Knowledge
Supply Chain is the sequence of processes involved in the production and distribution of a product. Each step in the supply chain adds cost.
Companies that manufacturer a product or buy and repackage a product for resale will engage in the procurement of many products including packaging items. Just like the manufacturing process for the products that you make, packaging products have similar supply chain steps.
​
Raw material procurement, design, manufacturing, packaging, storing, selling, shipping, and returns management.
​
So, when you structure a supply chain solution for your company's packaging needs you want to look at the supply chain for various products. Each step in the supply chain can add cost to the product. Some options can provide better free cash flow to your business which can be an important consideration.
​
Understanding the supply chain for your packaging products will also help you understand the environmental impact for each product. How is the packaging produced and what impact does that production have on the environment? These are items that you can measure by developing a sustainability scorecard for your product's packaging.
​
​