Retail Company Saves On Tape & Dispensers

Situation: A large retail company started searching for alternatives to their packaging tape so they can save on cost of product, labor, equipment and still meet safety standards.

Solution: With the retail company%u219s criteria in mind IPS Packaging put together a proposal for water-activated tape and tape dispensing equipment. Here is what we came up with:

Labor Savings:

• 50% less time per carton
• Processing approximately 2.76 million boxes per month
• Saving 7 seconds per box
• 5379 man hours saved per month
• Total savings per year: $968,333

Tape Yield Savings:

• 30% less material per carton
• 100 million feet used per year
• Saving 30 million feet per year
• $.005 cost per foot
• Total savings in tape: $150,000

Safety Savings:

• $30,000 per employee in Repetitive Motion injuries (per OSHA)
• Average employee works 20 years
• $1,500 per year, per employee
• 200 employees
• Total Medical Savings per year: $300,000

Equipment Savings:

• $900 per dispenser
• 200 dispensers
• $180,000 in dispenser costs
• Free dispensers with 2-year agreement
• Total savings on dispensers: $180,000

Total estimated savings for the company: $1,598,333