Productive packaging has a great impact on the cost and productivity of a logistical system.

Some firms manage packing with a systematic approach. Packaging affects the cost of every logistics activity. Transport and storage costs are directly related to the size and density of packages.

Packing: It is a process of covering, wrapping or crating of goods before they are transported or stored. Package: It is the actual container or wrapper in which the product is enclosed or sealed. Packaging: It is the general group of activities which concentrate in formulating the design of a package and producing an appropriate and attractive container or wrapper for the product which will protect the attributes of the product till it is used by the user.

Packaging is an art of designing and producing the package for a product with the objective to create demand, provide protection and convenience during handling.

Reducing the weight and space requirements for material handling and transit. Ensuring product quality. Selling the product.

Product must be contained before they can transported. It provides space in which a product is contained. From LSC point of view it is minimization of weight and space requirement on the packaging. From this overall logistics costs can be curtained by means of minimization of transportation and storage costs.

It protects the product from spoil, discolor, loss of fragrance, damage, break, contamination and physical form of the product. The amount of protection that a package must provide depends on the characteristics of the product and condition in the logistical system. Logistics hazards deal with type of transportation, storage and handling used.

The utility function of a package relates to how packaging affects the productivity and efficiency of the total logistics system. All logistical operations like truck loading, storage in warehouses and warehouses order and picking productivity are affected by package utility. Package size can be reduced by concentrating products.

It serve as the function of identification by consumer and even by the labourers of warehouses for storing, picking and transportation. Packaging symbols and other data inform buyers about contents, Attribute, weight, storage sizes, perishability and handling instruction to the product. Packing is also becoming an important consideration in the light of growing environmental responsibility.

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Wood pallets, crates, blocking and bracing Solid fibre board slip sheets and boxes. Multi- wall paper bags and drums. Steel cans, steel racks and cages. Fabric bags and blankets. Low density plastic film shrink-wrap. High density plastic boxes

To attain both marketing and logistics objective, an appropriate packaging policy is very important. These are some of the packaging factor which are consider by the management.

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Packaging Changes Family Packaging Multiple Packaging Reuse Packaging Ecological Packaging

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Consumer Consideration Economic Consideration Customer/Reseller Consideration Company Consideration Logistical Consideration