cBoxBid.com News

Please Follow Directions!

2011-12-07T06:53:00.001-08:00

Some funny instructions written on packaging:

On a Sears hairdryer:
"Do not use while sleeping."

On a bag of Fritos:
"You could be a winner! No purchase necessary. Details inside."

On a bar of Dial soap:
"Directions: Use like regular soap."

On some Swanson frozen dinners:
"Serving suggestion: Defrost."

On Tesco's Tiramisu dessert (printed on bottom):
"Do not turn upside down."

Marks & Spencer Bread Pudding:
"Product will be hot after heating."

On packaging for a Rowenta iron:
"Do not iron clothes on body."

On Boot's Children Cough Medicine:
"Do not drive a car or operate machinery after taking this medication."

On Nytol Sleep Aid:
"Warning: May cause drowsiness."

On most brands of Christmas lights:
"For indoor or outdoor use only."

On a Japanese food processor:
"Not to be used for the other use."

On Sainsbury's peanuts:
"Warning: contains nuts."

On an American Airlines packet of nuts:
"Instructions: Open packet, eat nuts."

On a child's superman costume:
"Wearing of this garment does not enable you to fly."

And my absolute favourite
On a Swedish chainsaw:
"Do not attempt to stop chain with your hands or genitals."

New Chicago!

2011-11-30T05:50:00.001-08:00

Temple Inland plans a new graphic facility in Chicagoland, Chicago. and should be open in Jan 2012. Good Luck!

cBoxBid.com Managed Services: Save Time and Money by Letting us do the Legwork for you!

2011-09-23T09:03:00.000-07:00

Think of it as consultant level service without the consultant level pricing.

(PRWEB) September 19, 2011

As a cBoxBid.com Managed Services client, you’ll get all the benefits of sourcing your corrugated packaging through cBoxBid.com without having to post RFQs, constantly check your account, or give out your information to member manufacturers.

Here’s how it works:
If you don’t have a cBoxBid.com account, we can create one by giving us your information via phone or email.

Once your account is created, you call or email every time you want to post an RFQ – or multiple RFQ’s. We’ll get your specs and deadline, then post and monitor the RFQ for you.
You set the parameters. Notifications can be set for weekly, monthly, or quarterly reviews. Target pricing can be established, so that your notified when a price has been met. You can also check on your RFQ’s anytime by simply contacting us or logging into your account.
When you want more information from a specific manufacturer or manufacturers, tell us what you want to know and we’ll get the answers for you without disclosing your identity.

It’s that simple!
cBoxBid.com makes no purchasing decisions on your behalf, nor do we serve as an official buyers agent. We simply do all the legwork and present you with the data you need to make a decision – all for a nominal fee much less than other sourcing sites or fee-based corrugated consultants.
###

http://cboxbid.com/ManagedServices.aspx

"how in the hell did you think of this?"

2011-09-20T08:36:00.000-07:00

Many people have asked that question and I really enjoy explaining the journey called cBoxBid!

From a 3AM revelation, to a diagram on a napkin, to white sheets, to a website. Keep moving Forward!

Experience:
Like many corrugated sales reps, I knocked on doors, spied on the loading docks, and followed delivery trucks! Each 'no' got me closer to 'yes'. Some days it felt like two steps forward, one step back! Then it hit me at 3AM one night. North America has at least five thousand corrugated manufacturing facilities ready to fold, cut, glue, print and deliver. Why not put what corrugated buyers requests online and in a format where manufacturers can submit a price?

Website Development:
My experience with selling corrugated to buyers AND selling those requests to the manufacturing team are evident when you sign on to cBoxBid. I realize buyers are a tough group and wear many different hats. So we gave the website a level of autonomy that buyers really like:

Buyers contact information and requests get turned into a RFQ number. The manufacturer just sees the details to offer a price. The platform gives the buyer the ability stay behind a closed door but still get competitive pricing.

Manufacturers can view buyers RFQ's and submit a price or not based on quantity, type, or colors.

The great thing about cBoxBid is we want and encourage buyers and manufacturers to discuss the order before a purchase order is placed. Small details like production dates, double stacking, strapping, even warehousing have to be discussed because this may affect final pricing. And we do this buying giving the buyer the ability to contact the manufacturer.

Thanks for looking!

If you have an idea and think I could be a resource, just contact me. Happy to help.

Marc

Think recycling doesn't pay?

2011-09-15T12:03:00.001-07:00

How to increase corrugated recycling revenueStep 1: Determine how much waste corrugated (OCC) you generate.Collect at least a week's worth of OCC in one location. Use a tape measure or a ruler to measure the volume of corrugated that is (pick one or more): Manually flattened and stacked. Compacted by machine and stacked. Baled by machine. Determine if the week's sample is representative. If not, sample over a longer time period. The volume of OCC collected in an average week multiplied by 52 weeks will show the volume you generate in a year.Make a list of contaminants in the corrugated, such as tape, foam padding, and plastic- or wax-coated corrugated. The more contamination, the lower the value of the OCC. You may also work with your suppliers to find alternative packaging methods or materials that eliminate these contaminants.Once you have estimated the volume of the waste OCC, you can calculate its weight with the following conversion figures.One cubic yard of OCC: Flattened and loose weighs about 300 lbs. Compacted weighs about 500 lbs. Baled weighs about 1,100 lbs. One cubic yard = 27 cubic feet = 46,656 cubic inchesNow you know the approximate volume, weight and amount of contamination of the corrugated you have to sell. You also can see the reduced volume of waste still needing disposal in dumpsters.Step 2: Determine who should pick up the OCC. When you contact a hauler or recycler, ask: What is the price for recycling (your collected volume of corrugated)? What is the disposal cost (for your remaining volume of waste)? What can you do to increase the value of your waste corrugated? How often will the hauler pick up? Does the hauler provide any training materials or containers for recycling? If you generate large amounts of corrugated, some "end-use" manufacturers may provide large containers or trailers to store your baled material on site. If you generate small amounts, consider self-hauling to a drop-off center or cooperating with other nearby businesses to arrange joint collection.Step 3: Identify equipment needs.Is a baler in your future?Is it more cost-effective for you to supply your hauler with loose, compacted or baled corrugated? Loose or compacted OCC does not maximize value of the material like baled OCC does, but a even a basic baler will cost upwards of $5,000. Depending upon market conditions, you can expect about $20-40 more per ton for baled as opposed to compacted OCC. Does it pay to bale? The higher your volume, the faster the payback.There are two basic types of baling machines for OCC. Vertical (or downstroke) balers, which range from $5,000-40,000, are generally used by small- and medium-sized generators (minimum of 20 tons/year). Horizontal balers – which start around $20,000, but can range up to $700,000 for the largest syst–are often used by larger generators of OCC (125-300 tons/year). These balers are faster, have greater capacity, and make larger bales than vertical balers. The periodical Recycling Today did a special Baler Guide as a supplement to their February 1997 issue. This supplement goes into great depth about baler technology, includes a glossary and a vendor list, and is intended to help a company make an informed purchase decision. For a free reprint, call the OEA at 651-296-3417 or 800-657-3843 toll free.If the cost of new equipment is prohibitive, look for used or remanufactured equipment. Lease options for equipment are sometimes available from a hauler or processor. Organizations can explore having the equipment donated.Step 4: Implement recycling.To establish an effective recycling program, or to optimize your existing recycling efforts, consider the following measures. Designate specific locations for collection and storage. Clearly label locations and containers, listing both acceptable and non-acceptable materials. Pictures and samples of materials are effective teaching tools. Inform and train current employees, and include education about recycling and source reduction in the training of new employees. Keep material clean. Contaminants decrease its value. Keep recycling containers free of such things as wet, wax- or plastic-coated, and rice-husk fiber corrugated boxes; boxboard, like cereal or soda pop boxes; plastic, rubber or metal bands; and other paper types. Step 5: Ensure results.Once you have started a recycling program, continue to support your efforts. Create and post an environmental policy. Make recycling and resource conservation a part of everyone's job description. Have an "answer person." Provide a staff contact for answers to common recycling and waste reduction questions. Share these answers company-wide; many others may have the same question but weren't willing to ask. Track and publicize progress. Document the environmental and cost savings to motivate employees and to apply for recycling awards. For a list of local, state and national award programs call the OEA at 651-296-3417 or 800-657-3843 toll free. Recognize employee efforts. Include an "environmental" section in the company newsletter, or present certificates, letters of recognition, plaques or a free lunch to high achievers. Share the good news! Trade associations and the local media often want the leads. Let your employees and community know you care about the environment as well as the economy. Join Minnesota Waste Wise, a voluntary program to recognize and help business prevent waste. Remember source reductionA growing number of companies are finding that elimination, reduction and reuse of corrugated boxes is even more cost-effective than simply recycling OCC.

corrugated roller coaster

2011-04-08T07:02:00.000-07:00

spent six months in Atlanta GA designing a roller coaster built entirely from corrugated boxes. "We expect the top speed of the roller coaster to be seventy three miles an hour, of course if it rains before the inaugural run, it will be considerably less, says Deye". Corrugated pricing has been up and down for the last year and that was the inspiration for the project.

Check out some of the coaster specs:

Length: 5315'
Height: 239' 6"
Drop: 219' 10"
Inversions: 0
Speed: 72.9 mph
Duration: 4:00
Max Vertical Angle: 68.5 Degrees
G-Force: 4
Elements: 239' 6" tall Lift Hill with a 219' 10" drop
Hill with a 160' 9" drop
Hill with a 134' 6" drop

How it started.

2011-03-04T09:44:00.000-08:00

The cBoxBid.com seed was planted in 2006. The "what if" question popped into my mind and the wireframe/architecture was drafted on 8 1/2 x 11 sheets of paper. The seed was planted and the roots soon took. The name came to me while dead asleep. Corrugated Box Bid, then who'd want to type that out, but I know I wanted both buyers and manufacturers to visit to get the best deal. See Box Bid: cBoxBid.com Consequently cBoxBid.com became the US's first regional marketplace when other marketplaces were going to China. cBoxBid.com only deals with North American manufacturers.

brown paper!

2011-03-04T09:38:00.000-08:00

cBoxBid.com's ONLY focus is the corrugated packaging business.

Still think corrugated is a regional marketplace?

2011-02-23T07:33:00.000-08:00

China will make corrugated packaging a non-regional business. Manufacturers will have to employ the power of LTL shipping or outsourcing their delivery.

http://www.deloitte.com/view/en_GX/global/industries/manufacturing/process/841dbaf8497cd210VgnVCM1000001a56f00aRCRD.htm

Price Increase

2011-02-08T12:37:00.000-08:00

Just in case you haven't heard - Longview Fiber announced a price increase for March 2011.

The corrugated industry needs the increase, but does yours?

a little PR for the cause...

2011-02-08T09:02:00.000-08:00

New Managed Services from cBoxBid.com make corrugated sourcing
easier than ever.

cBoxBid.com, the online marketplace for corrugated packaging, introduces Managed Services – a new suite of services designed to further streamline corrugated sourcing. Perfect for purchasing professionals who need to source multiple packages but don’t have time for the legwork, Managed Services assigns a representative from cBoxBid.com to post and monitor RFQs, send updates, and even obtain answers to questions buyers may have for bidding manufacturers. The representative does not make any purchasing decisions or act as an official buyer’s agent.

Cost for the service is less than other sourcing sites and fee-based corrugated consultants.

cBoxBid President Marc Deye explains, “We developed Managed Services for purchasing professionals who:
• buy more than three different sizes of RSC, HSC, or other shipping containers,
• buy for several different locations,
• don’t have time to meet several different corrugated manufacturers, and
• want to maximize the value they get for their corrugated purchases.”

-more on page 2-

PAGE 2 OF 2

In exchange for a flat fee per part number (or individual package) sourced over a six month period, a cBoxBid Managed Services Representative does the following:

Posts RFQs to cBoxBid.com based on specs received via telephone or email.
Provides weekly email reports on live RFQs that can be filtered by bid price, manufacturer quality rating, potential delivery date, manufacturer proximity, and customer service rating.
Obtains answers to buyer questions from specific manufacturers and relays them to the buyer without disclosing the buyer’s identity.
Sets up direct contact between buyers and manufacturers when necessary.

To learn more, visit "http://www.cboxbid.com/BuyerSubscription.aspx" http://www.cboxbid.com/ManagedServices.aspx

cBoxBid.com is an online marketplace for corrugated packaging designed to
connect buyers and manufacturers of corrugated packaging. The site provides
value to buyers by giving them the best available pricing on the market while
giving them more control over the buying process and their time. It provides
value to manufacturers by providing qualified leads ready to buy now.
cBoxBid.com currently serves buyers at 194 companies in 36 states nationwide.

Rock Tenn - Smurfit Stone

2011-02-03T07:09:00.000-08:00

Having worked for Smurfit and sold against Rock-Tenn, this is the best thing that ever happened to Smurfit. Watch for the mass exodus of management people leaving Smurfit, especially in Atlanta. Just my opinion.

estimating

2011-02-02T06:10:00.000-08:00

Manufacturers watch your internal spend. Exspensive estimating systems won't do much good IF there is nothing to estimate.

Great new tool for purchasing corrugated packaging:

2011-01-26T07:30:00.000-08:00

cBoxBid.com has a solution for purchasing professionals who don't have time to meet with multiple corrugated manufacturers but want real savings.

http://www.cboxbid.com/RFQManager.aspx

e-RFX and the corrugated packaging business

2010-11-19T07:30:00.000-08:00

Hey corrugated manufacturers - Get out of your box and into the "cloud"!

The days of the "regional" box manufacturer are over. Old school sales methodologies are going the way of the horse whip; no solicitation, no receptionist, purchasing done at the corporate office, appointments only, hiding behind voice mail. "But wait, they buy boxes, I can see them on the loading docks". If you think your manufacturing facility is going to serve a radius of one to 150 miles, or a town, or one specific customer because of your equipment your doomed. If you believe a buyer won't change supplier because your a good guy, just wait. Competitors are shipping hundreds of miles into your backyard and you have no idea its happening. Those competitors are quoting your accounts right now.

The new buyer is online and building an e-RFx, RA, or a list of qualified bidders right now.

Wake up

2010-11-15T18:28:00.000-08:00

Diane Sawyer and the whole CBS crew can kiss my ass. I listened to her spin, listened to George Snufalufagis' rhetoric, about how great freakin China is? Bullshit. Bullshit. I listened to these two romanticize how pure China is? Get LOST!

There is no comparison between the USA and China! F*ck off CBS.

Give me another Bushmills two cubes and splash of water

a peek at cBoxBid.com

2010-11-09T20:33:00.001-08:00

A lot of buyers want to know the information needed and where to find it when they post an RFQ.

We did a time study using these instructions and my nine-year old nephew as the "buyer". It took him 10:37 to input the data using the 'hunt and peck' typing method.

This link shows steps 1 and 2 of 3 for posting a RFQ.

http://tinyurl.com/297p62q

your new package has arrived...

2010-10-06T12:20:00.000-07:00

The cBoxBid.com v2.0 has arrived!

Stop by and see the difference!

where to focus?

2010-07-28T08:10:00.001-07:00

Corrugated manufacturers drive out waste and cost in the manufacturing process, but have a difficult time duplicating the same results in the sales process.

correlation for corrugation

2010-07-23T12:19:00.000-07:00

iTunes for music, Priceline for travel, Monster for a job...and now cBoxBid.com for corrugated packaging. Simply the easiest way to source for corrugated packaging.

Who's worse?

2010-07-12T17:42:00.000-07:00

So who's worse? Just pick one - the company making a not so Earth-Friendly package or the end user for not recycling it?

Corrugated packaging prices on the rise - again!

2010-06-02T07:21:00.000-07:00

If you buy boxes your going to get a call regarding a price increase OR your supplier will just bill you and hope you don't notice the increase. You may have a contract that protects you against movements in paper, but those contracts are usually are for +/-10%. So be diligent and entertain quotes from other suppliers.

cBoxBid.com is the easiest way to receive pricing from the corrugated packaging manufacturers!

cBoxBid.com has built the first online platform for packaging buyers to build an RFQ - then and this is important: it turns your account identity into a RFQ number! Our subscribing manufacturers can view that RFQ and reply with a price! Buyers can review the pricing from those manufacturers and choose who it wants to move forward with!

It takes about 10 minutes to post an RFQ!

Version 2.0 on the way!!

2010-05-18T10:31:00.001-07:00

cBoxBid.com is making some software changes that will vastly improve the flow of information from buyers to manufacturers. We think your really going to like the differences!

going up

2010-03-24T07:41:00.001-07:00

Corrugated prices on the rise again! Look for increases in the next month or two..

2010-03-24T07:41:00.000-07:00

Corrugated prices on the rise again! Look for increases in the next month or two..

market controls the price?

2010-02-26T09:54:00.000-08:00

Every corrugated manufacturing company wants to maximize their production and profit. Fact is, no matter how good you are, there is another plant who does it faster, less expensive and makes more profit. New machinery, efficient logistics, buying raw materials - Ralf VanDenBerg writes a great article in SDCExec.com on Margin Killing Myths.

2010-02-09T05:01:00.000-08:00

Corrugated prices on the rise. Will it stick?

http://www.convertingmagazine.com/article/446509-Paperboard_prices_keep_rising_flow_downstream.php

If you buy boxes your going to get a call regarding a price increase OR your supplier will just bill you and hope you don't notice the increase. You may have a contract that protects you against movements in paper, but those contracts are usually are for 10%. So be diligent and entertain quotes from other suppliers.

The Real Cost of Outsourcing

2010-01-13T15:07:00.000-08:00

Great article distinguishing the various types and their costs...

http://blog.theimf.com/?p=385

cBoxBid.com press release

2010-01-05T06:55:00.000-08:00

FOR IMMEDIATE RELEASE

January 1, 2010

CONTACT: Marc Deye
Founder/President, cBoxBid.com
marc.deye@cboxbid.com
404-550-4403

cBoxBid.com starts 2010 with 22 new RFQs, expanded national footprint.

cBoxBid.com, the online marketplace for corrugated packaging, has added 22 new RFQs (requests for quote) for immediate pricing. The RFQs come from buyers in the southeast, midwest, and deep south. “Our footprint is expanding,” says cBoxBid.com Founder/President Marc Deye. “More and more companies are turning to us to help them maximize the value they get on packaging, and more and more manufacturers are turning to us for live, immediately actionable sales leads. The new RFQs have January deadlines, so we’re expecting a busy month.”

Industry segments currently accepting pricing for packaging on cBoxBid.com include food, industrial, auto parts, office supplies, and beverages.

RFQs posted on cBoxBid.com are posted in such a way buyers aren't inundated with emails or phone calls but buyers can contact manufacturers at any time through the site. “Our anonymous model benefits both the buyers and manufacturers,” says Deye. “It gives buyers better control over their time and gives manufacturers access to buyers they might not otherwise be able to talk to. It’s much more efficient than the typical sales process in the corrugated industry.”

To access and bid on the active RFQs, corrugated buyers simply complete a three-step signup process. Manufacturers follow the same process. Currently, there is no cost to either manufacturers or buyers.

#####

from the Packaging Diva

2009-12-22T09:05:00.000-08:00

Joanne Hines writes a terrific editorial on packaging for Amazon:

http://www.amazon.com/gp/blog/post/PLNK2JTS3UNMS06MS

Manufacturer Showcase

2009-12-14T11:16:00.001-08:00

cBoxBid.com is looking for two Northeast US (CT, NJ, NY, NH, PA, MA, MASS, RI or VT) corrugated manufacturers to showcase directly to corrugated buyers.
You must be a current subscriber to cBoxBid.com and have operations in one of the above mentioned states. Please send an email with "showcase" in the subject line along with a link to your companies website to info@cboxbid.com. Two manufacturers will be randomely selected and have a banner ad posted on the buyers dashboard.

RFQ's and collaboration

2009-12-10T08:21:00.000-08:00

Over twenty RFQ's (i.e. rsc or fol) posted by buyers ready for pricing NOW at The Online Markeplace for Corrugated Packaging - cBoxBid.co

check out "the doctors" blog on collaboration -
http://blog.sourcinginnovation.com/

More Pricing

2009-11-02T09:34:00.000-08:00

cBoxBid.com data see's manufacturing plants converting more tonnage at slightly lower price levels then in September 2009.

A brief guide to buying shipping containers

2009-09-24T06:23:00.000-07:00

First - While the corrugated salesman cares about your yearly volume, his manufacturing plant usually doesn't. The plant looks at the orders month to month. So without a contract, the plant won't set pricing for a yearly volume. Your buying a commodity and the price fluctuates.

Second - Two different manufacturing plants, same company, two different quotes. How can that be?
A. Corrugator Plant = This plant glues the three pieces of paper together, called converting. It looks to sell high quantities of boxes to say Coca Cola and sheets to sell to sheet plants. Usually want to sell by the ton. Which in quantity means by the truckload to a minimum of about 25k pieces. Some, especially when orders are down, will manufacture to a minimum of 15k.
B. Sheet Plant = Buys sheets from a Corrugator Plant. Wants to do low volume from 1k up to 15k to 25k. Anything around or over these numbers it wont be competitive with a corrugator plant. Sheet Plants usually want to manufacture low quantity with multiple colors.

Printing Plates and Die Cuts - Most buyers want the Corrugated Manufacturer to buy this equipment. If you plan on purchasing the same box with the same artwork for at least two years or more, I recommend buying these items for this reason - the buyer is now free to move production to more competitive corrugated manufactures without having to negotiate the purchase of the equipment all over again. Besides you can write off the cost.

Hope this helps.....

e-sourcing for cardboard boxes

2009-08-17T13:36:00.000-07:00

cBoxBid.com has created the first regional marketplace for the corrugated packagaing buyer. Buyers simply create an RFQ (request for quote) and corrugated manufacturers subscribers bid back to the buyer in a non-binding platform.

Its that easy. Its FREE for buyers! Manufacturers get: qualified leads, reduction in cost of sale expenses, and manufacturer ratings!

State of the Corrugated business

2009-08-17T13:01:00.000-07:00

NEW YORK — August prices for cardboard box parts, which will be reported this weekend, will likely hold steady as inventories hover around a 30-year low, despite rising production, Wall Street analysts said Monday.
Credit Suisse analyst C.A. Dillon III said that at the end of last month containerboard inventories were at their lowest level since 1980.
Meanwhile, the industry's July utilization rate, which gauges how much of its manufacturing capacity is being used, was 88.6 percent, well above the 82.8 percent year-to-date level, UBS analyst Gail Glazerman said.
She also said production in July rose 1 percent, month over month, to its highest level since October.
"August prices will be reported this weekend, and evidence is mounting that prices will remain level once again," said Dillon.
Investors are watching containerboard prices for signs the industry's strict production discipline, which has resulted in the low inventories, will continue and thus boost the likelihood of sustained profits when the recession ends.
Dillon's favorite pick is the stock of Lake Forest, Ill.-based Packaging Corp. of America, which he rates as a "Buy"; Glazerman's top pick is the stock in Memphis, Tenn.-based International Paper Co., which she rates as a "Buy."
In afternoon trading that was marked by widespread declines, Packaging Corp. of America fell 40 cents, or 2.1 percent, to $18.30 and International Paper declined 48 cents, or 2.4 percent, to $19.52.

Regional Procurement the new Globalization?

2009-08-14T08:32:00.001-07:00

From Procurement Leaders Magazine:

Regional procurement the new globalisation Companies are looking closer to home for materials and redesigning their supply chains to suit as the pressures of climate change and the financial crisis force western businesses to reassess low-cost country sourcing strategies.
Speaking to the Financial Times, Dan O'Regan, head of supply chains at accounting firm Ernst & Young, said that it isn't just the prospect of regulatory change but also the downturn which is forcing businesses to look more local. "I think you will find smaller, more regional supply chains," he told the newspaper.
The chief executive of Philips, Gerard Kleisterlee, said, “A future where energy is more expensive and less plentifully available will lead to more regional supply chains" before going on to add that an economic crisis is a period when companies should sit back and think, "is this a moment to make some fundamental change".

Move forward with Caution

2009-08-05T07:50:00.000-07:00

Yesterday the Institute for Supply Management released its July 2009 figures. Which showed a .06 decline and ended a nice four month run of increased averages. This small slowdown in July probably won't reflect anything in corrugated orders, however steady improvement in manufacturing is always a good sign.

http://www.ism.ws/

Got a packaging compliment? gripe? question?

2009-07-13T08:30:00.000-07:00

Let the community know -

names and companies will be deleted but the message will remain!

Define Commodity

2009-07-02T07:21:00.000-07:00

Attention all CPM's, Buyers, Purchasers, CFO's, and anyone else who makes a purchasing decision:

Wikipedia gets credit for this definition of commodity. After the you read the definition there is a short quiz.

A commodity is something for which there is demand, but which is supplied without qualitative differentiation across a market. It is a product that is the same no matter who produces it, such as petroleum, notebook paper, or milk.^[1] In other words, copper is copper. The price of copper is universal, and fluctuates daily based on global supply and demand. Stereos, on the other hand, have many levels of quality. And, the better a stereo is [perceived to be], the more it will cost.

One of the characteristics of a commodity good is that its price is determined as a function of its market as a whole. Well-established physical commodities have actively traded spot and derivative markets. Generally, these are basic resources and agricultural products such as iron ore, crude oil, coal, ethanol, salt, sugar, coffee beans, soybeans, aluminum, rice, wheat, gold and silver. *(paper too)

Commoditization occurs as a goods or services market loses differentiation across its supply base, often by the diffusion of the intellectual capital necessary to acquire or produce it efficiently. As such, goods that formerly carried premium margins for market participants have become commodities, such as generic pharmaceuticals and silicon chips.

Whats the most important difference between a 32ect C flute, Kraft; RSC, Die Cut, Sheet, HSC, you name it, from any corrugated manufacturer?

You have two seconds to answer, GO.

If you havent heard -

2009-06-30T09:14:00.000-07:00

The Box Business never surprises me!

- Eight people charged with embezzlement at Pratt's Staten Island recycling facility - http://cityroom.blogs.nytimes.com/2009/06/25/8-men-charged-in-theft-from-paper-company/

- Smurfit Stone's stock is worth .16 per share. With $20k purchase you could qualify for a spot on the board of directors

2009-06-13T07:48:00.000-07:00

6/12/09 - Atlanta, GA.

If your company looks to decrease shipping costs, then you should check out Global Forwarding @ globalforwarding.com.

Excellent checklist for considering suppliers

2009-05-31T19:00:00.000-07:00

Supply management: should all suppliers be considered equal?

Published May 26th, 2009 by Carol McIntosh

The answer is NO. Supplier relationships today are very different than they were 10 years ago.-

Suppliers are global
A supplier may produce your entire product
A supplier may also be your customer since you sell them proprietary parts for your products
Suppliers often ship directly to your customers. You never see the product
You may use a traditional buy sell process with purchase orders and acknowledgments
You may use a pull system where your supplier ships to your replenishment signals
You may share forecasts and ask your supplier to provide forecast commitments
The information sharing may be hourly, daily or weekly
You may want notes from your supplier or reason codes for non conformance
You may want to track their work in process so that you can monitor yields and quality issues
With such a distributed environment you are creating more opportunities for communication gaps when responsive communication is more important than ever to contain costs and maintain customer loyalty

You may have multiple ways of conducting business with your suppliers. It is not just your processes that are varied. Suppliers are different too. They have different levels of sophistication. They have different tools. Your business represents a different level of priority with every supplier.

One thing is certain. Not all suppliers are equal.

Suppliers can be categorized on the basis of the level of information sharing and collaboration required.

All suppliers benefit from information. For example, a scheduled transmission of forecasted requirements.
Allow some suppliers to edit data directly in your system. You may choose to edit in an offline copy that is reviewed before you execute. The point is you can capture purchase order commitments, comments and also request that your supplier review leadtimes, pricing, and order backlogs for accuracy.
A small percentage of suppliers can send you information such as forecast commits, or WIP, or On hand data electronically where your system is automatically updated. Make sure that your system is tapping you on the shoulder when there is a problem with the information. By problem I mean, as an example, that their commitments are less than their last update and don’t meet your requirements.

The more you empower your suppliers with information and give them the flexibility to manage their processes to meet your requirements (forecast or inventory targets), the stronger your partnership will be and there will be fewer surprises.

Traditional systems dictate your processes. While it is beneficial to understand what best in class processes are, you and your suppliers are the owners of the process. Start thinking out of the box.

Sustainability within the corrugated packaging industry

2009-05-31T12:41:00.000-07:00

The term sustainability is being thrown around by manufacturers like Big Brother from the book 1984 by George Orwell. No one has a clear definition for sustainability, however many manufacturing companies claim sustainability is their goal? Clearly Doublespeak. Remember synergy? convergence? mission critical? Corrugated manufacturing is really three steps - paper in, boxes out, deliver.

New RFQ entry for Buyers

2009-05-12T07:03:00.000-07:00

Necessary improvements for buyers to post RFQ's are being implemented at this time. We have listened to buyers and have made various changes so the process of posting and modifying RFQ's is easier.

Stay Tuned....

Customers speak....

2009-04-13T08:48:00.000-07:00

With multiple transactions under our belt, subscribers are seeing the true value cBoxBid.com.

Buyers are simply amazed how easy it is to post an RFQ. "Four steps and the RFQ is posted. Manufacturers are bidding from as far away as North Carolina" says one buyer from the Chicago area. "we've never recieved pricing from a corrugated manuacturer from so far away, and it was competitive with local manufacturers."

"Whether its on cBoxBid.com or we quote directly, we know were not going to win every sale" says a sales manager from Philadelphia, Pa., "but thats just it, we can't physically get to every sales opportunity so cBoxBid will help fill that gap."

cBoxBid.com not populating browser?

2009-03-13T04:55:00.001-07:00

Finally, it seems we have the session I.D. problem patched. Some of you might experience this inconvenience when you have logged in, navigate away from the page, then try to log back in. Session ID is when we authenticate you as either a buyer or a manufacturer. This helps everybody know who's dealing with who.

Thanks..

Deeper is Cheaper

2009-02-25T20:11:00.000-08:00

Just a little tidbit for the RSC buyers of the world. Have your corrugated manufacturer quote your RSC with contents stacked higher in the box! or make your width your depth. Instead of laying six widgets down across, lay the widgets on top of each other with the flaps at the top and bottom. Have them develop a stacking pattern to keep your pallets tidy.

Its an interesting dilemma:

2009-01-28T17:37:00.000-08:00

You run a production facility manufacturing widgets. You have five production lines, six people per line and run two shifts. One of your responsibilities is making sure two trucks are full every shift.

You have received five quotes for your only shipping box: a RSC 12 1/2 x 13 x 12 1/2 - 32ect kraft. no printing qty T/L, every day - Five manufacturers bid on that RSC. The quotes range in price from a low of $190 per thousand to a high of $270 per thousand. Which one do you choose?

You better choose the manufacturer with the highest on time percentage. Imagine if the packaging company "forgot". It happens. Thirty people are now idle.

But how on earth can you verify manufacturer claims?

Answer: Manufacturer Ratings. cBoxBid.com gives every buyer the opportunity to rate manufacturers on price, delivery, quality and customer service. So when your looking at price, look at their ratings also, it may be worth .03 cents.

Check the Facts -

2009-01-26T15:50:00.000-08:00

Fact - purchasing professionals are under pressure for cost reductions.
Fact - there is an oversupply of raw materials and plant capacity.
Fact - manufacturers are keeping a keen eye on quality to keep customers happy.
Fact - There is no difference between a 32 ect RSC manufactured by Rock Tenn or Smurfit Stone.

Or is their?

If you said price, your correct.

cBoxBid.com is the only e-commerce tool that lets buyers constantly source for a better PRICE.

Identify and negotiate with a broad range of qualified manufacturers thanks to Manufacturer Ratings.

Remain anonymous in the buying process.

Manufacturers are ready for your challenge.

Negotiate 5% to 20% price reductions.

It's non binding. Colloborate before signing terms.

buyers RFQ quantities and warehousing

2009-01-13T18:48:00.000-08:00

Tom Barszczowski, of Packaging Concepts and Design http://www.pcdpackaging.com -
emailed me with a great question regarding quantities and how to quote them.

When buyers create an RFQ, they are asked three questions that are indicators of how a manufacturer should price:
1. Warehousing Required
2. Quantity to be Quoted
3. Frequency ordered

If you look at the attached screen shot, the buyer requires warehousing, the quantity is 12,000 pieces and the frequency of the order is bi-monthly.

Simple right? Quote 12K pieces. Run 12K deliver 6k, warehouse 6k. Only if the buyer hits the warehousing button, and most may not. And this is the foundation of Tom's question and an oversight on our part.

We will rewrite these lines so that buyers can indicate the entire quantity of the production run and the shipment quantity on a monthly basis.

Until then, all RFQ's have a quantity, and if the frequency ordered is more than once a month, its safe to say, warehousing is required.

Marc

New Recylcing Emblem

2008-12-29T10:56:00.001-08:00

This is the new "corrugated recycles" emblem that should be found on the bottom of each corrugated carton...

http://www.aiccbox.org/News/News_Display.asp?ID=1371

Worth Mentioning....

2008-12-17T21:58:00.000-08:00

Two endorsements for ingenuity.

www.zapproved.com
Having trouble finding emails related to a specific project?

www.pandora.com
Better than FM, maybe Sirius, and if you own an IPOD - you should be listening to pandora.

e-collaboration. The new e-commerce

2008-12-11T11:10:00.001-08:00

cBoxBid.com is not an auction. We believe collaboration between buyers and manufacturers will ultimately determine value. cBoxBid.com simply gives buyers the power to choose a supplier based on quality, delivery, customer service and price.

This article is more than 3 years old, but the subject matter is just as relevant today as it was back then.

For your reading enjoyment, replace the word 'auction' with collaboration!

Smart Usage of Auctions Can Save Industrial Buyers Millions

September 2005

STANFORD GRADUATE SCHOOL OF BUSINESS—Buyers for some major corporations may be able to shave time and substantial costs from purchasing goods and services simply by employing procurement auctions wisely, says Tunay Tunca, assistant professor of operations, information, and technology. In certain cases, companies can realize improved savings by mixing auctions with negotiations in a systematic way.

Traditionally most large corporate purchases require lengthy negotiations often involving multiple sources—a process that can take months and can be very costly. Today, by embracing online bidding auctions an increasing number of companies achieve savings that amount to hundreds of millions of dollars. Case in point: Sun Microsystems, one of the industry leaders in utilizing online auctions for procurement, realized savings reaching $300 million annually.

"The internet allows a buyer to bring suppliers together simultaneously in online auctions and accomplish a major purchase in less than two hours, but there are questions about the best way to run such auctions," says Tunca, the 2005 Moghadam Family Faculty Fellow at the Stanford Graduate School of Business. Questions arise particularly where companies' procurement needs are so large they must be split up among several suppliers.

While optimal procurement auction structures have long existed in theoretical economics literature, they generally involve such complex implementations that most companies justifiably simply ignore them and instead utilize a simple and often familiar "reverse" auction process, in which a select group of suppliers bids competitively for an order posted by the buyer. The buyer may choose the lowest-cost bid or split the purchase among several of the lowest-cost suppliers.

"This can work well in certain cases, but in others it can be inefficient and the buyer can end up leaving money on the table," says Tunca. Using mathematical models, he and Qiong Wu, a Business School PhD student, have teased out the conditions under which the simple single-stage reverse auction works best, and examined a more effective yet still practical format in cases where it does not.

Buyers can use a simple reverse auction to save the most money when they are in control. This occurs, Tunca and Wu found, when eligible suppliers are plentiful, when suppliers themselves have to spend money to ramp up enough to fulfill the order, and when purchasers have a good sense of suppliers' costs.

But when things are a little more uncertain and complicated—when there are few suppliers, when those suppliers can easily fill the orders without any extra investments, and when buyers are not so sure of what suppliers' actual costs are—then a simple reverse auction makes the purchaser more vulnerable to losing out on pricing. In this case, says Tunca, buyers are better off instituting a two-stage process, in which they hold an initial auction to identify the lowest bidders, but then add an additional contracting stage to negotiate further with those bidders.

"Although the purchaser accrues additional process costs associated with these negotiations, in many cases those costs are more than offset by the price savings they gain," says Tunca. "In some cases, it is possible that the net cost efficiencies obtained from running a two-stage process versus just a reverse auction can run into significant percentages."

Industrial buyers, then, may want to consider employing a two-stage procurement process more frequently, advises Tunca. "However," he adds, "companies also have to be careful about keeping good relations with their suppliers before they decide to implement such a system. Cooperation with suppliers in this decision is important to prevent unwanted disruptions in those relationships."

— Marguerite Rigoglioso

Related Information

"Multiple Sourcing and Procurement Process Selection with Bidding Events," Tunay I. Tunca and Qiong Wu, GSB Working Paper, 2005

"eSourcing Strategy at Sun Microsystems," Charles Holloway and A. Higuera, GSB Case OIT34, 2002

"Sun Shines by Combining Two Supplier Strategies," D. Hannon, Purchasing.com, May 6, 2004

The "Doctor of Sourcing" is in

2008-12-03T08:21:00.000-08:00

If your title is buyer, purchasing agent, or procurement specialist and haven't read "the doctor's" blog, you owe it to your self to do so. I spoke with Michael "the doctor" Lamoureux about two weeks ago, he was suffering from the flu and told me so only after our conversation. I was explaining how cBoxBid.com works, and how it can benefit anyone who purchases corrugated packaging. Our conversation was short and after hanging up I really thought I blew it.

The point to this is, even while he was running at half to 3/4 speed, and me stumbling, his ability to listen, dissect information, ask the question, and then find the value is uncanny - and thats the benefit to YOU the subscriber. I remember reading one his blogs that said something like, 'if it doesn't make sense, I dont write about it'! Carry on.

http://blog.sourcinginnovation.com/

New Buyers

2008-11-19T10:16:00.000-08:00

cBoxBid.com has signed its 40th company seeking a faster way to procure corrugated packaging via cBoxBid.com's e-commerce platform. Buyers can post an RFQ and manufacturing companies can choose to submit a price. "Sourcing the 32ect Kraft RSC (picture) is where buyers really see the savings" say's Deye, President of cBoxBid.com. "97% of all corrugated companies in the United States can manufacture an RSC and ink 1-3 colors on none, one, or all panels. "Its really the easiest way for a buyer to take advantage of the entire manufacturing community. And our Vendor Ratings take the guess work out of switching vendors."

cBoxBid.com was launched in July of 2008 and has been mentioned in:

http://www.packaging-online.com/paperboardpackaging/Breaking+News+(front+page)/New-Tool-Available-for-Buyers-and-Sellers/ArticleStandard/Article/detail/557985?ref=25

and

Official Board Markets

www.cBoxBid.com

Sustainability

2008-11-17T16:48:00.000-08:00

Pratt Industries has a huge recycling program. In fact its raw material is old corrugated containers, but you wouldn't know it. I can remember standing next to the conveyor belt as bales upon bales of paper were first passed over a magnet, then dumped into a huge kettle and slowly mixed into a milky concoction, then viola, paper. If I recall correctly 50 tons a day went up that conveyor.

Pratt Industries pays money for those old boxes and IF your throwing them away in a dumpster, your losing money. Throwing old boxes in a dumpster is what the dumpster people want you to do. Nobody breaks them down and it helps the dumpster fill up quicker, hence more pick-ups.

It baffles me to this day, how all the geniuses at Pratt couldn't offer a recycling and corrugated packaging program that combined both.

But here's a tip: Recycling companies like Pratt will pay you for those old corrugated containers and office paper makes a fine corrugated box as well. So get on the Green band wagon because it may save you money, and you can throw around big words like sustainability.

Manufacturers Beware

2008-11-14T09:35:00.000-08:00

Interesting information about fees and or surcharges

New research conducted by Amar Cheema, Ph.D., assistant professor of marketing at Washington University in St. Louis, provides some interesting insights about consumers' perceptions of surcharges.

Consumers pay more attention to surcharges than what was previously thought
How consumers think about and respond to surcharges depends, in large part, on the seller's reputation
When buyers don't trust the seller — they are vigilant of such tactics. In many such cases, his research concludes, buyers will decide against making a purchase
Participants took longer to make a decision when buying from low-reputation sellers than when buying from high-reputation sellers
Sellers who divide the total price of a product or service into a base price and a surcharge could prosper when buyers ignore the surcharge
Surcharges levied by low-reputation companies lower purchase likelihood. Thus, low-reputation companies may benefit more by offering a consolidated price
High-reputation sellers can post higher surcharges to increase the total price paid by the buyer, but low-reputation sellers cannot do so effectively
Low-reputation sellers can benefit by absorbing the surcharge into the base price and offering a consolidated price for a product or service

The research, holds interesting implications for businesses and their pricing practices, and looked at pricing data of online sellers, catalogs and service providers.

The paper is available at http://www.olin.wustl.edu/faculty/Cheema/CircSurchargeReputation.pdf

RFQ Dashboard Revealed

2008-11-11T09:29:00.000-08:00

On this page - Click on October, than click October 15. If the RFQ Dashboard is not already shown on this page you can view it following those directions.

This is how manufacturers view a buyers RFQ. Manufactures can view all open RFQ's or view by state(s).

cBoxBid.com adds new features

2008-11-04T06:31:00.001-08:00

November 3, 2008.

cBoxBid.com adds search by state and allow due dates of RFQ's to be changed. The search by state feature allows manufactures to pull down bid data by state then relevant zip codes. It makes the process of finding RFQ much quicker.

The new "due date change" feature allows buyers to extend RFQ dates based on manufacturer bids or market conditions. This was something buyers had requested and it allow buyers to extend the bid process.

Revisions

2008-10-28T06:43:00.000-07:00

October 27th, 2008 - Atlanta, GA

cBoxBid.com signs up 100th manufacturer and makes revisions to software platform.

- Buyers can now change the due dates of RFQ's. Previously this was completed by cBoxBid.com, now buyers may change due dates of posted RFQ's
- Manufacturers can filter RFQ's by state then zip code. This gives manufacturers easier viewing of open RFQ's.

www.cBoxBid.com

New Idea for Buying Corrugated Packaging

2008-10-15T06:16:00.001-07:00

cBoxBid.com mentioned in www.packaging-online.com
cBoxBid.com has made it easy for corrugated buyers to receive price quotes. Chicago, Atlanta, Los Angeles, Dallas, to name just a few, can now receive pricing from all regional corrugated manufacturers. Atlanta alone has over 50 corrugated manufacturers and at least 20 brokerage firms dedicated to boxes. If a buyer wants the absolute best deal, he would have to contact at least 70 companies and sort through seventy qoutes. With cBoxBid.com, the buyer has the entire marketplace at his/her fingertips. Its fast, easy and non-binding. The price starts the collaboration and with cBoxBid.com's Manufacturer Ratings on Quality, Delivery, Customer Service and Pricing, as chosen by buyers and purchasing professionals - picking a new manufacuture or vendor has never been easier.

Marc

corrugated packaging

2008-09-29T16:46:00.000-07:00

If you buy or manufacturer corrugated in Atlanta, Georgia stay tuned...

Check us out at cBoxBid.com