Christmas peak strain
5th December 2014
With Christmas Peak in full swing, below Sealed Air analyses what is causing one of the toughest period on record for the logistics and supply chain sectors, and how professionals can manage the impact. This is more likely to work online Im sure.
The logistics and supply chain sector across Europe is bowing under the strain of the toughest peak period on record, with the e-commerce juggernaut driving unprecedented demand. The industry is facing greater challenges than ever before, along with driver shortages due to CPC regulations and operators pushing to move to omni-channel processes.
Stuart Roberts, European Executive Director of Marketing at global packaging leader Sealed Air, believes it is important that logistics professionals continue to assess where speed and productivity are beginning to buckle along their supply chain, and consider how those elements that may seem insignificant, such as packaging, can alleviate the pressure.
Some of the strain logistics operations are experiencing at the moment is due to the fallout from the recession. With less money to invest in infrastructure it has proven difficult for some providers to increase capacity in the face of huge growth, and even those that were able to invest may not have forecasted for quite the level of growth they are experiencing.
Due to the huge pressure supply chains are under, and the reactive nature of management within those supply chains, time and resources are being haemorrhaged. Its crucial that efficiencies remain on logistics professionals critical path at all times.
Due to the market becoming commoditised, packaging is one such efficiency that is consistently overlooked. It can act as a stimulant throughout the supply chain to boost productivity and offer a competitive edge.
Packaging line speed is crucial. Identifying bottlenecks on the line such as labelling; leaflet insertion; sizing; end-of-line processes and packaging material choices all contribute to the individual line speed and can be improved through the correct packaging solutions. Consider reducing the bottleneck with packing line automation, also, by rethinking your conveyors, such as multi-lane or helical conveyors. Many of our inflatable packaging systems integrate with conveyors and packing lines to optimise flow and speed.
Shrink films can cause unnecessary downtime and energy expenditure. Many in the industry are still using 15-20 micro shrink films – Sealed Airs Cryovac® Technology films can now be supplied at just 9-11 microns. More metres on a roll will see them last longer on the line, reducing the required scheduled down time for switching rolls, with the ultimate impact being more products packaged per day. There is also a green impact, with energy savings due to the higher volume capabilities.
Reduced transit and storage space and costs, a reduced packaging inventory, and more room for and accessibility to stock are all benefits of space efficient packaging solutions. Its crucial businesses minimise packaging whilst maximising protection. There is a big move to this just-in-time packaging across the logistics sector because the market is demanding it.
Whilst the current environment isnt conducive to analysis of where the pressure points are in a supply chain, its crucial these are assessed now. Audits will often show that small total expenditure costs such as packaging can have a significant impact on efficiency, productivity and profitability.