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Boston Scientific boxes savings by producing shippers on demand

The company’s Netherlands distribution center reduces freight and corrugated inventory costs with three converting machines that provide a four-month return on investment.

BosSciPacksize
BosSciPacksize

With so many developments in both medical technology and packaging systems, it’s easy to overlook corrugated shippers. But that’s not at all the case at Boston Scientific Intl.’s European Distribution Center in Kerkrade, Netherlands, where the company ships more than 3,500 boxes containing about 28,000 products each day. These medical devices are shipped globally, with 70% going directly to hospitals and 30% to customer distribution centers.

Making sure the distribution process is efficient and cost-effective is a challenge that the company is meeting with the help of three machines from Packsize Intl. LLC. The equipment utilizes Packsize’s On Demand Packaging™, a technology-enabled corrugated box production process that helps Boston Scientific select the most appropriate box size for the medical device to be shipped, then makes the box, with options for quantity, size, and style. That means Boston Scientific no longer has to stock excess box inventory and can make boxes to match shipments on a just-in-time basis.

Before implementing the Packsize system in June 2011, Boston Scientific stocked more than 50 different box sizes that needed to be ordered five months in advance of production. “Our box inventory took up significant warehouse space,” says Frank Moonen, director of operations at Boston Scientific, Kerkrade. “And despite this broad inventory, we never had the right-sized box, forcing us to ship a lot of air and additional packaging fillers.”

Another problem had to do with shipping in boxes that were too large. “We faced shipping damages and high freight charges as well,” Moonen adds.

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