Packaging can be a bottleneck in many companies' logistics processes. Discrepancies between the packaging volumes stated on the DESADV or packing slip and the actual packaging delivered are frequently overlooked, especially when dealing with large volumes. This can result in you losing track and running a considerable financial risk, as you frequently end up paying too much deposit. Fortunately, there is something you can do about this.
The logistics processes at most companies are largely similar, although there are some differences. A flower wholesaler uses different types of packaging and slightly different processes than a retailer or a meal kit delivery service. Nevertheless, they encounter the same problems: you expect a hundred crates, pallets or roll containers, but do you actually receive a hundred? And do you pay deposits on the actual quantities delivered?
Even with automated DESADV delivery notifications, things regularly go wrong. It turns out that more cabbages fit in a crate than expected, so without further notification fewer crates and roll containers are delivered than announced in the DESADV. Upon receipt, the number of products in the crates is carefully counted, but packaging numbers are not checked and recorded. The result: the deposit invoice reports the expected number of crates instead of the actual number, and you pay too much, but you cannot check it. Especially when large volumes are involved, the amounts (and especially the differences!) quickly add up.
Overpaying on deposits is a direct cash outlay that you will not get back. This requires watertight delivery checks and active monitoring of the calculated deposit amounts. Ideally, you would check the packaging received and ensure that deposit invoices are based on the correct figures. We have already established that this is complicated when you work with large volumes of packaging. However, there is a working solution for this.
It is important to continuously compare the three most important moments in the logistics process: announced, actually received and invoiced quantities of packaging.
Storing all returnable packaging information in one system and exchanging data with other systems, including your accounting system, gives you complete control over your packaging costs. PackControl's packaging software facilitates this and allows you to actively manage checks and (re)counts.
PackControl's software calculates deposit amounts based on verified figures and the rules and agreements you have defined for a counterparty. It automatically retrieves invoice amounts, checks them against the actual figures and highlights any discrepancies, enabling you to correct them immediately. This makes it easy to check whether differences reported to the external party are accurately reflected in the deposit invoice, ensuring that you never pay too much again.
PackControl is complete packaging software that can exchange data with your ERP, TMS, WMS, DESADVs and financial systems. It streamlines your packaging administration. You can recount quantities while there is still time and take immediate action on discrepancies. This will help you to keep packaging costs under control.
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