Do you remember the game Tetris? In Tetris, players complete lines by moving differently shaped pieces (Tetrominoes), which descend onto a virtual playing field. The completed lines disappear and grant the player points, and the player can proceed to fill the vacated spaces.
If you operate an eCommerce business, Tetris may sound a lot like cartonization. It’s basically a puzzle of how to efficiently package everything as tightly (and safely) as possible to reduce empty space in packages. It’s a critical part of the eCommerce order fulfillment process.
When done correctly, cartonization accounts for item dimensions, box dimensions, and item/business rules to determine the correct box configuration for optimal shipping. The key word is optimal—without cartonization, your business is losing money that you could be saving.
So what are the different types of cartonization? How do you optimize cost? And how can a 3PL help you automate cartonization in your fulfillment process? Let’s first take a closer look at how it works.
What Is Cartonization?
Cartonization is an automated process that calculates the best packaging/box configuration for an item or group of items scheduled for shipment using a warehouse management system (WMS).
Cartonization includes the ideal size of the “carton,” or box, for a product and the number and type of products that should go into the carton.
It isn’t eyeballing, MacGyvering, and guesswork. It relies on advanced algorithms to create packaging efficiency solutions.
How Does Cartonization Work?
Typically, cartonization relies on packers analyzing 3 main variables/factors to optimally pack each carton. They are:
1) The Material And Shape Of Each Product
You wouldn’t pack refrigerated goods with non-refrigerated goods, for example. Nor would you pack 80-pound dumbbells with porcelain china sets. The shapes and materials of your products matter—this is what dictates what gets packed together.
2) The Product’s Size
It’s no secret that large items are more difficult and more expensive to ship. When shipping large items, check if the product can be broken down into smaller pieces.
Shipping carriers usually charge less for smaller packages, so it may be worthwhile to ship the disassembled product in multiple boxes rather than one big box.
3) The Product Itself
Not all products go together. Rat poison and food/beverage products shouldn’t be in the same carton, for instance. And some products are more fragile or breakable than others, requiring additional packing materials like Kraft paper Void Fill or 100% recycled and reusable Cellulose Wadding.
Types Of Cartonization
Cartonization traditionally falls into 1 of 4 categories: single item, mixed item, pick-slip grouping, or customer algorithm. We’ll cover each of those categories in more detail below.
Single Item
- All items are matched to the same type of container.
- Single item cartonization is optimal for businesses selling goods that all have a uniform shape or specific shipment requirements.
Mixed Item
- Mixed item cartonization is optimal for businesses that sell a wide variety of products.
- In mixed item cartonization, box dimensions are checked against the item category for each product being shipped to calculate the most efficient way to package multiple items together using the fewest number of boxes possible.
Pick-Slip Grouping
- Fulfillment workers use picking slips or handheld digital devices to know which items to pick.
- Cartonization assigns one carton for each picking slip. Then, a license plate number (LPN) is generated for all items in a slip so pickers can retrieve and pack items in the correct containers.
Customer Algorithm
- Some warehouse management systems (WMS) allow companies to develop their own cartonization rules and algorithms to meet their specific needs.
Cartonization FAQs
What Are The Benefits Of Cartonization?
- Reduced packaging costs. Cartonization reduces costs by packaging products as efficiently as possible. Your overhead costs immediately go down.
- Reduced shipping costs. These days, carriers calculate shipping costs based on dimensional weight. Cartonization optimizes all shipments to have the smallest dimensional weight possible while still being safe to ship, so you save money on every shipment.
- Reduced risk of product damage. Good cartonization means optimal spacing and product placement, and properly packaged goods are less likely to be damaged in transit.
- Reduced waste. If your business is environmentally conscious, you’ll appreciate cartonization because optimizing space reduces waste.
What Is Warehouse Management System (WMS) Cartonization?
A warehouse management system (WMS) is a software system that monitors warehouse operations. Primarily, it oversees products entering and leaving the warehouse.
Distribution, order picking and packing, fulfillment, shipping, and inventory management are all automated and facilitated by a WMS.
Cartonization is a feature of modern WMS, and it also helps meet customer demand for secure, same-day or next-day deliveries which are growing in popularity. WMS cartonization uses algorithms to determine the optimal number and size of shipping containers needed to ship an order.
What Is Dimensional Weight?
Dimensional weight is a simple math formula that carriers use to determine shipping costs. It’s determined by package size rather than actual weight.
Essentially, the volume of the package is used to determine the “weight” of a package. The formula differs for domestic vs. international shipments.
- Domestic shipment dimensional weight (lbs) = (L x W x H) / 166
- International shipment dimensional weight (lbs) = (L x W x H) / 139
Working with a 3PL partner could provide additional perks like waiving dim divisor for certain package types and increasing the divisor for certain package sizes.
What Is Wave Management/Wave Picking?
Wave management, also known as wave planning, wave picking, or cluster picking, is exactly what the name implies. Grouping and picking are carried out in waves, or set time intervals, to better correspond to other warehouse processes, like shipping.
Cartonization and wave picking usually go hand in hand. By doing both, fulfillment centers can handle larger quantities and wider varieties of inventory more efficiently.
How A 3PL Can Help You Automate Cartonization
60% of online retailers outsource a portion of their fulfillment services, and that number is expected to grow. If you are looking to scale your business and are struggling to keep up with order fulfillment, partnering with a 3PL to automate cartonization is a smart move.
Jay Group is here to help. Our warehouse management system (WMS) uses the #1 ranked AI and machine-learning WMS technology available, so you receive optimal and efficient subscription box fulfillment, bundling, and kitting services on all orders.
And with Jay Group’s specialty contract packaging services and retail-ready packaging (RRP), we automate cartonization at rates of up to 2,100 cartons/hour, saving your business time and money while ensuring the highest level of quality control.
Looking to automate cartonization with a 3PL partner? Reach out to our team to learn more about why a 3PL fulfillment partner could be right for you.
