Shopping Bags Optimization

Removal of side gusset from all bags except 1 business; Bottom gusset instead of side gusset if needed

Lever

Design optimization

a

Key Strategies

  • Removal of side gusset from all bags except 1 business; Bottom gusset instead of side gusset if needed
  • Changing the orientation of the bag: from taller bags to wider bags
  • Changing the location of the cut handle and reinforcing the top fold

Process

  • Alignment with various business units on moving from side gusset to bottom gusset
  • Distributed weight; Ease of insertion; RM reduction by ~10-20%
  • Most failures at top handle, a top-fold reinforced design, increase in usable area

Saving%

~20%

Intelligent Costing / Should Cost Model

  • Should cost calculator linked to input material index
  • Monthly review of the costing

~20%

Material Reengineering

  • Switch mix of bags from LDPE to HDPE
  • Introduce newer range of Poly Ethylene molecules
  • Higher tensile strength of HDPE allows lower thickness for a given carry capacity by ~ 20%
  • ~44% of revenue comes during SALE = 25 Mio of bags
  • 20% savings = ~ 5 Mio savings

TBD

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