Case Study: Star Thermoplastics’ solution for a Midwestern U.S. molder of food container lids yields Performance, Cost and Logistics advantages for a large multinational Housewares company
Star Thermoplastics worked closely and diligently with the customer through each step of the material sampling process, and made the necessary adjustments (quickly) until Star Thermoplastics’ material met, and eventually, exceeded the customer requirements. Star Thermoplastics also worked with a color house to provide the proper color matching for our unique materials. Once the Molder was satisfied with the cost performance, the Food container lids were sent to the Parent Company where approval was granted after their testing and approval.
The advantages of re-shoring (local, USA produced material) allowed better control of the supply chain and reduction of lead times. The benefits included: less inventory of finished goods and significantly reduced shipping and transportation costs. Star Thermoplastics was also successful in greatly reducing lead times for the molder. In fact, lead times were reduced from 7-12 weeks to 2 weeks by agreeing to warehouse materials for immediate release by request of the molder. These advantages resulted in cost performance advantages for both the Parent and Molding company in the range of 8-10%.