New Study to Evaluate the Performance of Unit Loads in the Supply Chain

September 12, 2006


Press Release

HOUSTON — September 12, 2006 – In an effort to identify potential areas for improvement in unit load packaging, The Dow Chemical Company (Dow) has reached an agreement with Carolina Supply Chain Services (CSCS), a Carolina Logistics Services (CLS) company, to study the most prevalent types of damage sustained by unit loads throughout the supply chain.

"With the growing number of brand options available to consumers, there is increasing pressure on manufacturers to improve packaging and ensure their products reach store shelves undamaged," said Joe Laehu, market manager for Industrial & Consumer Packaging at Dow. "We're working with CSCS to identify the widespread trends in damage sustained by unit loads and determine where improvements in pallet stabilization can be made."

A recent study by Strategic Global Connections showed that 28 percent of consumers react to product damage on the shelf by changing brands.*

CSCS will study data from consumer product Fortune 500 manufacturers' regional distribution centers, retailer distribution centers, and retail store shipment audits at the time of delivery and processing. The study is scheduled to be completed by late October.

"Dow supplies resins for a number of high performance unitization films that are used in pallet packaging," said Laehu. "Our resins for stretch hood technology in particular offer significant benefits in terms of load stability, five-sided water and UV protection, and tamper resistance. We believe there are real opportunities for manufacturers to reduce damage in the supply chain with stretch hoods, and the data from CSCS will help us identify where those opportunities are."

CSCS was a co-recipient of the 2006 Unsaleables Innovation Award, presented to exemplary companies that work across industries to reduce the incidence of unsaleables.

As a leader in the global packaging market, Dow offers a comprehensive portfolio of high-performance and high-quality resins for a wide range of packaging applications. Dow's specialized product mix provides packaging converters, logistics managers and brand owners with broad and versatile options to meet today's evolving requirements for packaging, including increased convenience, attractive appearance and functional excellence.

* Consumer Behavior Index™, Strategic Global Connections, LLC, 2006

About Carolina Supply Chain Services

CSCS, a CLS company, is an industry leader in providing technology-driven reverse logistics and supply chain solutions to the consumer goods and healthcare markets. By combining excellent execution with information intelligence, our solutions provide the foundation for collaboration between our clients and their trading partners to improve the overall supply chain.

Our solutions include:

  • Returns Management
  • Asset Recovery & Financial Transaction Management
  • Regulatory Compliant Disposition
  • Recall Management
  • Supply Chain Analysis
  • Web-based Analytics
     

About The Dow Chemical Company

Dow is a diversified chemical company that harnesses the power of science and technology to improve living daily. The Company offers a broad range of innovative products and services to customers in more than 175 countries, helping them to provide everything from fresh water, food and pharmaceuticals to paints, packaging and personal care products. Built on a commitment to its principles of sustainability, Dow has annual sales of $46 billion and employs 42,000 people worldwide. References to "Dow" or the "Company" mean The Dow Chemical Company and its consolidated subsidiaries unless otherwise expressly noted. More information about Dow can be found at http://www.dow.com/.

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