Alex Hempel of Orbis Corporation discusses the evolving role of reusable plastic packaging in a recent All Things Safety episode. Far from being just a "green" alternative, Hempel says that reusable assets are becoming the backbone of high-tech warehouses and a critical tool for navigating increasingly tight margins and federal regulations.

Hempel is the Senior Director, Retail Supply Chain, at ORBIS, where he leads new product development and execution.

The Synergy Between Reusables and Automation

As warehouses shift toward robotics and high-end pick-and-pack systems, the margin for error shrinks. Hempel points out that traditional wood pallets and cardboard boxes often "gunk up" these sophisticated systems.

Unlike wood, which can warp or splinter, reusable plastic offers consistent dimensions and weight, which are essential for sensors and robotic arms.

Reusables eliminate the dust, fragments, and "jagged nails" that cause mechanical failures in conveyor systems.

In food and beverage environments, plastic reusables mitigate the risk of pests and contaminants that often harbor in porous materials like wood.

“Downtime in highly efficient, highly optimized warehouses or supply chains is not good... Downtime means loss of money and inefficiencies. That’s a key benefit with reusables,” said Hempel.

Redefining Plastic Through Sustainability

A common hurdle for the industry is the public perception of plastic. Hempel is quick to distinguish between the single-use plastics found in oceans and the transport packaging Orbis produces.

Orbis manages a buy-back program where end-of-life products are ground down and remanufactured into new assets.

Orbis is now incorporating post-consumer waste—materials recovered from landfills and oceans—back into their secondary packaging.

While cardboard is recyclable, the water consumption required to process it is "mind-boggling" compared to the long-term reuse of a plastic tote.

"We’re taking product from the ocean. We’re taking product from landfills and reintroducing that back into new reusable packaging... taking that back and turning it into reusable transport packaging is a huge benefit from a sustainability standpoint,” Hempel said.

The Shift Toward Track-and-Trace Technology

Looking toward 2030, the justification for reusable packaging is moving beyond a simple P&L calculation. Hempel notes that reusables are now being used as "mechanisms" for data.

By integrating barcodes and GPS technology directly into pallets, companies can monitor "dwell time" and inventory locations in real-time. This turns a shipping container from a passive expense into an active data point in the supply chain.

Navigating the Regulatory Landscape

With Europe, Canada, and states like California taking bold stances against single-use plastics, the industry is reaching a tipping point. Hempel suggests that companies can no longer look at packaging in a silo; they must consider compliance and legislative risk as part of their procurement strategy.

He said: "In the past, maybe looking at it very narrowly... on the books metric... we’re seeing a lot of different aspects now starting to come into that justification... whether it's financial metrics, efficiencies, or hitting sustainability targets.”

The transition to reusable packaging is no longer just about being environmentally conscious; it is about operational survival in an era of labor shortages and high-speed automation. As Hempel observes, the next decade will see reusables move from a secondary consideration to a primary growth mechanism for global supply chains.