Strategic Label Solutions Yield Significant Cost Savings | Manufacturing
2/17/2025
RRD’s innovative label management and production overhaul delivers efficiency, 20% cost savings for leading food distributor
CHALLENGE
A major food distributor faced challenges with their direct thermal freezer product labels, including excessive costs due to poorly managed inventory and a lack of checks and balances in their ordering process. The company’s existing program had substantial obsolete inventory, with no minimum or maximum run guidelines or inventory threshold monitoring. They sought a more reliable and cost-effective label management solution than their incumbent vendor could provide.
SOLUTION
Leveraging a large network of production facilities and a wide range of equipment, RRD’s Labels team was brought in to transform the client's label management and production workflow. The company’s labels program was too complex for the single-point-of-contact implementation provided by the incumbent vendor. To mitigate this, RRD’s strategy and consulting experts put together a multi-faceted, dedicated account team and strategic solution.
RRD became the company's end-to-end labels supplier, providing a reliable and cost-effective source for labels and streamlined inventory management. RRD’s team recommended and deployed a specially formulated material made for the extreme conditions found in freezer environments. This material was developed and tested in RRD’s fully equipped labels performance center lab by a team of application experts. The resulting solution not only met the client's needs but also delivered significant cost savings.
RESULTS
RRD’s approach and tailored solutions provided the following results:
- A 20% reduction in costs across the top three label SKUs when compared to pricing from the previous vendor, translating directly to significant annual savings for the client
- Implementation of a well-managed inventory system that reduced waste and obsolete stock, further enhancing cost efficiency
- Increased workflow efficiency