Victoria Kickham started her career as a newspaper reporter in the Boston area before moving into B2B journalism. She has covered manufacturing, distribution and supply chain issues for a variety of publications in the industrial and electronics sectors, and now writes about everything from forklift batteries to omnichannel business trends for DC Velocity.
In the never-ending quest to boost productivity in the warehouse and DC, it's becoming even more important to focus on the care and maintenance of a crucial piece of equipment: industrial storage racks. Experts agree that storage rack safety is gaining more attention industrywide these days, and they say it's vital to develop a proper maintenance and inspection program. After all, weak or damaged racks can contribute to collapse, risking worker safety and causing product damage. Keeping storage racks in prime condition should be a top priority, experts advise.
The best storage rack systems are configured to allow enough room for workers and lift trucks to move about the facility and access products safely and easily.
"I believe [storage rack safety] is becoming more and more important to operators of the warehouse," says Dan Clapp, director of engineering for New Jersey-based storage rack manufacturer Frazier Industrial Co. and a 25-year member of the Rack Manufacturers Institute (RMI), a trade group that promotes the safe design and use of storage racks and other structural systems. "Storage racks are what I call very high-performance structures. A storage rack will typically have one pound of steel supporting 10 pounds of product. We ask the material to do a whole lot of work, [so] the monitoring and the repair is vitally important to the structure."
To stay on top of the issue, Clapp and others recommend that warehouse and DC managers pay close attention to their facility's layout and daily use requirements, adhere to a regular inspection schedule, and take quick action to repair or replace weak or damaged storage racks.
DESIGNED FOR SAFETY
The best storage rack systems are configured to allow enough room for workers and lift trucks to move about the facility and access products safely and easily. Clapp recommends that companies work closely with their rack supplier or systems integrator when designing a facility or adding storage racks—and that they resist the urge to get "every last inch" of storage space out of the facility. Providing a little extra clearance around pallets and in the aisles can make it easier for workers to access products and reduces the risk of accidents, he explains.
"I suggest they consider opening up the clearances," he says, comparing warehouse aisles with roads and highways: wider lanes are easier to navigate than a narrow maze of pathways. "Develop a layout on the basis of clearances required around the loads—and be generous with the clearances. You will gain a tremendous amount of productivity that way."
Damage to storage racks is almost always related to misuse and abuse, and forklifts are most often the culprits, adds Tom Wagner, a regional manager with New Jersey-based storage solutions provider Unex Manufacturing. Industrial steel storage racks are designed to last for years if properly installed and maintained, he says.
"It's hard to damage them through normal wear and tear," Wagner explains. "If it's not getting hit, it's not going to wear out like a piece of machinery would. Abuse and misuse is where the need [to] replace and repair comes in."
In addition to developing a sensible layout and making sure the equipment is properly installed, Wagner emphasizes the need for regular monitoring for rack damage and ensuring that safety devices, such as pins and bolts that reinforce connection points, are in place and secured.
"So many places you go in, those are missing or gone," he explains, adding that such items cost little to replace when compared with the cost of product loss or worker injury due to a rack collapse, which can be catastrophic.
"It looks like dominoes when it goes," Wagner says of a rack failure.
GUIDELINES FOR INSPECTION
Storage racks should be inspected at least once a year, Clapp and others say—and possibly more frequently, depending on how quickly the inventory is turned. Continuous observation and assessment should be a part of every maintenance plan as well. Experts say warehouse employees should be on the lookout for damage as well as wear and tear when working around storage racks, and forklift drivers should report any impacts right away.
Thomas Gibbs, founder of Bolingbrook, Ill.-based independent pallet rack inspection company United Rack Services, agrees.
"The more the product is cycled, the more often [racking] should be inspected," explains Gibbs, whose company conducts storage rack safety inspections and training at warehouses throughout North America. "An archival storage facility, for example, where they put [product] into the racking and hardly ever pull it, will require [less-frequent inspections]. But a grocery distributor, where they are constantly turning over product, should [inspect its racks] more often."
That's because more-frequent use can increase wear and tear and lead to more accidents, especially fork truck collisions. Harsh environments, such as pallet or storage racking inside a freezer, can also shorten service life and create the need for more frequent inspections. As part of the inspection process, experts such as Gibbs will assess the general condition of the racking and look for any damage or weakness to the structure. They will make sure the structures are anchored properly, that safety locks are in place, and that no hardware or other pieces of the system are missing, for example. They will also assess any modifications that may have been made to the system to ensure those changes did not affect its safety, among other issues.
Clapp's work at the Rack Manufacturers Institute aims to help companies determine how frequently their storage racking should be inspected. RMI, an industry group within the trade association MHI, offers guidelines and standards for storage racks; Clapp says its document Considerations for the Planning and Use of Industrial Steel Storage Racksis a guideline that includes practical recommendations for rack maintenance and inspection. RMI has developed storage rack standards for more than 50 years, and its most recent—RMI/ANSI MH16.1-2012—serves as the default standard for storage rack implementation for the International Building Code. The group's R-Mark Certification program denotes manufacturers that have demonstrated the knowledge and skill required to meet the latest RMI standard for pallet storage racks, according to Clapp.
REPAIRED AND READY FOR DUTY
RMI emphasizes that rack safety and inspection is everyone's responsibility and that damage to racks should be reported immediately. Clapp adds that any damage to the structure should be repaired or the components replaced, no questions asked.
"The reason we say that is, again, [industrial storage racks are] high-performance structures. We are asking the steel to do every bit of its capability, so any damage will degrade its performance—maybe not enough to collapse the system, but you never know. So we recommend inspection, and to repair any damage found."
Companies should work with a rack engineer (usually a representative from the product's manufacturer or the systems integrator) to repair or replace damaged racks and components. Damage can include impacts to the frame or other portions of the rack (usually from a fork truck) as well as loose or missing hardware and anchors. The rack engineer can evaluate damage to determine if there is a safety concern; in those cases, the rack should be unloaded until the repair can be made, according to RMI.
Such issues are likely to gain prominence, experts add, during a time when most warehouses and DCs are working to get more products out the door faster than ever.
"A lot of companies are realizing that safety is good business," Gibbs explains. "It's really just a matter of what priority [the company] gives to [rack safety], and I've seen an increase in the priority most are giving it."
RJW Logistics Group, a logistics solutions provider (LSP) for consumer packaged goods (CPG) brands, has received a “strategic investment” from Boston-based private equity firm Berkshire partners, and now plans to drive future innovations and expand its geographic reach, the Woodridge, Illinois-based company said Tuesday.
Terms of the deal were not disclosed, but the company said that CEO Kevin Williamson and other members of RJW management will continue to be “significant investors” in the company, while private equity firm Mason Wells, which invested in RJW in 2019, will maintain a minority investment position.
RJW is an asset-based transportation, logistics, and warehousing provider, operating more than 7.3 million square feet of consolidation warehouse space in the transportation hubs of Chicago and Dallas and employing 1,900 people. RJW says it partners with over 850 CPG brands and delivers to more than 180 retailers nationwide. According to the company, its retail logistics solutions save cost, improve visibility, and achieve industry-leading On-Time, In-Full (OTIF) performance. Those improvements drive increased in-stock rates and sales, benefiting both CPG brands and their retailer partners, the firm says.
"After several years of mitigating inflation, disruption, supply shocks, conflicts, and uncertainty, we are currently in a relative period of calm," John Paitek, vice president, GEP, said in a release. "But it is very much the calm before the coming storm. This report provides procurement and supply chain leaders with a prescriptive guide to weathering the gale force headwinds of protectionism, tariffs, trade wars, regulatory pressures, uncertainty, and the AI revolution that we will face in 2025."
A report from the company released today offers predictions and strategies for the upcoming year, organized into six major predictions in GEP’s “Outlook 2025: Procurement & Supply Chain” report.
Advanced AI agents will play a key role in demand forecasting, risk monitoring, and supply chain optimization, shifting procurement's mandate from tactical to strategic. Companies should invest in the technology now to to streamline processes and enhance decision-making.
Expanded value metrics will drive decisions, as success will be measured by resilience, sustainability, and compliance… not just cost efficiency. Companies should communicate value beyond cost savings to stakeholders, and develop new KPIs.
Increasing regulatory demands will necessitate heightened supply chain transparency and accountability. So companies should strengthen supplier audits, adopt ESG tracking tools, and integrate compliance into strategic procurement decisions.
Widening tariffs and trade restrictions will force companies to reassess total cost of ownership (TCO) metrics to include geopolitical and environmental risks, as nearshoring and friendshoring attempt to balance resilience with cost.
Rising energy costs and regulatory demands will accelerate the shift to sustainable operations, pushing companies to invest in renewable energy and redesign supply chains to align with ESG commitments.
New tariffs could drive prices higher, just as inflation has come under control and interest rates are returning to near-zero levels. That means companies must continue to secure cost savings as their primary responsibility.
Freight transportation sector analysts with US Bank say they expect change on the horizon in that market for 2025, due to possible tariffs imposed by a new White House administration, the return of East and Gulf coast port strikes, and expanding freight fraud.
“All three of these merit scrutiny, and that is our promise as we roll into the new year,” the company said in a statement today.
First, US Bank said a new administration will occupy the White House and will control the House and Senate for the first time since 2016. With an announced mandate on tariffs, taxes and trade from his electoral victory, President-Elect Trump’s anticipated actions are almost certain to impact the supply chain, the bank said.
Second, a strike by longshoreman at East Coast and Gulf ports was suspended in October, but the can was only kicked until mid-January. Shipper alarm bells are already ringing, and with peak season in full swing, the West coast ports are roaring, having absorbed containers bound for the East. However, that status may not be sustainable in the event of a prolonged strike in January, US Bank said.
And third, analyst are tracking the proliferation of freight fraud, and its reverberations across the supply chain. No longer the realm of petty criminals, freight fraudsters have become increasingly sophisticated, and the financial toll of their activities in the loss of goods, and data, is expected to be in the billions, the bank estimates.
Specifically, 48% of respondents identified rising tariffs and trade barriers as their top concern, followed by supply chain disruptions at 45% and geopolitical instability at 41%. Moreover, tariffs and trade barriers ranked as the priority issue regardless of company size, as respondents at companies with less than 250 employees, 251-500, 501-1,000, 1,001-50,000 and 50,000+ employees all cited it as the most significant issue they are currently facing.
“Evolving tariffs and trade policies are one of a number of complex issues requiring organizations to build more resilience into their supply chains through compliance, technology and strategic planning,” Jackson Wood, Director, Industry Strategy at Descartes, said in a release. “With the potential for the incoming U.S. administration to impose new and additional tariffs on a wide variety of goods and countries of origin, U.S. importers may need to significantly re-engineer their sourcing strategies to mitigate potentially higher costs.”
A measure of business conditions for shippers improved in September due to lower fuel costs, looser trucking capacity, and lower freight rates, but the freight transportation forecasting firm FTR still expects readings to be weaker and closer to neutral through its two-year forecast period.
Bloomington, Indiana-based FTR is maintaining its stance that trucking conditions will improve, even though its Shippers Conditions Index (SCI) improved in September to 4.6 from a 2.9 reading in August, reaching its strongest level of the year.
“The fact that September’s index is the strongest since last December is not a sign that shippers’ market conditions are steadily improving,” Avery Vise, FTR’s vice president of trucking, said in a release.
“September and May were modest outliers this year in a market that is at least becoming more balanced. We expect that trend to continue and for SCI readings to be mostly negative to neutral in 2025 and 2026. However, markets in transition tend to be volatile, so further outliers are likely and possibly in both directions. The supply chain implications of tariffs are a wild card for 2025 especially,” he said.
The SCI tracks the changes representing four major conditions in the U.S. full-load freight market: freight demand, freight rates, fleet capacity, and fuel price. Combined into a single index, a positive score represents good, optimistic conditions, while a negative score represents bad, pessimistic conditions.