Increase in the material efficiency for displays at Dr. C. SOLDAN® GmbH
The family business Dr. C. SOLDAN® has been producing premium cough drops for health and well-being for over 115 years and since it was founded in 1899 the product range has grown constantly. Today the product range comprises various product ranges. The best-known sweet brand, Em-eukal, is available in 14 different varieties, Kinder Em-eukal in three varieties of hard caramels and glucose, along with six varieties of the Rheila liquorice brand and aecht Bayrischer Blockmalz. The company uses a wide range of display designs with differing numbers of components and which in turn require different filling padding. And this is the heart of the problem. The huge variety of individual parts resulted in high handling costs and they also occupied a lot of warehouse space. The previously conducted packaging analysis also revealed that half of the displays were purchased in low circulation runs which resulted in a high purchase price. It also came to light that, due to this large variety, display parts that were no longer used had to be destroyed. The large number of different padding and filler materials used for the different display stand designs also consumed large volumes of materials.
The result of the consultancy was that three objectives were achieved through the introduction of a modular display concept:
In order to adapt the display branding to the modular system, the different designs for the various varieties within one brand were discontinued and the printed image was standardised. The packaging analysis also revealed that with some active displays similar contents with different fill levels were frequently used. Reductions were also achieved here.
"We redesigned the base and the merchandise carrying areas of the displays in such a way that they can be used both for the different brands of Dr. C. SOLDAN® and also for different campaigns” explains THIMM Project Manager, Dirk Masuhr.
Packing and handling efficiencies were also achieved since the reduction in variety also led to lower assembly times for the displays, thereby improving productivity. The provision of merchandise in the packaging units for retail shelves also produces waste because the sales trays are not needed in the displays. In future the use of shelf boxes in the display boxes will lead to additional material savings. “Material efficiency is important throughout the value chain. In addition to the components of the displays we have therefore also examined our logistics, purchasing, production and storage and aligned ourselves closely with the suppliers" continued Masuhr.
Overall the introduction of a modular system has led to a reduction of around 20% in material usage. The project manager at Dr. C. SOLDAN®, Klaus Eisenhuth, is very happy with the result and also with how the cross-departmental project was carried out. "All areas involved have contributed to the convincing project result."
Consultancy on the subject of material efficiency not only saves resources but also has a noticeable positive effect on the company balance sheet. It is a frequent occurrence that a packaging analysis leads to efficiency gains throughout the value chain. Therefore companies not only save materials but also they also become more efficient overall and generate a higher profits.