Planning and controlling packaging supply chains

Produktionsplanung für Hersteller flexibler Verpackungen sowie die holz- und papierverarbeitende Industrie

Measures within packaging logistics: How packaging manufacturers can optimise supply chains through the use of clever software solutions

Disruptive and volatile supply chains with rising world market prices for raw materials on the one hand, increasingly complex customer requirements and regulatory aspects on the other: Packaging supply chains are complex and require increasingly precise planning. The following three factors – some of which are interdependent – must be considered when optimising packaging logistics:

Efficient management of packaging supply chains on manufacturer’s side

Tailored production, including all its challenges, predominates the packaging industry. The resulting combination of make-to-order (MTO) and make-to-stock (MTS) manufacturing intensifies the pressure to optimise these processes, whereas both strategic/tactical and operational planning tools provide digital support. ORSOFT applies a wide range of advanced analytics methods such as heuristics, mathematical solver-based optimisation methods, artificial intelligence (AI) and machine learning (ML).

Produktionsplanung für Hersteller flexibler Verpackungen sowie die holz- und papierverarbeitende Industrie

Strategic demand and supply planning in the environment of volatile procurement markets

Digitised sales forecasts | Demand planning in the packaging industry

Demand planning is used for the preparation, coordination and rolling update of sales planning data. The statistical forecasts generated from the data include a variety of parameters, such as one-off sales events, demand fluctuations and new market trends.

Inventory optimisation in the packaging industry

Inventories determine working capital and has a direct impact on logistics costs through storage space requirements. The goal of inventory optimisation is to determine the trade-off between sufficient stocks of preliminary, intermediate and final products and delivery reliability. In addition, stocks can be managed operationally and safety stocks can be controlled strategically.

Advanced Planning & Scheduling | Production planning tools successfully deployed in the packaging industry

The packaging industry utilizes a number of advanced planning & scheduling tools to make their planning processes more efficient and stable. ORSOFT customers rely on the following in particular:

Production campaign planning

Production sequencing including set-up optimisation

Shift and staff scheduling

Supply chain alert monitor

Specific forms of collaborative end-to-end planning

Production Sequencing including set-up optimisation

Heuristic sequence planning is supported by an algorithm that determines an optimal sequence for a set of orders for a certain workstation, whereas the method of processing keeps the industry-specific need to combine make-to-order (MTO) and make-to-stock (MTS) production. The sequence planning is determined – in addition to the basic dates of the order – by technological parameters that are selected and weighted depending on the technology applied (for example, extruding, printing, laminating, etc.).

Supply chain alert monitor

The supply chain alert monitor allows to analyse all existing customer orders with regard to their on-time delivery across all stages and to illustrate capacity and deadline conflicts, as well as the lack of material availability (purchased materials). If available, the analysis is evaluated based on the static link between the orders and the sales order schedule line. If this is not available, the material requirements and stock list of a material is evaluated according to the first-come, first-served (FCFS) principle.

Supplier and customer plan collaboratively: control of packaging logistics as part of an holistic end-to-end approach

A satisfied ORSOFT customer reports about vendor managed inventory (VMI) in the packaging industry:

Vendor Managed Inventory (VMI)
“VMI is widely used in other industries, but is rarely dealt with in the packaging industry. We specifically offer our customers to manage supply relation through a VMI process. This brings clear cost advantages to them. Our company positions itself as an innovative partner and achieves long-term customer loyalty. The experiences from the first projects prove us right and we will continue to pursue this path.”
Vendor Managed Inventory (VMI)

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Dr. Martin Kohl
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