Sunday, March 23, 2014

Experiential Learning Activity with leading eCommerce team, How to do packaging of high value & fragile items?

Expected Outcome: zero transit loss @ packaging, buyers are all across the world
Items couriered: Wooden, Papermesh, Glass Ware, Delicate Marble, Delicate Wooden work, Delicate fusion gift items, brass ware, paintings with glass facia
Activity inputs/raw material: Egg, wood wool, plywood, plastic, hammer, bubble wrap, acrylic wrap, nail, cell tape, card board
Activity Target: Pack the egg: use minimum material, minimum dimensions, minimum weight & best safety
Test: the final package will be tested by youngest person, not part of any team; dropping from 7 feet, throwing 10 feet, Keeping load equivalent to 10 packages on single item & shaking it, sitting on the package & moving a little.
Winner: will be decided on priority of Egg not broken, least weight, least dimensions, least amount of packaging material used

Outcome/Results
It worked wonders, the company reduced transit loss from 4% to 0.2% over a period of 12 month
Customer satisfaction & positive feedback/delight increased by 72%
Direct saving @ reduced transit damage, nil insurance claims, reduced telephonic calls, preventing time wastage in emails/fire-fighting, resending the item.
The saving in monetary terms is still being calculated, my rough estimate would be saving to the tune of 1.2 crore per year, This saving directly translates into profit, moreover eCommerce operates on wafer thin margins