How packaging and logistics software can become great allies for business improvement

Logistics and packaging are known to be key elements in the supply chain, especially if their design and management are well optimized for success. As the logistics industry has become more competitive, more solutions have come to market such as logistics software and new packaging designs that make the difference to be more efficient.

That said, what elements do packaging and logistics software have in common to improve the supply chain? How can they be combined to be more efficient and provide better customer service?

The following points will explain how packaging and logistics software can become great allies in improving profitability and customer satisfaction.

Load optimization

Load optimization is one of the key aspects in the improvement of freight transport, as non-optimized planning can lead to loss of profitability due to the costs involved in transport. Both logistics software and packaging play an important role in this improvement.

It is known that one of the most common bad practices is the inappropriate use of larger packaging than necessary, which leads to more space being taken up in the load and has an impact on optimal load planning. Therefore, the application of more packaging types that cover the usual order range is indispensable for optimal load planning.

In addition, properly sized packaging gives a true picture of the capacity of the vehicle fleet, avoiding empty spaces that could be used. As a result, logistics software focused on route optimization and fleet management does a better job of planning the transportation of goods, helping to reduce costs and resources.

Applying sustainability in logistics operations

Nowadays, there is greater awareness on the part of companies regarding the environmental impact generated by the logistics sector, such as waste generation and CO₂ emissions. As a result, innovative solutions have been created in packaging and logistics software that aim to be sustainable.

For example, in the case of packaging, apart from using the right size, the aim is to use recycled and/or biodegradable materials and reduce the use of plastic in packaging in order to generate less waste. On the other hand, logistics software can have built-in modules specialized in emissions control that help calculate the amount of carbon dioxide emitted and make better decisions to reduce them.

Optimization of logistics nodes and production control

Within the optimization of the supply chain, the management of the production of goods to adjust it to the distribution capacity and demand prediction stands out. In this case, the function of logistics nodes can be improved through the application of new technologies and packaging decisions.

It should be noted that packaging is an essential element of the product in several aspects, both for the marketing of the product and for its safety when it is transported. Controlling the production of your packaging must go hand in hand with the production of the product itself to avoid bottlenecks in the supply chain.

That said, there are several logistics software that have the ability to manage the production of factories for subsequent distribution, such as the Supply Chain simulator. In this way, you can compare the usual scenarios with optimized scenarios to optimize production and distribution at a strategic level.

Traceability

It is well known that traceability is achieved by means of a labeling system, either a barcode or RFID label, which is usually affixed on top of the packaging. However, there are new methods that allow cost savings in materials without leaving the packaging labeled, such as direct printing on the boxes, as they eliminate part of the complexity of the coding system on the production line.

Also, most logistics software has traceability systems that allow real-time tracking of the status and location of orders. Therefore, traceability proves to be vital for order planning and customer troubleshooting. 

Conclusion

Both packaging and logistics software are components that can be combined at the operational level and at the strategic level to optimize the supply chain and achieve better results. In addition, some aspects are interrelated and can achieve the same goal, such as optimizing vehicle loading and being more sustainable.

This week part of the Hedyla team will be present at Pick&Pack, the event that brings together professionals looking for packaging and logistics solutions in Madrid, showing how our solutions can be combined with the needs and constraints of the supply chain to optimize logistics operations.