Packaging Supply Chain Support Enables Successful Rebrand Launch | Manufacturing
RRD’s Packaging Solutions Group improves and standardizes packaging quality and inventory management, provides leading tool manufacturer with extensive savings
A global manufacturer of precision cutting tools was poised to launch a rebrand. The task before them, however, was daunting: Not only did the company boast thousands of SKUs, but they also worked with more than 80 local packaging suppliers across multiple locations around the world.
These various locations often used dissimilar art files, die lines, substrates, and other creative components. As a result, the company was experiencing color inconsistencies in their product packaging. They had tried to address the problems internally, but lacked the resources and expertise to manage them globally. The company sought an external partner to help improve brand consistency and initiate a packaging redesign.
In addition, the manufacturer faced inventory control problems, such as holding excess inventory that was prone to obsolescence. They also had space challenges and sought an outside warehousing and distribution resource.
The company turned to RRD’s Packaging Solutions team to solve these challenges. RRD first visited various company locations and then worked with the manufacturer to globally implement two programs: LS2, a packaging-solution software program, and VMI, a Vendor Managed Inventory program. The goal was to streamline all transactions to achieve efficiency improvements and cost savings.
To improve and standardize packaging quality, RRD created formal quality documents that established company-wide standards for ink colors, defects, and other critical factors. Plus, a central repository was created for all art files, die lines, and specifications, enabling company locations around the globe to access the same, correct files.
The second challenge — reducing obsolete inventory and freeing up space in the manufacturer’s facilities — was met by shifting the management of the manufacturer’s inventory and packaging supply chain to the RRD warehousing network.
The manufacturer realized the following benefits as a result of RRD’s packaging and distribution support:
- Extensive cost savings as a result of packaging redesigns and increased efficiencies
- Packaging improvements, with new tools to measure quality
- Increased global brand consistency across the company’s SKUs
- More square footage now dedicated to manufacturing purposes, with warehousing and distribution managed in external facilities
- Increased focus on core business functions, as the company’s procurement and planning departments could now focus on critical activities other than managing packaging