dcb pack strat 9 feb 10 ppt
DESCRIPTION
There are numerous challenges in today’s business environment, but for plastic packaging the key issues are the need for continuous innovation for new products with increased functionality and novelty while creating an ever smaller carbon footprint and lower delivered cost. The industry has done a tremendous job in recent years in generating products that serve the markets needs at an ever faster rate. The current focus on packaging costs affects one of the smallest areas of future return and overlooks the complete supply costs to the consumer. Margin pressures put in doubt the ability of some existing packaging companies to improve the pace of innovation with speedier market entry without some change in our industry’s approach to development, commercialization and profitability. This situation and some potential solutions are explored in this presentation.TRANSCRIPT
David C. Beckmann
The Challenge of Reconciling Innovation Needs with Business
Models
IssuesIndustry Response
Some Solutions
David C. BeckmannDavid C. Beckmann
www.linkedin.com/dcbeckmannwww.linkedin.com/dcbeckmann
[email protected]@bex.net
+1.419.536.5016+1.419.536.5016
Senior Managing Executive
Some Key IssuesSome Key Issues
• US consumer resetUS consumer reset
• ““Green”, “Sustainability”Green”, “Sustainability”
• CostCost
• InnovationInnovation
• Supplier profitabilitySupplier profitability
The Chinese ViewThe Chinese View • China projected for 20+ % year on China projected for 20+ % year on
year growth; for at least for next 3-5 year growth; for at least for next 3-5 yearsyears
– PET is stillPET is still leading package globallyleading package globally– Sustainability/carbon foot print criticalSustainability/carbon foot print critical
Close loop recyclabilityClose loop recyclability– Light-weighting is a continuous requirementLight-weighting is a continuous requirement– Premium appearance not significant; Premium appearance not significant; costcost and and
functionalityfunctionality key driver. key driver.– SpeedSpeed to market to market
Packaging As Part Of An Integrated Packaging As Part Of An Integrated SystemSystem
Packaging
ConsumerNeeds
SupplyChain
Product
Manufacturing & Disposal
Protection & Preservation
Transport & Distribution
Security, Portion Control, Easy Open, Product Information, Etc.
+
+
+
We Must Eliminate all Waste (material, energy, water) in the total system!!
The Industry ResponseThe Industry Response
• Tremendous amount of light weighting Tremendous amount of light weighting and package redesignand package redesign
• Suppliers providing great solutions Suppliers providing great solutions
The Industry SituationThe Industry Situation• Product life cycle acceleratingProduct life cycle accelerating
• Margin pressures Margin pressures
Resin Costs Saved In Caps & Finishes
•Light weighted caps and finish system designs:– New designs: Finish / Closure
weights down 33% – 44%
38 to 33 Juice Edible oilDispensingWaterLDL Detergent
VISION
• Packaging is no longer seen as waste or just product transportation: it is a valuable resource for recycling and activating the final consumer product itself.
• Innovation is consumer focused, FAST, continuous profitable and collaborative process to create growth for all members of the supply chain.
A New Vision for Growth
New Concepts
•Active barriers, lower cost valves, barrier thermo formed containers
•Active packaging that catalyzes functional products
Carbonated products
DispensingValve
Barrier Package ????
Whats Next• Dynamic Active Packaging…Beyond Protection
– Retain and release carbonation for life extension– Catalyst on using– Design that intrigues and is integral to product delivery
process and enjoyment
• Manufacturing Processes– Injection competitive with compression speeds– Thermo formed multilayer packages with active and
passive layers– New materials with improved flow rate and other
characteristics
• Speed to Market– Breakthrough computer package modeling– Quick and longer life tooling for volume prototyping– Manufacturing molds designed for a predetermined life
VISION
• Packaging -No longer seen as waste or product transportation; it is a valuable resource for recycling and activating the final consumer product itself.
• Innovation -Consumer focused, continuous profitable and collaborative process to create growth for all members of the supply chain.
Can A Vision Become A Reality?
Are We Willing To Pay For The Effort?
Some SolutionsSome Solutions
• A new collaborative relationship for system A new collaborative relationship for system innovation:innovation:– Customers, Suppliers, Consultants, SpecialistsCustomers, Suppliers, Consultants, Specialists– Clarity on IP and how all earn $ for a timeClarity on IP and how all earn $ for a time
An understanding that all parts of the creation process must An understanding that all parts of the creation process must get a ROS to drive results a unified attack on the entire get a ROS to drive results a unified attack on the entire supply and distribution chains’ non value added costssupply and distribution chains’ non value added costs
• A unified attack on the entire supply and A unified attack on the entire supply and distribution chains’ non value added costsdistribution chains’ non value added costs
• Self manufactureSelf manufacture with customer managed internal with customer managed internal and external development organizationsand external development organizations
Many Thanks
• Inputs:– Bericap– Universal Closures– Rexam– Anonymous Global Food and Beverage
Companies
•ALL OF YOU