What can you expect from a packaging solution partner?

Since the majority of the automotive has industry transitioned into returnable packaging systems, there is a wide variation of how individual companies are handling the ownership and management of this packaging.

Every company is challenged to maintain a competitive supply chain, and packaging is an important strategic element which often does not receive enough thought given the significant impact it can have on the bottom line.

Challenges:
The reality is that after investing a large amount of capital in the containers required for the end-to-end process, companies are faced with premium costs. Even with the best intentions, there are unforeseen processes and systems needed to control the movements of the packaging flow.

This statement might create a controversial discussion because every company is operating with their own processes and standard procedures. Ask yourself these questions:

  • Do you really believe that packaging has the right focus?
  • Are you sure that every participant in the supply chain is compliant to your existing process?
  • Do you have resources dedicated to train your supply chain?
  • Do you know the offenders for lost or stolen containers?
  • Are you charging them?
  • Do you spend a lot of time and money to organize emergency shipments?

 

Bottom Line:
The industry needs a shift in mindset when it comes to packaging. In order to minimize the common pain points, packaging should be treated the same way as a produced part. With this mentality comes an awareness of the real total cost of ownership (TCO) and can lead to the realization that a proven container management partner has the ability to eliminate all of these initially overlooked concerns.

Solution:
Partnering with a packaging solution provider will ensure your packaging will have the right focus by using industry best practices for asset management. Dedicated people and a scalable tracking software is the key to providing compliance throughout your supply chain.

Realize immediate cost savings, accurate supply chain visibility and clear accountability, allowing you to focus on your core competency.

Author: Evi Schulz, Manager Managed Services at CHEP Automotive and Industrial Solutions

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