Business Excellence Profiles Value of Returnable Packaging
Released on: September 16, 2008, 5:36 am
Press Release Author: Thomas R. Cutler
Industry: Small Business
Press Release Summary: Business Excellence Profiles Value of Returnable Packaging
Press Release Body: In the current issue of Business Excellence, manufacturing journalist, Thomas R. Cutler, discuss the value of reusable packaging. Thirty percent of landfill waste is created by plastic and paper packaging estimates The EarthWorks Group. The use of cardboard products and other one-time-use packaging products contribute significantly to this waste. David Madden, President of ContainerExchanger.com noted, “The initial investment in returnable packaging may cost more that one-time use packaging. However, savings are often quickly realized with returnable packaging because bulk containers, metal bins, and totes are used repeatedly.” Madden also pointed out that reduced labor costs are achieved with reduced or eliminated box assembly as well as reduced material handling achieved with fewer moves from stackable containers. Ironically there is an enhanced quality impact since there are fewer rejects due to damaged packaging as well as increased efficiency in floor space usage since plastic and metal containers can stack very high.
Used Plastic Reusable containers provide the most cost-efficient shipping approach possible; corrugated one-way packaging is the least effective and most costly. “When a company is finished using a returnable packaging fleet, we represent the seller and find a buyer for the used bulk packaging. Sellers enjoy a high sales price for a better return on investment. Buyers save significantly in comparison to new packaging prices,” added Madden. The average price per trip for a corrugated one-way package is 54 cents versus a used plastic reusable container at 2 ½ cents.
Folding bulk containers, industrial totes, and metal storage bins are used over and over again within a facility or between a supplier and a customer. They can be used literally thousands of times. These bulk boxes are much cheaper in the long term when compared to buying cardboard boxes and wood crates every time that product is shipped. Savings can be observed in the per piece packaging cost. While the upfront investment in returnable packaging may cost more, savings can be realized quickly through repeated use (the same bulk containers, metal bins, and totes are used over and over), labor (no more box assembly), material handling (fewer moves from stackable containers), quality (fewer rejects due to damaged packaging), and floor space (plastic and metal containers can stack very high). The per piece packaging costs for used bulk containers and totes can be as low as 5% of the costs for a comparable expendable solution, depending on shipping volumes. The complete feature can be read at http://trcutlerinc.com/business_excellence_2008-09.pdf.
Container Exchanger (www.containerexchanger.com) is dedicated to the sale and resale of reusable packaging and containers. The firm resells folding bulk containers, metal storage bins, plastic industrial totes, plastic pallets, and used gaylord boxes nationwide. When a company is finished using a returnable packaging fleet, Container Exchanger represents the seller and finds a buyer for the used bulk packaging. Sellers enjoy a high sales price for a better return on investment. Buyers save significantly in comparison to new packaging prices.
Container Exchanger www.containerexchanger.com David Madden, President pr@containerexchanger.com 404-551-5599
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