Denver, Colorado (PRWEB) July 29, 2014
Recent announcements by FedEx and UPS that they will charge for both weight and bulk (parcel dimensions) for all packages, beginning in 2015, has many shippers scrambling for solutions to manage costs.
Both carriers have announced that they will include dimensional pricing for all parcels, removing the exemption for packages under three cubic feet. The pricing calculation changes are in response to rising fuel costs and the rapid growth of online shopping.
Cadre Technologies, a leading provider of warehouse management systems, and Advanced Distribution Systems, Inc. (ADSI), the leading multicarrier parcel shipping systems vendor, say that their integrated systems can help avoid unnecessary charges for parcel shipping under the new parcel pricing.
Cadence and Ship-IT work together to help select the optimum carton size and shipping method by utilizing SKU based dimensions and total weight of a shipment. The WMS sends volumetric information to the shipping software to determine the best carrier and packing configuration. The systems work together in a pre-manifested process for the Cadence Shipping Label Picking process or post manifested for the Cadence Shipping Station.
"It is now a consistent rule that the bigger the box, the more you'll pay, even for the same total weight," explained ADSI CEO Bob Fischer. "Many online shippers have routinely packed small products into larger boxes because box sizes below three cubic feet were exempt from dimensional charges." The volume of smaller parcels has gone up dramatically in the past few years as online shipping has become so popular.
The Cadence WMS will also suggest the best box, based on dimensional information that is available via mobile bar-code computers at the picking or packing stages. Shippers with high volumes of smaller parcels will benefit greatly by expanding their selection of box sizes to get a better fit. Some packages could be charged 50% more if a small item is placed into a large container and then filled with packing material.
"The 'one size does not fit all' saying will apply more than ever with the new dimensional parcel pricing," said Skip Moreland, Senior VP at the International Marketing Group (IMG) in Wildwood, Missouri. IMG uses Cadence and ADSI's Ship-IT for its high volume fulfillment operation. "With proper set-up of SKU weight and dimensional information, along with more available box sizes, the warehouse and shipping systems will help is avoid unnecessary increases in parcel shipping costs."
Ship-IT and Cadence also integrate address verification and residential address confirmation processes to reduce costs of returned parcels for incomplete or inaccurate addresses and for back-charges for residential deliveries mistakenly rated as business addresses.
"When the shipping system and warehouse system work together to pass the right information at the right time, picking, packing and shipping is much more efficient and accurate," said Daryl Grove, Executive VP at Cadre. "Optimizing this process is critical for anyone with high volume fulfillment operations."
About Cadre Technologies
Cadre Technologies is a leading provider of warehouse management software for fulfillment, logistics and manufacturing companies and is the largest software provider to the third party logistics (3PL) industry in North America. Cadre delivers warehouse management and logistics visibility tools including: Cadence WMS and Fulfillment System; Accuplus WMS; and LogiView Visibility and Integration. The company is headquartered in Denver, Colorado, with locations in Lenexa, Kansas and Baltimore, Maryland. Learn more about Cadre Technologies at http://www.cadretech.com.
Advance Distribution Solutions, Inc. (ADSI) is an industry-leading provider of flexible logistics management solutions. ADSI's solutions include Ship-IT, a multi-carrier transportation management solution for domestic and export shipping. With Ship-IT multi-carrier shipping, you can automatically compare carriers for rates, transit times, routes and delivery options and generate domestic and international shipping documents. Founded in 1997, ADSI's customers include 2500+ installed sites located in the U.S., Canada and internationally. To learn more, visit http://www.adsionline.com or call 877-755-2374.