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Cosmetic Manufacturer #1

Cost Saving Study – Cosmetic Manufacturer

Conditions Found

Customer had their corrugated manufacturer affix a “license plate”, a consecutively numbered bar code label, to the side of their carton. The bar code was scanned by the picker and assigned a customer order to a specific carton.

Issues

Duplicate bar code numbers and misread labels.

Solution

We installed a printer/applicator that applies the label to the side of the carton, at the out feed of the Wexxar WF-20 case erector that we integrated eighteen months prior. We added software to print the bar code and also a metering belt conveyor to position the erected cartons close to the printer/applicator. The scanning procedure has not change however the duplicate labels and misread labels were eliminated.

Cost Savings

Because of the high quality of the ID Technology printer, we were able to reduce the size of the label from a 4” x 6” to a 2” x 2” which is a cost reduction. Customer processes 500,000 per year and was paying .11 for each label to be installed. The equipment and software cost was just under $40,000.00. That was a savings of $15,000.00 the first year and $55,000.00 every year after that.

If you would like to learn more about the shipping and packaging solutions we provide for our customers, see our Industries We Serve area that explains out commitment to the industries we serve or contact us today.