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Total Cost Approach to Industrial Packaging2020-02-24T17:04:25-05:00

Total Cost Approach to Industrial Packaging

When you think about your supply chain and how much you’re spending on packaging, are you considering the total cost?  There are a lot of hidden factors that can impact your supply chain and your overall costs.

That’s why we take a total cost approach to industrial packaging whenever possible.

Our total cost approach helps you find the best way to reduce your total packaging costs, including materials, logistics, labor, administration, warehousing, and handling, while protecting your products and reducing damage-in-transit costs.

Learn more about how our Total Cost Approach can help you.

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total cost approach

What Are The Cost Considerations?

Conner’s Total Cost Approach to industrial packaging takes all of these factors into consideration to find the most cost-effective packaging solution overall.

Conner’s Total Cost Approach creates a packaging solution that aims to reduce your overall costs while still protecting your product.  These are the factors we look at when we’re determining the total cost of your packaging.

Materials:  Obviously, the cost of the packaging itself matters in any solution, so it’s definitely one of the factors we look at in our Total Cost Approach.

Logistics:  Packaging design can have a pretty major impact on the overall cost of your transportation.  Does the packaging optimize the number of your products that you can get on a truck?

Labor:  Another factor that we take a look at in your Total Cost of Industrial Packaging is labor costs.  There are many solutions available that will lower your labor costs, such as kitting, assembly, and repackaging.

Administration:  Many companies fail to take their administration costs into consideration when it comes to packaging, but it’s something that we factor into your solution.  For example, does your packaging make it more cost effective to manage inventory or would VMI (vendor managed inventory) be a better solution?

Warehousing:  Does your packaging make the best use of your warehouse space?  Would your warehouse space be better used for production, rather than storage?

Handling:  Your industrial packaging solution should make your product easy to load, saving you time and labor costs, as well as reducing damages.

In-Transit-Damage:  If you’re realizing a high rate of in-transit damage with your current industrial packaging, then you definitely need to take a look at better better packaging design.  Out of all the factors that we consider in our Total Cost Approach, in-transit damage is one of the most important.

Finding Your Sweet Spot

Conner’s Total Cost Approach brings all of these factors together to find an industrial packaging and service solution that lands right in your sweet spot.  This is where you get the most cost-effective packaging.  The sweet spot balances all packaging costs against the best packaging solution to protect your products from damage.

This concept also takes a look at your point of diminishing returns.  Many people believe that more is better.  In other words, add more packaging materials to minimize damage.  That may be true, up to a point, but there is a point where the extra materials are overkill and add very little durability.  They just aren’t worth the expense.

The sweet spot guarantees that the cost for the packaging solution is the lowest it can realistically be while still getting your products to their destination safely.

total cost approach

Conner Helps You Determine the Total Cost of Your Packaging

With nearly 40 years of experience in industrial packaging, we understand that packaging is just one part of providing solutions that truly meets our customer’s needs.  With our consultative approach to industrial packaging solutions, we tailor packaging and service programs that achieve long-term cost control.

We do this with our Total Cost Approach to industrial packaging.

It requires a deep understanding of your needs and clear definition of the challenges you’re facing.  In other words, we start by listening so that we can gain an intimate knowledge of your products, processes, and operations.  Conner works with you to discover all the factors that contribute to your total packaging costs to find the best industrial packaging solution to protect your products and optimize your supply chain.

We help you find that sweet spot.

Get in touch with us now to discuss your situation.

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