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Customer Saves $500,000+ with Air Pillow System

The Packaging Challenge

A new customer came to New-Tech Packaging looking for solutions for its automated air pillow system. The current system could not handle the company’s growth of 20% per year, projected for the next five years. Also, the machines were breaking down regularly, and the manufacturer of those machines did not have regional service technicians, so the bulk of the repairs was placed on the company’s maintenance department.

The New-Tech Solution

New-Tech packaging experts began with a detailed analysis of the process and machines, uncovering inefficiencies and opportunities for savings. New-Tech then tested and negotiated pricing for an air pillow delivery system known as the fastest on the market. The system, manufactured by Pregis, could meet the customer’s growth and achieve optimal ROI.

The Customer Results

The increased efficiency of the new system saved the customer almost $250,000 in one year. And because New-Tech helped the customer lock in a supply agreement with pricing for two years, they saw an overall savings of $575,000!

Along with the cost savings, the customer also gained these wins:

  • Pregis took over the responsibility of machine maintenance during the customer’s peak time. Technicians stopped by weekly to ensure no downtime, which allowed the customer’s maintenance department to work on other equipment during this rapid-growth period.
  • Due to the slow speed of the former air pillow system, the company had to hang overhead bins so the air pillows could be produced constantly. These bins caused dimmer lighting for all employees and visitors. The speed of the new Pregis system allowed all overhead bins to be removed and provided a better work environment.
  • The former system packaged each individual roll of air pillow film in a box. The new solution mapped out by New-Tech included bulk rolls on a pallet. That switch saved the company from cutting open and disposing nearly 4,000 boxes. That’s a sustainability win!
automated air pillow packaging system

Packaging Design Saves Pharmaceutical Company Hundreds of Thousands

The Packaging Challenge

A pharmaceutical company came to New-Tech looking for analysis and recommendations on a packaging challenge it was having with an over-the-counter medicine. The company was changing suppliers of the medicine, which also resulted in a change in the quantity count of how many tablets were in each carton.

The company did not want to make any major changes to the structure and size of the current packaging, which included a blister card and tray, but it did need to fit the new quantity. The customer’s senior legal and regulatory management team also said the DFL (Drug Facts Label) needed to be visible to consumers.

The New-Tech Solution

New-Tech packaging engineers developed a new design that kept the same structural packaging and size, fit the new quantity, and allowed the back of the blister card to be open to the consumer to see the DFL – all without decreasing the stability of the card or increasing the chance of theft.

The Customer Results

If New-Tech was not able to develop a new design to fit the quantity and follow legal guidelines, an entirely new set of components (tray, cards and shippers) would have had to be produced. Tooling alone would have been a minimum of $10,000 or more. A new design would have resulted in a $90,000 increase in materials.  

Adding to these costs, a change in structural design could have disrupted the supply chain due to having to develop the new design and gain FDA approvals. This could have led to the product being dropped by major chains, such as Costco and Sams, which would have been a detrimental loss to the customer.  

Canon Saves Millions with New Packaging Recommendations

The Packaging Challenge

Canon was faced with high shipping costs due to exporting printers already in retail boxes from Japan to the U.S.

The New-Tech Solution

New-Tech uncovered significant savings by recommending Canon change the process from exporting printers already packaged to shipping them unpackaged in bulk.

Upon arrival in the U.S., New-Tech then would package the products into retail boxes, customized for the respective retail electronic store chains.

The Customer Results

  • Significant freight savings amounting to millions of dollars — enough to justify the entire process change
  • Use of materials with which U.S. consumers were familiar and accepted
  • U.S. marketing and package development in close collaboration with retail stores
  • Efficient and rapid customization and deployment of new packaging styles
  • Significant reduction of obsolete inventory

New-Tech was selected as Canon’s Vendor of the Year for the recommendations and work in packing printers, inks, and papers.

packaging awards

Workstations Create 35% Productivity Boost

The Packaging Challenge

A leading medical device manufacturer was looking for a way to improve its workstations to boost efficiency in its packaging workflows.

The New-Tech Solution

After evaluating the customer’s goals, New-Tech put together a 3-D drawing that showed how the proposed workstation with proper components would improve productivity and workflow.  The modular design also made it easy to reconfigure the workstation over time as business needs change.

The new workstations were equipped with:

  • Overhead digital cameras to document that every shipment is complete
  • Adjustable lights and magnifiers to inspect and document tiny serial numbers
  • Corian® work surfaces that were built to last and withstand abuse from metal trays
  • Compact wiring troughs to keep the work surface clear
  • Surface-mounted scales to eliminate lifting and moving orders

New-Tech believes that good design is a collaborative process that begins with a discussion on the goals the customer is trying to achieve in productivity, workflow, and footprint.

The Customer Results

The customer identified a significant increase of 35% in the workflow as a direct result of the new workstations.

packaging workstations

Automated Bagging System Saves Space and $200,000+

The Packaging Challenge

An apparel distributor was on the verge of outgrowing its current facilities due to business growth and the current packaging processes taking up too much space.

The New-Tech Solution

Our team audited the packaging process, identifying problem areas and uncovering a solution that would speed packaging, replace an inefficient manual pack and ship process, and require minimal space.

Our recommendation included four custom-built automated packaging/bagging machines integrated with a new conveyor and package handling system for internet order fulfillment. 

The Customer Results

In adopting this automation, the company saved on materials, labor, and freight.

  • Material costs decreased as a printed bag replaced a corrugated box, packing materials, tape, and labels.
  • The number of packages shipped per hour grew by over 50% with the same labor force.
  • The time to ship an order decreased from almost three minutes per order to 45 seconds! This allowed them to handle their growth without adding additional packaging stations.
  • Freight savings were substantial because the system was tied into a software program that identified the lowest cost to route the package.

Total annual cost savings were $200,000, with an anticipated higher return in the future as the equipment is fully amortized.

automated bagging system for packaging

New Suitcase Saves Over $800,000 Annually

The Packaging Challenge

A customer approached New-Tech to review a current package that required a plastic tote designed with foam for product protection. The package was bulky and seemed to be overkill for the size of the product it housed for shipping.

The New-Tech Solution

New-Tech worked with the customer to evaluate their product’s container and uncover freight savings. They had been using a medium-sized tote system to ship their product. Through creative design, we introduced a smaller, waterproof suitcase system lined with foam to protect the product.

The Customer Results

The new design resulted in a significant dimensional weight savings of over $800,000 annually in freight costs.

suitcase packages

Kaizen Event Saves Over $1 Million

The Packaging Challenge

New-Tech’s team participated with one of our large customers in a Kaizen event focused on eliminating waste in the supply chain.

The New-Tech Solution

Over a three-month period, the New-Tech team uncovered ways to reduce waste in two major areas :

  • Two layers of temporary packaging that were being thrown away were eliminated to cut costs and waste.
  • One complete round trip, where packages were loaded and unloaded at each facility, also was eliminated for efficiency and environmental benefits.

The Customer Results

Besides the waste that was eliminated, we increased the throughput time and shortened lead times, allowing this customer to be more responsive to the retail market.

These efforts saved the customer 13.4%, representing over $1 million worth of savings annually.

various consumer goods in packages

Medical Company Cuts $400,000 Annually in Shipping with Corrugated Boxes

The Packaging Challenge

A medical company challenged New-Tech to help them find ways to save material costs and reduce packaging pricing by 7%.

The New-Tech Solution

New-Tech completed a packaging audit and determined that over time the customers’ products had reduced in size while the packaging remained the same. The New-Tech team began to right-size the corrugate boxes and partnered with the local FedEx lab to complete testing. 

New-Tech sets itself apart in the packaging industry by its unique dedication to problem-solving and finding ways to improve processes and save customer resources. Opportunities for our customers to cut costs are amplified by our diverse capabilities in packaging, from simple corrugated boxes to equipment and automation.

The Customer Results

By resizing corrugated boxes and taking out void fill, New-Tech exceeded the challenge and helped this medical company eliminate shipping charges to the extent of nearly $400,000 annually.

At New-Tech, saving people money is not merely a job or even an obligation to customers; rather, it’s a mentality and way of doing business that is integral to New-Tech’s adage of adding value to products.

“[Saving] is an ongoing thing,” says New-Tech corrugated packaging expert Rick Chriswell.  “A customer wants to do business with us because we bring value to our customers.”

packages on a conveyor belt

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