Every manufacturer, processor or distributor aims at improving efficiency and reducing operational costs. However, in between business processes, there are hidden costs that outweigh any motives to continue operating at throttled speed. Hidden costs are unforeseen expenses that are not normally included in the purchasing price of a product or a service.
Labeling often comes with a hidden cost which is presented as human, environmental, and time costs. They cripple business operations, and unfortunately, they may go unnoticed for very long. Here are some of the hidden costs of a labeling machine you should know about.
Cheap Barcode are Expensive
Most business owners prefer going with cheap purchases. Well, it is one way of saving money, but if you are accustomed to the phrase, ‘cheap is expensive, you might reconsider your options.
Cheap barcodes have a rougher surface that damages the printheads resulting in unreadability and poor-quality printouts. Repairing printheads costs thousands of dollars and interrupts the production process.
Slower Labelling Process due to Cheap Preprinted Colors
Speed is essential in any business process, especially if you are dealing with insatiable consumer demands. Failure to keep up with demand will result in you losing a grip over precious consumers.
Labeling machines are often plagued by ink buildups on the printhead that slows the labeling process. Contributing factors are using cheap preprinted colors and faulty printheads.
Direct Thermal Printing is a Problem
Thermal printing is a commonly used printing process that involves passing a heat-sensitive paper over a printhead with heated bits of electrical components. The invention of thermoprinting brought a sigh of relief to many labeling companies, and the fact that it doesn’t use ink was a major cost-saving advantage. Is that so?
Labeling machines with thermal printheads require setting the printer regularly. It is a time-consuming process that reduces efficiency and affects the income statement in two ways;
- You will incur labor costs to printer setting experts
- Reduced efficiency reduces units produced per day, which reduce items available for sale
Opting for Used labeling Machines comes with Hidden Costs
Don’t be deceived by the cost advantage of acquiring old machines; they are deadbeat. Second-hand labeling machines are out of date, require frequent repairs. They will flood your income statement with expenses only to reduce profits.
It is better to deal with certified labeling machine producers like CONSUNG to get the best products. New machines are efficient and don’t require frequent maintenances.
Working with Unskilled Employees
Each time you think of upgrading your company’s equipment, consider doing the same to employees. If you continue operating with untrained employees, they will drag your productivity behind since they are not equipped to deal with new machines.
Allocate some resources to train your employees on the latest technologies to minimize hidden human costs.
Hidden costs are a menace to your labeling business. They skim off profits layer by layer, and with time you will be running into a depression. Avoid them by getting new labeling machines. Otherwise, stay connected for more information.