DHL Supply Chain is now offering its commercial customers on-demand packaging solutions to make shipments more cost-effective and environmentally friendly. The AI solution OptiCarton helps to optimise the filling volume of boxes from an existing, pre-configured set of cartons and can even suggest the splitting of an order into several consignments to make individual shipments more cost-effective or reduce their carbon footprint.
Customer research conducted by DHL Supply Chain revealed that 24% of e-commerce package volume is empty space. Using carton optimisation algorithms combined with an on-demand approach to packaging within the distribution centre helps brands and retailers produce the right package at the right time for each shipment, driving down transportation costs, minimising waste, and ensuring the product is protected. With OptiCarton, DHL is not only responding to the current shortage in cardboard boxes and packaging materials in the market, but initial pilots also indicate that the solution offers customers additional benefits in the shape of shipping-cost savings of up to 35% and with an average of 15%.
According to initial calculations, an optimally pre-configured and well-utilised set of cardboard boxes can save as much as 50% in superfluous shipment space. This greatly reduces the number of truckloads, allowing commercial customers to save costs, not only regarding oversized cartons and filling material, but also shipping, by eliminating unnecessary transports. Furthermore, the solution can provide recommendations as to whether and how an order should be split up to optimise the shipment configuration.
“Packaging has become one of the highest priorities for many e-commerce providers who are seeking solutions to optimize the utilisation of existing pack sets with the power of artificial intelligence,” said Alicemarie Geoffrion, President, Packaging Operations, DHL Supply Chain. “Based on the products, volumes and sizes in question, the software not only suggests the optimal size of the outer packaging, it also provides individual, visual instructions on how to ideally utilize the space inside the box.”
Source: DHL
