A Study in Success:
A Streamlined Supply Chain Solution
RRD's client, a manufacturer of equipment and Original Electronics Manufacturers (OEM) parts for the forestry, lawn and garden equipment market embarked on a project to update its branding and packaging with the aim of revitalizing and increasing its profile. The customer was also looking to consolidate their supplier base and to reduce their total costs.
The client had a complex global manufacturing supply chain incorporating, 5 manufacturing sites in 4 countries over 3 continents. They relied on over 40 suppliers for the production of 6 packaging commodities, comprising in excess of 1,500 part numbers and 70 million units. All of which needed to be integrated and streamlined.
The customer also wanted to:
- Manage quality and brand consistency globally
- Develop new innovative packaging designs
- Embed anti-counterfeiting and authenticity verification measures in their packaging
- Gain control of the art and die-line content
- Manage their complex supply chain
- Address warehouse space constraints
- Manage inventory and high scrap levels
The client required a single-source supplier with a global presence that could manage the entire redesign and supply chain implementation while ensuring brand consistency and total cost savings.
The client chose RRD as their expertise was the perfect fit for their rebranding efforts. RRD’s global footprint leverages a centralized and integrated approach for account management, design, systems, and supply chain management.
RRD’s team of experts provided the client with:
- Analytics on their packaging spend to identify cost saving opportunities
- Centralized supply chain management
- A consolidated supplier base
- Structural design and engineering services
- Global control of specifications, versions and files
- Color management
- Global quality specifications
- Tolerances to help drive consistency and efficiency across all sites
RRD’s innovative supply chain management systems and processes provided control of all production, inventory and Just-in-time (JIT) deliveries globally for the new branding. The client was kept up-to-date with the project’s implementation every step of the way. On-going performance management keeps the supply chain running efficiently.
Even with the brand requiring more sophisticated packaging specifications, the product costs were reduced by 18% in the first year while the quality and brand consistency were improved in all regions. The volume rebate provided further savings at year end and overall working capital costs were reduced with RRD’s vendor managed inventory (VMI) program.
RRD brought the advantages of a single-source solution, the power of a large global footprint, and a culture of continuous quality, process and cost improvements to deliver a refreshed brand ready for renewed attention.
Benefits of Working with RRD
RRD’s core competencies, strategic direction and vertically integrated services can help to create a unique competitive advantage with the following benefits:
- Reduced time-to-market for products with a single interface and global reach
- Reduced total supply chain cost from design through to final product delivery
- Aid in revenue generation with attractive product packaging
- Streamline global processes with enhanced planning and forecasting
Supply Chain Solutions
RRD Supply Chain Solutions is a recognized global supply chain and packaging provider that delivers value-add solutions to multiple sectors. As part of RRD (NYSE:RRD), a broad suite of capabilities is offered including packaging design and production, sourcing, kitting and fulfillment services. Solution design, systems, processes and precise project execution can help customers to constantly improve their market share, profits and speed-to-market.