-
Finding the Hidden Waste Understanding the hidden cost of poor
packaging
Barbara Ledbury Returnable Packaging Engineer
Ingersoll Rand
-
Ingersoll Rand advances the quality of life by creating
comfortable, sustainable and efficient environments.
Our people and our family of brands—including Club Car®,
Ingersoll Rand®, Thermo King® and Trane®—work together to enhance
the quality and comfort of air in homes and buildings; transport
and protect food and perishables; and increase industrial
productivity and efficiency.
-
Climate Commitment Climate Commitment
Progress to Date
-
What is Packaging Waste?
PRODUCT LIFE CYCLE
-
Types of Packaging
• One-Way Packaging (OWP): disposable
• Bespoke: special design
• Standard: off the shelf
-
TIM WOOD vs CRUDE SAM Transport Inventory Motion Waiting
Over
Producing Over
Processing Defects
Removal / Recycle
Damages Excess
Handling Space Administration
Control Maintenance
C R U D E S A M
Under-Utilization
Cash/Capital outlay
-
Hidden Waste of Packaging
One Way Packaging Supply Chain (OWP)
-
Reusable Packaging Supply Chain
OEM Owned Packaging
-
Who is Engaged at Ingersoll Rand?
SUPPLIERS Returnable packaging must meet their safety guidelines
and processes
LOGISTICS Help to determine cubic efficiencies, and reverse
logistics of empty containers
WAREHOUSE Repack, detrash, storage, safety
ASSEMBLY Ergonomics, TAKT, quality
FINANCE Evaluation of alternatives, budgeting, business
case analysis
EHS Ergo risk, solid waste impact study
EVERYONE!
-
How to get started?
Responsibility
• SME
• Team
HIGHLOW
SHO
RT
LON
G
Seasonal Demand Variation
Tra
nsp
ort
Dis
tan
ce
Sup
pli
er
to O
EM
RETURNABLE
One-Way Packaging
Strategy
• Resources
• Ownership
Prioritize
• New parts/suppliers
• Local supplier
• Repack Ops
-
How to Get Started with Cost – Total Cost of Ownership
[CATEGORY NAME]
[PERCENTAGE]
[CATEGORY NAME]
[PERCENTAGE]
[CATEGORY NAME]
[PERCENTAGE]
[CATEGORY NAME]
[PERCENTAGE]
[CATEGORY NAME]
[PERCENTAGE]
[CATEGORY NAME] [PERCENT
AGE]
80% of the TCO of one-way packaging
is not planned or budgeted for
-
Ingersoll Rand Packaging Strategy High Part Savings
Solid Waste Savings
Reduced Inventory Carrying Costs
Complex PKG Designs
Large System Size Required
High Reverse Logistics Costs
Low Container Turnover
CO
ST
/ E
FF
OR
T
PRODUCTIVITY / SAVINGS
Med-Hi Part Savings
Solid Waste Savings
Reduced Inventory Carrying Costs
Reduced Handling Costs
Low Logistics Cost
Low Management Costs
High Container Turnover
No Engineering
HIGH
HIG
H
LOW
LOW
Low Part Savings
Low Solid Waste Savings
Low Volume
Low Reverse Logistics Costs
Low Management Costs
No Engineer Containers
No Part Savings
Low Volume Parts
Slow Moving Inventory
Low Turn Rates
High Reverse Logistics Costs
High Management Costs
AX, BX
AZ, BZ, CZ
BZ, CY
AY, BY, CX
BESPOKE
STANDARD
ONE-WAY
ONE-WAY
-
Bulkhead Story • 4 parts per crate
• 411 shipments/
year
Sustainability Impact
• 799 tons of wood = 17 acres of
hardwood forest/year
• Framing lumber = 566 2400 sq.ft.
homes/year
• If burned = 12 homes/year of electricity
• 176 less trucks = 158 tons C02/year
• 7 parts per crate
• 235 shipments/year
75%
[VALUE]
100%
0
500
1000
1500
2000
Truck Density Trans Cost DM Cost
Project Impact
One-Way Bespoke Change
Annual Savings $1.5M
Solid Waste 799 tons
C02 Reduction 158 tons
-
Thank You!
Your opinion is important to us!
Please take a moment to complete the survey using the conference
mobile app.
WS/43
Finding the Hidden Waste
Barbara Ledbury
Ingersoll Rand
[email protected]
