How to realize 15-20% costs saving through an efficient ISO packaging solution

An automotive supplier and Hellmann customer produces specific products for 1st tier suppliers and OEM‘s (Original Equipment Manufacturers). The majority of these materials are overseas shipments and shipped via sea freight in ISO 20 or 40 foot containers.

automotive, shelf, warehouse, spare part

Starting Situation

As the industrial standards for overseas shipments require a loading onto pallets and storing in the container; the objective was to maximize the space efficiency of each container by improving the packaging of their products to perfectly fit into an ISO container, to maximize the container utilization and hereby reduce the logistic costs.

»Our ISO packaging solution guarantees highest container utilization and significant cost reduction.«

Solution

Our team of experts went to visit the customer’s production plant. A detailed examination of the products as well as a quality assessment was made. A new packaging solution for the material was developed. Packaging takes place as the last step in the production chain. The new packaging also served as the final overseas packaging which eliminated any additional packaging requirements. 

The design complied with ISO- standards for 20- and 40-foot containers. The changes made to the design resulted in an increase container utilization up to 98%, which corresponded to an annual transportation cost savings of about 15-20% to the customer. In addition, the new packaging proved to be more durable against corrosion. Previously all materials for overseas had to be manually covered with an oil film in order to protect them against corrosion. During the voyage high humidity of the sea could damage the product. Since the film was no longer needed the costs for this manual process was eliminated and resulted in savings of about € 60.000 per anno.

Contact

Monika Thielemann-Hald

Monika Thielemann-Hald

Global Vice President Automotive & Agricultural Logistics