both parties understand their roles and responsibilities. It also serves as a benchmark for evaluating the performance and effectiveness of the 3PL provider, promoting continuous improvement and accountability. What exactly is a Service Level Agreement (SLA)? A Service Level Agreement (SLA) ensures that all parties involved in order fulfillment are on the same page. An SLA is a formal contract between the 3PL provider and a client that outlines the specific services expected, the standards to be maintained and the metrics for measuring performance. At Barrett, we pride ourselves on providing personalized logistics solutions; having a well-defined SLA is key to maintaining trust and client satisfaction. Here’s a comprehensive guide on what should be included in an SLA for order fulfillment: Service Description: The first element of an SLA is a clear and detailed description of the services provided. This should cover all aspects of order fulfillment, including receiving orders, processing, picking and packing, shipping and handling returns. It should specify the scope of services and any limitations. This clarity helps set the right expectations and ensures there are no ambiguities. Performance Metrics: Performance metrics are the backbone of any SLA. They define how the 3PL provider’s performance will be measured and reported. For order fulfillment, common metrics include: Order Accuracy: The percentage of orders correctly fulfilled without errors. On-time Delivery: The percentage of orders delivered within the agreed timeframe. Inventory Accuracy: The accuracy of stock levels as reported in the inventory management system. Return Processing Time: The time taken to process returned items and update inventory. Responsibilities of Each Party: An SLA should clearly delineate the responsibilities of both the 3PL provider and the client. The 3PL provider's responsibilities may include ensuring timely order processing, maintaining accurate inventory records and providing regular performance reports. The client’s responsibilities may include providing accurate order information, timely payments and adhering to agreed-upon procedures for returns and disputes. Issue Resolution and Escalation Procedures: Despite the best efforts, issues can arise. An SLA should include detailed procedures for resolving problems and escalating unresolved issues. This section should outline the steps to be taken during service failures, including who to contact, the timeframe for resolution, and how issues will be documented and reported. A clear escalation path helps quickly address and mitigate issues before significantly impacting the business. Service Availability and Support: This section should specify the availability of services and support. For example, it should detail the operating hours, availability of customer support and any provisions for after-hours or emergency support. This ensures clients know when to expect assistance and what support is available. Compliance and Security Standards: Order fulfillment often involves handling sensitive information, such as customer and payment information. The SLA should outline the compliance and security standards to which the 3PL provider will adhere. This may include compliance with regulations like GDPR or CCPA, data protection and cybersecurity standards. Performance Reporting: Regular performance reporting is crucial for transparency and accountability. The SLA should specify the frequency and format of performance reports. These reports should provide insights into key metrics, any service issues encountered and steps taken to resolve them. This helps maintain a transparent relationship and enables continuous improvement. Penalties and Incentives: To ensure adherence to the SLA, it’s common to include penalties for non-compliance and incentives for exceeding performance expectations. Penalties might include financial compensation for missed targets, while incentives could be bonuses for consistently meeting or exceeding service levels. Managing Capacity for Growing E-commerce Businesses: Many of our e-commerce clients are experiencing significant growth. Are you prepared to manage new markets and increase sales? When collaborating with your 3PL partner, it’s essential to consider how rising order volumes will affect your SLAs. Understanding your 3PL’s ability to scale alongside your growth while maintaining your brand promise is critical in your decision-making process. Leveraging 80+ Years of Expertise to Enhance Your Customer Experience With over 80 years of experience serving clients nationwide, we are well-equipped to provide the exceptional customer experience you need to help scale your business. Our extensive network of order fulfillment centers , Barrett experts, efficient processes and advanced technology ensure that we consistently meet your SLA requirements daily. To learn more about our personalized 3PL solutions, contact us today.