Understanding Reusable Plastic Packaging

The modern supply chain is becoming increasingly complex. With product life cycles shrinking and demands from customers rising, as well as the increasing spread of manufacturing and sourcing, companies are seeking a way to manage their supply chain successfully for improved profitability.

The positive news is that businesses who find a way to master the supply chain can experience significant profit margin increases. Reusable plastic packaging can improve the movement of product along the supply in most industries, allowing a business to reduce total expenses and achieve sustained optimization. Whether shipping plastic beverage bottles; automobile parts; delicate circuit boards or finished products to a retail store, reusable plastic containers and pallets help you move products quickly and safely.
Plastic packaging is integrated in just one operation or the entire supply chain to replace corrugated cardboard shipping and storage boxes and limited-use wood solutions. Companies find a rapid return on their investment, many in less than a year and a half.

In this article, we will look at a basic supply chain model and address how any company, regardless of industry, can use a reusable plastic packaging program to improve financial performance.

What is reusable plastic packaging from Reusable Transport Packaging?

Reusable plastic packaging products are used to store, move and distribute products within a single facility or in the entire supply chain. From materials to finished products, reusable plastic packaging securely moves materials along points in the chain and ultimately to its final destination. Durable plastic is the best option for multiple trip applications in a closed loop manufacturing environment or a well-managed supply chain. Plastic packaging can also be used in an open loop manufacturing system if reverse logistics are in place to manage the return of all empty shipping containers for re-use or repair.
Reusable plastic packaging can include:

• Bins.
• Totes.
• Boxes.
• Containers.
• Pallet top caps.
• Durable pallets.
• Protective dunnage.
• Bulk storage containers.

By design, reusable plastic packaging offers durable, rigid construction; smooth surfaces; comfortable handles; high levels of recyclability and an array of identification options. These plastic bins and pallets are easy to handle, and they interface effortlessly with most types of high-speed automated manufacturing equipment. In fact, there are specific models that are manufactured to be hands-free and operate just through the use of automation. Reusable plastic packaging containers no screw or loose flaps to halt a high-speed manufacturing system. And, in industries with high-volume production, hundreds of thousands of dollars can be lost when an automated manufacturing system is stopped.

Reusable plastic containers are available in standard sizes, making it so components, products and any production materials can be loaded to optimize the use of packaging. The result is an increased amount of inventory being produced and shipped in a shorter time.

Reusable plastic packaging and its role in the supply chain.

A necessity in supply chain performance is improving the way in which materials are handled. This includes the flow of a product that begins with the design and purchase of materials and progresses with work in process, shipping, distribution and storage required to finish a product.
To achieve optimal benefit, the collective and aggregate impact across the supply chain must be reviewed. Doing so will allow you to identify opportunities for savings and ways to improve efficiencies that are not very likely to be considered during department-specific enhancements to procedures.

Every supply chain will differ and have its unique levels of complexity. Business owners will want to analyze their chain to identify areas of waste, and then implement change to develop operational benefits. Most businesses will cite improvements in operational efficiency as a top priority. Efficiency can be reached through introduction of a well-planned reusable packaging plan from Reusable Transport Packaging.

Reusable plastic packaging improves the way products flow along the supply chain, thereby reducing costs for the business. Top United States companies long ago recognized the value of reusable plastic shipping solutions in their efforts to move products quickly, securely and more cost-effectively.

You will need to look at the supplier.

At supplier locations, ideas like warehouse utilization; workplace safety and product quality are definite concerns. As they ship products, components or materials to their customer, product quality and efficiency in transportation is the key.

In the manufacturing supply chain, products can also typically be shipped to cross-docking locations to combine all varieties of products for consolidated shipments going to a single facility. In the customer goods supply chain, it is also possible for a supplier to send finished goods directly to their regional distribution center for disbursal. In both situations, on-time delivery and the condition in which products are received is a priority. Distribution and ongoing production simply cannot be stopped due to faulty packaging or damage to products.

How does this apply to the manufacturing plant?

Within the walls of a manufacturing facility, space utilization, worker safety, improved workflow, smooth interface with automation and ergonomics are top priorities. If additional fabrication is required, storage space will need to be optimized. As the product then moves to a cross-docking location, distribution center or retail store, concepts like warehouse space utilization, workforce reduction and transportation efficiency become key.

Will the same factors matter at a distribution center?

Important concepts in shipping change at a distribution center. Interface with material handling machinery, unload time, damage to products and outbound freight cube efficiency are at the forefront.

A review of the final stop in the supply chain.

In supply chain, the retail store is the final stop before a finished product reaches its end consumer. A lot of goods are shipped to retail stores in reusable plastic bins to protect products and minimize handling costs. Labor costs, aesthetics and product integrity are the top concerns for stores.

Benefits and Successes of Reusable Plastic Packaging

Companies select reusable plastic packaging due to cost savings and optimization. The sum of the varied benefits will equate to supply chain success for companies in various industries.
Improved positive flow of product:

• The lightweight design of reusable plastic shipping solutions allows inventory to travel efficiently and securely to its destination.

Reduced excess packaging waste:

• Disposal of corrugated cardboard and wood waste is quite costly in terms of one-time use packaging disposal fees and productive time lost during set-up and breakdown. A long life in service for reusable packaging allows it to be used again and again, in place of single-use corrugated solutions or wood products.

Reduced packaging expenses:

• Annual packaging expenses drop drastically with integration of reusable plastic shipping containers and their protective interiors. Plastic containers can last 5 – 10 years, thereby reducing packaging material expenses to pennies per trip by assigning the initial expense as a fee that can be spread over the entire useful life of the container. Recurring charges for single-use containers are avoided, and waste is cut to a large degree compared to corrugated cardboard.

Maximized protection of products from damage:

• Reusable plastic packaging supports a number of IS)-Certified and Six-Sigma initiatives by protecting all incoming materials and outgoing inventory from damage. Pricey components and finished products are securely stored in heavy-duty, polyethylene containers with snag-free interiors that protect assemblies from damage. Plastic containers essentially eliminate dents, scuffs other damage to inventory packaging. Pallets are used to securely and safely ship full loads of products from point A to point B. The rugged, all-plastic construction protects stored products from damage caused be screws or splinters often found in wood pallets.

Minimized transportation expenses:

• Customized plastic bin interiors standardize the total number of parts stored per container and per truck, allowing improved ordering capabilities, cost estimating and transportation planning. Stacking reusable plastic containers to the full capacity of the truck improves cube efficiency and streamlines cost. To limit return transportation fees, reusable plastic packaging will often nest or collapse when empty to make the most of available space.

Plastic shipping containers support lean production:

• Plastic packaging facilitates implementation of lean production. The model requires frequently scheduled deliveries, standard package sizes and efficient methods for packaging that improve workflow and reduce the need for additional storage space.

Reduced labor expenses due to a standard level of workflow:

• Layers of expendable packing materials can be eliminated. The reduction of materials, in turn, means there are fewer labor steps involved in the packaging process. Removal of expendable packing layers equates to less ordering and set-up time and minimal plastic container disposal expenses. Containers safely stack higher than shipping crates made of wood or cardboard and collapse or nest to use less floor space, making inventory management easier. Reception and inspection of new deliveries are also improved with standardized packages and consistent unit size. Most indirect labor expenses are driven from the system in this model.

Improved inventory management through standard sizes:

• Shipping in small quantities on a more frequent basis and delivering parts closer to their expected time of usage, minimizes the number of days parts sit in inventory. This then limits the days that any inventory sits in a nonproductive state. Combining supplier pick-up stops or deliveries into small, daily routes helps limit the number of dollars tied-up in inventory.

Reduced cycle times:

• Through the use of reusable plastic shipping containers, manufacturing companies can increase their production speed. Parts are consistently available in standardized containers. Workers no longer spend time handling and disposing of corrugated cardboard packaging. Reusable plastic packaging also enables daily deliveries to maximize productivity.