What does it mean for the Customer? The best way to explain this is to show what he has to deal with when using traditional co-packing and what happens when he outsources the comprehensive service of management of components and packagings.
The classic co-packing service is based on co-packing the elements provided by the Customer (products, packagings, labels, holders, boxes, etc.) according to his concept. The outsourcer orders all the components and makes sure that they are delivered on time for co-packing. In this model Customers must deal with planning the co-packing, selecting packagings, graphics, and they also have to coordinate the process of delivering packagings and components so as not to disrupt the schedule of promotion. The wider the assortment of components, the more difficult the intermediary's role.
MANAGEMENT OF PACKAGINGS AND COMPONENTS
It is not surprising therefore, that Customers more and more often are looking for solutions based on component management offered directly by the provider of co-packing services. In this way the scope of services connected with co-packing goods is becoming wider, thus streamlining the whole process: 1) Even before the co-packing order is placed, the Customer receives information which solutions will be most optimal for him in terms of time and costs. Apparently it is not the price of the component that matters most at this stage but the technology of its later application. 2) The provider offers the quote including all the elements of production, components and logistics. He coordinates the whole process - orders appropriate packagings, manages production so as to keep the agreed deadlines in case of problems. In this situation, apart from consulting, the provider assumes the responsibility for stock levels of all elements necessary for executing orders on time, both for long-term campaigns and for seasonal promotions.
WHY THE OPERATOR SHOULD BE A PART OF PRODUCT MANUFACTURING
This solution offers many advantages:
All these elements influence lowering the costs of ready sets (thanks to the optimisation of the whole process) and increasing their quality (e.g. by selecting better packagings).
WHERE TO START?
In the last 15 years when we have been offering the co-packing service, we were able to work out methods of operations which allow for adjusting the process of producing promotional sets to Customers from many different sectors. Starting cooperation in components and packagings is a multi-stage process. First we take over the contacts with the existing providers of the Customer. Only later we analyse their offer and look for optimization. This can guarantee the continuation of the existing processes and maintaining their fluidity.
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