Tag: economy

The Ever Shrinking Military Impacts Local Communities

Budget Cuts

When a military base slowly shrinks over the course of years, the effects can be more troubling for the local community than a complete closure. Many military towns have seen a gradual loss of jobs as the Department of Defense moves to reduce infrastructure as an alternative to closing a base.

Tim Ford, the head of the Association of Defense Communities, recently told Federal News Radio that many people who publicly oppose a Base Realignment and Closure (BRAC) would admit privately that a planned closure is easier to deal with than a gradual shrink. 

The BRAC process involves transparency leading up to a final decision. A community can make plans to repurpose the buildings in order to evolve the local economy. On the other hand, the local community can find itself facing silent job losses and large swaths of unused buildings if the DoD shuts down bits and pieces of the base.

Budget concerns, changing politics, and shifting military strategies all contribute to these changes. A revised BRAC process may be the key to ensuring the best long-term results for affected communities, but many difficult decisions remain.

We follow these affairs closely because our industrial tugs are used by military bases as GSA-approved materials handling equipment. In fact, industrial tugs can help make day-to-day operations more efficient for the military.

With that in mind, the good news is that many military bases are finding ways to streamline operations and reduce costs to avoid closure. 

For more information about industrial tugs for military and DoD applications, as well as a wide range of products for businesses of all kinds, visit DJProducts.com.

Eliminating Overhead the Smart Way

The economy is still lagging far behind what it was a few years ago and though some industries are beginning to see some promise, logistics and third party warehouses are still struggling to stay out of the red.  In order to keep the doors open, many businesses are being forced to find a way to cut overhead because the customers just don’t have money to spend.

Many businesses are moving to smaller facilities, cutting down the inventory they stock and even cutting employees just to lower spending enough to remain profitable.  If you slash inventory, move to a smaller facility or cut employees you could be hurting your company’s ability to provide adequate service, but there is a way that you can spend less money while at the same time improving your ability to serve the customer.

Propane powered equipment may seem like the most convenient and efficient way to move material, but when you calculate the cost of fuel and tally up the frequent maintenance and repair costs you’ll see that quite a bit of your budget is being spent on this equipment that is supposed to be saving your company money.  A much more economic way to move material is with battery operated carts and lifts.

The lifts and carts offered by DJ Products are quiet, efficient and incredibly reliable and the cost of operation is far less than that of a propane powered forklift.  A single employee can easily maneuver around tight spaces with heavy loads of inventory and not ever have to worry about wasting time changing an empty fuel tank – the lifts and carts from DJ can last an entire shift on a single charge.

You don’t need to sacrifice the quality of your service, your capacity to store product or your number of employees to get back into the green – you may be to be able to cut costs and provide better service by running your operation with the right equipment.

A Little Goes a Long Way

When it comes to performing any job, it’s imperative that workers have both the “know how” and the proper equipment to accurately perform every task they encounter.  An employee attempting to figure out how to use a piece of equipment as he goes can result in plenty of wasted time and even put people at risk of injury.

Upgrading every piece of computer and material handling equipment at once could bring about too much of an expense for some distribution centers to bear, but taking small steps to ensure that you have all of the equipment necessary and that all of your employees know how to use it is a big step towards optimal efficiency. 

Having only one big, bulky forklift that is constantly breaking down doesn’t make much sense when you receive and ship out dozens of pallets worth of material per shift.  In the long run, you could save money on operating costs and move more freight if you scrapped the outdated forklift in favor of two smaller battery powered lifts.  Battery powered lifts from DJ Products are designed to be safe and easy for any employee to learn how to operate, which could mean a lot less waiting and a lot more working.

These battery powered lifts and carts from DJ Products can also last an entire shift on a single charge, so there is no time wasted changing fuel tanks and fewer moving parts means that there is less chance for equipment breakdown and a smaller budget required for equipment maintenance.

Streamlining or optimizing can sound like overwhelming processes to undertake, especially for a business trying to survive during these tough economic times, but properly training your employees and providing them with the right equipment may be all that needs to be done to make your operation as efficient as possible.

Downsizing? Can Your Equipment Handle the Move?

Unfortunately many material handling companies and distribution centers are still having trouble making ends meet and this has led to a trend of companies moving into smaller builds to cut expenses.  If your company has a lease coming up for renewal and you are considering the possibility of cutting overhead by moving into a smaller building, ask yourself this –is your equipment reliable enough to conquer the work involved in a move?

If you have issues with outdated material handling equipment that gives you fits because of regular maintenance issues, odds are that your move will be a disaster.  Consider the fact that moving your entire operation will be a labor intensive affair unlike any other.  Moving isn’t just high volume – it’s all volume, you need to get everything: racks, pallets, desks and every last piece of product moved as quickly as possible to the new operation to avoid missed sales and risk being labeled unreliable.  Make no mistake about it – moving is not a job to perform with unreliable equipment.

That’s not all you have to consider either – is there adequate room in your new facility to merit the big, bulky equipment that you are currently running?  If there isn’t than upgrading to smaller, safer and more efficient powered carts like those offered by DJ Products is a very simple decision – just be sure to implement it prior to moving.

You won’t be able to ship or receive product during your move, so it’s absolutely integral to your future success to get the move completed as quickly and efficiently as possible so you can open for business again.  You don’t need any hitches thrown into the process by having a piece of equipment fail at the wrong time.  Upgrading to the best and most reliable material handling equipment prior to the move will ensure that you get into your new facility with as few headaches as possible and that you can resume regular businesses soon as possible upon getting settled in your new building.

Keeping Up with the Trends

The world of business, and subsequently warehousing and material handling, is ever changing.  To be successful you must adapt as your customer needs change and there is never a more serious time to serve your customer as a time where the economy is suffering.  If you can’t provide the service that your customer needs, you better believe that he or she will find someone that can in an effort to serve their customer and keep their doors open.

Recent trends have shown that some businesses are being forced by the economy to move into smaller properties in an effort to cut overhead and continue operating.  Some of these businesses will require their suppliers to change from a customary “pick and pack” type supplier to someone who is willing to store materials until they are needed.

Warehouses and distribution centers who are asked to provide this service to their customers need, more than ever before, to be properly organized and capable of staging and shipping orders quickly and accurately once an order is received from their customer.  Direct shipments to end users may be necessary and the overall volume of shipments may increase causing the environment to become faster paced and more hectic.

The need for accurate and properly stocked inventories becomes crucial in this type of environment; because there is no time for error when direct or expedited shipments are required.  One way to ensure that your workers can both accurately receive and store materials and to ensure that material can be pulled and staged for priority shipments quickly is to have the proper material handling equipment available for use.

The ergonomic, battery powered carts and scissor lifts from DJ products operate quickly, cleanly and quietly for an entire shift on a single charge, allowing your employees to focus on the accuracy necessary for pulling and receiving orders rather than on the back breaking labor of manual material handling.  In order to become and stay successful your team needs to be fast, accurate and efficient and one of the best ways to achieve that level of performance is to operate with the best possible equipment.

U.S. Manufacturers Turn to ‘Insourcing’ to Save Money

Insourcing is the new buzzword in U.S. manufacturing circles. U.S. economic woes are causing many manufacturers to replace outsourcing with insourcing, an unexpected boon for American workers. The declining value of the dollar against foreign currencies, skyrocketing transportation costs caused by high fuel prices, and decreasing export demand resulting from the global economic downturn are making it more cost efficient for U.S. manufacturers to produce their products at home.

The same economic forces that sent U.S. jobs overseas are now bringing them home. Manufacturing costs in Alabama are currently running 3% below those in China, causing companies like Exxel Outdoors, Inc., which makes sleeping bags for Wal-Mart and other customers, to execute an “about face” on its production priorities. Since the Wall Street tumble, the company has hired more workers, added new equipment and beefed-up production at its Haleyville, Alabama plant, while cutting production at a joint venture in Shanghai. In 2007, 60% of Exxel’s bags were made in Shanghai. This year, the company will make more product at home than abroad and expects to produce 90% of their product at their Alabama facility by 2010.

Exxel founder and CEO Harry Kazazian is predicting a 20% increase in company revenue this year to $42 million. He credits insourcing as a major factor in his company’s success during a tight economy. Since 2005, he has seen the yuan appreciate 17% against the dollar, pushing up Chinese wages, material costs and freight costs. Kazazian says moving production from Shanghai back to Exxel’s Alabama plant just made financial sense.

“Labor is China’s advantage and our weakest link,” he said. “But they can’t compete with me on my just-in-time” production cycle. Exxel can deliver a sleeping bag from its Alabama facility within three days where shipping from China can take two months.

According to government statistics, U.S. manufacturing is contracting at the fastest rate since 2001, the last time America dipped into a recession. As countries around the globe struggle with the growing financial crisis, there has been a marked decrease in export demand. Without demand for the prodigious output that originally spurred outsourcing over the last decade, producing goods in the U.S. is becoming increasingly cost efficient. Smart companies are re-evaluating their outsourcing policies and making the switch to insourcing.

Surviving and Thriving during Mergers and Acquisitions

Having to cutback, downsize or merge with a competitor has become the reality for many logistics and storage companies if the want to keep their doors open.  There just currently aren’t enough customers and enough money/product moving around in order to keep every company busy enough to justify, or even allow, them to operate at the level that they had prior to the economic downturn.

Mergers with competitors can pose a whole host of issues in terms of operations; the most obvious would seem to be the personal and computer program interactions.  Adopting a brand new and potentially very different system of daily operations and having to interact with a bunch of new personalities can be a daunting task, but few people view just how much difference their can be in the warehousing and storage aspect and it’s profound affect on the employees involved.

Differences in equipment, inventory control and shipping and receiving practices can be difficult obstacles to overcome.  In order for a newly developed company with employees from two different backgrounds to be successful, some operational changes may be a necessity.  Customers coming from both businesses will need to see accuracy and speed at least comparable, if not improved, to what they were used to in order to feel confident with the new situation.

Increasing speed and accuracy may require upgrade changes in equipment as well as operations.  Outdated, inefficient and unreliable machines could spell doom to a company who is attempting to keep current customers from leaving during a period of transition.  The proper material handling equipment will more than pay for itself in a very short period of time with reduced fuel/energy costs and increased employee productivity; and the capability of delivering goods quickly and accurately will keep customers loyal and could possibly increase your bottom line.

DJ products offers affordable, reliable and easy to use solutions for material handling, the exact type of equipment needed for a warehouse to maintain, or exceed customer expectations during the transition period of a merger.

Diversification and the Willingness to Grow

Stocking distributors and manufacturer’s representatives are finding themselves in a position where they have to play the roll of the chameleon, constantly changing to meet their customer’s needs in the ever changing construction environment.

When you are in a field where the products are constantly evolving to meet the end users unique needs it’s difficult enough to try and keep up with the trends, but when the ravaged economy is wreaking havoc with your and your competitors’ businesses you need to truly be the most versatile business you can be in order to remain successful.

Your closet competition may be forced to close its doors, which could open up an area of the market that you were previously unable to service – but in order to attack and hold onto that business you may need to add new product without losing a step in terms of serving your customer.

This type of rapid fire adaptability requires you to have the most reliable and easiest to use equipment in order to be able to receive and fill orders at the rate necessary to meet existing and new customer needs.  You can’t have your employees fumbling with outdated machinery that is prone to failure, or with manually moving thousands of pounds of product due to the fact that there is no fuel in your lift or charge left in its battery.

DJ Products offers battery operated lifts and carts that are designed to meet the demands of the fast paced atmosphere of material handling.  These lifts and carts are among the safest, most reliable and most versatile available – each ergonomically designed to not only get the job done, but to keep your employees safe while they are doing it.

Whether you are feeling pressure from an influx of new product and new customers or just trying better your business status enough to not become a statistic, the right equipment for the job is necessary to exceed your previous level of productivity.

Battery Powered Tugs Position You for Future Success

The woes of the U.S. auto industry should serve as a cautionary tale for the rest of us. To weather the current economic storm, U.S. businesses must embrace the future, maintain flexibility, manage labor and rein in expenses (see our Dec. 12 post). While we certainly hope the economy improves more quickly, economic experts interviewed on CBS’ 60 Minutes last night estimate it could take as long as three years to bring the U.S. economy back to a robust state. Business decisions you make now and in the coming months could well determine whether you’ll still be around to enjoy the economic resurgence when it comes.Moving to DJ Products’ innovative, ergonomically-designed battery powered tugs and electric carts could position you to compete successfully now and into the future.

  • Embrace the future. President-elect Obama has made a commitment to American workers to mandate safe work environments. Backed by a Democratic Congress, material handling industry experts predict a quick reinstatement and expansion of the ergonomic workplace safety rules initiated by the Clinton administration but rescinded by President Bush. Being proactive about workplace safety not only positions you to meet future OSHA requirements, it sends a positive message to workers and can be a powerful public relations tool in an era when Americans use purchasing power to support their own political agendas.
  • Maintain flexibility. DJ Products’ versatile battery powered tug provides maximum flexibility to meet the changing needs of your business. From heavy-duty assembly line pushers to compact cart pushers that can maneuver around obstacles in populated corridors, our battery powered tug will grow with you to meet future challenges.
  • Manage labor. DJ Products’ compact, highly maneuverable, battery powered tugs and carts allow a single worker to perform tasks that often require two to three workers when performed manually. Our ergonomically-designed movers maximize worker safety, eliminating the physical strain associated with pushing, pulling, lifting and carrying tasks. Workers are able to work more efficiently, improving productivity.
  • Rein in expenses. Electric and battery-powered tugs are cheaper and more energy-efficient to operate than gas or diesel-fueled lift trucks. But it’s the ergonomic design of our products that will provide the greatest benefit to your bottom line. Ergonomics has been proven to reduce worker injury, reducing expensive medical, insurance, workers’ compensation, disability and lost man-hour costs. Businesses typically recoup their investment in ergonomic equipment within the first year.

To find out more about DJ Products’ innovative battery powered tugs and carts, visit our website. Give us a call and let one of our ergonomic experts show you how DJ Products can help position you to compete successfully in the future.

Functional Equipment doesn’t necessarily mean Basic Equipment

Many of the duties performed in a warehousing environment are repetitive, especially if much of the material distributed is similar.  Employees in the receiving department follow the appropriate procedure from unloading to stocking and the shipping department will follow their detailed procedure for pulling, stationing and prepping the materials to be picked up by the freight carrier.

This seemingly simple operation might lead people to believe that any old equipment can perform the job – all the employees are doing is moving materials from one spot to another right?  This assumption couldn’t be further from the truth though, the procedures followed in many warehouses and distribution centers follow a similar path – but if safe, reliable and properly designed equipment weren’t available, the business would never be able to keep up with the competition.

Some warehouses would probably be able to function for a very brief period with just the most rudimentary materials, like hand trucks and pallet jacks – provided that the material is to large or cumbersome to be handled manually.  There are probably some distribution centers that could squeak by for a brief period with outdated propane fueled forklifts that are prone to breakdown and require regular maintenance but operating in this fashion would certainly mean the most difficult road for the employees and the biggest risk of not being capable of accurately fulfilling orders.

The ergonomically designed and battery powered lifts from DJ Products are the solution to any material handling problem plaguing a warehouse or distribution center.  These lifts and carts are easy to operate, quiet, safe and the most reliable available.  These days, just keeping up with the competition in the distribution industry may not be enough to survive – you have to give your employees every edge to be able to fulfill orders as quickly and accurately as possible.  The edge often begins with the equipment used to get the job done, that’s why many warehouses and distribution centers are turning to the lifts and carts produced by DJ Products for their material handling needs.