Customer Commentary (CONT’D FROM PAGE 1 ) Optimize Production Maximize Your Corrugator Speeds With Matched Glue Roller Sets
result, consistent quality and process improvement were non-existent. We never shared information because of our mistrust of each other and because we knew there was no assurance that we would be doing business with one another that much longer. These circumstances made it impossible for the sup- plier to forward-plan raw material purchases, production schedules, capital equipment expenditures and optimal use of that equipment. Loyalty between producer and con- sumer was non-existent. In fact, a lack of loyalty brought out the dark side of some. Gratuities were sometimes offered or willingly solicited, while favors were culled by both sides. Although not always the case, this practice was more prevalent than one cares to admit. Several years ago, however, I changed the way pur- chasing was conducted. I’m sure the original content was to take our orders and use them as a weapon to obtain better pricing from our suppliers. The new purchasing platform came as a direct result of the changing competitive environment. Until the 1990s it wasn’t difficult to make reasonable profits in our industry. But, as was the case for many other businesses in the Unit- ed States, things changed and margins were squeezed. The Japanese were producing high-quality products at lower costs and reduced lead times. So, I set out to reduce our costs. At the time, the corrugated industry was asking for a 10 percent price increase, and we had six suppliers informing them that I was reducing supply base to three or fewer. After a month of negotiation, we had effectively reduced our supply base to one. We saved a lot of money, and I was a hero. That didn’t last long. I spent the next year forcing this wonderful deal down the throats of all my plants. By the end of the year, I was failing miserably. I could not be excit- ed about all the money we were saving. After all, weren’t we always looking for a better price? I later discovered that my customers wanted a lot more. They were into a new quality process and price was no longer the only fac- tor. Deming, Juran, Crosby and others were bringing about new awareness concerning quality. Their buyers expect- ed on-time delivery of corrugated products that were not warped or de-laminated, and a supplier who cared about the customer. Having none of these, I wasn’t sure my old price-driven purchasing effort driven only by profit, was going to be around much longer. Nevertheless, this became the im- petus for our new approach to purchasing supply chain management. Implementing A New Approach It became clear that, if we were going to survive, we had to find a different way of doing business. We had to be prepared to embrace change and create paradigm shifts within our operations. We had to become market-based communicators of this new approach to purchasing—not
Wouldn’t you like faster speeds, less vibration, consistent quality, and happier corrugator operators? If your rollers are engineered,
machined, and balanced to work perfectly with each other, you can get all that —and more. The new Starch Saver glue applicator rollers from ARC International offer you a wide volume range that can accommodate any of your ute sizes or starch requirements. The engineers at ARC are trained to ensure that everything rolling on your corrugator is optimized to give you peak performance and healthy pro ts. If it involves gluing, coating, or moving board, The ARChitects of Flexo should be on your team.
Contact ARC today to learn more about Starch Saver rollers andMatched Sets that give you unmatched performance.
ARCInternational.com 800-526-4569 The ARChitects of exo
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October 19, 2020
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