The Effects of Packaging in the Supply Chain
Otava, Antti-Pekka (2012)
Otava, Antti-Pekka
Tampereen ammattikorkeakoulu
2012
All rights reserved
Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-201204305578
https://urn.fi/URN:NBN:fi:amk-201204305578
Tiivistelmä
Metso Mining and Construction technology is a recognized distributor of spare and wear parts for the crushers. The products that Metso Mining and Construction Technology is supplying are occasionally transport sensitive and considering the volumes Metso Mining and Construction Technology is supplying sufficient packaging of the products is essential.
The goal of the thesis is to demonstrate the total packaging costs in the supply chain and show what kind of effect damage during the transportation has in the total packaging cost.
The research method is the qualitative method of doing research and gathering information about the cost centers in the supply chain. Total quality cost calculator, provided by Metso Mining and Construction Technology, is used to analyze the total packaging costs. Two packaging solutions are compared.
The findings stated that investing to the packages, which are designed to the individual products have higher material costs, but transportations costs are lower. The total annual packaging costs are also higher with the packaging solution with higher material costs. A scenario was created where one product got damaged during the transportation and it had a tremendous impact to the total packaging cost.
When an investment and focus is drawn upon the packages, the final cost will be reduced since the possibility of damages during the transportation is reduced. This will increase the customer satisfaction and customer loyalty.
The goal of the thesis is to demonstrate the total packaging costs in the supply chain and show what kind of effect damage during the transportation has in the total packaging cost.
The research method is the qualitative method of doing research and gathering information about the cost centers in the supply chain. Total quality cost calculator, provided by Metso Mining and Construction Technology, is used to analyze the total packaging costs. Two packaging solutions are compared.
The findings stated that investing to the packages, which are designed to the individual products have higher material costs, but transportations costs are lower. The total annual packaging costs are also higher with the packaging solution with higher material costs. A scenario was created where one product got damaged during the transportation and it had a tremendous impact to the total packaging cost.
When an investment and focus is drawn upon the packages, the final cost will be reduced since the possibility of damages during the transportation is reduced. This will increase the customer satisfaction and customer loyalty.