A crucial link in the packaging materials supply chain is the part where CPG companies draw packaging materials from their warehouses and take them to the packaging line. Though much of this is currently managed on paper, the future will see electronic alternatives grow in popularity.
A good example of what to expect more of in the future is the Warehouse Management System from Swisslog North America (Denver, CO) now in use at well-known candy manufacturer Jelly Belly Candy Co. of Fairfield, CA. As raw materials reach the dock, each pallet receives a paper label with a bar code. This bar-code label stays with the pallet until the pallet is empty. Every time material is drawn from the pallet or the pallet is moved from one location to another, an operator scans the pallet’s bar code with a handheld scanner. This accesses the record of inventory stored in the WMS, which is immediately updated by the operator so that the pallet’s contents and whereabouts are accurately updated.
Since the WMS program was installed last year, says Jelly Belly’s Dave Moody, inventory of raw materials, including packaging, has improved dramatically. “We’ve practically eliminated lost materials and the associated problem of overbuying by procurement teams who used to order more than they needed because they didn’t trust the system we had in place,” says Moody.
See the story that goes with this sidebar: Supply chain experts see change a comin'
