how to eliminate handling damage in the supply chain

• What is Handling Damage in the Supply Chain?
• Why Handling Damage is a Profit Killer
• Where Handling Damage Occurs in Real World Operations
• Common Causes of Handling Damage in the Supply Chain
• Proven Ways to Eliminate Handling Damage
• Comparison of Common Loading Methods and their Impact on Handling Damage
• How Unmodified Automated Trailer Loading Solutions (ATLSs) Eliminate the Need for Forklifts in Loading
• Why Unmodified Automated Trailer Loading Systems are the Ultimate Solution
• Measuring and Sustaining Your Damage-free Supply Chain
• Safeguard Your Supply Chain With ATLS
• Frequently Asked Questions (FAQ)

Handling damage refers to product damage caused during loading, unloading, storage, or internal transport within the supply chain. One of the most common root causes is manual loading using forklifts, which introduces variability, impact forces, and human error. Automated Trailer Loading Systems (ATLS) reduce handling damage by standardising how goods are loaded into trailers.

Over more than 60 years, Joloda Hydraroll has worked directly inside production facilities, warehouses, and distribution centres to reduce handling damage at source. Across live customer projects, including steel manufacturers, FMCG producers, timber processors, petrochemical operators, and third-party logistics providers, we consistently see product damage occur during loading and unloading.

In facilities where goods are loaded using forklifts or manual methods, damage typically occurs at three points: during pallet pickup and placement, when loads are transferred into trailers, and when goods shift due to inconsistent load formation.

Case studies such as Stora Enso’s container loading operation show that replacing manual loading with standardised automated trailer loading significantly reduces product damage, improves load stability, and removes safety risks linked to human handling.

The real cost of damaged goods in transit

In-transit damage has so many costs. On the direct side, there is:

• the sales price, the lost sale and the cost of shipping per unit;
• the cost of a replacement unit, any discount offered, repackaging and return freight;
• customer service, call centre and administrative costs, including insurance and freight claims;
• inspection and testing of unit for potential re-sale;
• storage and disposal of waste units, including property taxes, utilities and the opportunity cost of using the space for the damaged goods instead of something else;
• loss in profit from selling returned units at a discount, and the percentage that can be resold;
• loss in sales of damaged cargo and the percentage unsalvageable for resale or parts.

Indirectly, there are:

• lost productivity;
• damaged relationships with customers;
• brand damage;
• loss of sales (through reduction of inventory and loss of market share).

Manual handling damages and human error

Several people will handle the flow of goods throughout the supply chain, and not all of them will handle them well. If employees are handling goods manually, instead of using logistics solutions designed to lighten the load, it’s easier for them to make mistakes when handling, such as dropping the goods or using improper technique when loading.

Improper loading and securing of goods

Goods are prone to damage in transit, but there are ways to mitigate the risk of them moving during a journey and prevent potential damage; besides, not following best practices when loading and securing goods could transform them into a safety hazard and place the driver or the employer on the end of an uncomfortable phone call from the Health and Safety Executive (HSE), followed by legal action.

How can businesses realistically reduce handling damage?

Damage is possible, but thankfully, not inevitable. There are warehouse solutions to reduce the risk of your goods experiencing damage as they pass through the supply chain.

An Unmodified Automated Trailer Loading System is best suited to operations where handling damage, safety risks, or loading inefficiency occur during manual or forklift-based loading. It is particularly effective in environments where consistency, speed, and load integrity are critical.

Unmodified ATLS solutions are typically the right choice when:

• Product damage occurs during loading rather than transport, often caused by forklift impacts, uneven pallet placement, or shifting loads
• Trailers cannot be permanently modified, such as in mixed fleets, third-party logistics operations, or shared transport networks
• High loading volumes or tight turnaround times create pressure on labour availability and safety compliance
• Manual handling and forklift traffic increase the risk of workplace injuries or operational disruption
• Load consistency is required to meet safety, quality, or customer standards across multiple shifts or sites

Industries that commonly meet these conditions include: FMCG, steel, timber, petrochemical, mining, and third-party logistics operations, where goods vary in size, weight, and sensitivity, and where loading errors can quickly lead to costly damage or delays.

By standardising the loading process without requiring trailer modifications, unmodified automated trailer loading systems allow operators to reduce handling damage while maintaining flexibility across fleets and transport partners.

Proven results across multiple industries

One of the tremendous things about our systems is that they’re not restricted to use in a single industry. Operators in several different industries have implemented them to reduce costs. These industries include:

• drinks, to eliminate product damage and shorten turnaround times;
• timber, to reduce operational costs and maximise safety;
• petrochemical, to protect goods and employees and lower labour costs and handling costs;
• steel, to speed up load times and increase lashing and load forming safety;
• fast-moving consumer goods (FMCGs), to reduce product damage, improve safety and shorten loading times;
• mining, to minimise manual handling and make working in the industry safer;
• third-party logistics, to reduce cargo damage and, due to use of an efficient logistics solution, win contracts because of the capacity to load within minutes.

How much damage is your supply chain inflicting on goods? How effective are your logistics solutions? Tracking key performance indicators (KPIs) to monitor damage reduction is important to assess this.

Tracking KPIs for product damage reduction

Monitoring damaged goods is essential so you can implement the necessary measures to reduce product damage and then, having taken those vital steps, to assess how effective they are.

What is handling damage in the supply chain?

Handling damage refers to product damage that occurs while goods are loaded, unloaded, stored, or moved within the supply chain, rather than during long-distance transport. It is commonly caused by manual handling, forklift impacts, unstable load formation, or improper securing of goods, and often originates at factories, warehouses, and distribution centres.

Where does handling damage most commonly occur?

Handling damage most commonly occurs during loading and unloading operations at production sites, warehouses, and distribution centres. Damage typically happens when goods are lifted, transferred into trailers, or repositioned due to uneven pallet placement or inconsistent load formation, rather than while goods are in transit.

What are the main causes of handling and shipping damage?

The main causes of handling and shipping damage include poor packaging, manual handling errors, forklift impacts, improper load securing, and inconsistent loading procedures. In many supply chains, damage occurs during handling stages, particularly during loading and unloading, rather than during transportation itself.

How can businesses reduce handling damage in the supply chain?

Businesses can reduce handling damage by improving packaging standards, standardising loading procedures, reducing manual handling, and limiting forklift use during loading. Implementing Automated Loading Systems helps remove variability from the process, creating consistent load formation and significantly lowering the risk of handling-related damage.

Who is responsible for damaged shipments in the supply chain?

Responsibility for damaged shipments depends on when and where the damage occurred, as well as contractual terms between parties. If damage occurs during handling or loading, responsibility often lies with the organisation managing that stage of the supply chain rather than the carrier transporting the goods.