To Do More with Less, Develop a Portfolio Management Process
Published: August 4th, 2011
Cost-cutting is a frequent task of today's packaging engineer. Pharmaceutical and medical device manufacturers are looking to reduce costs wherever they can, so engineers must balance new packaging development with savings-minded product life cycle management.
But how can packaging engineers possibly juggle this increasing workload? Companies must develop a portfolio management process for prioritizing all projects, advises Stephen Birtsas, a manager with global innovation management consultancy Kalypso.
A graduate of Michigan State University's School of Packaging, Birtsas has handled new product design and package development while working for leading global medical device manufacturers. He has experience in sourcing, supplier capability analysis, cost reduction process, and product rationalization.
"As a packaging engineer, I found that our in-house resources were strained while trying to design packaging and manage costs," says Birtsas. "Now as a consultant, I frequently hear other companies, too, say that certain projects just aren't successful because project teams are spread too thin."
In this economy, manufacturers are working to improve their margins in their existing portfolio more than ever before, says Birtsas. Three common initiatives companies undertake focus on packaging design and material reduction, sourcing and supply chain efficiency, and packaging process and labor optimization.
For these projects to be successful, companies need to prioritize, advises Birtsas. "If companies have identified 20 projects, but really only have the resources to handle ten, they need to focus on the ten that deliver the most value, align to their business strategy and can realistically be resourced. Otherwise, all projects are at risk of failing."
Project Portfolio Management is the answer, says Birtsas. "Prioritize projects by first developing a methodology to identify and evaluate all projects. This includes financial valuation criteria such as Net Present Value (NPV) or Expected Commercial Value (ECV) and project evaluation criteria such as strategic fit, resource burn, or project risk," he says.
"Once you prioritize and determine the right projects to work on, you need to look at your resources," he says. "The number-one challenge is the pull on resources. Are hidden resources allocated to certain projects? And what percentage is dedicated to cost reduction projects? Companies may need to invest in order to improve margins. Technology can help, but you have to invest."
Look for tools that can automate processes and enable repeatability, Birtsas says. "Package and labeling software solutions can improve the package development process with data centric specification, electronic labeling reviews, automated workflows, and enhanced label translations."
Also, consider how ideas are generated. "Ideas need to be managed, too. Companies need to look at where certain projects are in terms of maturity. Start small and look for quick wins."
Finally, form cross-functional implementation teams. "If organizations work in silos, project management will be difficult to accomplish," says Birtsas. "It often requires a cultural shift, but it is essential to get all functions within the organization to buy into the corporate strategy.
"Breaking down the walls helped one of my customers," Birtsas recounts. "The company couldn't get products to market on time and blamed packaging for being late. We helped the organization break down functional silos so packaging engineers were involved early in the development phase. They developed a workflow tool, and packaging is no longer an afterthought."
Suppliers, too, should be on implementation teams. "They have a wealth of information and skills. Partner with them," he emphasizes. At the same time, "go through your supplier contracts. Negotiate collaboration and encourage innovation to save money."
Most importantly, packaging engineers should not be afraid to speak up, says Birtsas. "The entire organization needs to come together and prioritize projects."
»
- Login or register to post comments
-
- Email this page
Printer-friendly version
I have a blog centered on the
I have a blog centered on the same subjects you discuss and would love to have you share some stories/information. 24 h pflege
x men spiele spielautomaten
x men spiele
spielautomaten online spielen kostenlos
Serving cookies and hot cider and collecting food donations for South County Outreach.
I would certainly commit 10
I would certainly commit 10 on 10 for such incredible cognition.
letmewatchthis
Now you make it easy for me
Now you make it easy for me to understand and implement the concept. Thank you for the postbackyardsgalore.com
Your blogs and every other
Your blogs and every other content is so entertaining and useful It makes me come back again.
Boca Raton Accountant
A design of a packing into a
A design of a packing into a process that should be passed well. There are a lot of people skip this process and getting into trouble.
staggered wheels
It's good we all can find
It's good we all can find many types of management can set the time for the production of our factory. This could be the thing that makes many people more alert again. boys dress suits
Moonwalk rental in Round Lake IL
I am really impressed by this excellent stuff. I always prefer to read the quality content and this thing I found in you post. Thanks for sharingMoonwalk rental in Round Lake IL
Great blog you people have
Great blog you people have maintained there, I totally appreciate the work.
San Diego Cosmetic Surgeon
I would surely give 10 on 10
I would surely give 10 on 10 for such incredible content.
reverse phone detective
I seem to be forward to more
I seem to be forward to more reliable articles and I think we all wish to thank so many good articlesbuy youtube views
That's a great position you
That's a great position you folks have been carrying out there.
slat panels
vrshjy
Chino Garage Door Repair|
This article is really useful and have been looking for some information on this topic.
Don't stop the development,
Don't stop the development, so you can find out any new things. And that can be the first time for all.
Austin Car Accident Lawyer
Honestly, what makes it so
Honestly, what makes it so engaging is the unique ideas and writing style of the author. Thank you for this useful commentary.green coffee maker
I like your post and
I like your post and everything you share with us is current and very informative,Wow, that was pretty interesting. Inspiring, as well. Thanks for sharing such inspiring experience with us. watch the video
You can Play book of ra
You can Play book of ra download or for pure cash in addition without enrollment and no download! Manuel
The portfolio is to be a part
The portfolio is to be a part of one's life he has made throughout his life. You really should find a way to be able to develop this in more detail. Alaska Salmon Fishing
I have a strong belief that
I have a strong belief that most B-Movies are way better than their feature. cabinets los angeles
I totally agree with the
I totally agree with the point of view, the content of the upper and considered a variety of emotions after that..Medical Supply
Koks variklio veikimo
Koks variklio veikimo principas ir skleidžiamas garsas aš nežinau, bet gamintojas tvirtina..pokiesbonuses4u.com
There are times when we must
There are times when we must build on what we already have today with the good and the right one is to portofolio many people considered valuable.
glock.com
I have joined your feed and
I have joined your feed and look ahead to looking for extra of your great post. zappos
Nowadays there are many
Nowadays there are many people who already know the existence of his portfolio. It can indeed be one container to save a lot of work that he had and developed later.
Masonic Rings
Boca Raton Accountant
That's a great position you folks have been carrying out there.
Boca Raton Accountant
There are many people who are
There are many people who are very happy with the development of a portfolio that he has. It has become one of the things that are not necessarily owned by the process and can be skipped by many people. Human Centipede
I have just told a few of my
I have just told a few of my friends about this on FaceBook and they love your content just as much as I do.movie2k
Having a portfolio and
Having a portfolio and developed it into a major project that is a good thing. You can continue to develop a lot of work that already exists.
Adobe Acrobat Pro
Accountant Central Coast
I am for sure returning again for more contents of yours.
Accountant Central Coast
There is a portfolio that can
There is a portfolio that can provide you with comprehensive data about a process that is considered very important. This indeed should not be avoided calculate discount rate
It's good everyone is getting
It's good everyone is getting many types of information from a process that is needed by many people. You really can find a complete portfolio. Zen, Taoism and Buddhism
Iron Fence Panels
The bottom line is "survival of the fittest" or "kill or be killed."
Iron Fence Panels
nail fungus
So engineers must balance new packaging development with savings-minded product life cycle management.nail fungus
how can you get rid of blackheads
Are hidden resources allocated to certain projects? And what percentage is dedicated to cost reduction projects?how can you get rid of blackheads
sinusitis treatment
I agree with many the points made in this content and how well-researched this appears to be. sinusitis treatment
nice blog
I appreciate your work. This information is really cool and lot informative. Keep this work up and make us knowledgeable. African safari
free credit reports from all 3 bureaus
I'm gladsome to mature so more serviceable and informative assemblage on your website.
free credit reports from all 3 bureaus
bank holidays 2013 uk
I conceive feeling to have the accumulation that you are card.
bank holidays 2013 uk
Etro
I continuously keep on coming to your site again just in case you have posted new contents.
Etro
fotobello.de
I would be appreciating all of your articles and blogs because they are fitting up mark.
fotobello.de
how can i get rid of blackheads
Your contents give me more creational ideas that I can possibly use on my web page too.
how can i get rid of blackheads
dr. oz
Birtsas has handled new product design and package development while working for leading global medical device manufacturers. dr. oz
the tao of badass review
Thanks for posting this info.Excellent post and wonderful blog.the tao of badass review
Heya i’m for the first time
Heya i’m for the first time here. I came across this board and I in finding It truly useful & it helped me out much. I am hoping to present one thing back and help others like you helped me.
cell phone spying
beans of green coffee
I am finding everywhere.Me and my friend were arguing about an issue similar to this! beans of green coffee
the tao of badass review
I guess that they having fun to read this post,they shall take a good site to make a information,thanks for sharing it to me.the tao of badass review
Flagi Reklamowe
We have to protect them by developing new technologies and strategies. Flagi Reklamowe
google tablet pc
Thank you for the sensible critique. Me & my neighbour were preparing to do some research about that. We received a beneficial book on that matter from our local library and most books exactly where not as influensive as your details. I am incredibly glad to see these data which I was searching for a long time.
google tablet pc
What kind of people take the
What kind of people take the most interest in mp3 sunglassess? People who enjoy listening to music, even when they are moving.
china gadget
100% Brand new Original USB Cable iPhone 5 Lightning to USB sync data charging cable for your New iPhone 5 directly or through a dock to your computer's USB port for efficient syncing and charging. Or connect it to the Apple USB power adapter (not included) for convenient charging from a wall outlet.curren watches