BLOW MOLDING COST REDUCTION STRATEGY
Why a Blow Molding Cost Reduction Strategy is Important
The blow molding industry continues to evolve and emerging technologies keep pushing the boundaries of what is possible. Firms must always stay on high alert or risk being wedged aside by more adaptive competitors. Most advancements in the blow molding industry from processes and materials to equipment are geared towards cost reduction through increased efficiency, a trend that highlights the importance of cost reduction as a form of not only cost savings but also as a way to achieve a sustainable long-term competitive advantage. No matter what role you play in your blow molding company, everyone has the opportunity to net significant cost savings from optimizing designs, manufacturing processes, and supply chain and operations. Special emphasis should also be made on tying everything together to develop an efficient cost effective strategy that can evolve into a long term competitive advantage.
Redesign
When considering blow molding costs reduction, one must look at the endeavor holistically and consider all of the different factors that may be impacting costs and efficiency. A common thought is that costs are primarily associated with material costs. While the materials used to produce the packaging are an important component of the cost but so too are the:
- Design
- Size
- Shape
- And Weight
Supply Chain Optimization
An adequate supply chain with the right suppliers, transporters, warehousing, and fulfillment partners could go a long way towards your goal of achieving cost savings. While your company may perform some of these operations, it may be lower cost to outsource to a full-service supply chain partner, or it may be better to find partners that can provide their impact as at single step of the supply chain. It may also be worthwhile to get in touch with partners that offer cutting edge solutions based on algorithms and historical data. Whatever the case, optimizing your supply chain will involve a deep analysis of all of your operations and logistics. This may include:
- Comparing Material Suppliers: Are their materials of suitable quality? Material costs? Do you need multiple vendors? Is it better to stick to one vendor? Are they able to adapt to your operations model?
- Comparing Transporters / Logistics Services: Can they move freight quickly and efficiently? Can they provide operational efficiencies to mitigate costs? Are they flexible enough to adapt to your shipping schedules? Are they able to adapt to your operations model?
- Finding Warehousing and Fulfillment Partners: Where are they located? Are they close to your customers/clients? Do they have adequate experience? What is their warehouse environment like? How do they handle/ process goods?
Cost Optimization Through Automation
are Optimizing production processes is just as important in a cost reduction strategy as redesign or supply chain optimizations. There are several ways to optimize your manufacturing such as zoning your manufacturing plant to improve efficiency or finding ways to speed up certain procedures or eliminate unnecessary steps are also great ways to improve efficiency. However, over the last decade robotics and automation have gained recognition as some of the most effective tools for manufacturing optimization. Automating processes on your packaging line can have several benefits including:
The key to unlocking all the benefits of automation is to choose the appropriate technology and to deploy it in the most suitable place in your overall process. For example, the most common automated technology in manufacturing are robotic arms which are best at performing repetitive high-volume tasks, therefore they would be better utilized on tasks that require speed and accuracy such as filling, sealing, and labeling. However, implementing automation technology will require the expertise of a automation expert who has extensive knowledge and experience in deploying robotic solutions for manufacturing. Our expert team can deploy various robotic automation technologies to fit your needs. Learn more about our automation services.
- Higher outputs
- Increased workplace safety
- Higher quality products
- Increased productivity
- Cost reduction
The key to unlocking all the benefits of automation is to choose the appropriate technology and to deploy it in the most suitable place in your overall process. For example, the most common automated technology in manufacturing are robotic arms which are best at performing repetitive high-volume tasks, therefore they would be better utilized on tasks that require speed and accuracy such as filling, sealing, and labeling. However, implementing automation technology will require the expertise of a automation expert who has extensive knowledge and experience in deploying robotic solutions for manufacturing. Our expert team can deploy various robotic automation technologies to fit your needs. Learn more about our automation services.
Tie it all Together
Long term consistent savings are best achieved through a holistic cost reduction strategy. Employing one solution may be beneficial, however, the biggest savings come from streamlining your operations by building a customized strategy that meets all of your needs at each step. Implementing such strategy can lead to a long term competitive advantage. Given the complexity of modern supply chains, product redesigns, and production automation, it is a difficult task to put a holistic strategy into effect and having it flow seamlessly. After all, your employees are already fully tasked. When dealing with such a complex endeavor be sure to request assistance from experts in the blow molding industry who have the time to focus on your cost savings project. At BHC Associates, we have the necessary expertise to cut to the center of what you really need and get you the savings you are looking for.
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