Reusable Packaging 101
Presented by the Reusable
Packaging Association
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
Let’s Begin
What is Reusable
Packaging?
 Reusable Packaging is
comprised of pallets,
containers, wraps,
bands and dunnage
designed for reuse
within a supply chain
Reusable Packaging
is not:
– Single or limited use packaging
– Non transport packaging
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
Many Benefits of Reusables
Financial
Environmental
Health &Safety
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
Financial Benefits
Operating Expense Reduction
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Standardized packaging streamlines the supply chain
Reduced labor in back of the stores or line side
Reduced total freight cost
Material substitution
Revenue Enhancement
• Merchandising at store level
• Elimination of white space at the plant level allowing
more units sold
Capital Utilization
• Pooling/rental of reusables
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
Environmental Benefits of Reusables
Reusable transport
packaging containers
• generate 29% less
total greenhouse gas
emissions;
• require 39% less total
energy; and
• produce 95% less
total solid waste on
average.
See Reusables 101 page 9
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
Health & Safety Benefits
• Reusable totes can reduce injury
from overfilling non-uniform
boxes.
• Reusable pallets can reduce
injury from broken pallet debris
hazards such as splinters, nails
and wood on the floor.
• Ergonomically designed reusable
totes can reduce bending, lifting
and handling injuries.
• Reusable intermediate containers
can reduce injuries from rolling
drums and chime removal
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
Reusable Packaging Event Cycle
The reusable packaging event cycle occurs in several
phases
Phase 1
R.P.
Concept Understanding
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Cost Analysis
Case Studies
Financial
Alternatives
Asset
Management
Phase 2
R.P.
Concept Acceptance
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Stakeholder
Alignment
Level of
Outsourcing
Financial
Decision
Reusable
Products
Phase 3
R.P.
Concept Implementation
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Training
Packaging
Trials
Operations
Execution
Phase 4
R.P.
Concept Refinement
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Cost
Improvements
New Training
Benchmarking
New Reusable
Products
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
When Should Reusable
Packaging be Considered?
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High volumes of solid waste
Recurring product damage or risk of damage
Expensive expendable packaging or recurring single-use packaging
costs
Under-utilized trailer space in transportation
Inefficient storage/warehouse space
Worker safety or ergonomic issues
Significant need for cleanliness/hygiene
Need for unitization
Multiple component parts or complicated assembly operations
Frequent trips
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
Attributes of Good Opportunities
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
Attributes of Good Opportunities
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
Attributes of Good Opportunities
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
Things to Consider
What is the best reusable product solution for
your application?
• What’s the return-on-investment?
• What is the environmental impact?
How will you manage the packaging logistics?
• Will you buy or lease?
• Where/how will we store them?
• How will we get them back?
What type of services will you need?
• Do we need to clean them?
• How will we track them?
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
Factors Affecting Logistics Costs
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Geography of return logistics
Number end users
Dispersion of end users
Style of Reusable equipment
Degree of sanitization required after each use
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
Financing Options
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
Financing Options
OWNERSHIP
• Purchase (Cash)
• Financing/Capital Lease
THIRD PARTY
or
• Rental/Operating Lease
• Pooling (rental w/ services)
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
Decision Checklist
Rent/Pool
Own
Program life
Short Term
Long Term
Secondary use
Low
High
Maintenance requirements
Heavy
Light
In-house capabilities
Weak
Strong
Cash availability
Limited
Abundant
Supply chain complexity
Complex
Simple
Adoption requirements
Weak
Strong
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
Asset Tracking
Options
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
Tracking: If you can’t measure it,
You can’t manage it…
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
Tracking Misconceptions…
COSTLY
IMPACT ON PRODUCTION/HIGHLY MANUAL
$
$$$$
$
COMPLACENCY VS. COMPLIANCE
“PILE-ON-TECHNOLOGY”
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
What Makes Dollars and Sense?
Aggregate
Tracking
Individual
Tracking
Barcode
RFID
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
Tracking Technologies
Barcoding (Linear, 2D, 3D)
Active RFID / Semi-Passive
Passive RFID
GPS, Cellular, WiFi
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
Implementation Best Practices
Analyze
 Review your product’s life cycle
 Identify product load characteristics: Type (boxes/cases, powder, liquid, etc.),
Temperature requirements, Dimensions and weight, Value, Load distribution.
 Determine level of cleanliness needed
Select/Design
 Determine required footprint and size: GMA, Euro-sized
 Determine automated equipment interface
Justify
 Conduct a financial anaylsis
 Compare environmental impacts of packaging alternatives
Implement/Execute
 Get all stakeholders involved (material handling, maintenance, etc.)
 Conduct a small trial
 Train, train, train
Continuous Improvement
 Explore new materials
 Add facilities and expand usage
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org
Resources for You
Reusable Packaging Association is made of up
leaders in the industry and will help you find
resources to learn more about reusable packaging.
Visit www.reusables.org to learn more.
Property of the Reusable Packaging Association | 1100 N. Glebe Road, Suite 1010 | Arlington, VA 22201 | 703.224.8284 | www.reusables.org