Rather than fire people, Dell will reduce packaging costs

By Jacqueline Emigh | Published December 16, 2008, 4:24 PM

Dell hopes to save $8.1 million over the next four years by making changes to the materials used in packing and shipping its PCs. The new packaging will be formed from recycled milk and detergent containers, among other things.

Today, Dell announced plans to trim its costs over the next four years by cutting out 20 million pounds of its customary computer packaging materials.

Now claiming to be the only major computer maker with a "global packaging reduction target" for desktops and laptops, Dell expects to reduce packaging materials by 10% worldwide, increase "sustainable content" in cushioning and corrugate packaging by 40%, and make 75% of its packaging components "curbside recyclable" by 2012.

Dell's new packing materials will include High-Density Polyethylene (HDPE) "thermo-foamed cushions." HDPE is produced from recycled milk jugs and laundry detergent bottles, for example, the company said in a statement.

In changing its packaging ways, Dell plans to save $8.1 million over the next four years -- savings that could potentially be put to any number of purposes, including avoiding job layoffs.

Meanwhile, though, the PC maker also seems to hitting a growing sweet spot with both business and consumer customers.

In survey results rolled out this fall at CES Unveiled New York, the Consumer Electronics Association reported rising interest among consumers in a lot of different aspects of green computing, ranging from energy-saving devices to recyclable packaging.

Comments

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About damn time. I'm beyond sick of taking 2-4 twist ties off every cable, pulling a foam bag and a plastic bag off every keyboard, and taking the mice out of the 2-3 bags they come packaged in. Not to mention the 3-5 CDs/DVDs that come with every PC even though they're being sold to a company that has no plan to use any of them, especially not the copies of windows. Dell has been very wasteful, it's about time they figured this out.

Oh yeah, almost forgot to mention the floppy drive cable they install in every PC even when there is no floppy drive. It just 'flops' around in there with one end not attached to anything. I'm pretty sure anyone masochistic enough to install a floppy drive can find their own cable.

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Other companies have already hit their target.
Dell offered me bulk packaging for 800 machines
but I had to pay extra for less packaging and
return the boxes to Dell in 2 weeks! HP gave
me a discount for bulk packaging which was much
less packing and all cardboard that we could
recycle (no trash!)

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Dell is not the only one. Apple has also made great strides in reducing/eliminating toxic chemicals in components as well as reducing packaging.

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I'm always a little disappointed by this.

If I pay £1300 for a laptop I want ****ing enormous packaging. I want it to be tied with bows and be secured in finest eiderdown.

I don't want smaller bloody packaging. That's for sure.

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Way to help the environment there Paul. The problem with a lot of things today are done in excess for excesses sake. I'm not a tree hugger but I certainly want to help make sure my kids have a good future.

There is one slight problem though with the packaging. What it is packaging isn't very recyclable overall.

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Now i really like this idea.
I am glad Dell took this route, rather than have to lay people off.
More companies should consider doing things like this to cut costs.
I would even gladly return any packaging to a company if i could, i know i won't be needing it anymore.

Cutting jobs is never a good thing to do...

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@Hunnter: I wonder why the other commenters overlook this story is not only about packaging but about savings and not firing people.

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Oh geez...I can just see it now - folks complaining that its Dell's fault that they cannot tell the difference between the packaging and the components.

I guess they could brand the components...

;-))

Its ALL the fault of the corporation! LOL!

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Speaking of branding....... The letters M O R O N burned into your forehead would cut out the guess work whenever people see you. [smiles]

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Of course he's back... What? No company to blame for your idiotic decisions or the plight of the world?

I wish I could say it was nice to see you visiting us from the hallucinatory land of make believe...

Coming from the same MORON who claims that the Republicans (and more specifically, libertarian Republicans!) have controlled the lawmaking and regulatory environment in the US for the past 20 out of 28 years and blames a company for someone who buys an item stated for LOCAL PICKUP ONLY from a location 1000km away - being able to recognize letters is the least, but definitely not the full extent, of your worries.

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Well, OK, but why didn't they do it before?

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They finally watched all those IBM commercials...

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This is the kind of innovation that is critical to the economy and the environment. Way to go Dell!

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This is NON NEWS! sorry it is BULL s***

Please people THINK!

8.1 divided by 4 years = 2.0something per year.
This is less then the bonus that Micheal Dell gets per year.

Now don't get me wrong, it's all hunkydory that we save the planet, but it won't save any job *at all*

Dell makes billions of dollars per quarter, 2 million is about what they pay for toilet rolls per year...

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I just bought a Ryobi drill and saw and all the packing was corrugated kraft paper. All of it went into my recycling bin.

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