Converting Suppliers Meet Short-run Needs
The overarching trend for short-run printing has been driving change throughout the package printing supplying chain for a good number of years now. Much has been written in the pages of packagePRINTING concerning the great strides in press technology that have been driven by the need to reduce makeready times and waste—in all processes (flexo, offset, gravure). These include servo drives, sleeves, digital plates, super-fast changeovers, and even workflow automation—all geared toward maximizing press productivity. And the advantages inherent in digital printing technologies are driving much of this technology's growth.
The impact of shorter production runs, combined with the established practices at lean, productive companies to minimize inventories at all stages of production, has resulted in many supply chain changes, including those at converters that supply materials to package printers. Companies such as acpo, Acucote, Avery Dennison, FLEXcon, MACtac, Multi-Plastics, Technicote, and UPM Raflatac are making changes to the products and services they offer to meet the ever-changing short-run needs of their customers. packagePRINTING asked several of these converters how they are responding to the changing landscape. Their responses are below.
pP: How has the continuing trend for shorter run printing impacted your business? Are you holding inventory for your customers? Supplying smaller order quantities?
Allison Braham, marketing manager, MACtac® Roll Label—Digital printing is all about shorter runs, which is one of its main advantages. In the marketplace today, there are several color inkjet and laser printers that require non-standard lengths—these are lengths below 2,500 feet. At MACtac, we offer Precise programs on the majority of our digital product lines, so the customer can buy just one roll to help lower minimum purchases. We have introduced a new offering MACcopy® JR. to help meet these needs. As the latest Precise program, this product is available in rolls at 1,250 feet.
Kim Hensley, product manager, MACtac® Roll Label—An impact of short-run printing is to offer more service programs such as our Precise program. MACtac's Precise program allows customers to purchase smaller amounts of the products they need, when they need it, for each job. We offer our entire durable films product line Precise by 2,500 feet. This convenience offers converters and customers fast entry into the durable goods labeling market without the expense of having to inventory material.
Additionally, short-run printing is a main trend for the beverage market, which is driven by product diversification and personalization of the marketing message. Responding to this demand, MACtac has introduced Precise programs, allowing smaller order quantity requirements for these short-run, specialty, and prime-labeling applications.
Melissa Walsh, marketing communication coordinator, Acucote—Our customer base, as well as the packaging industry, has looked to differentiate themselves from competitors. As a result, they have turned to more specialized and/or technically engineered label products. In most cases, the volumes of these products are not as large as seen with commodity applications. In order to meet our customers changing needs, we developed the Business Development Team (BDT). The BDT analyzes and recommends solutions for customer-specific application needs.
We offer custom inventory and stocking programs that allow our customer base to react in a timelier manner to their customers' needs; including order quantity and size.
For smaller order quantities, we do this through our no trim and SmartSlit® programs. No trim products allow customers to purchase an individual roll(s) rather than having to meet the ordering requirement of an entire master roll width. Our SmartSlit program includes more than 25 items that are available in pre-slit widths and lengths, or at a minimum order of master roll width x 2,500 lineal feet. Also, we have invested in equipment that allows us to produce smaller rolls more efficiently.
pP: Have you developed new material supply programs to accommodate smaller order quantities from your customers?
Braham—We offer MACtac's Precise Program as well as specific products such as MACcopy JR. specifically to accommodate smaller run quantities. We also offer same day shipping on a large selection of our products to provide material more quickly to the shop floor.
Walsh—We have developed the Nine.Five and half-master piggyback programs. Nine.Five allows customers to purchase pressure-sensitive products at 9.5˝ x 2,500 feet. (combinations must be included in the program). Standard lead time is 5-7 business days.
The half-master piggyback product line allows customers to choose from 17 different facestocks to construct up to 34 half-master combinations. This line features Acucote's all-temperature, permanent adhesive AT-4505. Face stocks include prime papers, fluorescents, prime films, and variable print. Minimum order quantity is 29.25˝ x 2,500 feet and ships within five business days.
pP: How have these changes impacted your operations in terms of producing products for your customers? For example, does it require shorter runs for your operation?
Braham—These programs do not require that we have shorter coating runs, but it definitely has an impact on our finishing. We have proprietary software to help us deckle our webs most efficiently and keep scrap low.
Walsh—In the last five years, we have spent capital dollars to purchase equipment that allows us to manufacture short-run customer orders more efficiently and with shorter lead times.
pP: Comments?
Walsh—We continue to evolve in order to meet changes in industry requirements. As we have seen an increase in customers trying to differentiate from their competitors, we have adapted our manufacturing and selling techniques to be the "specialty provider".
Cheryl Caudill, marketing and communications director, Multi-Plastics—This is nothing new to Multi-Plastics. Providing custom slit rolls or sheets in less than truckload quantities has been the core of our business for over 34 years. Multi-Plastics, Inc. stocks unsupported films for over laminates, ticket/tag materials, and flexible packaging materials. The reason large manufacturers, like ExxonMobil Chemical Co, partner with us is our ability to provide one roll or thousands of pounds of material in 3 to 5 days. We have seven strategically located distribution facilities in North America to service our customers from coast to coast in a timely manner. Narrow web printers can supply the flexible packaging products without having to buy a truckload of material or wait 8-10 weeks lead time from the manufacturer. Instead we work with the buyers to supply materials just-in-time and keep our customers' inventory levels low.
Additional programs
UPM Raflatac introduced its Small Roll Service for Durables and Security labeling products in 2012. This program allows converters to provide high-value labelstock solutions to a broader customer base. As an alternative to ordering master rolls of paper and film label stocks, the Small Roll Service allows converters to order single rolls, available in widths of 6.5˝ by 1,500 feet. "With our new Small Roll Service, label converters can provide Durables and Security end-users with high-quality, speed-to-market labelstock solutions," says Trevor Richardson, business development manager, specials, UPM Raflatac. "Additionally, our customers can take advantage of our new service to run product trials and fill small orders at a lower cost with less risk, increasing their flexibility and profitability."
FLEXcon's Pre-Slit-Roll Program offers thermal transfer printable pre-slit rolls in a variety of roll widths and lengths. It is designed to address converter needs by controlling costs through waste reduction, minimized inventory, and fewer printing changeovers. "We're always working to find a better way to meet our customers' needs," says John Bennett, vice president, product identification, FLEXcon. "By providing more options, we're helping converters control inventory and order only the materials they need."
Strong, flexible links
It's clear that the supply-chain links are strong, and demands at one point in the supply chain have a ripple-down effect to suppliers (and suppliers' suppliers). It is also clear that flexibility in meeting customer demands can make those supply-chain links much stronger. pP