Tuesday, September 30, 2014

The Well-Being Of Packaging


      by Greg Kishbaugh

     One of the key drivers of the sustainability movement  comes from consumer goods companies committed to reducing packaging. Mondelez International, an American multinational confectionery, food and beverage conglomerate that comprises the global snack and food brands of the former Kraft Foods, has issued its first sustainability report entitled The Call for Well-Being, 2013 Progress Report. The report details steps Mondelez has made to meet its well-being metrics in the areas of mindful snacking, sustainability, communities, and safety.

     Mondelez had earlier made a commitment to eliminate 50 million pounds of packaging by 2015. The company reports that it is on target having eliminated 48 million tons between 2010 and 2013.
     “Packaging is part of the joyful experience people have with our brands,” said the report. “It is why we are always looking at new ways to use fewer materials while increasing the amount of recycled content in our packages.”
     A number of initiatives have aided Mondelez in achieving its goals to this point. Just two such moves have elimnated nearly 13 million pounds of packaging.
     In Australia, Cadbury Dairy Milk bars converted to a new single-layer flow wrap that eliminated 2.8 million pounds of packaging.
     Jacobs Velvet coffee was relaunched in new packaging that eliminated more than 10 million pounds of packaging weight.
     The company utilizes a proprietary Eco-Calculator™ to aid in its sustainability efforts. “The tool helps us create more environmentally conscious packaging by determining the percentage of post-consumer recycled materials, as well as the amount of energy and greenhouse gas emissions associated with creating and disposing of a pack,” says the report.
     The Eco-Calculator is web-based allowing teams worldwide to access the information.
     “Our business success is directly linked to enhancing the well-being of the people who make and enjoy our products and to supporting the communities where we grow our ingredients,” said Irene Rosenfeld, Chairman and CEO. “It’s this belief that inspired our Call For Well-being.”

Friday, August 29, 2014

A Surge In Labels


      by Greg Kishbaugh

     World demand for labels looks to remain strong in the coming years, increasing 4.9 percent annually to nearly 58 billion square meters in 2018 with a value of $114 billion, according to World Labels, a new report from Freedonia Group.
     “Renewed vigor in global manufacturing output will be the primary factor driving growth,” noted analyst Mike Richardson. Additionally, the report suggests that the global economic expansion that continues to develop in the wake of the recent economic downturn will drive consumer spending on packaged goods.

     Growth in spending, unsurprisingly, will remain highest in the world’s developing regions where consumer spending is growing most rapidly.
     The Chinese and Indian label markets will fuel expansion in the Asia/Pacific region at a faster rate than the rest of the world. The blistering pace of China’s economic growth will slow a little in coming years, but the country’s enormous market for labels will still account for nearly one third of label demand through 2018. The Indian market is smaller in scope than that of China but it is projected to grow at a faster rate.
     Gains will not be as dramatic in the developed markets of the United States and Western Europe but the growth will be a marked improvement over that of the 2008-2013 period. During the economic decline, many countries experienced slowdowns in label demand and even the best performing economies struggled. But, according to the report, growth in manufacturing, especially in food processing, will lead to a revitalized label market in the future.

Wednesday, July 30, 2014

Gardening Waste


      by Greg Kishbaugh

     One of the most compelling and interesting components of the sustainability movement is that it has forced companies to think far beyond the normal parameters of their standard operating procedures.      
     Case in point, Garnier, the beauty and skin care products producer, has figured out a way to turn its packaging waste into gardens. Teaming up with TerraCycle, an upcycling and recycling company that collects difficult-to-recycle packaging and repurposes the material, Garnier recently launched an initiative called the Garnier Green Garden.      

The Garnier Green Garden campaign creates community gardens made from non-recyclable post-consumer beauty waste.
The campaign began by transforming more than 1,500 pounds of recycled personal care packaging waste into a  Green Garden in Harlem. Garnier and TerraCycle then overhauled a garden at a special needs school in the Bronx.
     To further the scope of the program, Garnier and TerraCycle introduced a “Where Should Our Garden Grow?” campaign to award one recipient with a new community garden. After a public voting period, The ReFresh Project of New Orleans was named the winner. The ReFresh Project’s ReFresh Community Farm is a new teaching farm located in Treme/Mid-City New Orleans. The new garden will reportedly be capable of yielding more than 2,000 pounds of vegetables, fruit, herbs, and flowers.
      “The plastic components of the garden, such as raised beds, picnic tables, and trash receptacles are made from recycled beauty-care packaging waste collected through Garnier’s Personal Care and Beauty Brigade®,” said the company. “The Brigade is a free fundraising program that donates money to a charity of the collector’s choice for every piece of beauty and personal care packaging waste returned to TerraCycle for recycling. The collected waste, which would otherwise be destined for landfills, consists of non-recyclable hair care, skin care, and cosmetic packaging.”      
     No question that innovation continues to rule the day in terms of the impact of packaging upon the environment.

Monday, June 30, 2014

Money On The Table


      by Greg Kishbaugh

     Last week, DiTrolio Flexographic Institute in Broadview, Illinois, held an open house focusing on the myriad ways in which converters and machinery manufacturers in the flexo industry can take advantage of government funding for the training and education of their employees.
     The scope of the programs that are available are unimaginable and there’s no question that a vast majority of converters have no idea of the depth of assistance that is available to them.
The Open House featured speakers from the Illinois Department of Commerce and Economic Opportunity; Chicago Cook Workforce Partnership; the Alliance for Illinois Manufacturing; the Chicago Federation of Labor; and SERCO.

     Because DiTrolio is based in the Chicago area, the agencies represented at the open house were all based in Illinois but the presenters were quick to point out that every state in the union has similar programs in place.
     A representative from the Federation of Labor summed up the agency’s philosophy as follows: “We have money and we really want to give it to you.”
     As surprising as it was to hear such a bold statement it was no less surprising to find out just how closely the various state agencies work together to try to assist small businesses. Every participant stressed just how hard they try to work with each individual company to meet their needs.
     One has to wonder just how many converters are fully aware of the sheer volume of assistance programs that currently exist.
The truth is, there is money on the table to help converters better train their workforce but it is being left untouched in many cases because converters simply do not know it exists.
     Vince DiTrolio, the Owner of DiTrolio Flexographic Institute has a wealth of experience and knowledge in this area. Converters looking to improve the efficiency of their workforce (and save thousands of dollars) would do well to ask his advice by calling the school at (708) 343-4334.

Friday, May 30, 2014

Environmental Stewardship


      by Greg Kishbaugh

     The Label Printers, Aurora, Illinois, has long been a champion of sustainability. The company has won back-to-back Illinois Governor’s Sustainability Awards and TLMI Environmental Leadership Awards, as well as an honorable mention from the FTA for its Environmental Excellence Awards.     
     In keeping with its commitment to this increasingly important topic, the company’s Director of Human Resources George Tommasi was a presenter at the recent Sustainable Waste Management Conference, hosted by the Lake Michigan States Section of the Air & Waste Management Association. He discussed the success of The Label Printers’ sustainability program, providing a ‘small business” perspective.      
     Presenters included municipal and state governments; the Environmental Protection Agency; large corporations; and “green” technology innovators.      
     Tommasi discussed The Label Printers’ “Go Green, Save Green and Earn Green!” program, which revolves around the premise that being a sound environmental steward is not only a moral imperative but that it is also good for business, lowering costs and generating new revenue streams.      
     Tommasi, who is a team leader for TLMI’s L.I.F.E. sustainability program, discussed the company’s “Take Stock for Education” program and its employee electronic recycling day. “I wanted to show how you can combine company initiatives with ways to help the community and employees, and I also wanted conference attendees to see that even a small company can make a big difference,”  Tommasi said.

Friday, April 25, 2014

Success In Increments


      by Greg Kishbaugh

     It’s part of our human nature that we like big, bold moves. And it’s no different for businesses. Every business executive has their eye out for the monster acquisition or the game-changing tech innovation. But it’s important for those very same businesses to be open to the realization that sometimes, good things come in small packages. Sometime small, incremental change can be just as impactful as much larger changes.     When candy giant Hershey recently relaunched its line of Miniatures Assortment bars, the company decided it would tweak the packages by reducing their metallized paper wrappers by an infinitesimal 0.05 grams.


     “It might seem small, but in just one year that equated to more than 271,800 pounds of wrappers saved — that’s enough to fill 11 tractor trailers,” said Laura Renaud, Hershey’s Associate Manager of Corporate Communications. “Cutting our paper use saves 1,957 trees while cutting our aluminum, use and energy to produce it, equates to turning off the electricity for one year in 56 homes.” 
     This is a move that will be invisible to consumers but will have lasting impact on Hershey’s environmental initiatives. And the company understands that when huge volumes are involved, these small changes can add up quickly to something quite substantial. 
     “We knew we could make a bigger impact if we looked at the brands and items with large volumes,” Renaud said.
Hershey has also been wise in not focusing on one or two products but on analyzing every single item in its production process. The simple truth is that in terms of sustainability, its often more beneficial to focus on small, incremental changes in a host of products rather than focus on huge changes to one or two.
     The Miniatures wrapper lightweighting is just one of nearly 200 separate sustainability initiatives and projects Hershey has launched. In 2009, the company saved 425,000 ounds of rigid plastic by reducing the weight of its syrup bottles and the following year, it saved 528,000 pounds of rigid plastic by paring down one of its product lines in Mexico.      
     Every CPG and flexo printer could certainly benefit from this type of introspection. Maybe your company doesn’t need a huge, earth-shattering move. Perhaps it would be better served by hundreds of smaller initiatives that prove the old adage: from small things, big things one day come.

Tuesday, April 22, 2014

The Rewards Of Change


Paul Sharkey

     The world around us is constantly changing. And while time advances in a linear way, nothing else does. The circumstances in which we find ourselves have an ebb and flow. The only constant is constant change. Sometimes change is moving us forward and sometimes it’s not. As I see it, our individual and collective challenge is to master both positive and negative change.
     By master I mean to understand nothing remains the same and to be prepared to deal with change. For me, preparation means having a plan to move forward toward clear goals and then to execute the action plan that will achieve those goals. I find the forward movement of executing a well thought out plan—one with defined activities according to a time table–can insulate against being negatively impacted by circumstances outside our control. Simply said, having a process and controlling its execution will get us to where we want to be, most of the time.

     However, there are circumstances outside our control that we can’t protect ourselves against. In such cases, I find being mentally prepared to rise to each such occasion will best allow us to modify or change as required to navigate successfully through what has changed. This means rather than allowing change to knock us off course, that we assess what changes we must make to get back on track or to modify or change our goal.
     So how exactly does this all make sense in the context of the flexographic printing industry? Let me ask how your personal and company outlook was 10 years ago? A CNN/MONEY Magazine article in October 2003 said Q3 GDP growth was 7.2 percent annualized, and was the fastest in 20 years. An economist at the firm, Lehman Brothers, stated this boom was driven by consumer confidence and spending. At the same time, toward the end of the article, it was noted that the U.S. economy had lost more than 3 million jobs in the prior 12 months. Still, for most, business was very good!
     Fast forward five years to 1:45 am on Monday, September 15, 2008 when Lehman Brothers, one of the largest financial services firms in the world, having been founded in 1850, filed for bankruptcy representing a loss of $639B. It is still by far the largest bankruptcy in U.S. history. By comparison, the market crash of 1929 in today’s dollars amounted to $319B.  Even though we didn’t know it officially at the time, our economy had been in recession since December 2007. The stock market lost 34 percent of its value that year. What was your personal and company outlook at that point? I think it’s safe to say we were all very frightened and unsure of what was going to happen next.
     Clearly, in 2008 circumstances outside our control were at play. No matter how good we were at executing our business plans and executing our process, we were all knocked off course as we found ourselves in the Great Recession. 
     Over the course of two years, four of our top ten customers closed their doors. Sales declined to levels we had passed five years earlier. While it took a while to figure out what was happening and more time to decide what changes were needed, we did. We entirely reset our business plan based on a different strategy.
     Today, FLXON has no ambition to become the biggest supplier of doctor blades. As a matter of fact our business is not focused on doctor blades. We are engaged with fewer printers than five years ago. We work with flexographic printers assisting them to add value to their enterprise. Our focus is on driving waste out of their process at multiple levels and to do so in a sustained way. Our relationships with customers are deeper. Today, each of us at FLXON finds our business more rewarding than in the past. Our top and bottom lines are better than ever.
     Today, FLXON’S success is based upon our ability to react and change in the face of the difficult times imposed upon us in 2008. We are just one example of how many companies in the flexo printing industry have made changes to their businesses to become stronger and better prepared to deal with future uncertainty. And in many ways its more rewarding than ever.