Crux Systems Insights

Packaging: an integral part of the supply chain

March 22, 2019 by Kathleen Kong |

Logistics

Packaging isn't just a box or a container. It's a coordinated system of preparing goods for safe, cost-effective, and efficient movement throughout the entire supply chain that eventually leads to optimizing consumer value, sales, and profits.

That means packaging plays an integral role in supply chain management, affecting every single logistics operation throughout supply chain from point of filling to point of emptying and recycling.

Packaging systems have to be connected with aspects of marketing, logistics, production, and the environment. And each area has different requirements that the packaging must meet.

For instance, marketing requires appealing packaging that can engage with customers, while production may require uniform sizes for packaging different products for efficiency.

Good packaging should protect products from damage, allow for their efficient distribution, communicate to the consumers, and be one of the major product promoters in a competitive marketplace. 

Here are some tips for improving packaging to optimize your supply chain: 

  1. Eliminate design deficiencies: study consumer insights and behavior to improve package design for both appearance and function.
  2. Packaging procurement: streamline operations based on inventory management.
  3. Optimize packaging: apply technologies to reduce the weight and cost of packaging.
  4. Aim for sustainability: use more recyclable and energy-efficient packaging materials to reduce energy costs.

Many packaging companies import their materials and products from overseas, and a growing number are tracking their shipments on the Crux Systems container tracking platform. To see how easy it is to track your ocean cargo, sing up for a free account and try it yourself.