Manual vs. Automated Case Packaging: How to Reduce Your Labor Costs

Labor costs account for around 70% of total business costs. This includes benefits, taxes, and of course, wages. Good workers require a lot of money. Nothing wrong with that. However, when it comes to packaging, labor can be a considerable cost, without you even realizing it. 

Some companies report that more than half of their case packaging costs are related to labor. Keep in mind that commodity prices have been rising at 5% rate per year. Do you see how keeping manual packaging can hurt your operation in the long run?

Not convinced yet? That’s why we’re going to go over:

• The costs of manual packaging over the long haul
• How relocating talent can better your organization
• Benefits of automated packaging over manual 

First, we need to see...

Why Manual Packaging Isn’t a Long-term Solution

In small-scale industries, manual packaging seems like a smart way to go. It’s scalable, relatively cheap, and doesn’t require massive case packing machinery. However, things aren’t always what they seem. 

If you take a closer look, you’ll quickly see that manual packaging isn’t a viable long-term solution. Initially, it may be inexpensive. But as the demand for your product grows, so will your labor costs. Some of the challenges of manual packaging are:

• Keeping the expenses down, seeing how production is more important than packaging
• Lack of consistency in quality, which can lead to returned products and low sales
• Struggling to keep the workers engaged in low-paying, low-satisfaction work conditions
• In addition the speeds of the process equipment and corresponding primary packaging is going up, which is a trend that will only continue further in the future. Manual labor may not always be able to cope with such speeds anymore or may require extensive crowded manual packaging areas, which isn’t so sustainable anymore also with the Covid pandemic in mind.

Now, let’s see how a few simple changes to your business operation improve your bottom line... 

Relocating Your Talent and Assets 

For many business owners, automation means firing people. Why do you need to keep the workers if machines can do their jobs? However, this doesn’t have to be the case. Automation may even allow your workers to further their careers. 

Automated case packaging can help you ship hundreds - sometimes even thousands - of additional products daily. In turn, this can help you save thousands of dollars on a yearly level and allow you to train current employees for more sophisticated jobs. 

Business automation doesn’t take jobs away, it creates new ones. Simple machines can perform machine maintenance, logistics management, and many other jobs. You won’t have to fire your talent. Just relocate them to other departments where they’ll be more helpful. 

Benefits of Automated Case Packaging

No matter what stage of manufacturing you’re at or what size your business is, there are many areas case packaging automation can help you. Let’s go over a few benefits that will help you see automation makes more sense than manual packaging… 

1. Better Volume at a Better Consistency

A sound case packaging system can expedite your production by a factor of days. Depending on your pre-automation production, you might be able to produce days-worth of additional volume. On their own, your workers can do so much, no matter how much effort they’re putting in. 

Instead of spending money on additional staff members or paying your current workers for overtime, you should focus on directing your money in the right direction. Automation will help you scale your production more realistically and efficiently, not to mention manufacture more products in a shorter amount of time. 

2. Getting Rid of Human Error in Packaging

Human error is responsible for a lot of things. Human error can turn your business on its head, from wasted material and damaged products to product recalls and even workplace injuries. With some help from modern machinery, you won’t have to worry about human error anymore. 

Machines have become so advanced that they can check and verify the material they’re using. They can also tell you whether or not the same material is suitable for packaging. Re-packaging will be a thing of the past, thanks to automation. 

3. Lowering the Costs of Employment 

When deciding whether to hire more employees to package your products or automate, many people worry about machinery costs. However, you have to be aware that case packaging won’t cost you as nearly as much as it would just a couple of years ago with the recent technological advancements.

Furthermore, automation is an investment in the long-run. With automation, you don’t have to worry about employees leaving you suddenly and delaying the packaging process. It also allows you to utilize the current workers you have for other parts of your operation. 

Need Help With Case Packaging Automation?

Minimizing costs. Maximizing efficiency. These are the goals every business owner has in mind. Although manual packaging may seem like a good idea while you’re still developing your business, you quickly see that it leads to additional costs. 

Case packaging automation helps businesses overcome all of the challenges associated with manual packaging, such as lack of speed, inconsistent efficiency, and poor quality. A simple case packing machine is more effective than a human. Here at BluePrint Automation, we’re quite aware of that. That’s why we’re here to walk you down the path towards a fully automated packaging system. Contact us today and stop wasting money on manual packaging.