This report provides an analysis on how packaging plays a major role in today’s supply chain. It is found that packaging are considered to be substantial in the integrated supply chain system; by using the right packaging to deliver and display the products, cost and liability can be minimized. Thus, it is important to consider practicality, durability, and aesthetics aspects before it is mass-produced.
Table of Contents
Page Number
Executive Summary
3
Introduction
5
Body of Report
6-8
Conclusion
9
References
10
Introduction
Packages are an important and crucial part of logistics that supports the flow of contents in supply chain activities, it is known for its physical function of containing materials and providing utilities. The optimal packaging also give benefits in many ways, proper packaging means better shelf life for the materials when stored in the warehouse, which particularly important for fresh products. Moreover, standardized ad proper packaging also provides benefits by decreasing the cost of liability in manufacturing, transport, and handling which will be further explained and elaborated on this report (Engelseth, P 2005).
Discussions
Definitions and descriptions of the Purpose of Packaging in Supply Chain
Packaging in general definition is considered to be the medium of protecting and handling the products in logistics. However, the function and importance of packaging are more critical than how it seems. When the packaging is optimized, it lessens the issues on the integrated system in the supply chain logistics process and cut down the cost of a particular process in the system. It also provides the necessary information for the products that are important for handling and distribution of the products; and facilitate the transport and storage of it. Correspondingly, when getting into analyzing the purpose of the packaging in supply chain, it is important to observe it in two perspectives, the marketing and logistics outlook; the logistics purpose of packaging are protecting, organizing, and identifying the products in the process of moving the goods from the original location to the destination. Whereas from the marketing outlook, packaging serves as the purpose of informing the consumers the details of the products and increasing sales by making the products appealing to the consumers (Lambert et al. 1998, p. 330).
Different Range of Packaging Types
When discussing about the ranges and types of packaging, there are several different types that come across in mind, transport packaging, distribution packaging, or consumer packaging might be the part of it. However, it would be more convenient to divide types of packaging by categorizing them into three specific terms. The first one would be the Tertiary Packaging, which is perceived to facilitate the movement of handling, transport, and storage of the products in bulk units in order to prevent damages; palletized unit load and crates are some of the examples of tertiary packaging. The second one is the secondary packaging, where the purposes are to group the primary packaging together or as a display on the shelves in retail store. This secondary packaging can be sold to the consumers directly; cardboard packaging on the six bottles of soft drink is one of the examples. The third one is the primary packaging, this packaging is important since it relates to visual communication of the products; it is also one types of packaging that directly encloses the contents and designated for the end-user consumers in the smallest unit of distributions (Regattieri, A & Santarelli, P 2013).
