Co-packing can deliver significant cost savings that can be leveraged through the application of business process improvement techniques to make internal processes more efficient.
The cost is clearly quantifiable and predictable whereas the internal costs of processing are often unknown and rarely monitored.
The capital investment required to process in-house is typically greater than required for co-packing. The capital freed up by co-packing can be invested more profitably elsewhere in the business.
Businesses which harness both internal and external resources are often better equipped to react to changing circumstances or to explore new market opportunities. Concentrating on core activities, they are usually more flexible and responsive, giving them a competitive edge.
Latest Technology and Expertise
Co-packing can also give organizations access to the best solutions and latest technology without the need for equipment upgrades or direct investment. More importantly, they gain access to processing specialists dedicated to ensuring they meet their statutory obligations