A labor intensive packing process
The True Manufacturing story began in 1945 as a family-oriented firm building the first ever commercial refrigeration units in their backyard. True Manufacturing began exporting its coolers internationally in the 1950s, expanding its operations to the food industry during the 1970s. Seventy five years later, the firm is a renowned world leader and is dedicated to sustainability and energy efficiency. Its award-winning products are American made.
Although their ordering process was smooth, True Manufacturing knew that order fulfillment could be smoother and more cost effective. Their process included having a warehouse employee select the size carton they thought they needed and then facilitate the process of producing the carton, using a few standard box sizes. They then had to decide how best to physically pack the parts, using fill material and bubble wrap as necessary to ensure products arrived in perfect condition.
Often, when packing multiple parts, identifying the correct carton was tricky. Consequently, shipping costs were higher than necessary. The entire process of selecting and producing the cartons and packing the items while adhering to shipping rules was time consuming.
After evaluating other logistics systems available, True Manufacturing decided to go with MagicLogic’s BlackBox® solution because it is customizable and scalable to accommodate their planned business expansion.
How MagicLogic helped
As part of the solution, True Manufacturing purchased an automated packaging system. The system scans items to be packed in order to determine the length, width, and height of each item. BlackBox communicates with the packing system, leveraging the information to make improvements:
Right Sized Cartons
BlackBox uses the dimensions of each item to determine the optimal carton size, eliminating the guesswork needed previously. The correct carton is then created by the automated packaging system based on the BlackBox calculations.
Improved Packing Process
BlackBox serves as the calculator and communicator between the automated packaging system and the ERP system. The solution also contains all pertinent information about individual items and specific packaging rules. This allows for more efficient packing by warehouse workers, saving time and space, and creating a much more efficient process.
Automation Achieved
Now, when a customer places an order, BlackBox receives information about the item and quantity required. The algorithm automatically determines the optimal carton size and fill material needed, and the information is then transmitted to the automated packaging system so the carton can be created. Every box is assigned a unique reference number so it can be matched to the correct sales order.
Results
Due to the positioning and functionality of BlackBox, the process of producing shipping cartons is now automated. The logistics software also helped improve the way parts shipments are presented to the customer while adhering to all loading rules.
During the first year of implementation, True Manufacturing saw a $213,000 reduction in packaging expenses. Products continue to arrive in perfect condition while saving time and money during the packing process. As True Manufacturing expands its operations, BlackBox will continue to scale with the company.
