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Packaging Notes

Packaging Notes

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Published by Neha
BMS notes of 5th semester
BMS notes of 5th semester

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Published by: Neha on Aug 19, 2009
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12/30/2014

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Packaging
Packaging is done to make handling and transporting cost effective. It protects the product intransit and handling. Packing is expected to facilitate lifting and moving by providing easyaccess to forks or hooks. Packing is also expected to display universal symbols and other instructions for handling. Eg. Pallets and containers, wooden boxes, wrapping etc.Importance:Packaging is an important function in logistics ensuring not only protecting materials andgoods in the logistics process to ensure maintenance of the right condition until delivery, butalso facilitating the other logistics functions of transportation, storage and handling.Packaging also enables communication regarding the contained materials or products. It alsohelps in improving the appeal of the product to the customer.
Types of packaging : consumer packaging and industrial packagingConsumer packaging
- There is no focus on logistics. Importance is given to marketingappeal and packaging the finished product. Packaging is designed for consumer convenienceand appeal, marketing consideration and display. The main emphasis is in marketing. Themarketing manager is more concerned with the consumer packaging because it providesinformation important in selling the product in motivating the customer t buy the product or giving the product maximum visibility when it competes with others on retail shelfs.
Industrial packaging
focuses on the handling convenience and protection duringtransportation, material handling and storage. This packaging protects the goods that acompany will move and store in the warehouse and also permits the company the effectiveuse of transportation vehicle place. It also have to provide information and handling ease.Industrial packaging is performed at various stages. The first stage is packaging for the product itself. For example soft drinks are packed in cans. The next stage involves packagingthese products into larger cartons for enabling quantity handling. The carton is reffered as
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Master cartons. The next step of packaging involves unitization. In this case the master cartonis consolidated into a single large unit to facilitate handling, transportation, storage and protection. The next is containerization, here the unit loads are placed in rigid containers for  protection and handling facilitation. This enables efficiency in transport.
Functions
of packaging [how packaging helps reducing overall costs and value addition]
1.
Protection
: Protection from damage, contamination, physical effects and environmentalconditions. Packaging design and material utilized is a balancing of economic considerationand adequate protection. The higher the value of product the more protection it deserves andmore expensive the packaging. Packaged product can be damaged during transportation,handling and storage due to vibration, piercing, crushing, temperature, humidity etc. packaging provides a protection against all this adds and makes the product available to theconsumer in the right condition.
2.
Utility
: packaging the product in the form of master cartons, unit loads and containers promotes handling, transportation and storage efficiencies by speeding up handling higher quantities to be transported, more quantity storage in the same space and faster retrieval fromstorage. Packaging facilitates securing and stacking during transportation, storage andhandling
3.
Facilitating handling & using
: fruit juices in tetra packs, handling and consumption byusers
4.
Facilitating storage & reuse
: ink cartridges for printers, floppies, CDs, reusablecorrugated boxes, bottles and refill packs
5.
Grouping goods into convenient unit for distribution
: mangos in boxes, milk bags incrates, cola bottles in crates.
6.
Communication
:a]
Content identification
- what does this contain? Product, manufacturer, universal code etc.with high visibility b]
Tracking 
: bar codes and scannersc]
 Handling instructions
: fragile, which side up? Temperature restrictions, environmentconcerns, potential dangers etc
Packaging Materials
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Many different exterior packaging materials are available to the logistics manager. At onetime the use of harder material such as wood or metal containers was widespread. But theseadded considerable to shipping weight, which increased transport costs since transportationcompanies’ bills customer for total weight including packaging.In recent years, companies have tended to use softer packaging materials. Corrugatedmaterials have become more popular, particularly with respect to exterior package.Cushioning materials are used to cushion the product inside the box. Cushioning materials protect the box from shock, vibration and surface damage during handling. Cushioningmaterial includes shrink wrap, air bubble cushioning, cellulose wadding, corrugated paper and plastics. Plastic material utilized is expanded polystyrene, polyurethane, foam in place and polyethylene.While selecting packaging materials, companies today must consider environmental protection. Packaging waste is also a concern. One way to reduce this waste is to reduce theoverall packaging a company uses. Another way is to recycle the packaging material in such away that there is no harm to the environment.----------X------X------X---------
Transportation
Transportation is the most visible of all functions of logistics and high contributor to logisticscost. We can see trucks, containers and wagon loads of material being moved from place to placeas an activity directly associated with trade and business. We should also appreciate that this isan activity that adds highest amount of cost to the activity of making inputs and outputs availableto consumers. Transportation function moves the products to meet customer expectations atminimum cost.
Functions of Transportation
 Product Movement 
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