Unit load in the context of Retailing


Unit load in the context of Retailing

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⭐ Core Definition: Unit load

The term unit load refers to the size of an assemblage into which a number of individual items are combined for ease of storage and handling, for example a pallet load represents a unit load which can be moved easily with a pallet jack or forklift truck, or a container load represents a unit for shipping purposes. A unit load can be packed tightly into a warehouse rack, intermodal container, truck or boxcars, yet can be easily broken apart at a distribution point, usually a distribution center, wholesaler, or retail store for sale to consumers or for use.

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Unit load in the context of Pallet

A pallet (also called a skid) is a flat transport structure, which supports goods in a stable fashion while being lifted by a forklift, a pallet jack, a front loader, a jacking device, or an erect crane. Many pallets can handle a load of 1,000 kg (2,200 lb). While most pallets are wooden, pallets may also be made of plastic, metal, paper, and recycled materials.

A pallet is the structural foundation of a unit load, which allows handling and storage efficiencies. Goods in shipping containers are often placed on a pallet secured with strapping, stretch wrap or shrink wrap and shipped. In addition, pallet collars can be used to support and protect items shipped and stored on pallets.

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Unit load in the context of Total delivery cost

Total Delivered Cost (TDC) is the amount of money it takes for a company to manufacture and deliver a product. Its components are:

  • Total Manufacturing Cost: Costs incurred up to and inclusive of the production of finished and wrapped pallets or unit loads, fit for introduction into the warehousing and distribution chain.
  • Product Supply Non-Manufacturing Expense: Administrative and developmental costs associated with the purchase of materials, engineering, design of a plant worthy production process, and administrative costs required to manage it.
  • Finished Product Logistics Costs: Costs incurred from the entry of finished, wrapped pallets, or unit loads to the warehousing and distribution chain, until delivery of cases to the customer's receiving dock.
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