FPC is going to take on the job of packaging manager and will be optimising all packaging flows at the innovative Brainport Industries Campus. CEO Johan Faes explains how the campus companies will greatly benefit from this 4PP-approach.
4PP, the logical answer to 4PL
Let me start by further explaining the meaning of 4PP. The 4th Party Packaging is a logical sequel to 4th Party Logistics (4PL). This chain director streamlines the logistic flows within the supply chain and is the focal point for all logistic activities. Packaging however, is not part of this process. This is not as strange as it seems; packaging is a discipline in itself; something we, at FPC, know like no one else.
Yet, it is a missed opportunity! Logistics and packaging are inextricably linked. It is so much easier to streamline and optimise the logistic process with the use of the right packaging material, which is why we introduced 4PP: This is a role that suits us as packaging experts perfectly. We direct all packaging flows on the campus and optimise the entire range of packaging and carriers. The end result is a super compact range with optimal protection for any product.
Collaboration at Brainport Industries Campus
We are part of a consortium; ICT is controlled by IJssel Technologies and 4PL is a responsibility of Rubix (formerly BT Brammer and van Biesheuvel Techniek). As far as I am concerned, there is no better place to implement the 4PP-approach than at de Fabriek van de Toekomst (the Factory of the Future), which is how the Campus is sometimes referred to.
At the campus, everything is about collaboration and innovation. The companies in the high tech discrete manufacturing industry jointly collaborate in innovative projects and supply each other with parts for further manufacturing or processing. They share facilities like clean rooms, flexible production spaces, warehouses and other advanced amenities. A shared packaging manager is practically a prerequisite if one wishes to achieve economies of scale, to streamline the entire logistic process or to optimise customer satisfaction.
4PP also perfectly fits the bill of servitisation or to make everything easier.
Non-core activities are constantly pushed down the chain, from customer to supplier. Packaging is a typical non-core activity, so why not ask a specialised party to take care of this activity?
A uniform packaging range for the entire supply chain
On the campus, we have a complete picture of the entire data flow within the chain. This allows us to get the correct packaging or carrier to the right spot at the right time. This is a complex puzzle, but with our ICT-solution PackAssist, this poses no problem to us.
We are building on a packaging range with uniform packaging and carriers for the entire supply chain. Matching the right size of packaging to products which then fit perfectly on any carrier from AGVs to pallets, boxes, crates or roller containers) for an optimal logistic handling is a prerequisite. The synergy and procurement advantages we thus gain is something that can never be achieved by standalone companies.
PackAssist in practice
All products that need to be produced, processed and transported on the campus are connected to the best possible internal or external packaging by our PackAssist-database. Size, packaging regulations, reusable or disposable, all details are known. We can check into all of the companies’ order flows. As soon as an order is placed, we know what packaging is required and make sure the customer does not miss out further along the process when the product needs to be packaged. All packaging is delivered ‘just in time’ which saves on storage costs.
We also ensure that internationally purchased parts are delivered in the right package quantities. Did you know that some companies employ over 350 people just to repack incoming packages?Only because the products are packed in quantities of 10s whereas the company prefers individual packaging? This is hard to believe and we will not let this happen on the campus.
The right packaging will bind customers to your company
One of the biggest improvements to the supply chain can be gained in customer satisfaction. Nothing is as damning to customer satisfaction as a product that arrives damaged at its destination: Defect on Arrival (DOA) is the biggest annoyance to a recipient. A customer demands ease of use and has high expectations. A good supplier should be unburdening its customer and always be ahead of any possible problems.
Enter 4PP and PackAssist: The right packaging ensures that products are delivered ‘first time right’. Apart from satisfied customers, it is also cost-effective. The activity-based costing caused by DOA is enormous.
We proudly and confidently start working
At FPC we are adamant: 4PP only has to offer advantages to the supply chain.
The right packaging range combined with the correct controlling guarantees satisfied customers, is cost-effective and really optimises the logistic process.
We are proud to say that the Brainport Industries Campus front runners share our vision and confidently place their packaging management in our hands.
Would you like to see what this means? Everyone is welcome for an inspirational visit to the Brainport Industry Campus!