Changes witnessed over the last few years on mode of packaging

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Changes witnessed over the last few years on mode of packaging

Packaging Looking at packaging and freight costs together boxes up logistics and transportation efficiencies. Some packaging solutions that prevent product damage while cutting costs and boosting efficiencies can be counter-intuitive.

The manufacturer already had a relatively low two-percent damage rate, but its products' high value spurred the search for a reduction. Clarke worked with the manufacturer to reduce the size of, and add strength to, its pallets and boxes. Although the new packaging cost more to produce, the smaller footprint reduced less-than-truckload shipping costs—the company's most frequently used mode—by about five times.

And damage rates dropped to around 0. When selecting packaging for products in transit, cost savings represent just one of many factors manufacturers must consider.

Over the past few years, companies have expanded their views on purchasing packaging materials.

Changes witnessed over the last few years on mode of packaging

More manufacturers are considering the entire span of the supply chain—from increasingly automated manufacturing floors to return logistics. Meanwhile, heightened consumer sensitivity about sustainability, and the growth of online retailing, has required manufacturers to present a more polished appearance.

Throughout the process, technology and new opportunities to strengthen a company's brand through packaging are also influencing decisions.

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Combined, these changes have led more companies to consider cost-per-use rather than cost of acquisition when purchasing packaging.

Although a lower cost-per-use often translates into higher upfront costs, companies are increasingly willing to make that larger initial investment. The emergence of returnable packaging and closed supply chains, for example, allows companies to spread acquisition costs over multiple uses.

With goods moving more quickly and more often, "any wasted money is wasted over and over again," Lafond says. That often involves deciding to pay the upfront startup cost, knowing it will pay dividends on the back end. These more expensive reusable materials, however, make it critical to track the packaging and avoid losing the asset.

Reusable packaging allows food manufacturers, for example, to install technology that promotes safety and cuts product loss. Consider temperature-tracking technology embedded in plastic trays carrying egg cartons.

If the data showed the eggs were exposed to unsafe temperatures at some point during shipping, the grocer or retailer could take action to reduce losses.

Returnable packaging also offers branding opportunities. Plastic crates can be manufactured in a company's colors, and incorporate its logo. In-store, branded crates may help a company stand out from competitors. Consumers spend 46 percent more time looking at branded, reusable crates than non-branded merchandise, which can influence purchasing decisions, according to a study conducted by Rehrig and Clemson University.

Promotional displays comprised of secondary packaging also give manufacturers a way to covertly track their investment. Consider a plastic tray holding beverages. As reusable packaging materials become increasingly common, so, too, have plastic trays and pallets.

Although plastic pallets tend to cost more initially, they last longer and offer hygienic benefits to industries such as food. Plastic pallets also tend to work better with forklifts and other equipment, which reduces the risk of damage, and supports the lower cost-per-use by extending the pallets' lifespan.

Some companies have even inserted glass fiber into plastic to increase the pallet's strength without adding weight, says Laszlo Horvath, director of Virginia Tech's Center for Packaging and Unit Load Design. Continued advances in returnable packaging have increased opportunities for companies to customize it, helping to maximize cube.

Packaging's Impact From an environmental perspective, returnable packaging promotes sustainability by reducing the amount of product dumped in landfills, while also decreasing the amount of raw materials needed to create the packaging.

Companies considering incorporating other sustainable packaging solutions into their lineups, however, should think ahead about the impacts of those decisions.Mar 22,  · Kodak has prioritized its patent portfolio and the Eastman Business Park since it declared bankruptcy in Despite some success, the company might never live up to the legacy of its own past.

Globally, packaging has been witnessing a strong growth over the last few years due to increasing disposable income and changing consumer preferences.

Cans are one of the most widely used packaged material types and they have become increasingly popular in developed and developing countries during the past few years. Dec 13,  · Changes witnessed over the last few years on mode of packaging and its economic impact.?

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Patents, over scholarly publications, and expertise in electronics packaging, MEMS packaging, advanced materials processing and manufacturing systems design.

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