Reverse Logistics: 3 Keys to a Successful Returnable Transport Packaging Program

Your products deserve the best packaging! You deserve the best IT solution.

The global returnable packaging market is expected to grow, driven by demand across industries for product safety during transport, increased awareness of the need for corporate sustainability, and the move towards circular supply chains.

In an effort to meet these goals, reduce packaging waste, and collaborate to improve cost-effectiveness, companies are looking to implement, expand, or better manage this type of reverse logistics solution

So how can you successfully manage a returnable transport packaging program to ensure more efficient supply chain operations?

Visibility is key to Lower costs  and Free-up Capital

The importance of having the right returnable asset in the right place at the right time cannot be overstressed, especially in industries like automotive, food & beverage, and manufacturing.

Due to highly optimized and just-in-time production models, reusable transport packaging supply has to respond to its pace and demands.

This can lead to a bullwhip effect, i.e. every partner in the loop keeping excess safety stock.

Across the entire network, this results in large amounts of returnable packaging assets sitting in stock instead of in circulation.

Even so, they are often not available at the right location and time and turnaround times are slow.

This leads to even more returnable packaging assets being pushed into the system, tying up more and more capital.

A returnable transport packaging (RTP) management solution gives you the necessary visibility of demand and stocks making way for significant cost reductions by allowing you to:

• Reduce Unnecessary Safety Stock
• Achieve Faster ROI
• Minimize Expensive Storage Areas
• Cut Handling Costs
• Reduce Costs for Repositioning Transportation
• Cut Expenses

Optimizing your returnable packaging loops h3olistically, especially by adjusting stock and supply to actual demand in real-time, will enable you to cut costs substantially.