Summer is ending and budgets coming up…

Summer holiday (for the ones with kids or linked to high season for whatever other reason) is over and it’s not just ‘back to school, yeah!’,? but also ‘back to work, yeah!’. And don’t we all say and think let’s keep this holiday feeling a bit longer a live in our lives, minds and veins then just during holiday itself….

Typically for this period of the your budgets are created and discussed. I’m sure that the most logical topics are on the budget for either a bit more or a bit less and of course linked to the future goals. Another spread with a different name/number and a new tab including versioning is the way to go. Having said that I’m sure that most of you have some budget for CSRD and/or PPWR. How to handle and cover this all might still be a bit vague, but you know for sure you should do something with it. So take in to account for the budget and at least you have space to play with.

The one thing which was there since 1924 is the pallet. And of course many other RTIs (Returnable Transport Items) like bags, bins, crates and boxes go way more back in time without having the attention as it has today, right?

In your 2025 budget there is also room to act more and better on RTI’s than you already do, right? It’s finally from agenda topic 11 within the top 10, which is discussed regularly. If not only CSRD and/or PPWR are pushing this thought for the ‘future’ it should already be the risks (financially and operational) in the now which should push it. Since if you can identify one or more of next examples, please don’t hesitate. Take RTIs account for your budget.

• Your production stops as soon as load carriers are not available
• You need to rent/buy extra load carriers due to lack of insights
• Your charged deposit fee exceeds 30% of your revenue
• Your load carrier loss rate on average is around 15%
• You need to settle the balance with your relations yearly
• Your load carrier administration is a spaghetti of Excel
• …

And as food for thought hereby an example:

• You ship out 100 crates per pallet (€4,- each)
• You ship out 10 pallets (€8,-? euro each)
• The margin on you goods sold is 10%
• Sales price of goods sold per crate is €10,50
• You lose (physically or administratively) 5% of the RTIs

?

Question(s):

• What is the percentage drop of the margin on goods sold?
• How many goods should be sold extra to cover this ‘loss’?
• And what would be the answer when you lose again 5% on the RTIs used for these extra sold goods to cover the ‘loss’?

If your triggered, frustrated, puzzled or just curious, please don’t hesitate to reach out. I am and we are RTI Blockchain and happy to think along! Load carrier management with a smile!

And by the way, we have the answers on above ?? And would you be surprised, scared or feel just comfortable if this percentage drop on the margin is almost 20% in this example. Meaning (and calculated) that you need to sell another 80% of the initial sale without a loss percentage on these additional RTIs to cover up and get even.

So if your budget sheets is not final yet…

Take some time to over think a budget for RTI management. It’ll pay off for sure!