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Case Studies

Cost Control with Better Materials

A material and structure optimization project improved cost stability while maintaining quality and throughput targets.

Case Study

Cost Control with Better Materials

A material and structure optimization project improved cost stability while maintaining quality and throughput targets.

Food, household, and general consumer productsPackaging cost controlFlexible pouchPrinted cartonCorrugated shipperInsert or liner

At a glance

Customer type

Manufacturer with high-volume SKUs and rising packaging input costs

Packaging formats

Flexible pouch · Printed carton · Corrugated shipper · Insert or liner

Main issue

Material cost was rising, but the team needed to avoid quality drift, line issues, and hidden conversion losses from a rushed material switch.

Project type

Material and structure cost review

Common Industries

Food, household, and general consumer products

Region

Australia and export supply chains

Before

  • Cost discussions were anchored on quoted material price.
  • Production risk was raised late and slowed decisions.
  • SKU complexity made the first optimization wave too broad.

After

  • Savings options were compared against total delivered cost.
  • Material decisions used pilot evidence instead of supplier claims alone.
  • The rollout started with SKUs that could prove the model faster.

What we reviewed

Top SKUs by packaging spend and volume
Current material specs, supplier quotes, and MOQ constraints
Line behavior, startup waste, and defect history
Customer complaint records tied to packaging performance

What changed

Build a total-cost view

Compared material price, conversion behavior, startup waste, complaint risk, and supplier lead-time volatility in one decision model.

Pilot alternatives on real constraints

Validated candidate structures against line setup, speed, sealing or forming behavior, and quality checks before conversion.

Sequence high-volume changes first

Prioritized stable, high-volume SKUs where the risk-adjusted return was clearer, then held complex formats for later review.

Could this apply to you?

Input costs are rising faster than pricing can absorb.
You need savings without creating quality or line-speed problems.
There are many SKUs and no clear first wave for optimization.
Procurement and production disagree on what a safe switch means.

Timeline

Cost baseline

Rank SKUs by spend, volume, structure, and material exposure.

Pilot comparison

Validate candidate materials against line and quality constraints.

Wave plan

Choose the first conversion group and define hold conditions for higher-risk formats.

Evidence to track

Total delivered cost

Track material price, startup waste, defect cost, and conversion impact together.

Conversion risk

Track which SKUs passed pilot checks and which need a separate validation path.

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