Microsoft selects EPS for Xbox
Twenty-three European countries were represented at the conference and guests from USA, Brazil, Argentina, South Africa, Philippines and Japan attended.
Expanded polystyrene is making history at Microsoft. For the first time in its years of doing business, the computer giant has chosen EPS as its consumer packaging using moulded EPS endcaps to protect the much-touted Xbox game system. In the past, Microsoft has generally steered away from plastic packaging components relying primarily on moulded pulp and corrugated paperboard packaging. After much research during the design phase of this product, however, it became clear that the benefits of using EPS in the Xbox package were undeniable when compared with the alternatives. Exploring Uncharted Territory When Microsoft first decided to enter the game market with the Xbox, the packaging and its components were as high a priority on the design list as the product itself. The goal was to ensure a "bulletproof" package that could withstand transportation and handling abuse. Sales and Marketing required the overall size of the package to remain relatively small - enabling more units to fit on a pallet - to maximizing shipping container and warehousing capacity. At the same time, package engineers were dealing with fragile components such as a hard drive, a DVD drive, and a CPU that would require reliable, sturdy protection. Because Xbox was a completely new venture for Microsoft, there were no existing business models within the company to follow in developing the product or its packaging. Package Engineering, Operations, Manufacturing, Distribution, Sales, and Marketing all had to work closely to ensure the final result was successful on all fronts. This integrated approach is unique; most manufacturers focus on product development and production first, then retro-fit the packaging design around the product. Deciding to Use EPS Although many variables came into play when designing the Xbox packaging, the final decision to use EPS endcaps boiled down to three critical factors cost efficiencies, protective capabilities and ease of assembly. Cost effectiveness was the single most important reason why EPS was chosen over other custom packaging options. Microsoft was able to configure the moulded foam exactly to its unique specifications, and as the product is distributed around the world, the lightweight material helps keep shipping costs low. Superior protective capabilities also earned high marks for EPS during the design process. The packaging material needed to be sturdy enough to protect the sensitive electronic contents, yet compact in order to fit three-across on a standard 48" wide retail shelf. Moulded EPS endcaps that fit securely over the top and bottom of the console were the answer. According to packworld.com, the endcaps provide optimal cushioning strength that meets a maximum G-level impact force of 100. "We had to weigh the protective needs of the console against marketing requirements for a streamlined package that fits efficiently on retail shelves," explains Gary Lietzke, Senior Packaging Engineer at Microsoft in Redmond, Washington. Preliminary test packages were too large, and package engineers were tasked with reducing the dimensions by 20%. A testing methodology on weighted samples was developed to meet G-level requirements, and in the end, the more compact size enabled Microsoft to double its pallet capacity in Europe and increase the capacity in Japan by thirty percent. The Xbox is distributed worldwide from just two production facilities, Mexico and Hungary, so establishing a streamlined assembly process was essential to keep products flowing smoothly, especially during peak holiday demand. Both sites utilize a manual assembly, so moulded EPS facilitated a one-step process - fast and simple, with little training required. To date, Microsoft is very pleased with the performance of EPS. Initial estimates indicate the total number of consoles sold at well above one million in North America alone. For more information on Microsoft’s Xbox, visit www.xbox.com.
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This information was presented at the 6th 
Thinking Inside the Xbox Box
