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As if finding good labor these days weren’t enough of a challenge, enter big headache #2. Production managers everywhere can’t seem to find enough physical space. Who couldn’t use more floor space, rack space, equipment space, room to move product and people around in a way that doesn’t slow production, cause delays, or lead to error or injury.
Many manufacturers are experiencing healthy growth, and increasing throughput makes the situation more critical. Building expansion projects can help but tend to be substantial, expensive events. This leaves production managers bearing the brunt of the problem, trying to get ten pounds in a five-pound bag.
Buying corrugated in large volumes is often necessary to get the lowest price, but we have explored inventory with new customers and found racks of dust-covered cartons that are two to three years old. Most corrugated mills don’t seem to appreciate orders of under a few thousand boxes, and while some are willing to produce your short run quantities, bring your wallet. While we are all being asked to cut costs, inflated prices for short runs are moving the problem, not solving it. If there’s one thing the boss wants more than anything, it’s lower costs. If the box mill doesn’t want orders under 2500 or 3000-unit minimums, and you can’t afford to suck up the increased prices of smaller orders, what are your options?
Turns out you can have your cake and eat it too. Rocket Industrial lets you continue to enjoy bulk purchase rates, stocks your cartons in our facilities, and delivers just-in-time quantities to your facility as needed. We work together on how many you need, when and where you need them.
In addition to freeing up loads of space, this approach frees up loads of cash! Although you still get volume pricing on your cartons, you are billed incrementally as smaller quantities are delivered. To get a comprehensive sense of the value of this approach, consider the combined value of the saved space, the value of the cash you are freeing up, the ability to gear up for growth, and the savings on bulk pricing.
Inventory programs can be customized to fit your supply needs and budget.
The first step is to meet with a Packaging Specialist to help us understand your needs. Then we can craft a custom proposal that includes order volume and incremental delivery requirements to help you overcome space limitations.
With VMI, you leave the task of monitoring your packaging inventory to us.
Your territory manager visits weekly, biweekly or monthly to take a physical inventory of your supplies, recommends an order amount, and then upon your approval, places the order for you. It's that simple!
Effective managers focus on the key value-added aspects of their job. Why not also focus your precious physical space on things that drive value, and let Rocket Industrial assist?
After all, we wouldn’t be much of a Rocket if we didn’t overcome the limitations of space!
Contact us to find out more about our warehousing programs.