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Sloppy Core Packing Results in Lower Profits

Create an area that is well lit and install some racking to stage your cores – Paul (‘Recall Guy’) at Rebuilders Automotive Supply (RAS), based in the US, tells us why auto recycling operations must have a care when packing core parts.

 

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Paul D’Adamo

Do You “Pull and Pack” Your Cores

There is an inherent issue with packing your core box as parts are being pulled. It may not be obvious as you have probably “always done it this way”, but light-duty cores often get put in the box before your heavy-duty cores, causing significant damage. These parts were probably in great condition at the time of removal.

Damage from sloppy packing renders many parts “useless” and are rejected by your core company, resulting in less PROFIT. My goal is to get you as close to 100% as possible.

Space – The Final Frontier

Over the last few years, I have noticed more and more recyclers allocating more space to inventory and part-prep areas. Where did this space come from? We have either re-allocated the current room or invested in new buildings for this purpose. Why? Because our priorities have changed! The cost of salvage vehicles is at an all-time high. Inventorying and parts prep are now equally important, if not more important than the actual dismantling process. Welcome to 2021, where demanding customers expect clean and “as described” used auto parts. Core companies are customers as well, and it is our job to ship quality rebuildable cores.

Sloppy Packing of Cores Amounts to Half of All Deductions

Are your cores relegated to the dark and dreary corners of your building? Is there adequate lighting to properly process quality rebuildable cores? One of my mantras is:

“Cores are not junk; cores are merchandise.”

They will ultimately be sold to a remanufacturer looking to put that part on the shelf of a major national retailer. RAS is placing emphasis on helping recyclers reduce the number of deductions to ensure a higher yield on cores sent in. About half of all deductions are the result of sloppy packing.

Give Your Core Area a Facelift!

I am an advocate for making small incremental changes for maximum benefit. Beyond working in a well-lit area, could you squeeze a rack or two near your core boxes? Consider the rack a staging area for cores. When it is time to ship, you can get an accurate count of parts and pack them according to their weight class; heavy-duty, medium-duty, or light-duty cores, in that order. Place cardboard between layers for extra protection.

Bottom Line: Reducing Your Deductions by 20% Gets You Closer to 100% Profit

Being a progressive auto recycler means making changes every day to maximize profit. The only thing I want sloppy is my ‘Sloppy Joe’. Give your core area a facelift with bright lights and some racking. I guarantee you will make back the investment in lighting and racking, and your employees will have a more productive work environment.

Questions on QC Counts? Contact Paul the “Core Hunter” at pdadamo@coresupply.com or 401-458-9080.

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