Problem Solvers: Ultimizers Helped Challenger Pallet Automate Cutting, Trim Labor Costs

Problem: Challenger Pallet faced labor shortfalls in its lumber operations.

Solution: A new automated scanning and trimming line reduced labor requirements while improving throughput and lumber recovery.

Challenger Pallet, predominantly a new pallet manufacturer, is based in Idaho with satellite facilities in Montana and Utah. The company was challenged to reduce labor and decided to invest in three optimizing saw systems from Ultimizers. They were installed at its new lumber remanufacturing plant in Idaho Falls, Idaho, five years ago.

“That was the main reason,” said Tad Hegsted, president and CEO of Challenger Pallet and a partner in the business. “We could cut our labor dramatically.”

“With the labor shortage, it’s been a blessing, actually,” added Hegsted. “You can’t find people to cut wood that we were hiring back in 2016.” If the company had not automated those processes, now it would be in a jam, trying to hire people, he suggested.

The three systems run side-by-side, scanning lumber, cutting it to length, and sending it to stackers. The pallet cut stock produced at the plant is supplied to the satellite facilities.

At Challenger’s plant, the Ultimizers systems are used to cut material for deck boards and stringers. Random length 2×4 and 2×6 utility and economy softwood lumber goes through the Ultimizer systems to be cut to length. The stringer material is routed to notchers and stackers, and the low-grade material is routed to a resaw and resawn into deck boards, then on to stackers.”

Challenger Pallet benefitted in other ways from the investment, noted Hegsted. In addition to reducing labor costs, the Ultimizers systems have increased production and recovery. “We’ve seen a 10 to 15% improvement in recovery,” explained Hegsted, compared to cutting decisions by employees. “The computer makes a better decision.”

Although there are the “usual bugs” when starting up new equipment, the Ultimizers staff provided the support for a smooth transition, according to Hegsted. “It went great. Ultimizers was with us the whole time and brought us online as quickly as they could.” Production ramped up over a few months as Challenger personnel were trained on the new system.

The investment “has proven back,” suggested Hegsted. “We’ve seen revenue increase over our projections probably 15-20%.”

On a scale of 1-10 with 10 being the best, Hegsted rated Ultimizers technical support and service a 10. “They’ve been very responsive,” he said. “Their support has been great.” Ultimizers technicians visit the plant on an annual basis and “fine tune” the systems and make any upgrades for a “pretty nominal fee,” commented Hegsted, who recommends the company and its systems to other pallet companies and lumber remanufacturing operations.

“Ultimizers started work on our own scanner in the early 1990s and sold our first major scanner order to a pallet plant in Oregon in 1996,” said LeRoy Cothrell, founder, owner and CEO of Ultimizers. “That pallet plant has been using our scanners with upgrades since 1996. And they are still a good customer.”

Ultimizers is a leader in optimizing equipment for the wood remanufacturing industry. It focuses on scanning technology for rip and crosscut optimization for wood processing plants of all kinds.

The company manufactures defect scanners, optimizing systems, high-speed cut-off saws, and handling equipment.

Camera-based scanners use vision surface scanning principles with the exclusive Ulti-Vision software, which is the result of 20 years’ experience with scanning of wood products for optimizing saws.

For more information about Ultimizers, visit the website at www.ultimizers.com or call (503) 663-7777.

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Tim Cox

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Pallet Enterprise November 2024