The lead time of a production organisation increases exponentially as capacity utilisation increases. 90% utilisation leads to a doubling of the lead time compared to 80% utilisation. The costs involved in rush orders, interrupting and restarting work, overtime, extra required space, complaints, rescheduling, work in hand, operating costs, etc. are considerable, and are often hidden. This puts pressure on delivery time and reliability, as well as on quality.

Outsourcing of production provides insight into the process and cost reduction in the own organisation. Customer satisfaction will increase instead of decrease. This also applies to competitiveness and the final result.

The optimum machine and production capacity is highly variable. Market conditions and customer preferences are constantly changing.

Investments require financial resources, funded either with equity capital or borrowed capital. These funds are then no longer available for innovation or other activities to boost the company's turnover.

Machine capacity also leads to higher fixed costs. For many companies, these fixed costs make the difference in the long term.

Machines require repairs and maintenance, often to be carried out by third parties. This is not only expensive; it also makes production (and therefore delivery reliability) dependant on the (ad hoc) availability of these third parties.

Your organisation also requires maintenance. Recruitment and selection, training and outflow of staff are costly aspects of running a business. Working overtime and using temporary staff are often necessary to adapt the production capacity to market fluctuations. The costs are considerable and often hidden, especially when the indirect consequences (quality, absenteeism, etc.) are taken into account.

Customers are becoming more demanding. The variety of packages increases, while batch volumes decrease and the requested delivery time is getting shorter and shorter.

The packaging industry is often order-driven, and holding stock is rarely possible.

Outsourcing production leads to a significant reduction in lead time. This enables a rapid response to market developments, such as a sudden increase in demand.

Direct access to versatile machinery offers many possibilities to respond to market opportunities by offering innovative solutions. Especially when using the existing skills and experience available at Snel.

The technical possibilities of cardboard packaging are endless. Production often requires special parts, peripherals, or a new machine. Long-term commitments are rare in the packaging market. As a result of this, the capacity for recovering investments is uncertain.

In addition, machine performance depends heavily on the operators. Their skills and commitment have a direct impact on performance and therefore on competitiveness. Continuity is also a prerequisite for achieving and maintaining the skills level in the organisation.