Perishable products come with unique logistics challenges. In this article, we look at those hurdles and solutions for safety, quality and cost effectiveness.

Learn about the special demands of perishable goods logistics, perishable transportation solutions and how the latest technology is revolutionizing perishable goods management.

What Are Perishable Goods and Why Do They Require Special Handling?

Perishable goods are items that have a short shelf life and can spoil easily or even become unsafe if not kept at optimum temperatures. Typically, they require refrigeration or freezing.

Most people think of foods like dairy products or meat when they think of perishable items, as well as ready-made foods and bakery items without preservatives. However, this category may also include certain pharmaceuticals and chemical materials. Flowers may also be considered perishable stock, along with some alcoholic beverages.

Managing perishable inventory requires special handling to ensure the items remain at the desired temperature. Otherwise, these products can become harmful when consumed by people or animals. Pharmaceuticals and chemical raw ingredients may fail to work as designed.

Carefully brewed or fermented beer and wine can become distasteful. Flowers can wilt and die, resulting in waste and loss of income. Recalls and reputation damage are expensive and can even put a company out of business.

When a perishable product is lost due to a failure in perishable goods management, it also creates delays for consumers and retailers, as well as revenue stream issues for the seller.

What Are the Key Challenges in Perishable Goods Logistics?

There are multiple hurdles  shippers face in transporting perishable goods that aren’t experienced with other types of items. The primary challenge is maintaining temperature control. The temperature must not only be set at the proper level for safety and product quality, but it must also be uniform for all temperature-sensitive goods in a given container.

Perishable items typically have very limited shelf lives, so timely delivery is essential. Sellers want the longest possible opportunity for their items to be used or purchased. If temperature-sensitive products are delivered late, it reduces the time they can be available, thereby potentially reducing the seller’s revenue.

Many perishable items are regulated by various government agencies, in the U.S. and abroad. This is another challenge in perishable logistics. Failure to safeguard temperature-sensitive items can result in citations, fines and importation denials.

Managing inventory is a vital component of perishable goods logistics. Again, the restricted shelf life of these items means sellers, cold storage facilities, and fulfillment centers can’t keep a large volume of safety stock on hand, as is customary, to prevent out-of-stock situations. The next sections offer solutions for dealing with this and the other concerns raised above.

How to Maintain Temperature Control During Transportation

Using temperature-controlled shipping is one of the first steps in perishable transportation solutions. These shipping methods include:

  • Refrigerated box trucks

  • “Reefer” semi-trailers

  • Insulated containers

Real-time monitoring is vital to ensure there are no refrigeration failures and that the required temperature remains within range. There are other technological advances that can assist with environmental control, including:

  • Airflow management to prevent temperature stratification

  • Humidity control systems and vehicle moisture-absorbing materials

  • Packing supplies to support temperature and moisture control

  • Back-up power systems to guard against mechanical failures

While not exactly high tech, pre-cooling of trailers is also helpful in maintaining the proper temperature.

What Are the Benefits of Using Cold Chain Logistics?

Cold chain logistics is the process of using appropriate temperature control for perishable goods every step of the way, from storage through final delivery. Steps in the cold chain can include:

  • Production facilities

  • Short-term transportation/last-mile delivery

  • Long distance transportation

  • Transportation to distribution center

  • Storage facilities

  • Transportation to retail centers

This is another method of maintaining temperature control to ensure quality and maximum shelf life for perishable items. It’s important that efficient loading and unloading are part of the process too.

What Are the Best Practices for Timely Delivery of Perishable Goods?

As mentioned above, delivery of perishable products within the desired time frame results in reduced waste and a longer sales window for the seller. How can logistics specialists improve timely delivery?

  • Scheduling aspects of delivery in advance

  • Route optimization to reduce time in transit

  • Having contingency planning for emergencies

  • Using real-time traffic data for last-minute route changes

  • Choosing the most efficient transportation methods

How to Manage Inventory for Perishable Goods

Real-time inventory management software is the key to keeping track of perishable goods and maintaining adequate safety stock. First in, first out (FIFO) protocols can only go so far. As discussed previously, it’s a bit of a tightrope walk for purveyors of items with short shelf lives because they cannot keep a large volume of extra inventory on hand.

The right software can keep sellers and storage facilities apprised of quantities in inventory based on manufacturing rates, items in transit and sales. They can get alerts when stock reaches a dangerous low to avoid selling out. This type of software can also monitor the supply chain for ingredients and shipping delays as another way of avoiding sold-out items.

Inventory management software should also be able to generate reports to allow for the study of past trends. For instance, a company that makes eggnog would have a higher demand for products around the winter holidays and would therefore produce more ahead of this period to keep up with demand.

Related to inventory is environment management during storage. Storage should be segmented for three primary reasons:

  • Efficiency for multi-destination products, stock rotation, etc.

  • Preventing cross-contamination by other items in the warehouse

  • Protection against cooling failures in one area of storage

What Other Roles Does Technology Play in Perishable Goods Logistics?

Today, as evidenced above, technology is a major factor in protecting perishable goods in storage and in transit. Here are a few other ways technology can be harnessed for quality control and less waste:

  • Maintaining a carrier and container database to match cargo to the right truck for both efficiency and quality control

  • Use of the Internet of Things (IoT) to monitor inventory supply, real-time temperatures, etc.

  • Track-and-trace features such as GPS, barcode labeling, RFID (radio-frequency identification), and blockchain for visibility and transparency

  • Automated data collection, like ELDs (electronic logging devices) to monitor transit times, on-time delivery, etc.

How to Ensure Compliance with Regulations for Perishable Goods

Most regulations for perishable goods in the United States are from the Food and Drug Administration (FDA). These regulations typically involve temperature ranges for certain types of foods and assurances that there are no periods of time when items are not temperature controlled (see cold chain logistics, above). If there is a breakdown in refrigeration, for instance, this must be reported, as products may need to be destroyed.

Employing all of the suggestions in previous sections will help sellers and shippers meet compliance for perishable goods, particularly food items and medications or vaccines where safety is a concern. There are a couple of other methods to enhance these.

Controlled shipping is one. Also known as C1 and C2 or CS1 and CS2 shipping, it involves detailed inspections to ensure there are no nonconformities with regulations. It’s often used after a customer has experienced a problem with temperature control and wants to be certain it has been fixed. This solution is often used in the automotive and aeronautical parts industries too, where safety is also vital.

Transporter education is another essential element. They need to know about regulations specific to their cargo,nad they must be schooled in any technology used for monitoring and alerts.

Finally, overseas regulations can be complex for the importation of perishable goods. Each country has its own laws and documentation requirements. That’s why most sellers turn to a reputable logistics company to track these mandates, along with any updates and duties, fees or taxes to be paid to foreign customs.

How Does SEKO Logistics Manage Perishable Goods Logistics?

If your business needs transportation for perishable goods, SEKO Logistics can provide the knowledge, resources and network you want. We offer:

  • White glove logistics services across our global hub

  • Expertise in transportation, logistics, forwarding, and warehousing

  • Domestic and North American transborder freight forwarding

  • Warehousing and order fulfillment services

  • Instant global visibility with SEKO Live, our mobile app

More than that, we use innovative approaches to provide solutions other logistics companies can’t. Our end-to-end services meet unique customer demands to get perishable products to their destinations faster and safely..Our speed to market, plus flawless execution, equals happy customers – through a dedicated team that works hand-in-hand with clients to develop the right SEKO Solution. 

Whether you’re starting up, expanding or seeking to improve your logistics for perishable products, we welcome the opportunity to consult with you. Reach out today to get the conversation started.