theoldprof
Veteran Expediter
Why expedite? Some Newbies, and probably a lot of experienced expediters wonder what has happened that an expedite load is required. With my limited knowledge of industry I will try to explain.
Let’s use a comparison between your home and a manufacturing facility. Let’s say you use a tube of Crest toothpaste every week. You could use the PULL system or the Just in Time system of storing your manufacturing needs. (Toothpaste). With the PULL system, you go to the bathroom linen closet and get out a tube every Monday. You buy the Crest in the three pack to save money. But, you have to have a place to store them, warehouse, and you have the money invested to buy them, capital investment. Now, when you built your house you spent money to have a linen closet built. There again you have your capital investment tied up in real estate. You could save by not having a linen closet built, or use the floor space for other income producing sources. Like baby sitting. Lock the little buggers in the closet, or growing pot.
You could use the Just in Time system. Every Monday AM the truck pulls in your driveway with a tube of Crest. It is delivered by Justin Tyme Shipping, Inc. (Little joke there). It costs more to buy your Crest a tube at a time, but you don’t have money invested in stock stored in the linen closet, or even money invested in having and maintaining a linen closet.
As a business you must decide if you want to ware house less expensive material and have your capital invested elsewhere or pay more for your material and not have a warehouse with it’s investment, expenses and employees.
Expedite? Let’s say it is Thursday and you have a house full or guests or the dog ate your homework and decided to brush his teeth. The toothpaste is gone and you need another tube of it. You simply pick up the phone or go online and call Mr. Ex-Pee Diter and he or she will pick up a tube at the Crest Central and deliver it to your home. It will cost you more, but it’s better than having a bunch of house guests with the dredded Dawg Breath. Simple, huh?
Let’s use a comparison between your home and a manufacturing facility. Let’s say you use a tube of Crest toothpaste every week. You could use the PULL system or the Just in Time system of storing your manufacturing needs. (Toothpaste). With the PULL system, you go to the bathroom linen closet and get out a tube every Monday. You buy the Crest in the three pack to save money. But, you have to have a place to store them, warehouse, and you have the money invested to buy them, capital investment. Now, when you built your house you spent money to have a linen closet built. There again you have your capital investment tied up in real estate. You could save by not having a linen closet built, or use the floor space for other income producing sources. Like baby sitting. Lock the little buggers in the closet, or growing pot.
You could use the Just in Time system. Every Monday AM the truck pulls in your driveway with a tube of Crest. It is delivered by Justin Tyme Shipping, Inc. (Little joke there). It costs more to buy your Crest a tube at a time, but you don’t have money invested in stock stored in the linen closet, or even money invested in having and maintaining a linen closet.
As a business you must decide if you want to ware house less expensive material and have your capital invested elsewhere or pay more for your material and not have a warehouse with it’s investment, expenses and employees.
Expedite? Let’s say it is Thursday and you have a house full or guests or the dog ate your homework and decided to brush his teeth. The toothpaste is gone and you need another tube of it. You simply pick up the phone or go online and call Mr. Ex-Pee Diter and he or she will pick up a tube at the Crest Central and deliver it to your home. It will cost you more, but it’s better than having a bunch of house guests with the dredded Dawg Breath. Simple, huh?
