A Guide to Cost Savings

Efficient transportation is crucial in today's globalized world, where goods are constantly on the move. One key aspect of enhancing transportation efficiency is optimizing packaging. 

Packaging optimization involves assessing various factors such as package weight, empty space, design for distribution, and choosing the right mode of transport. By focusing on these elements, businesses can reduce transportation costs, minimize environmental impact, and ensure that their products arrive at their destination intact and on time.

Here are four key areas of your packaging process to focus on for efficient transportation. 

1: Package Weight
One of the primary considerations in packaging optimization is package weight. Heavier packages typically result in higher transportation costs, as they require more fuel to move and increase wear and tear on transportation equipment. It is essential to protect your product but also keep weight a focus. 

a. Right-sizing: Choose packaging materials that provide adequate protection without unnecessary bulk. Custom-designed packaging solutions can be particularly effective in this regard.

b. Material selection: Let's explore a circular approach. For example, substituting single-use wooden pallets with reusable plastic alternatives represents a more environmentally sustainable choice. Additionally, in certain scenarios, single-use paper pallets can also be an eco-conscious alternative.

c. Minimalistic design: Simplify packaging design by eliminating unnecessary layers or components. This not only reduces weight but also minimizes waste and packaging costs.

2: Empty Space
Empty space within packages can be a hidden cost driver. Unused space takes up valuable cargo space and increases the risk of damage during transit. Addressing this issue is vital for achieving maximum transportation efficiency.

a. Filling voids: Utilize void-fill materials like bubble wrap, foam, or air pillows to fill empty spaces within packages. This ensures that products remain secure and minimizes movement during transit.

b. Standardized packaging sizes: Standardize packaging sizes where possible to reduce the variability of empty space. This allows for more efficient loading of transportation vehicles.

c. Multi-packaging solutions: Consider using multi-packaging solutions to bundle smaller items together within a single package. This reduces empty space and enhances shipping efficiency.

3: Design for Distribution
You’ve heard Reduce > Reuse > Recycle when we talk about sustainability. We’ve introduced “Resolve” into the equation. You need to resolve issues with the design of your product packaging to prevent damage during the distribution and transportation process. In this way, designing for distribution helps optimize for sustainability and cost savings.

Designing packaging specifically for distribution can significantly impact the overall transportation process. Packaging that considers the challenges of handling, sorting, and stacking during transit can lead to cost savings and reduced risk of product damage.

a. Stackability: Design packaging that can be easily stacked on pallets or within transportation containers. This minimizes wasted space and improves loading efficiency.

b. Durability: Ensure that packaging can withstand the rigors of the transportation process. Reinforce corners and edges to prevent crushing or damage to the contents.

c. Labeling and barcode placement: Clearly label packages with relevant information and barcodes to facilitate quick and accurate sorting and tracking during transit.

“As much as 11% of unit loads arriving at a distribution center have some level of case damage.” - Packaging Digest

 

4: Optimize for Method of Transport
Different modes of transportation have varying requirements, and optimizing packaging for each method can lead to significant cost reductions and operational improvements.

a. Air freight: When shipping via air, lightweight packaging is crucial to minimize fuel costs. Additionally, consider the use of temperature-controlled packaging for sensitive goods.

b. Sea freight: Opt for durable packaging that can withstand moisture and rough sea conditions. Properly sealed containers are essential to protect cargo from saltwater exposure.

c. Trucking: Design packages that fit neatly onto pallets or within truck trailers to maximize space utilization. Ensure that the packaging can withstand road vibrations and stacking.

Our SMART Audit® is Key to Your Success

Incorporating packaging optimization into your transportation strategy can yield numerous benefits, including reduced transportation costs, improved sustainability, and enhanced customer satisfaction. 

By considering package weight, addressing empty space, designing for distribution, and optimizing for the chosen mode of transport, businesses can streamline their transportation processes and gain a competitive edge in the marketplace. In a world where efficiency is key, packaging optimization is a crucial step toward achieving transportation excellence.

Group O has decades of experience in packaging optimization. With our advanced SMART Audit® system, we have the capability to enhance cost efficiency and pinpoint any packaging and material inefficiencies within your current packaging procedures. Our collaborative approach ensures that you maximize the utility of your packaging materials, all while gaining valuable insights into your stretch film consumption and equipment efficiency.

Don’t wait to start your cost savings and reach towards your sustainability goals with help from Group O. Contact our team by calling (866) 476-8761 today.