Returnable Packaging System Delivers 36% Cost Savings
New Packaging Development, Returnable System Waste Reduction, & Cost Savings
Client Needs
A manufacturing firm wanted to develop a returnable packaging system for the products they sell to RV Industry OEM’s. They expressed the reasons for the project were because their customers had expressed interest in a returnable system to reduce corrugate and wood waste and they also wanted the same benefit for themselves, as well as cost savings.
The Challenge
- The existing corrugate packaging has been in use for many years and both the firm and their customers are very accustomed to handling and using it.
- The firm has never engaged with an outside packaging engineering firm to develop returnable packaging of any kind.
- The change of primary packaging would result in lengthy change control process and impact assessment with the firm’s customers.
- There were serious customer concerns about packaging durability, empty packaging management and shrinkage due to loss.
Our Approach
- Conducted a detailed survey of the manufacturing facility to see how the current expendable packaging is used and stored.
- Gathered detailed part and packaging dimensional data, annual part volumes and freight costs.
- Developed two robust solutions that would work well within the current manufacturing facility and supply chain.
- Prepared detailed business cases showing all costs and ROI factors for both solutions.
- The customer was able to make an informed directional choice based upon all operational and cost factors.
The Impact
- Rectified issues with corrugated and wood waste. Freed up manufacturing space
- Measurable manufacturing process efficiency improvements
- 11% package cost reduction in Year One 36% package cost reduction in Year Two
Value to Client
Adept guided a manufacturing firm in transitioning from expendable to returnable packaging, addressing both customer demand and internal sustainability goals. By conducting a comprehensive facility assessment, gathering critical packaging and freight data, and developing two viable solutions, Adept provided the client with a clear, data-driven approach to implementation.
This transition not only eliminated corrugate and wood waste, freeing up valuable manufacturing space, but also improved operational efficiency and delivered significant cost savings. The firm achieved an 11% packaging cost reduction in year one, which expanded to 36% in year two, demonstrating the long-term financial benefits of the new system.
Adept’s structured approach and detailed business case analysis allowed the client to make an informed, strategic decision while successfully navigating customer concerns and change management processes.
Let’s Talk Efficiency Gains
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