Rehrig Pacific Company, a leading manufacturer of returnable/reusable plastic crates and pallets, is announcing a systematic and proven method for tracking returnable assets for the food and beverage industry.

Rehrig Pacific Company (, a leading manufacturer of returnable/reusable plastic crates and pallets, is announcing a systematic and proven method for tracking returnable assets for the food and beverage industry. Though several options are available to control shrinkage and asset loss, including asset tracking, RFID and 3rd party logistics’ pooled floats, Rehrig’s customers have identified systematic asset management as the most cost effective approach for reducing premature purchases.

Rehrig’s systematic asset management program is custom designed to fit the specific needs of each company experiencing loss and reduce unnecessary asset purchases by 20 – 25% the first year and 10 – 15% each year thereafter. This is achieved through retraining of existing employees and creating open lines of communication within the distribution network.

Several companies have credited Rehrig’s asset management program with protecting their investments and sustaining the savings achieved from returnable/reusable packaging. For example,

•    A dairy company in the West was losing 1,400,000 cases per year with a case float turn every seven months. Case float turn refers to the frequency with which a company purchases all new crates and pallets to support sales activities. After Rehrig’s Asset Management Program was implemented, the company extended their case float turn from seven months to two – three years. The first year they saw a 30% reduction in asset purchases and 15% the following year.

•    Another dairy company in the Northeast is on-track to reduce asset purchases by 15%, 10% and 10% over the next three years.

Some companies who have experienced asset loss, believed theft to be the cause. To examine the issue of asset loss due to theft, Rehrig Pacific recently partnered with key clients to hire private investigators to study four major metropolitan areas with the goal of uncovering rings of thieves stealing crates and pallets. The areas of focus were South Florida, Los Angeles, Baltimore and Atlanta. Based on the number of companies that felt theft was involved, the findings were surprising.

No evidence of theft was found in either South Florida or Baltimore. In Los Angeles, approximately 150,000 pounds of mixed products were uncovered, and in Atlanta, 25,000 pounds. But, considering the millions of pounds shipped into metropolitan areas annually, finding 25,000 - 150,000 pounds (a fraction of 1%) of stolen assets was not significant.

The main source of asset loss was found to result from negligence by those who handled them in the normal course of business - a consequence that Rehrig Pacific guarantees to change with their systematic asset management program.

“Companies should buy crates and pallets because their business is growing, not because of attrition due to mishandling of assets,” said Brian Lindell, Manager of Food and Beverage Business Group for Rehrig Pacific. “Companies can reduce loss, misuse and abuse by more than 30% when they take control of their assets with a proven method for tracking crates and pallets. They can also return to achieving the cost savings they thought they would when they initially made their decision to invest in returnable packaging.”

The Asset Management Program introduced by Rehrig Pacific consists of eight key stages for effective execution: 1) Assessment of the company’s distribution system, 2) Interview key players in the distribution network, 3) Examine past case purchases, 4) Analyze the case float, 5) Create an information flow to build awareness and educate those involved in the distribution network, 6) Implement the asset management plan, 7) Monitor the program, and8) Provide timely reviews to maintain asset management control.

By employing this program, companies can expect to uncover information concerning the source of asset loss within the distribution network and take steps to realize their Return On Investment in returnable/reusable packaging.

More About Rehrig Pacific

For nearly 100 years, Rehrig Pacific has helped companies handle and transport a diverse range of products. Headquartered in Los Angeles, Rehrig is an international company with worldwide licensees offering an ever-expanding product line that includes reusable/returnable plastic crates, carts, and pallets designed to handle, store and transport products in the agriculture, bakery, beverage, dairy, environmental and materials handling marketplaces.

For further information, please contact:

Stew Heist, National Dairy Industry Manager, Rehrig Pacific Company
Direct: (770) 329-8255
Toll free: (800) 241-9693
William H. Bloch, Manager Global Logistics, Rehrig Pacific Company
Direct: (323) 415-8713
Toll free: (800) 421-6244, ext. 713