RETAIL CHANNEL EXPANSION - PACKAGING EQUIPMENT, MATERIAL & DESIGN OPPORTUNITIESCASE STORY
Retail Channel Expansion – Packaging Equipment, Material and Design Opportunities
After experiencing initial success and interest in the retail segment, a leading food producer soon realized that their current in-house packaging lines designed primarily to service the foodservice segment could not keep up with demand. PTIS identified opportunities within the existing multi-state manufacturing network to improve finished package quality, increase product shelf life, enhance production line efficiencies, and modify packaging formats to support the growth of their core Foodservice business and enable further expansion into Retail channels.
PTIS conducted in-depth assessments of more than 15 packaging lines across four factories to gain a deeper understanding of how the lines were operated, maintained, and how they performed. Cross-functional stakeholder interviews were conducted with operators, maintenance, quality assurance, engineering, packaging, distribution, planning and production site leadership to gain a deeper understanding their operation’s history, what recent improvements were made, and the key issues they believed were causing disruptions today. The analysis included a review of the SKU mix and volume projections for each of the product lines. PTIS was then able to identify gaps and align packaging requirements for each product line blending network needs for both foodservice and retail packaging.
PTIS Identified Benefits and Improvement Opportunities
- Improved product quality and increased shelf life through low cost, low complexity machine changes enabling consistent Nitrogen flushing to control Oxygen levels within the package
- Reduced product give-away and cost through correcting check-weigher calibration issue that was causing operator to overfill packages by 10%-15% in order to get the packages to pass check-weighing
- Improved first time right package quality when producing dry granular products by using static dissipation devices on primary packaging equipment to reduce product caught in the package’s seals that compromised seal integrity
- Drove improved operational efficiencies by center-lining and documenting machine settings for 15 packaging lines and for each SKU produced
- Identified and recommended a new high speed flexible packaging asset with a broader range of packaging sizes and design formats to support retail channel packaging format needs
- Identified the need for a multi-year packaging asset strategy covering their four factories to consolidate lines, increase manufacturing flexibility, reduce labor and increase packaging capacity to meet future growth goals