SMARTBOX[1] is an innovative and reusable transport box to increase efficiency and sustainability in logistic processes.
It was developed by GS1 under the framework of the “smartBOX” project[2] which developed the technical design of the smartBOX as reusable container, designed a standardized pooling system including tracking and tracing technology and a business model for intelligent order control and cost splitting, designed of vandalism-proof pick up and drop off terminals to be implemented at public hot spots as well as housing complexes, developed a comprehensive, intermodal transport concept to enable autonomous and bundled transports.
Indeed, Shared Load Carriers is one of the main elements towards Physical Internet[3]. The Modulushca[4] project developed initial principles. The goal of Modulushca’s Implementation Pilots was to demonstrate the concept of Interconnected Logistics, to test the prototype iso Modular Logistic units, and to show how transportation of Fast-Moving Consumer Goods (FMCG) would be with modular boxes.
From those roots, the Consumers Goods Forum and GS1 have assessed the concept and made steps towards implementation. The project is becoming a reality and will be launch soon in real operations.
In the design of the SMARTBOX different sizes were used (based on 600x400 and 300x400 mm) considering the process requirements, fitting to the conveyor system, shutter for easier picking process and using nap field for easier removal of labels. GS1 identification standards and security requirements were fulfilled. The boxes count on serialized GRAI for asset type and version and left-/right-identification (shutter).
The GS1 Smart-Box has cleared an important hurdle with the test run between industry and retail and is now under series production. The first of the 100,000 blue series containers were delivered at the end of April 2021. With a size of 600x400x211 mm, they form the basis for the later container family. These dimensions have been chosen to exploit the EUL loading heights of 1.20 m and 2.40 m, thus enabling optimum transport and storage utilization for fewer transports and, not least, lower CO2 emissions.
In the test run, the gray-colored prototype, the so-called 0-series, was tested for performance in automated processes as well as smooth identification via applied GS1 barcodes, among other things. Industry and retail sent a total of 500 containers through their production and packaging processes. For example, they scrutinized the process in the distribution center.
Product manufacturers and retailers both participated in the test. On the industry side, Beiersdorf, Cosnova, Henkel, Kao, L’Oréal, and Procter & Gamble took part. From the retail side, dm-drogerie markt, Edeka, Müller and Rossmann participated.
The GS1 SMARTBOX shows important advantage covering the entire logistics cycle from the supplier’s production plant to retail stores such as increased efficiency and more optimal environmental compatibility including reduced material usage which results in:
- Lower cost (avoid extra handling)
- Lower complexity (only one load carrier in the entire process)
- More flexibility in peaks periods for storage
- Less waste (cardboard)
- Open pool based on GS1 standards
The business case of SMARTBOX is based in three main pillars:
1. Optimizing loading capacity
- change from stacked consignments with American boxes to EUL 1/2 consignments with the GS1 SMART-Box
- Reducing pallet space (transport)
- Reducing cost for pallet cycle
- Reducing administration expenses
2. Optimizing of processes
- change from opening the cardboard box, repacking the goods and dispose of packaging material to an optimized flow
- optimized picking process both at the manufacturer (mixed pallets) and the retailer
- saving in material costs
3. Optimal transport and storage utilization
The additional potential of SMARTBOX includes:
- savings on foils and labels
- using serialized GRAI for identification instead of a separate article label (GTIN) → SSCC only on pallet
- the serialized GRAI is fixed to the box across all processes
- the removal of the label is not necessary after each circulation and thus reduces the pooling costs
The path ahead looks as follows:
SMARTBOX needs to define and install an industry standard for boxes and load carriers that can be shared and interoperable across supply chains to reduce waste and enable further sustainability increasing assets utilization.
GS1 is playing a leading role to facilitate and enable this transformation with the GS1 SMART-Box project to be in operations soon in the German Market involving leading retailers and brands.
After Germany, other markets will adopt the standard creating additional scale and enabling other category products to be incorporated to the pool.