STANDARD OPERATING PROCEDURES MANUAL Material Planning & Logistics Futuris Automotive Interiors
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1 STANDARD OPERATING PROCEDURES MANUAL Material Planning & Logistics Futuris Automotive Interiors [ Packaging Specifications for International Suppliers ] Version 1.0 [1]
2 Copyright Futuris Automotive Interiors (Australia) Pty Ltd All Rights Reserved This document must not be reproduced, transmitted, adapted, distributed, sold, modified or published in any way, or any of the material used except with the prior written consent of Futuris Automotive Interiors [2]
3 Foreword The Packaging Specifications for International Suppliers (PSIS) was prepared by Futuris Automotive Pty Ltd The PSIS is a manual that provides standards for packaging and shipping products into Futuris facilities Deviations from the PSIS must be approved by Futuris in writing before delivery [3]
4 Table of contents Introduction Purpose References General Requirements System performance requirements Supplier responsibilities Futuris receiving location responsibilities Packaging approval process Expendable Packaging Systems Requirements for expendable carton Standard for corrugated containers Intercontinental standard pallet ISO pallet and unit load Closure and securement Labelling requirements Acceptable and unacceptable shipping practices Packaging best practices [4]
5 Introduction Purpose It is the objective of Futuris Automotive Pty Ltd to standardize packaging to achieve: Protection to the parts in transport, while packing parts in the most cost effective and efficient way for transportation Minimized or eliminated decanting and handling of packs from our suppliers to our production lines for direct use Parts supply systems to meet just-in-time (JIT) principles for manufacturing requirements Where possible, minimize use of disposable packaging by using returnable or reusable packaging [5]
6 Introduction Purpose It is the supplier's responsibilities to: Design their own packs complying with the FSIS guidelines Obtain Futuris packaging approval before delivering any production parts using the packaging data forms Correctly and clearly label all packages in line with FSIS Review packaging and labelling condition before sending parts to Futuris [6]
7 Introduction References Logistics and packaging manual V2 Futuris packaging approval and data form (PAD) [7]
8 General requirements System performance requirements The supplier is responsible for the packaging design, performance and the quality of the part thought the supply chain Packaging materials must protect part quality for a minimum 120 calendar days for intercontinental shipments Parts presented with operator ergonomics and work cell efficiency considered Achieve minimum 85% cube utilization for intercontinental transport sea container All material must be palletized to permit handling with forklift truck Maximum load heights (containers plus pallets) must not exceed 1100 mm for standard sea container and 1250mm for high cube sea container All manually handled cartons are required to be Half-Slotted Containers (HSC) with a removable lid Weight limit for manually handled cartons is 12 kilos All wood packaging material must comply with the International Standards for Phytosanitary Measures (ISPM 15 Web site: All packaging plans shall be communicated using PAD form [8]
9 General requirements Supplier responsibilities The supplier shall maintain responsibility for the design, procurement and implementation of any expendable packaging The supplier must develop the packaging in accordance to PSIS. Failure to comply with PSIS will result in an issuance of a Problem Reporting and Resolution for cost recovery due to part damage or safety concerns Changes to part number, quantities, packaging materials or dimensions require a resubmittal of the PAD form Packaging costs must be included in all part quotations and clearly defined in the piece price Suppliers are required to submit a completed Packaging Approval and Data form (PAD) which must be submitted for approval When a new part number is being quoted or when a packaging update is required, the PAD form shall be attached to part quotation No price increases will be granted for increased cost to correct defective and/or nonconforming packaging and fail to comply with PSIS Suppliers are encouraged to provide continuous improvement opportunities regarding packaging [9]
10 General requirements Futuris receiving location responsibilities The Futuris Supply Chain Engineer is responsible to review the packaging proposal from the submitted PAD form to understand it s compliance to the PSIS Upon review, the Futuris Supply Chain Engineer will coordinate internally the approval/rejection for all submitted PAD forms The Supply Chain Engineer must work with the supplier to optimize the packaging if required Final expendable packaging approval will be made after successful production shipments have been made [10]
11 General requirements Packaging approval process Futuris Packaging Approval and Data (PAD) form represents an agreement between Futuris and the Supplier regarding the packaging plan for products received by Futuris manufacturing facilities Packaging costs must be included in all part quotations and clearly defined in the piece price PAD forms shall be filled out by the supplier for all part numbers PAD forms shall be completed using the specifications for container dimensions (pages 17-20) The completed PAD form shall then be signed by the supplier and then forwarded to Futuris for distribution to the appropriate Supply Chain Engineer to obtain the specified signatures in the plant The following reference pages contain an example of how a typical PAD form should be filled by the supplier [11]
12 General requirements Packaging approval process Supplier basic information Part and program information Packaging information Shipping and logistics Pictures [12]
13 Packaging approval process [13]
14 Expendable packaging systems Requirements for expendable carton All material must be shipped in box sizes shown in the standard for corrugated containers menu (Table 1 & 2) Suppliers should use Half Slotted Containers (HSC) for direct to line side strategy and elimination of Regular Slotted Cartons (RSC) Containers must be palletized to ensure part protection and to permit handling with industrial trucks All manually handled expendable containers shall have a weight limit of 12 kilos Mixed part numbers on the same carton are not permitted Wire bound wood pallet boxes or wood crates are not acceptable To ensure load integrity, containers must not overhang the pallet Flute direction must be vertical to optimize compression strength of the carton Corrugated in shipping containers must have adequate strength to allow the parts to arrive at the using location in the same quality condition in which they were manufactured The Supplier should test and validate the pack design prior to the first shipment to the Futuris receiving location. The Supplier must provide documentation that proves validation tests have been made (reference test protocol: ASTM D4169) [14]
15 Expendable packaging systems Standard for corrugated containers Half Slotted Container (HSC) with Cover Half Slotted Container (HSC) with a Common Lid Hand-holds should not exceed 105 mm length and 40 mm height Hand-holds should be located on the short side of the container [15]
16 Expendable packaging systems Standard for corrugated containers [16]
17 Expendable packaging systems Standard for corrugated containers Bulk Box Bulk containers should be implemented when weight restrictions prevent the use of manually handled cartons [17]
18 Expendable packaging systems Standard for corrugated containers Bulk containers should be implemented when weight restrictions and part characteristics prevent the use of manually handled cartons [18]
19 Expendable packaging systems Standard for corrugated containers Bulk containers should be implemented when weight restrictions and part characteristics prevent the use of manually handled cartons [19]
20 Expendable packaging systems Intercontinental standard pallet The use of the following pallet size is required 1140 x 980 x 127 mm Full four way entry pallet with openings at both ends and sides is required All wood packaging material must comply with the International Standards for Phytosanitary Measures (ISPM 15 Web site: All wood pallets are required to be ISPM 15 certified and stamped in two opposite sides of the pallet Maximum load heights (containers plus pallet) must not exceed 1100 mm for standard, or 1250 mm for high cube sea container All packs must be level layered. No pyramid stacking of cartons is allowed Corrugated pallets, wood pallets, plywood pallets, laminated pallets are alternatives Approved bulk only modular pallets; 1140mm (length) x 1140mm (width) x 130 (height) 1470mm (length) x 1140mm (width) x 130 (height) Oversized pallets for heavy parts must be approved by Futuris in writing before delivery [20]
21 Expendable packaging systems Intercontinental standard pallet [21]
22 Expendable packaging systems ISO pallet and unit load CPL 10CPL 9CPL 6CPL CPL 4CPL 3CPL Maximum load heights (containers plus pallet) must not exceed 1100 mm for standard, or 1250 mm for high cube sea container [22]
23 Expendable packaging systems Closure and securement Plastic strapping Two bands lengthwise and two bands width wise are required Metal banding, clips or buckles are prohibited Stretch wrap Linear low-density polyethylene (LLDPE) and clear in colour are required Polyvinyl chloride (PVC) film is prohibited [23]
24 Expendable packaging systems Labelling requirements The Supplier is responsible to ensure correct labelling is provided for all packaging Suppliers must label and ship in compliance with the requirements of carriers and follow all applicable dangerous goods transportation requirements from organizations like International Maritime Dangerous Goods (IMDG) and International Air Transport Association (IATA), including UN Hazard Communications Standards. All labels must be legible and electric scanner compliant The labels must show the following details Futuris part number Product description Quantity Bar code Date/batch number Vendor name There are 4 types of approved labels Shipping label: a label used to identify the contents of a shipping container Master label: a label used to identify and summarize the contents of a multiple pack Break point labels: a label used to identify parts which have been modified or have materials, process or source of supply changes Mixed load labels are not permitted for trim pallets [24]
25 Expendable packaging systems Labelling requirements Shipping label Inner individual containers should have labels with the following minimum details Futuris part number Product description Quantity Bar code Date/batch number Vendor name [25]
26 Expendable packaging systems Labelling requirements Master label A master label must be used to identify and summarize the contents of a bulk or multiple pack A master label must show the following details for each component; Part number Description Quantity A master label must be used if the box contains two or more different parts numbers [26]
27 Expendable packaging systems Labelling requirements Label placement Shipping label (inner label) must be placed on the smallest and in the right-hand side of the box. Another label must be placed in the same position in the opposite side Bulk packaging labels must be displayed in front of every fork lift access. The label must be placed on the right-hand side of the highest level of the box. A master label must be used if the box contains two or more different parts numbers [27]
28 Acceptable and unacceptable shipping practices Packaging best practices Acceptable Unacceptable External or internal wooden supports are prohibited [28]
29 Expendable packaging systems Packaging best practices HSC Half Slotted Container with Cover RSC Regular Slotted Container Acceptable Unacceptable All box stiles are required to be Half Slotted Containers (HSC) Regular Slotted Containers are prohibited (exception cartons that have perforated top flaps for rip-away removal) [29]
30 Acceptable and unacceptable shipping practices Packaging best practices Acceptable Unacceptable Ensure the pack density is maximized [30]
31 Acceptable and unacceptable shipping practices Packaging best practices Additional packaging to level unit load Acceptable Unacceptable Ensure correct level unit loads for shipment Use additional packaging material to level unit load when required Additional packaging must be used in the top layer only [31]
32 Acceptable and unacceptable shipping practices Packaging best practices 2000mm 1100mm Acceptable Unacceptable The maximum unit load height must not exceed 1100 mm for standard sea container and 1250mm for high cube sea container [32]
33 Acceptable and unacceptable shipping practices Packaging best practices Acceptable Unacceptable Pyramid or incomplete packs are unacceptable [33]
34 Acceptable and unacceptable shipping practices Packaging best practices Acceptable Unacceptable Overhang pallets are unacceptable [34]
35 Acceptable and unacceptable shipping practices Packaging best practices Acceptable Unacceptable Single stack is unacceptable [35]
36 Acceptable and unacceptable shipping practices Packaging best practices Acceptable Unacceptable Non standard load unit pallets are unacceptable [36]
37 Acceptable and unacceptable shipping practices Packaging best practices Acceptable Unacceptable Ensure good cube utilization of sea container [37]
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