Cost Justification
Cost Justification Formula on
Pallet Dispenser / Stacker
Pallet Dispenser / Stacker
- Most of us desire a safe workplace because no one should have to suffer a painful injury on the job. Nor do we want to have firsthand experience with an occupational fatality. These humane concerns are usually at the heart of a company's Injury Prevention Program.
- There are other important reasons for preventing employee accidents and injuries too, and they are financial in nature. The goal of most organizations is a profitable operation, without it jobs may disappear. The expenses associated with injuries cut deeply into this profit, and can make or break the ultimate success of your company. These costs can be avoided, or significantly reduced, if an effective preventive injury program is in place.
- As a supervisor, you should try as hard to control accident costs as you do to increase production revenues. The following information will help you understand the cost factors associated with work-related injuries, and the vital role you play in helping to control these expenses.
- Formula 1:
- Saving time and energy at work will increase your Company's bottom line.
- Formula 2:
- To justify the cost of automation on the production side it needs to meet one requirement; have predictable processes that increase the volume.
- Formula 3:
- Costs can be avoided, or significantly reduced, if an effective preventive injury program is in place.
By investing in a Pallet Dispenser you will put predictability into the unpredictable task of pallet handling, all the steps in the process to get the pallet ready for entry are gone. The fewer steps to a task the more predictable it will be saving employees time and energy for the real task at hand.
Impact on Safety Issues and Standards
- Injuries that could be eliminated by not having to touch the pallets will be eliminated.
- Lower back and arm strain.
- Leg or foot injuries from pulling pallets off the stack to the ground.
- Hand and arm abrasions.
- People tripping over small stacks of pallets.
- Reduces chances of contamination.
Other Benefits of having a
Cherry's Pallet Dispenser.
Cherry's Pallet Dispenser.
- Flexibility in hiring process. There is greater diversity in today's workforce. Once dominated by men, the industrial workers of today are more diverse in gender and age. "Anyone can move a pallet - not everyone can lift one all day long."
Improve Production
- Pallets will be ready at ground level to be moved by hand jack or electric riders.
- Employees can finally predict were the pallet entry will be - it will never change - never move around - and always be there at ground level saving time.
- Eliminates 90% of the steps it takes to get a pallet or put a pallet on a stack.
- No need to pull pallets off stack.
- No need to turn pallets in direction.
- No need to find something to push the pallet against for easier access of pallet jack tines.
- Time is saved not waiting for the operator to breakdown the stacks.
- Reduces labor output by not having to have a second person to lift pallets.
- Pallets breakdown time is gone saving operators time for other tasks.
- Nobody has to wait for others to get a pallet.
- No second person time is needed to lift and stack pallets.
- Time saved locating the pallet jack tines in correct position to lift and move pallets.
- Better employee production throughout the busy day by reducing the fatigue of pallet Impact on Organizing D/C and Manufacturing Operation Floor handling.
- Fewer but higher pallet stack allows you to have central access locations for pallets.
- Higher pallets stacks in building locations allows for fewer stacks, which increase cube space.
- Reduces damage cost on pallets and products.
Impact on Insurance Cost - Savings on Safety Side.
- The average cost of a back injury is $25,000.
- Reduce the risk of having to pay for high worker's compensation claims
- Reducing the cost of short terms disability premiums are possible for a couple of reasons:
- Insurance companies give you a rating passed on how many hazards you have in the work area. By using a pallet dispenser you eliminated many hazards. Improving your insurance rating decreases the cost of premiums.
- If your insurance adjuster determines you premiums on clarification of work roles, the chances are good that the manual labor role of moving pallets could be changed and upgraded to line-operator role; Improving your insurance rating High Insurance rating results in lower short-term disability premiums.
Impact on Job Enhancement Benefits:
- Improves moral
- Reduces absenteeism
- Reduce employee turnover
