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 MTEX Reduces Arrival Rejections to Zero with Xsense
July 2010
Mehadrin Tnuport Export was an early adopter of the Xsense Cold Chain Monitoring System almost two years ago. This case study illustrates how it's helped them to reduce waste and strengthen their brand.
The Problem
During the height of the season, pack house facilities are a buzz with activity. Operators are focused on getting their fruits and vegetables loaded and on the road as quickly as possible. They orchestrate a tight balancing act between loading sufficiently cooled produce and the need to get the trucks in and out as quickly as possible.
"When packing avocados this is an especially tricky task," reports Dror Eigerman, Fruit Export Manager at Mehadrin Tnuport Export (MTEX). "If not cooled to the recommended temperature, avocados begin generating heat and ethylene which accelerates the ripening process and shortens shelf life. Once this climacteric process begins, it is nearly always irreversible." In addition, fruit generating heat from deep inside the pallet affects the fruit in neighboring cartons, causing a chain effect of enhanced ripening, endangering the quality of the entire shipment.
On the other hand, if kept for too long below the recommended temperature, avocados become susceptible to internal chilling injuries that are invisible on the supermarket shelf. "This is an important issue," continues Eigerman, "If consumers are disappointed in the quality of the fruit when they open it, they may hesitate to make a repeat purchase of avocados the next time they visit the supermarket."
The Setup
MTEX was experiencing close to 5% wastage throughout their avocado season. They suspected that there were isolated weak spots in the cold chain management program. StePac's Xsense Perishables Quality Monitoring System was chosen to monitor the temperature of the fruit during forced air pre-cooling and shipping to distribution centers in Europe. "We chose Xsense because it was the only solution that monitors through all stages of the cold chain. It is also the only technology that provides data in real time, which is crucial if you want to react and improve outcomes," added Eigerman.
Xsensers were placed inside one of the center cartons in each pallet during pallet construction. Because Xsensers begin reporting as soon as they are activated (when they are placed in the cartons), the information could be used to monitor the pre-cooling process. Analysis showed that initially, 18% of all pallets were being loaded on trucks at a temperature above 5°C, which is too warm for avocados.
With Xsense, they also learned that 16% of all pallets were arriving at the distribution centers in Europe at temperatures above 7˚C, which jeopardizes avocado shelf life and increases wastage (shrink). Even more important was the discovery that 58% of all pallets arriving above 7˚C were not being promptly cooled upon arrival.
The Outcome
After pinpointing specific weak spots in their cold chain management program, MTEX implemented a more rigid pre-cooling regime that relied on Xsense's instant reporting of temperature data from within the avocado cartons. Over time, nearly 100% of avocado pallets were loaded for shipping after they were cooled to the required temperature.
At the receiving end, Xsense was used to implement FEFO (first expired first out) management. Pallets arriving at high temperatures were promptly identified by the Xsense System and were given loading priority for shipment to supermarkets or sent for additional cooling.
Out of 2,300 pallets of Ettinger avocados shipped during the 2008 season, shrink was reduced to 0% compared to the 5% experienced during the previous season.
With avocado pallets valued at $1,900 per pallet, a 5% waste reduction on 2,300 pallets translates into realized savings of $218,500 in one season.
Since then, MTEX has expanded its Xsense monitoring program to include real time monitoring of all citrus fruits, persimmons, pomegranates, dates, potatoes, sweet potatoes, carrots and lychee. They are realizing significant shrink reduction, which they find contributes to their brand quality and strengthens their competitive edge. |
