August 17, 2012

WHAT'S A LEVER?:

The Single Most Important Object in the Global Economy (Tom Vanderbilt, Aug. 14, 2012, Slate)

 "Pallets move the world," says Mark White, an emeritus professor at Virginia Tech and director of the William H. Sardo Jr. Pallet & Container Research Laboratory and the Center for Packaging and Unit Load Design. And, as the above stories illustrate, the world moves pallets, often in mysterious ways. 

Pallets, of course, are merely one cog in the global machine for moving things. But while shipping containers, for instance, have had their due, in Marc Levinson's surprisingly illustrative book The Box ("the container made shipping cheap, and by doing so changed the shape of the world economy"), pallets rest outside of our imagination, regarded as scrap wood sitting outside grocery stores or holding massive jars of olives at Costco. As one German article, translated via Google, put it: "How exciting can such a pile of boards be?"

And yet pallets are arguably as integral to globalization as containers. For an invisible object, they are everywhere: There are said to be billions circulating through global supply chain (2 billion in the United States alone). Some 80 percent of all U.S. commerce is carried on pallets. So widespread is their use that they account for, according to one estimate, more than 46 percent of total U.S. hardwood lumber production.

Companies like Ikea have literally designed products around pallets: Its "Bang" mug, notes Colin White in his book Strategic Management, has had three redesigns, each done not for aesthetics but to ensure that more mugs would fit on a pallet (not to mention in a customer's cupboard). After the changes, it was possible to fit 2,204 mugs on a pallet, rather than the original 864, which created a 60 percent reduction in shipping costs. There is a whole science of "pallet cube optimization," a kind of Tetris for packaging; and an associated engineering, filled with analyses of "pallet overhang" (stacking cartons so they hang over the edge of the pallet, resulting in losses of carton strength) and efforts to reduce "pallet gaps" (too much spacing between deckboards). The "pallet loading problem,"--or the question of how to fit the most boxes onto a single pallet--is a common operations research thought exercise.

Pallet history is both humble and dramatic.

Posted by at August 17, 2012 12:07 PM
  

blog comments powered by Disqus
« THE DRIVER IS SURPLUS TO NEEDS: | Main | WAIT, YOU MEAN IT'S NOT VERY BURDENSOME?: »