The global market is becoming competitive each day as enterprises expand into new markets worldwide. As a consequence, there are new demands placed on logistics activities in the supply chain that has increased its complexity. Due to the new requirements, organizations have to devise new ways of staying present with industry changes and meet the new challenge and one way is by integrating the logistic aspects into product development and packaging. Packaging logistics have emerged as a sustainable solution to deal with the competitive global market though some managers doubt its compatibility with logistics efficiency (Klevås, 2006). In this regard, this paper focuses on discussing the concept of packaging logistics and how product design and development can help organizations to achieve sustainability in supply chain management.
Design for packaging logistics is a concept in supply chain management that describes the product and design approaches necessary to control the costs of logistics and increasing efficiency in customer service (Klevås, 2006). The concept entails following product development through the supply chain by identifying any demands or challenges in the packaging development process and ensuring the logistics function efficiently. Packaging designers thus have to understand significant factors in the supply chain that will enhance efficiency such as determining packaging related factors that have a substantial influence on the supply chain and recognize areas of improvement from the early design stage.
Delegate your assignment to our experts and they will do the rest.
During the design process, an organization is supposed to evaluate the logistic performance of different packaging solutions to determine the best-packaged product that can fulfill logistical demands. In most cases, the packaging design is limited by the characteristics of a product, which means packaging and logistical issues should be considered early in the product development process (Dahlborg & Johnsson, 2006). After designing and developing concepts on packaging logistics, an evaluation is needed that requires putting in mind the universal constraints of time, cost and quality of the product. The assessment of logistical packaging concepts is crucial in analyzing and determining whether it has achieved the objectives of efficiency and sustainability in supply chain management. This means a lack of specific evaluation can result in poor performance. In understanding how the design for packaging works, the paper will define several terms related to the concept such as packaging and logistics.
Packaging
The efficiency of logistical activities in an organization depends on product packaging, which is defined as the technology of preparing products or the process of designing packages for warehousing, logistics, and use (Klevås, 2006). Product packaging function affects the effectiveness of the supply chain as it provides an interface between the production and the primary customers. It is crucial in logistics efficiency by ensuring the protection of the product and safe distribution to the customer. Packaging is therefore vital in logistics closely related to product development and allowing for sustainable supply chain management. This function is especially important in supporting the implementation of packaging logistics when integrated into the logistic system to reduce costs and improve logistics. It thus creates a competitive advantage for an organization operating within a global market. Its benefits include functioning as a marketing technique to lure customers into purchasing a product by promoting the product by communicating with the customer (Dahlborg & Johnsson, 2006). Product package is the first thing a customer notices before even touching the product during a transaction.
Packaging seeks to achieve several functions including physical protection of the product, keeping the product clean as well as acting as barriers from moisture. The protective role focuses on keeping the contents within the package safe from the environment and ensuring full retention of the utility value of the product (Saghir, 2004). This function means the packaging has to adapt to the technical and functional features of the product and its importance. It has to be reliable and can withstand the static and dynamic forces subjected during handling, transport and storage operation. It also has to prevent the product from any environmental degradation especially when transporting hazardous materials. The second role of packaging is to contain products and protect them from the environment while enabling efficient distribution and storage, especially when carrying several products that can needs containment for efficiency. This function focuses on reducing costs or lead-times in the supply chain management including reduction of packaging waste. It is mostly associated with the susceptibility of the packaging in ensuring it adapts to the existing standardized dimension (Saghir, 2004).
Logistics
Another essential component of supply chain management is the logistics are defined as moving and locating inventory from the point of origin to their destination including all management functions. The concept describes the process of managing and controlling the flow of goods from the source to the marketplace by integrating aspects such as warehousing, inventory, transport, material handling, and packaging (Klevås, 2006). Logistics is, therefore, part of the supply chain process rather than its function that interlinks all activities from the source to the end consumer. The demands put on packaging can be divided into logistics, marketing, and environment with the logistical function dealing with protecting the product, facilitating distribution as well as providing information about conditions and locations (Dahlborg & Johnsson, 2006). It takes into account all the packaging features to help in easy handling and shipping of the product.
Packaging logistics
Packaging logistics is an integration of the two concepts to ensure sustainability of supply chain management. The approach focuses on developing packages to support the logistical process while meeting consumer needs. It combines logistics and the packaging design that emphasizes the operational and organizational needs of the supply chain with the purposes of increasing efficiency (Klevås, 2006). The interaction between packaging and the logistic system creates the environment needed to complete the supply chain from production to distribution. In this regard, packaging logistics seeks to address the interface between packaging and logistics to improve productivity from the point of origin to the destination. It should be considered an integrated approach where packaging and logistics complement each other as it can facilitate distribution while protecting both the product and environment.
One way of achieving packaging logistics is developing a package that focuses on benefiting the related activity in the logistic system. An example is to concentrate more on analyzing the physical flow in the supply chain and comprehend the conditions necessary in affecting efficiency. This means an organization uses packaging logistics to fulfill the fundamental function of the supply chain and meet customer needs (Saghir, 2004).
Design for packaging logistics
An organization can achieve sustainability in logistics and supply chain management through design for packaging logistics. This concept requires that product packaging is appropriately designed to adapt to the customer requirements as well as logistical needs. It is crucial for an organization looking to improve product development to integrate design and adjust to the logistical system (Dahlborg & Johnsson, 2006). Product design has a significant impact on logistics performance as a crucial element in controlling costs and maximizing profits. It affects prices and helps in improving the efficiency regarding supplying, packing, handling, storing and transporting the product.
A packaging design should be functional while presenting strategically-designed solutions tailored to the unique needs of the customer. Design for packaging logistics starts with considering the physical characteristics of the product such as the content, density, respiration and ability to withstand exposure to other elements. It should also consider factors such as the handling procedures, impact resistance, weight as well as the dimensions of the constituent material. Each product has its unique characteristics, and the best design is one that puts into consideration such factors before customizing a packaging solution tailored for a specific product (Saghir, 2004). Customizing the packaging solutions can also help in fitting more products into a shipment container, thus saving money on transportation.
Another element of design for packaging logistics is to examine all packaging related processes. The examination can entail identifying all means associated with product packaging including the roles of various packaging levels and their inter-dependent relations. The design should involve analyzing the association between different levels of packaging system as well as the logistic packaging processes in the supply chain (Saghir, 2004). For example, the supply chain manager can examine the relationship between the primary, secondary and tertiary packaging and ensure there is a flexible and secure movement of goods along the logistics.
There are three types of information needed in designing packaging system in logistics. The information ranges from determining the fragility of the product, the severity of the distribution environment as well as the performance characteristics of cushion materials. The packaging should be designed in the sense that it is easy to handle, lift and move the product as. This means the product should not be more substantial or more rugged than necessary as this can increase the logistics costs. At the same time, it packaging logistics should be designed to allow for efficient supply chain management while integrating into the business model as shown with the IKEA’s supply chain and business model (Klevås, 2006).
Case example
Design in packaging logistics can be applied in a grocery store when seeking to increase efficiency in supply chain management. The model can be used to achieve logistic effectiveness when evaluating the process of packaging solutions. Packaging logistics in a grocery store moves from packaging to distribution and delivering to retail outlet passing through primary, secondary and tertiary levels. The design should look towards integrating these three levels and ensure they are compatible with each other. It will start with at packaging the products with the product, and primary packaging considered a single unit and will not be separated until they reach the point of destination. The critical operational issues during packaging are to find flexibility and line efficiency governed by the type of product. The packages can be labeled depending on the level of packaging to help in tracing the product and for easier identification. The packaging prepares the product for distribution and has to ensure protection, containment, and ergonomics. At the retail outlet, the design for packaging logistics should allow for efficiency in the handling of the products, product identification, and information, protection as well as monitoring the ergonomics such as the weight.
Design in packaging logistics can help organizations achieve sustainability in supply chain management. The concept entails implementing numerous processes that focus on delivering efficiency and providing excellent customer service. It involves product development and packaging that are crucial for logistics. The event considers several aspects such as the physical characteristics of the product. This paper has shown that integrating product and package design into logistics activities influences many other critical aspects of supply chain management including productivity and financial costs and is this crucial to cost control.
References
Dahlborg, H., & Johnsson, C. (2006). Evaluating Packaging Logistics Development at IKEA for Improvements in Product and Packaging Development.
Klevås, J. (2006). Design for Packaging Logistics. In Int. Des. Conf (pp. 269-276).
Saghir, M. (2004, April). The concept of packaging logistics. In Proceedings of the Fifteenth Annual POMS Conference, Cancun, April.
