BoardConverting Serving the North American Corrugated and Folding Carton Industries for 39 years March 13, 2023 VOL. 39, NO. 11
How To Recession-Proof Your Business BY PHILLIP M. PERRY
NAM Opposes FTC Ban On Noncompete Agreements The National Association of Manufacturers (NAM) is opposing the Federal Trade Com- mission’s proposed ban on all noncompete agreements, pushing back on a move that would damage the manufacturing industry. According to Robyn Boerstling, NAM Vice President of Infrastructure, Innovation and Human Resources Policy, manufacturers use noncompete agreements only for select workers handling their most sensitive infor- mation and that banning noncompetes would force companies to completely revamp their human capital operations. “Noncompete agreements are a critical tool for protecting manufacturers’ intellectual property, and alternatives like nondisclosure agreements are not sufficient,” said Boerst- ling. “The FTC is wrong to put forth this blan- ket ban on a number of counts, including the fact that the rule concerns an issue of vast economic and political significance that is be- yond the scope of the FTC Act. NAM objects to the FTC’s proposal in its current form and asks that it be withdrawn until the FTC can propose a more tailored approach that allows for sensible exemptions.” Visit nam.org for more informatiion.
The business world is teetering on the edge of a recession. “We are seeing evidence that the economy is slowing down,” said Anirban Basu, Chairman & CEO of Sage Policy Group. “Retail sales and indus- trial production are falling. Layoffs are occurring at companies such as Microsoft, Peloton, Twitter, and Amazon.”
Moody’s Analytics estimates an increase of only 1.7 percent in Gross Domestic Product (GDP) when 2022 numbers are finally tallied. That represents a noticeable deceleration from the 5.9 percent post-pan- demic rebound of the previous year. If 2023 brings an actual decline in GDP—the total of all goods and services transacted in the nation—that will represent the first recession since 2008. The not-so-secret force driving the economic crisis is the Federal Reserve’s moves to raise interest rates—a proven cure for inflation that, unfortunately, also dampens business growth. Recessions tend to gain force quickly once they begin, as commer- cial enterprises shift from chasing demand to cutting costs. History shows that organizations taking swift remedial action rebound faster once hard times recede. Take Stock What are the best managerial moves in the face of a recession? The answers can be tricky. The current recession is more complex than usual, with businesses getting squeezed from two directions. From CONTINUED ON PAGE 16
WHAT’S INSIDE 6 x x 8 x x 12 x x 26 x x 3 SUN Automation Adds Two 24 Supplier Reports: Part 6
To Senior Leadership Team Haire Group Names Lopez Business Development Director Business Meets Slopes At AICC West Coast Ski Meeting In UT
EVERYTHING CORRUGATED UNDER
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EVERYTHING CORRUGATED UNDER
Machinery and Handling for the Corrugated Board Industry
SUN Automation Adds Two To Senior Leadership Team
AVERAGE CONTAINERBOARD PRICES The average prices reported are tabulated from prices PAID by various sources throughout the United States the week previous to issue. Prices in some areas of the country may be higher or lower than the tabulated average. The prices tabulated here are intended only for purposes of reference. They do not connote any commitment to sell any material at the indicated average. Transactions may be completed at any time at a price agreed upon by seller and purchaser.
Glen Arm, Maryland based SUN Automation Group (SUN) has announced two promotions within its organization to expand its Senior Leadership Team.
REGION E. Coast Midwest Southeast Southwest
42# Kraft liner $ 9 55.00-960.00 $ 9 70.00-980.00 $ 9 70.00-980.00 $ 970.00-980.00 $ 1000.00-1 010.00 $ 9 73.00-983.00
26# Semi-Chem. Medium
Short Ton Del. Short Ton Del. Short Ton Del. Short Ton Del. Short Ton Del. Short Ton Del.
$ 890 .00-9 4 0.00 $9 0 5.00-9 2 5.00 $9 0 5.00-9 2 5.00 $9 0 5.00-9 2 5.00 $9 2 5.00-9 4 5.00 $9 0 8.00-9 2 8.00
Aaron Schlothauer has been pro- moted to VP of Engineering, and Gokul Gopakumar has been promot- ed to VP of Technology and Busi- ness Development. Both will support SUN’s relentless commitment to pro- vide the highest level of technology and services to its customers. tremendous momentum and stability for many years to come,” says Chris Kyger, President at SUN. “Aaron and Gokul continue to exceed expecta- tions with their intellect, dedication, and passion to drive innovation and improvement across the organiza- tion. Their desire to connect with
West Coast U.S. Average
SHEET PRICES BY REGION (AVERAGE) Per 1MSF, local delivery included, 50MSF single item order, truckload delivery. Sheets
E. Coast Midwest South-SW S. CA N.CA/WA-OR US Aver.
200# 275#
$62.26
$72.05
$62.69 $82.80
$85.35 119.54
$73.13 101.29
Aaron Schlothauer
97.32
99.89
90.86
113.65
“Adding Aaron and Gokul to our Senior Leadership Team strengthens our entire organization and gives SUN
OYSTER UP-CHARGE 8.34
8.34
8.34
8.34
8.34
8.34
275# DBL-WALL 350# DBL-WALL
107.46 118.45
114.69 129.32
116.54 137.25 117.82 145.56
141.08 148.46
122.76 131.80
CANADIAN SHEET PRICES (AVERAGE) In Canadian Dollars, per 1MSF, local delivery included, under 50MSF single item order, truckload delivery. 200# 275# Oyster UC 275#DW 350#DW $78.56 $99.18 $9.00 $96.32 $105.83 CANADIAN LINERBOARD & MEDIUM The average prices reported are tabulated from prices PAID by various sources throughout Canada. Prices may be higher or lower in various areas of the country. The prices tabulated here are intended only for purposes of reference. They do not connote any commitment to sell any material at the indicated average. Transactions may be completed at any time at a price agreed upon by seller and purchaser. Prices are Canadian $ and per metric ton.
Gokul Gopakumar
and mentor their colleagues and peers puts my confi- dence level in our leadership team at an all-time high.” CONTINUED ON PAGE 4
42# Kraft Liner 26#
Semi-Chem Medium
East West
$9 2 0.00 $ 96 5.00
$9 1 0.00 $9 4 5.00
3
March 13, 2023
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SUN Automation Adds (CONT’D FROM PAGE 3)
Core Competency
Aaron will lead SUN’s global engineering operations, he will oversee production & retrofit engineering, new product development, and innovation. With over 15 years of industry experience, Aaron’s depth of product knowl- edge combined with his technical, design, and application expertise will provide SUN’s customers with the assurance that the equipment they receive will help them exceed their production goals. Gokul will lead SUN’s technology development & im- plementation and business development activities. Gokul will continue to develop and lead Helios, SUN’s OEM-ag- nostic IIoT solution designed by corrugated experts for the corrugated industry. In this new role, Gokul will be bringing Sun’s repertoire to new disruptive technologies, and busi- ness opportunities that will grow SUN’s ability to continue serving its customers as the industry-leading provider of solutions for the box plant today and in the future.” “Aaron and Gokul have demonstrated great collabora- tion with our customers along with their own creative ex- pertise into solutions that bring great value to box making operations,” said Greg Jones, Executive VP at SUN. “I have personally witnessed the confidence they give our cus- tomers in our ability to improve their operational efficien- cies. We, are very excited for Gokul and Aaron and look forward to how this will ultimately benefit our customers and the industry at large.” Visit www.sunautomation.com .
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The value of quick change.
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AICC Drops New Breaking Down Boxes Episode 'Anything Is Possible' Hosts Gene Marino, Executive Vice President, Akers Pack- aging Service Group, and Joe Morelli, Vice President of
Royal Containers, called. It was supposed to be temporary, but she turned it into her career and found her passion in trying to build and grow what her father had created. “Joe and Gene were bang-on when they said, ‘Let’s have a candid conversation about your career in the pack- aging business.’ The interview turned out to be a reveal- ing discussion, and that is because these guys are sincere and authentic,” Nelson said. Founder Ross Nelson, after a rough start causing the family to lose everything, built Royal into a strong com- pany. Several years after the next generation came into the business a decision had to be made about the com- pany’s direction. Kim Nelson looked at the company as a business, and if it were run as a successful business could benefit the family. Her father agreed and knew the com- pany had to grow, but others in the family thought differ- ently. Kim honestly shares the challenges her family faced during this transition.
Sales and Marketing, Huston Patter- son Printers and Lewisburg Printing Co., speak with Kim Nelson, President and CEO, Royal Containers, in Any- thing is Possible, the latest episode of Breaking Down Boxes.
“Kim is a competitor ‘through and through’ which speaks to her drive as a leader, but her transparency and honesty is what makes her an exceptional leader,” Marino said. Rather than pursuing a career in law as she had planned, Nelson returned home when her father, the founder of Kim Nelson
“Kim is an extraordinary leader, a role model, and a pioneer in our industry and in our Association,” said Mike D’Angelo, AICC President. “All that comes shining through in this latest compelling episode of Breaking Down Boxes.” Nelson’s belief in being authentic and her leadership skills helped build the company from a one plant operation to a multi-plant company with stakes in a mill and a sheet feeder. Her story is one that will encourage anyone in the industry. Subscribe to Breaking Down Boxes on all major podcast platforms or visit the AICC web site at www.AICCbox.org/Boxes . Domtar Announces Sale Of Dryden Mill To First Quality Fort Mill, South Carolina based Domtar Cor- poration, a part of the Paper Excellence Group, and First Quality Enterprises, Inc. announced that they have entered into an agreement to sell Domtar’s Dryden pulp mill to First Quality of Great Neck, New York. The Dryden transaction, expected to close in the third quarter, is subject to regu- latory approvals and the closing of the Reso- lute Forest Products Inc. transaction. First Quality has emphasized that it ful- ly intends to continue business operations consistent with past practices. The sale of the Dryden Mill is a requirement under the consent agreement between Domtar and the Canadian Competition Bureau in con- nection with its review of Domtar’s planned acquisition of Resolute. The Resolute trans- action should close in the first half of 2023.
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Haire Group Names Danny Lopez Director Of Business Development Merrillville, Indiana based Haire Group has announced the appointment of Danny Lopez, as its new Director of Busi- ness Development. Lopez has an undergraduate degree in mechanical engineering from Washington State Univer- sity and a Master’s in Business Administration from the
Puhl custom designs systems to meet your needs. • Moving to a new facility? Puhl has experience moving entire plant systems all while minimizing down time in BOTH plants during the transition. • Below roof AND above roof systems custom designed to meet your needs. • New and Remanufactured Equipment (balers, blowers, separators, filters and more). Our Remanufactured equipment includes a warranty and offers significant savings. • NFPA and OSHA compliant systems designed by our NFPA trained engineering team. • Dust Briquetters, Certified Explosion Isolation Valves, Flame Front Diverters and more to control dust and meet NFPA requirements. • PLC Touch Screen Controls with Real Time Pressure Balancing and Real Time Remote Monitoring available on your smart phone or computer. Senior Territory Manager over the past 16 years at Alliance Machine Systems International. “Danny Lopez is a tremendous addition to the Haire Group team,” said Mike Mulroe, President of Haire Group. "As we continue to grow and add to our team, it’s critically important that we do not lose sight of what has made us successful, a commitment to our core values and a phi- losophy rooted in taking care of the customer. Danny is a perfect fit for Haire. He is a high-integrity professional, ex- tremely knowledgeable, and has a passion for taking care of the customer. We’re excited he’s on our team and taking on this new role for Haire.” Visit www.hairegroup.com . Mill Rock Packaging Partners Appoints Lynnette Crowder CHRO New York, NY based Mill Rock Packaging Partners an- nounced that it named Lynnette Crowder Chief Human Re- sources Officer (CHRO), a new position for the company. As CHRO, Ms. Crowder will oversee all aspects of human resources across Mill Rock Packaging's production facil- ities. Crowder is a highly accomplished human resourc- es executive with 20 years of experience building world- class people organizations and driving high-performing cultures. She has broad experience overseeing various functions within the packaging and industrial industries and will serve as a key member of the leadership team.
University of Phoenix. This powerful combination of busi- ness acumen, industry expertise, and engineering makes him uniquely qualified for his new position at Haire. Prior to joining the Haire Group team, Danny worked his way from Application Engineer to Product Engineer to
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Registration Open For PPSA Safety & Health Conference
Box Shipments ( U.S. Corrugated Product Shipments) Industry Shipments In Billions of Square Feet Month December 2022
The Pulp & Paper Safety Association announced open registration for the 2023 Safety & Health Conference to be held June 11-14 at the Renaissance Orlando at SeaWorld in Orlando, Florida. Safety professionals throughout the forest products supply chain will gather for two-and-a-half-days filled with educational sessions, safety strategies, and critical up- dates. The latest technologies and advancements will be featured in the New Technology Showcase and guests will have direct access to top suppliers and consultants. This is a great opportunity to talk shop, connect with peers, and be inspired by other leaders with face-to-face networking. This year’s event is located within walking distance to SeaWorld and a short shuttle ride to Orlando’s famous at- tractions. Attendees and any accompanying family mem- bers can take advantage of the resort’s many amenities, including being poolside while the kids play in the water park, water slides and toddler play area. A respected din- ing mecca, Orlando’s restaurants offer up locally-sourced cuisine and artistic beverages. Register at ppsaconference.org before May 11 and book accommodations for early bird savings before the May 19 rate increase. Visit the conference’s site often for program updates.
Year
Actual
Percent Change Avg Week Percent Change
2022 2021
30.124 34.180
-11.9
7.927 8.545
-7.2
Industry Total
Year-to Date
December 2022
Year
Actual
Percent Change Avg Week Percent Change
2022 2021
400.520 416.189
-3.8
7.979 8.291
-3.8
Industry Total
Containerboard Consumption (Thousands of Tons)
Year
Month
Percent Change Year-to-Date Percent Change
2022 2021
2.4260 2.7360
-11.3
32.5461 33.8321
-3.8
Container Board Inventory - Corrugator Plants (Thousands of Tons)
Corrugator Plants Only
Date
Percent Change Weeks of Supply
Percent Change
Dec. Nov.
2.2603 2.2586
0.1
3.5 3.6
-2.8
Shipping Days
Year
Month
Year-to-Date
2022 2021
19 20
251 251
SOURCE: Fibre Box Association
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KOLBUS Hycorr 115 " Rotary Die Cutter Reliability, Quality, and Productivity "Tucson Container's changing demands of current customers led us to look into purchasing a new machine," said David Alvarado, General Manager at Tucson Container. "We decided to go with another KOLBUS Hycorr, due to their superb service, reputation of reliability, and the success we've had with our first two Hycorr die cutters. They created greater value and built competitive advantages for our customers and Tucson Container."
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Business Meets Slopes At AICC West Coast Ski Meeting At Snowbird Cliff Lodge In UT Golden-orange sunsets over Little Cottonwood Canyon and cozy gath- erings around a fire after a day on Snowbird’s majestic slopes was the backdrop for the ultimate networking event at AICC’s 2023 West Coast Ski Meeting in Snowbird, Utah.
Packaging ERP Algorithmic Scheduling Web-Based Access Online Customer Portals Paperless Workflows Mobile Sales Systems Digital Signage Production Monitoring Mobile Logistics Analytics & Reporting Cloud Hosting IT Management Services Cyber Security Management
The Snowbird Cliff Lodge is one of the country’s most iconic ski lodg- es and this year’s ski season didn’t disappoint. Though spring is ap- proaching, there was plenty of powder for AICC’s packaging members to play in March 1-4. AICC found this year’s meeting to be the perfect balance of network- ing and mountain shredding. The resort offers “ski-in/ski-out” conve- nience and many amenities for members to enjoy including a spa, heated swimming pool and hot tubs, and a variety of delicious cuisine options. Rooms at the lodge offered gorgeous views of snow-capped mountains and the scenic canyon.
600 + Plants 60,000 Users North America Latin America
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TAPPI Announces CorrExpo 2023 Keynotes: Chapman And Schulman TAPPI has announced that Bob Chapman, Chairman and CEO of Barry-Wehmiller, is CorrExpo 2023’s opening key- note and Mark Schulman, world-class drummer for per- formers including P!nk, Foreigner, Billy Idol, and Cher, is the closing keynote at the event, August 28-30 in Cleve- land, Ohio. As Chairman and CEO of $3 billion global capital equipment firm Barry-Wehmiller, Chapman has champi- oned meaningful work, and caring work environments, through what he calls “Truly Human Leadership.” In his keynote, Chapman will challenge attendees’ traditional thinking about how to run a business and how to be caring and effective leaders. Attendees will leave inspired and equipped to implement some of these concepts with the end goal of building better organizations for tomorrow. Drummer for some of rock’s great artists, Schulman’s presentations have the excitement of a live concert com- bined with the transformational results of a cutting-edge keynote. Think Tony Robbins meets Bono meets Ringo Starr. Schulman will incorporate his own powerful busi- ness philosophy and innovative strategy into an engaging multimedia and live drumming performance designed to empower, inspire and elevate audiences to a new mindset and level of performance. Visit correxpo.org for more .
Quality leads result in new customers
Read the articles in Board Converting News every week to learn about the people, places and machinery that will open the doors to new or repeat business.
Len Prazych at 518-366-9017 lprazych@nvpublications.com
We’ve got our customers covered… …with our fiberglass backed, boltless, full double-wide blankets and an extensive inventory of corrugated parts needed by virtually every box plant in the country. The innovator of the original fiberglass-backed knuckle locking anvil cover, Stafford is the industry’s go-to source for everything corrugated. TM
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Recession-Proof (CONT’D FROM PAGE 1)
the revenue side, a decline in receipts means less cash to cover expenses. From the cost side, increasing prices are punching up operating expenses. “Over the past six months or so we have seen a rise in the cost of materials and delays in construction and customer payments,” said Josef Roberts, Founder of E Squared Consulting, Atlanta. “Distributors and dealers are buying materials that are much more expensive than before. And delayed receipts are exerting their own pres- sures. The result is a cash squeeze.” For businesses, this unusual dynamic has created a treacherous operating terrain. “A recession is much more dangerous when it is combined with inflation, since prices are going up at the same time that revenues are coming down,” said Oded Koenigsberg, Deputy Dean at the Lon- don Business School. Turn Inward Consultants advise one course of action that will almost certainly pay off: Casting a bright light on internal opera- tions. “Now is the time to get under the hood and examine the individual components of a business,” said Travis W. Harms, President of Mercer Capital. “Inefficiencies have almost certainly arisen during the post-pandemic boom. When times are good, managers tend to focus externally on generating revenues and delivering on obligations. It's
CONTINUED ON PAGE 18
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Recession-Proof (CONT’D FROM PAGE 16)
It helps build better relationships. “You get to know peo- ple a little bit better, and maybe you can work something out with them that strengthens your relationship going for- ward.” One proven tactic is to repackage goods and services into bundles more closely aligned with customer needs. “There are very few products and services that come as is, without being part of a bundle,” said Koenigsberg. “When we buy an airline ticket we get not just transportation but also food, baggage handling, and service on the plane and in the terminal.” Same goes for your products and ser- vices. Can longer lead times be exchanged for lower pric- es for customers in need of discounts? Or free delivery for long-term purchase agreements? Not all customers are created equal. Now is the time to assess the profitability of each. “Especially when heading into a recession, it’s important to rank your customers in terms of quality factors,” said Brownell. “We suggest mak- ing a list of customers in an Excel spreadsheet. Then start asking questions about each and rating them in columns." Brownell suggests asking questions like these: • Which tie up the least number of resources? • Which are willing to be flexible if, for example, supply chain disruptions mean they cant get what they need? • Which are the most loyal and pay on time? • Which are the most price sensitive? Rate each customer from one to 10 on each factor.
all too easy to let operations get a little bit flabby. Then, when the tide goes out, problems are exposed.” No matter what the current condition of a business, a sharp eye will likely spot one or two internal segments clouding the overall picture. While the knee-jerk reaction to this is to cut costs, that too often retards future profits. “When the economy turns down and companies lack suf- ficient cash, they all of a sudden are tempted to let go of core assets they really should hold onto for the long run,” said Basu. “The temptation is to cut too deeply.” A better course is to analyze the dynamics of any prob- lem segments, then make adjustments to enhance profit- ability. Only if they seem unsaveable should they be elim- inated. Collect Receivables Another important step is to raise operating revenue. “In a time of economic weakening, the key is cash,” said Basu. “Cash can get you through anything.” While there are many ways to raise cash, the balance sheet can offer some especially fertile ground. Acceler- ating the sale of stale inventory and extending accounts payable are proven tactics. Perhaps the most effective step is to accelerate the collection of accounts receivable, noted Harms. “Start calling folks who are past due." Reaching out to customers can bring a side benefit, noted Sam Brownell, founder of Stratus Wealth Advisors.
CONTINUED ON PAGE 20
Do you need printed sheets? We have your answer.. Introducing Heartland’s ColorCorr. This is “flexo-printing in the round”. On our corrugator we can print up to 109” wide. The advantage is that we can print the equivalent of ½ roll at a time and not be required to keep several rolls of very expensive preprinted paper on the floor. Much less waste and risk. In continual print mode, we use either laser-engraved rubber rolls or solid rubber rolls to print a “flood coat” or a repeating pattern. If we are printing a repeating pattern, we can run a two-color design on the paper. Customers have found that running sheets we print can allow them to run a lighter-grade due to reduced caliper loss, and in some cases eliminate one or more machine passes.
For more information contact: Charlie Freeman | 816-500-8889 | cfreeman@heartlandsheets.com Tim Kramer | 816-841-8317 | color@heartlandsheets.com
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Recession-Proof (CONT’D FROM PAGE 18)
your costs primarily fixed or variable? If the former, that is supportable when things are going well. But a recession is an opportunity to reconsider. Can you convert some fixed costs into variable ones, reducing your expense base ac- cordingly?” One example, said Harms, is real estate. “Do you have long-term leases you may not need? Is there a way for you to adapt a more flexible approach where you're not being locked so much into long term payments?” Renegotiating may mean more expense in the short run, but more man- agement flexibility in the long run. Retain Top Performers Brownell suggests taking a holistic look at your em- ployees to make sure you've got the right people in the right places, and you know which are the critical ones to the operations of your business. “Who are your vital cogs? Who could you not get along without? Who are the people who can perform cross discipline tasks in the event of a
Then figure out how to do more business with the custom- ers who get the highest scores. Cut Expenses Underperforming fixed assets can be another source of funds. “It’s not uncommon for a business to accumulate non-operating assets during good times,” said Harms. Ex- amples include vehicles, inventory, property, and equip- ment such as forklifts. “See if you have some stuff sitting in the back lot tying up capital, along with requiring pay- ments for licensing and insurance and fuel,” said Harms. “Maybe it’s time to sell it.” While cutting too deeply can harm a company, some attention must be paid to reducing any expenses that have been allowed to grow too high during good times. “It’s good to focus not just on the amount of expenses but also the structure of your expense base,” said Harms. “Are
reduction in force? Those are the people you want to shore up now, and make sure that they feel valued and they know that you're going to stick with them.” It's more important than ever to retain your “A Players” in this tight labor market. “Given the talent crunch and the changing demographics, it’s really important to secure your talent base,” said Palisin. “Retention has been an ongoing issue for the last couple of years. You need to make sure you have a stable workforce, and that your company culture helps to retain your best people.” Your top employees can be a source of innovation, of new ways of doing things and even cost savings. “People on the front lines see things that those in the front office don’t,” said Palisin. “So it’s important to solicit their ideas, empower them, and make sure they have the opportunity to contribute.” Companies can also increase employee loyalty by being very clear on career paths within the company. Provide opportunities for people to find more value in their work and to move forward. And be honest with the chal- lenges the company now faces. Acknowledge that there may be headwinds, and that there may be the need for some sacrifice, including foregoing bonuses or reigning in the compa- ny credit cards. “That kind of forward planning will make you feel more in control of the situ- ation as opposed to just sitting there and get- ting buffeted by these exogenous economic factors,” said Harms. The prudent company will also identify underperformers who might be let go when revenues decline. “During the post-pandemic recovery period, many firms staffed up mas-
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Recession-Proof (CONT’D FROM PAGE 20)
Quality & Consistency
sively in their efforts to chase demand,” said Basu. “But some of those workers have not been performing as well as one might have wanted. That's the kind of worker that probably could be let go to help raise cash flow today to preserve fiscal health tomorrow.” Consult Bankers Tough times require a fresh outreach to primary lend- ers. “Now would be a great time for any business using any type of financing, whether it's longer term debt or a line of credit, to reach out to their banker and have a con- versation about what can be done in the event of a down- turn,” said Brownell. Some questions to explore: Can interest rates be locked in? Can lines of credit be extended? Can monthly payments be reduced? “The whole idea is to ensure con- tinuing access to capital. You don’t want to be surprised by your bank reducing your line of credit because of changes in your P&L.” Take special care that your changing profit picture does not inadvertently violate the terms of any outstanding loan agreements. “Maintaining a dialog with existing lenders is critically important in a recession, because some loan doc- ument ratios may be affected,” said Palisin. “Bankers need to know where you stand financially and what’s going on with your company.” Prudent companies also create a Plan B for funding sources. “Having alternative sources of financing in place can be helpful to facilitate mergers,” said Palisin. “But com- panies need to do their homework. Some of the alterna- tive financing sources can be expensive, especially in a high interest rate environment.” Spot Opportunity Successful enterprises see economic downturns as op- portunities to solidify and increase their market presence. “Businesses need to focus not only on how to get through a recession, but also on how to be stronger coming out of it,” said Harms. A close look at the competition can uncov- er opportunities that will strengthen a company over the long term, he added. Is a market sector being abandoned by a competing enterprise? Finally, strong enterprises can take advantage of op- portunities to absorb weaker ones, said Palisin. “For com- panies with strong cash flows and healthy financial ratios, it can be financially feasible to look into potential mergers and acquisitions. "The key to success is to remain healthy during a recession so you can take advantage of the op- portunities that arise when the economy recovers, said Roberts. “The most successful companies in a downturn will be those that execute the best.” Phillip Perry is an award-winning freelance writer based in New York City and a regular contributor to Board Converting News. His byline has appeared over 3,000 times in the nation's business press. Reach him at https:// www.linkedin.com/in/phillipmperry/.
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SUPPLIER REPORTS 2023 (PART 6)
AMERICAN CORRUGATED MACHINERY Indian Trail, North Carolina: Patrick Szany reports, “2022 was another year of growth and challenges for the cor- rugated industry. The uncertainties of new government regulations caused many customers to look for ways to
thing from anilox rolls to glue systems. Please contact us for more information on the quality, and cost effectiveness of these machines. “ACM had great success in selling the Torosian Tech Post Gluers in 2022. These machines are capable of run- ning straight line, lock bottom, and tray configurations. Ma- chines can be ordered in various conditions from 'good running' to 'totally rebuilt' with a one-year warranty. “ACM is pleased to represent the RJE Magellan line of Box Makers in 2022. There are two models: the LD (non- tri-wall), and the tri-wall capable HD. These machines are ideal for short run, large boxes. The machine sets up in two minutes and can be operated by a single employee. Die cutting and 2-color printings are available features for this machine. The Magellan has filled a niche for compa- nies looking to capitalize on short run, quick turnaround opportunities. Please call us for specifications, video, and a quote. “Machinery lines represented by American Corrugat- ed Machine include Torosian Tech Services, an expert in all areas of machine installations, training, and rebuilding of the Post Folder Gluers; SECO, a manufacturer of auto- matic corrugated board converting equipment with quality
reduce labor costs. This led to an increase in demand for power con- veyor, pre-feeders, load formers, and other items to reduce the head count. This trend is sure to continue well into 2023. “An industry leader since 1985, American Corrugated Machine spe-
Pat Szany
cializes in new and used equipment, expert ASA apprais- als, plant layouts, and startups. At ACM, we understand that market conditions constantly change, as do the op- portunities. We can provide up to date information, a large selection of new and used machinery, and professional advice to help handle all of your machinery needs. “In 2022, ACM installed two SECO Flexo Folder Glu- ers with Die Cutting Lines. The machines are running with high productivity. SECO uses name brand components for all electrical and mechanical parts. The customer selects their preferred OEM from a Machine Check List, every-
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Supplier Reports, Part 6 (CONT’D FROM PAGE 24)
machinery products such as flexo folder gluers, rotary die cutters, stackers, and prefeeders; RJE Machinery, a man- ufacturer of new equipment, including the Magellan Box Maker and the Super “C” Band Saw; Engineered Recycling Systems (ERS), an industry leader in dust collection, metal separation, and trim removal systems; Potdevin Machine Company; and Iton Industries.” Visit www.acm-corp.com or call (800) 528-2331. AMTECH SOFTWARE Fort Washington, Pennsylvania: Bill Link reports, “We went through a bit of a top-down reimagining of our products and our place in the industry.
“It started in June when Chuck Schneider was named CEO. Since taking the reins, Chuck has assem- bled a world-class leadership team that includes a new CFO, Chris Laws, and two new senior VPs, Danna Nel- son, Products, and Bill Woerner, Cus-
Bill Link
tomer Operations. They join Amtech and industry veterans Darren Artillio, Senior VP of Sales; Eric Nolan, Senior VP of Strategic Development; and Stephanie DeNicola, VP of Human Services. “That group coalesced quickly, and they’ve been bal- ancing their time between listening and leading — listen- ing to clients to understand their current challenges and future priorities; leading the Amtech team to address those challenges and map out a future where Amtech software continues our heritage as the leader in operational sys- tems for the packaging industry. “In that vein, Chuck was able to hear directly from customers during the Amtech User Conference in Oc- tober, which we were excited to resume after multiple COVID-mandated delays. “We also conducted a comprehensive customer satis- faction survey toward the end of the year and garnered valuable feedback from a wide array of clients. That’s something we plan to do every year to ensure we are be- ing responsive to our clients’ needs. “One of the key questions that surfaced during these initial listening exercises has to do with the current and fu- ture state of the software that corrugators and converters rely on to keep their businesses running profitably. There has been a lot of change in our sector and it’s raising ques- tions about where Amtech is taking our products. “Amtech is meeting those concerns head-on with a re- newed investment in our EnCore ERP, expanded develop- ment and support teams, a clear and public roadmap of ongoing and future developments, and by supporting ef- forts to rejuvenate the Amtech software user group. While others are shelving software and cutting development costs, we’re planting our flag in EnCore as our future-proof, scalable ERP for the corrugated packaging industry.
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Supplier Reports, Part 6 (CONT’D FROM PAGE 26)
to have the solutions for whatever challenges a plant has. “In the very near future, look for updates and enhance- ments to Sign & Drive (Spring), SmartShip (Summer), and Planning Board (Fall). The year 2023 is shaping up to be momentous. Everyone at Amtech is excited about the steps that we’ve taken and the leaps that lie ahead.” Visit AmtechSoftware.com . BAHMUELLER Charlotte, North Carolina, Benjamin Lauterbach, reports, “As the years before, 2022 was a very exciting and suc-
“Based on feedback from the more than 200 plants that currently run EnCore, we know that one of the advan- tages they value most in our platform is the simplified IT landscape and enhanced security that comes with being hosted on the Amtech cloud. That’s an offering we’re go- ing to continue to develop and enhance so it becomes the obvious choice for every EnCore implementation. “We’ve also seen a lot of excitement around our cost- ing module, which takes the complex and protracted pro- cess of updating costs out of the hands of consultants and brings it back into the plant, where it belongs. Automated Performance Costing lets you update costs in hours in- stead of weeks, so you stay ahead of changing volumes and market fluctuations. “Rounding out Amtech’s Smart Factory Suite are exten- sions that help you: stay ahead of inventory needs and hold vendors accountable; produce schedules utilizing machine learning; ensure proper machine balancing and optimized workloads; generate accurate shipping plans to correctly load and balance trucks; deliver the product on time. “Looking ahead, the Smart Factory Suite is something you’ll hear us talk about a lot in the coming year. Chuck has made it clear that he won’t be satisfied to just keep up with client needs, we need to anticipate them. We need
cessful year for Bahmueller world- wide. Despite the still ongoing supply chain issues, especially for electric and electronics parts, Bahmueller has proven as a reliable partner for the corrugated board industry. Due to the long-standing and strategic partnership with its sub-suppliers
Benjamin Lauterbach
and the use of flexible and smart approaches, the Bah- mueller machines on order could be successfully installed on time or with minor delays in North America. “Among them were TURBOX specialty folder gluers in 90-inch and 125-inch working widths and of course another TURBOX incl. TOPMACTHER multi-piece feeder for the most flexible and efficient production of various shelf-ready-packaging style boxes.
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Supplier Reports, Part 6 (CONT’D FROM PAGE 28)
Board Converting NEWS INTERNET DIRECTORY
“With this tailwind, things will continue in 2023 in the same optimistic way. The successful POWERPACKER in- troduction to the North-American market is still an intense impact for Bahmueller and further TURBOX specialty fold- er gluers and POWERPACKERs are going to be installed in the USA this year. In addition, orders for 2024 have al- ready been placed. “The most efficient machine is nothing without the right service level and spare parts availability. Bahmueller has taken the necessary measures here as well. The compa- ny's subsidiary Bahmueller Technology Inc. (BTI) based in Charlotte, North Carolina, has already moved into a new and modern building. The new facility and the up-to-date workplaces created more space for employees and a sig- nificant increase of the available spare parts in the United States. The after-sales team will be strengthened due to creating the position of a service and after-sales coordi- nator. This allows our service technicians to react more quickly and concentrate fully on customers’ need. “Of course, there are other highlights to be men- tioned. Bahmueller presented the latest generation of its heavy-duty and reliable semi-automated stitcher, glu- er and taper for 1- and 2-piece boxes. The MULTI DOU- BLE SEALING LINE (MDL) is equipped with the latest ser- vo-drive technology and machine-user-interface (HMI) to assure an easy and quick setup and order change. In ad- dition, a tailored combination glue system of hot melt and cold glue was introduced with the new MDL generation. This means that further costs can be saved, since the hot melt glue is only used for an instant tack and the actual gluing is done with the cost efficient cold glue. “Last but not least, we are proud to celebrate the anni- versary of our cooperation of Bahmueller and Goepfert as Bahmueller & Goepfert Machinery (BGM). BGM has been supplying high-quality Flexo Folder Gluers to the industry for more than 40 years. We are proud to supply additional heavy duty inline solutions incl. gluing, stitching and tap- ing to the North American market, especially in the Jumbo FFG segment.” Visit bahmueller.de . BOBST Fort Lausanne, Switzerland: Emilio Corti reports, “E-com- merce continues to go from strength to strength, espe-
ADVANTZWARE www.advantzware.com
Advantzware provides a flexible and comprehensive system to address the business management needs of the independent box business, as well as the ERP re- quirements of full scale packaging plants and integrat- ed companies. With modules for estimating, scheduling, production, inventory and accounting, this scalable sys- tem supports packaging plants that produce corrugat- ed boxes, folding cartons, point of purchase displays, assembled partitions, paperboard products, foam fab- rication, as well as distribution of packaging supplies. AIR CONVEYING CORPORATION www.accfilter.com Air Conveying Corporation is a recognized leader in the in- dustry of Pneumatic Conveying Systems and has been in business since 1968. As an equipment manufacturer rather than simply a sales organization, we have complete control over the quality of material and products which make up your proposed system. Our equipment is found in Printing, Folding Carton and Corrugated plants throughout the coun- try and the world. Let us build you the best Trim Removal System you ever had. Contact us today. Amtech offers the industry’s most innovative and compre- hensive corrugated and packaging ERP, integrated sched- uling software, and engineered automation technology. For over 30 years, Amtech has remained at the backbone of successful businesses from the independent box makers to the largest integrateds. We keep our customers competitive in an ever-changing economy with options such as custom- er digital storefronts and workflows, business intelligence, automated scheduling for corrugators, converting and shipping, proactive roll stock and inventory management. APEX INTERNATIONAL www.apexinternational.com AMTECH SOFTWARE www.amtechsoftware.com World’s largest Anilox and Glue & Metering roll manufac- turer, providing the widest selection of corrugated engrav- ings and complementary services. Anilox engraving options available from our North American manufacturing facility include elongated 75°, 60°, 45°, plus Apex’s patented GTT technology. Glue rolls are produced with Hardened Stain- less Steel and a max TIR of 10 µ for Single, Double Facers.
cially in the corrugated board indus- try. The Bobst portfolio includes a range of solutions ideally suited for efficient e-commerce packaging production. This includes recent ad- vances like the MASTERLINE DRO, which provides ultimate productivity and unmatched quality with inside
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outside printing in one pass; the EXPERTCUT 2.1, which offers our legendary Bobst flatbed die-cutting precision, along with great versatility, excellent reliability, and superb CONTINUED ON PAGE 32
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