A large ink distribution company in Charleston, SC utilized PakSouth kitting services to save valuable warehouse labor, space, and positively impact their bottom line.
Large shipments are received from their parent company in Germany. These shipments help reduce the labor of manufacturing the ink domestically but created major challenges with not having the correct labeling for the US market. Together with not having the man power to address the “relabeling” task valuable warehouse space was occupied disrupting the daily flow of production.
Up to six temporary employees were hired to address these large shipments and a temporary work cell was created to apply the printed labels in-house. Since this wasn’t consistent production valuable training time was lost with hiring new temporary workers with each inbound shipment. Space allocation was a major issue with the amount of space required to conduct the relabeling.
PakSouth suggested the ink company outsource this relabeling project to our kitting division. We could alleviate the burden of hiring temporary employees with each shipment. Our fixed unit pricing provided the simple solution to the problem. Since we maintain several kitting jobs with similar challenges we could use our flexible labor to streamline the relabeling and provide significant value to the customer.
In addition to the fixed unit pricing eliminating temporary employees onsite, PakSouth could reduce labeling errors through formal quality control and inspections. We reduced time to complete job from two weeks to three days.
Our customer could use our relabeling, kitting, and outsourcing services to achieve significant packaging cost savings. We are currently reviewing order fulfillment as an added value service to our relationship.