Why Dangerous Goods Automation is Critical in Today’s Supply Chain
Many tasks are required to put a DG item into transport, and slow compliance processes result in slower fulfillment, deliveries and overall business.
- By Mario Sagastume
- Jun 01, 2022
In order to cope with compounding supply chain challenges and labor shortages, businesses continue automating their processes. Most already use TMS, ERP, WMS or OMS platforms and, by 2024, half will invest in applications that support artificial intelligence and advanced analytics capabilities. Due to its perceived complexity, many organizations continue to overlook one key facet of automation that can help or hinder their success: dangerous goods (DG) automation.
Most automation platforms lack the functionality required to specifically address hazmat management processes. That’s why many operations still rely on manual or rudimentary processes for DG compliance. Such organizations are putting their operational efficiency, competitive positions, brand reputation and bottom line at risk. Organizations that embrace DG-specific automation, on the other hand, have a greater likelihood of success in today’s global climate.
Automation and Dangerous Goods Shipping
Shipping and handling goods classified as dangerous—from pharmaceuticals and industrial chemicals to power tools and electric car batteries—can be complicated and time-consuming. The regulations are complex, vary depending on how and where the goods are transported, and change frequently. In order to meet customer shipping timeline expectations, organizations have to stay up-to-date on the latest regulations (and understand them), and must effectively align their operational processes to comply with those requirements. Unfortunately, many operations still rely on legacy manual or rudimentary processes for DG compliance, making the process even more challenging.
Many tasks are required to put a DG item into transport, so slow compliance processes result in slower fulfillment, deliveries and overall business, especially for organizations constrained by staffing issues. Relying on manual processes wastes workers’ valuable time by having them repeat routine tasks such as researching DG shipping information or creating compliant documentation. Those wasted minutes impact overall efficiency and make it more difficult to overcome potentially costly disruptions. It’s also easy for people entering information manually to make mistakes—and compliance errors can bring about delays, stopped shipments, carrier penalties, civil penalties and other schedule-wrecking interruptions.
This article originally appeared in the June 2022 issue of Occupational Health & Safety.