In September the Auto Logistics Global Conference is taking
place in Detroit and we will be there showcasing the opportunities that Macro Plastics’ ISO Bin can provide you in your global supply chain.
The key areas of the conference will be Big Data and the
internet of things and both of these can be utilised by the industry to improve
sustainability and create opportunities for the coming years.
If the industry understood the potential of returnable
packaging in a global supply chain, they would realise how they can make their
operations more sustainable and help them realise opportunities they have on
the horizon.
I believe that there is a lack of awareness within the
automotive industry about the opportunity for Global returnable transit packaging. Due to the lack of knowledge there is a fear to try something new in
the supply chain which is the only way that the individuals responsible for
logistics will be able to get a better picture of how these type of solutions
can benefit them in the long run.
I recently came across an infographic by Control
Hub highlighting that supply chain and logistics mangers believe that costs
could be better controlled. There were two statistics that drew my attention.
Firstly, 43% were concerned about identifying the most efficient shipping
routes and reducing miles. Identifying the shortest or most cost effective
route to transport components from tier suppliers and OEM’s is always going to
be on the agenda. The interesting element of this statistic was the reducing
miles part. Fully understanding the opportunities of using returnable
packaging,
such as the ISO Bin, helps to increase pack density. Therefore,
shipping more parts per load which in turn reduces the number of loads and
therefore reducing the miles.
Secondly, only 28% of the managers were concerned about the
optimisation of the transportation network with pooling points. This again
raises my main angst about supply chain and logistics managers not fully
understanding the potential pooling companies can provide when using returnable
packaging in a global manufacturing footprint. The Control Hub article
concludes that on the whole companies agree that logistics costs can be better
controlled yet less than a third of those questioned are interested in looking
at the efficiency improvements and cost savings pooling providers can deliver.
This is an industry growing on a global scale looking to
reduce costs, increase quantities and improve the bottom line. Utilising a
pooling company in the global supply chain using a market leading returnable
packaging solution can answer two of those objectives and contribute the third
which is also the ultimate one – improving the bottom line.
During the Auto Logistics Global Conference, one of my aims
is to open the eyes and ears of supply chain and logistics providers to the
benefits that a product like the ISO Bin can bring them. The industry is
consistently innovating the vehicles they produce, they should be thinking
innovatively about their internal processes too.
