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Packaging World Magazine, November 2006,
p.11
Written by Jim Butschli
Wal-Mart Stores, Inc. caused quite a stir when it put the heat on its suppliers to incorporate RFID to
create supply-chain pedigrees. In late September, the Bentonville, AR-based retailer announced plans to
measure its 60,000 global suppliers to develop packaging
and conserve natural resources. Scheduled to begin in
2008, the initiative is projected to reduce overall
packaging by 5% and save the company $3.4 billion.
Packaging is where consumers and
suppliers come together and can have a real impact both
on business efficiency and environmental stewardship,”
says H. Lee Scott, Wal-Mart's CEO. “Even small changes
to packaging have a significant ripple effect. Improved
packaging means less waste, fewer materials used, and
savings on transportation, manufacturing, shipping, and
storage.”
By November 1, Wal-Mart expected
to introduce a packaging scorecard to more than 2,000
private-label suppliers. The scorecard will be used as a
tool in making purchasing decisions based on packaging
alternatives or sustainable packaging materials.
On February 1, 2007, tools and
processes will be made available to all of the company's
global suppliers. For 12 months, these suppliers will
learn and share results. By 2008, Wal-Mart will measure
and recognize its entire worldwide supply base for using
less packaging, more effective packaging materials, and
sourcing the materials more efficiently, all through a
packaging scorecard.
A company press release says, “Wal-Mart's packaging vision began to form when the
company partnered with suppliers to improve packaging on
its private-label Kid Connection toy line last year. By
reducing the packaging on fewer than 300 toys, Wal-Mart
saved 3,425 tons of corrugated materials, 1,358 barrels
of oil, 5,190 trees, 727 shipping containers, and $3.5
million in transportation costs.
“Wal-Mart Sustainable Packaging Value Network, a group
of 200 leaders in the global packaging industry, is
leading the project. This group includes representatives
from government, non-governmental agencies, academia,
and industry,” says the company.
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