Number 20: Autumn 2002

 

 

Collaborate to innovate!

By Michael Banister, Technical Packaging Manager 

Editor's comment: Innovation is becoming an increasingly important topic as the world economy moves faster and becomes more competitive. This article argues that innovation can be more effective if it is developed throughout the value chain. This provides access to different competencies and ideas. In addition, working with suppliers and customers is more likely to lead to innovative solutions that will work at all levels. 

The need for product differentiation and competitive edge means that brands are constantly looking for enhanced product innovation, reduced time to market and minimised production costs. Achieving these not only requires investment in design and technology, but calls for collaborative design and engineering throughout the entire supply chain - with suppliers viewing themselves as contributors to the quality and success of the end product. 

It was simple in the old days. Packaging machinery manufacturers and material suppliers sold machines, paper, card and plastic to packaging manufacturers. The latter then produced packaging to varying designs before selling it to product manufacturers, who in turn sold their filled product to the end customer. Each played their own neat role. Today's model however sees the distinctions between the different supply chain components becoming blurred. 

Truly innovative brand owners no longer see their supply partners as a vertical downward chain. They are open to all ideas that bring value to their products and enhance market position. These ideas are generated through collaboration that brings benefits to all. Product innovation is driven from throughout the chain - including raw material supplier, converter, equipment manufacturer, design agency, environmentalist, printer, end user and distributor... etc. These alliances not only ensure innovative, quick-to-market, lower cost, smooth specific product development, but also aid more wide-ranging product and technology development. 

For designers, collaboration means continuing to work closely with brands to understand the core design requirements such as brand essence, market drivers and consumer profiles. However, it also means stretching beyond the traditional boundaries. A trusting relationship needs to be established where an appreciation and thorough understanding of other businesses, which fuel brands, are built. 

The advantages of relationships with brand owners on the one hand, and innovative partners on the other are clear; real innovation is no longer left to individual companies and disciplines, but encompasses a wide range of supply chain inputs, disciplines and areas of expertise. It is unlikely that one supply chain component automatically has expertise in all areas relevant to a brand. Therefore, isolated innovation will invariably be less valuable than combined developments. 

Access to information throughout the chain empowers partners by providing the tools they need to deliver design that satisfies all key success criteria. For example, the establishment of long-term relationships provides a comprehensive understanding of process and operational constraints/opportunities and, importantly, the implications of change. 

A fresh pair of eyes can challenge the perceived limitations of a particular process and help initiate real innovation. Often this can lead to design that delivers benefits above and beyond the original brief. 

Proactively leading these collaborative supply chain relationships can ensure that we remain at the cutting edge of technology, innovation and design to deliver an increasingly better service to clients.

This article was previously published in PSD:Fitch Antennae and is reproduced with permission. 

Disclaimer

Contact Webmaster

Pool Version 2.0 

© Michael Banister / Through the Loop Consulting Ltd 1998-2002