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Labelling and Packaging requirements current revision

• Definitions • Different type of packing

• General packing requirements • Packing material for transport • Packing into boxes – the weight of a single box shouldn’t exceed 7 kg • Packing into pallets – the weight of a pallet cannot exceed 550 kg • Packing of band material • Packing of sheet material • Packing of bar material • Packing of tubes and pipes • Packing instructions for sea container

• Documentation to be shipped with delivery • Delivery note • Barcode requirements

• How to proceed in case Supplier delivers from different warehouses • Special requirements for warehousing goods • Ordering transport of goods to be purchased by HANZA

• Calculation of transport units • Transportation order template • Time of Delivery • Express deliveries

• HANZA warehouse locations and daily logistics contact • Summary

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Definitions

Customer – HANZA . Supplier – The company that provides Customer with materials & components. Postal Address – Supplier’s/customer’s invoicing address and/or company´s official address. Loading Address – Supplier’s/customer’s actual loading address. Warehouse – The delivery address of HANZA factory Purchase Order – Order sent by HANZA for purchasing details/materials. Reference – Supplier’s/customer’s contact person. Article No. – Product number that is purchased. Packing – An activity performed for maintaining the quality of goods/products. Box – Carton package unit. Pallet – Standard wooden base. Frame – Wooden frame placed on the pallet for protecting the goods. Cover – Wooden cover for covering the pallet. Packing Band – The band (plastic or metallic) used for fixing the pallets. Packing Unit – 1 delivery is 1 packing unit Delivery Note – Accompanying document that includes relevant information concerning the delivery. Delivery Pocket – Special plastic pocket attached to the pallet or box for protecting documents during transportation. Bar code – Information by barcode reader in order to avoid entering the information manually. 1D – Bar code type; please find more information at: http://www.barcodeman.com/faq/2d.php. Code 39 – Type of bar code entry. Loading Meter (ldm) – Calculated transport meter on a truck (formula: length x widht / 2.44). Transport Order – Order submitted to the transport company to pick up and deliver goods to HANZA Transport Label – Delivery marking requested by HANZA. Delivery Measures – The measures of packing unit given conventionally, i.e. length (cm) x width (cm) x height (cm). Weight – Weight of 1 detail, packing unit or delivery. Logistics Partner – Approved/chosen partner used for transporting shipments. Account No. – The customer number given by the transport company to their customers. . It is used for determining at whose expense the delivery is going to be transported. Transport Invoice – The cost of transport submitted by the transport company to the customer.

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General packing requirements

Products on pallets If the structure does not require different packing material, the supplier is obliged to pack the goods in a manner to avoid damages during transport (i.e. the value of the goods should not decrease during transport). Packing the goods with surface coating – if the goods are covered with surface coating, they have to be correctly stowed in the box/on the pallet and there has to be at least a paper placed between the lines to avoid damages during transport. Packing the aluminum goods – aluminum goods should be correctly stowed in the boxes/on the pallets with paper/cardboard placed between the lines. Packing the details with sharp edges/indentations – if the products produced by the supplier have indentations and edges, the products should be packed and stowed in a manner to avoid damages during transport. NB! Supplier has to pack the goods in a manner to avoid quality decrease during transportation. Packing material for transport The materials must be packed in a manner to avoid quality decrease during transport.

Pallet for material – must be stable in order to support the weights placed upon it. The pallet has to cover the surface of the material to the FULL! The delivery note necessary for transport should be attached to the pallet! The transport label (see the requirements above) should be attached to the pallet.

Packing into boxes

The weight of a single box should not exceed 7 kg. If the delivery contains more than one box, the boxes have to be marked as follows: 1/5, 2/5, 3/5, etc. If the delivery contains more than 5 boxes, the delivery should be packed onto dolly pallets (see Pallets). The bar code of the boxes (see Bar Code) should include the following information: Purchase Order number, Article Number of HANZA product, The amount of details packed into one box (all the information together is hereinafter referred to as the Transport label). The supplier can find all the relevant information on the Purchase Order issued by HANZA (see the example of HANZA Purchase Order). 1 box is considered as 1 packing unit. All the pallets and boxes must have the transport label. If one delivery contains of only 1 pallet, which includes 5 different articles and 5 different boxes, ALL 5 labels should be placed onto the pallet so that it would enable the bar code to be read by the barcode reader. Such delivery is considered as 1 packing unit.

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The delivery should include supplier’s loading address with the official name of the company. If the loading takes place at another company´s premises, then the paperwork should reflect the actual loading address + name of the company as well. Example: Purchase order of HANZA.

Example: Transport label.

PO: Art nr: Qty: 27677 2220 500

Transport Label

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Packing into pallets

The weight of a pallet must not exceed 550 kg. The standard pallet has internationally agreed measures: 1.2 m x 0.8 m. In order to transport goods to HANZA you should use the EUR+IPPC type of pallets: EUR – quality label, IPPC – the pallets have been heat-treated. If the use of frames is necessary, the number of frames must not exceed 4. If the boxes are placed on the pallet without frame, the pallet should be wrapped with packing plastic and covered with a pallet cover.

Example: wrapped delivery on the.

Delivery pocket

Packing plastic(film) (security film)

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Frame – one pallet may not have more than 4 edges. Covers – all the pallets must be covered in order to avoid rain, snow or dust during transport. Nefab Pool – if the supplier is a member of NEFAB Pool, the first deliveries should be marked with the supplier’s pool number so that HANZA can check the deliveries, if necessary. Example: references on the wrapped pallets for placing the transport label and delivery note pocket.

The deliveries can be packed in the following manner:

The pallets have to be fixed with the metal or plastic band in order to avoid shaking of the pallets and to guarantee safer loading.

q The pallets must be placed on top of each other with a cover between the pallets

q The pallets must be numbered

q The height of the pallets must not exceed 2.1 m

q The pallets must be fixed with a plastic or metal tape

Packing tape

1 transport label - the pallet contains 25pcs

2 transport label - the pallet contains 25pcs

3 transport label - the pallet contains 25pcs

4 transport label - the pallet contains 25pcs

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NB! Additional conditions should be considered for sensitive products:

ANSI/ESD S541-2008: For the Protection of Electrostatic Discharge Susceptible Items.

Packaging Materials for ESD Sensitive Items.

IPC/JEDEC J-STD-033C:

Handling, Packing, Shipping and Use of Moisture/Reflow Sensitive Surface Mount Devices

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Packing of band material

Example: strip material ready for transport.

Packing of sheet material

Example: correctly packed material.

Example: incorrect pallet – such pallets are not allowed!

Pallet – supports the weight Cover – protects the material Band – strongly fixed! Lath – protects the material

Pallet – supports the weight Cover – protects the material Band – strongly fixed! Delivery note

Transport label

Delivery note

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Packing of bar material

The material has to be placed in the wooden boxes for transport. The tube/pipe/bar with a diameter of less than 10 mm must be packed in wooden boxes. The wooden box must be fixed with 3 m tape twice and with 4-6 m tape three times. The bar material can also be packed in the plastic film but the weight of the package should not exceed 550 kg and the package should be fixed with three metal band. The delivery note has to be attached to the material box. The transport label has to be attached on top of the material box. Packing of Tubes and Pipe

Example 1: packing of bar material. Example 2: this kind of packing is also acceptable!

1.8 The tube/pipe material must always be packed in wooden boxes. Packing instructions for Sea Container

Transportation by sea requires higher cost of packing in order to protect the material due to a higher risk of damages. Packing materials - Corrugated materials have become popular, particularly with respect to package exterior. However, the plastic material could be used to cushion the product inside the box. Cushioning materials protect the product from shock, vibration, and surface damage during handling. Cushioning materials include shrink-wrap, air bubble cushioning, cellulose wadding, corrugated paper, and plastic. Cardboard cartons are one of the cheapest methods to protect goods during transportation. Additional features such as foam padding, restraining ties can be used to add additional protection to fragile, easily damaged or heavy items.

Wooden box Tape/band

Transport label

Delivery note

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For items that require additional protection - wooden crates, either closed or open, may be the answer:

NB!

• Avoid leaving empty space within the carton as this may cause crushing and collapsing during transit.

• Avoid creating a transit carton that is too heavy or uncomfortable to lift - it could result in having to use additional manpower or special equipment so could potentially bring inefficiency into the operational process

If possible make the cartons so that they can be interleaved to provide additional stability:

If stored on a pallet, make the boxes a suitable size to fit a pallet without overhanging or wasted space:

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Maintaining an element of consistency in carton sizes will help with stacking and reduce cost:

Oversized and/or heavy Items may be transported in a full pallet - sized carton banded and/or stretch-wrapped to the pallet:

Please ensure that the packaging is made of a strong enough material, quality and design to protect the goods from damages during several handling and transportation elements and heat/humidity changes during the journey from origin to destination. Consider floor loading unless product weight or size is an issue.

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NB! Please add humidity bags/tablets into the packaging and into the container. Secure the load with airbags. Make sure that the pallets are not subject to falling from one side to another inside the container during the travel.

Documentation to be shipped with delivery

The purchaser of HANZA has ordered some goods/details/materials. If the supplier has packed the goods according to the previously described requirements, then the goods are ready for transport to HANZA. The goods should be accompanied by the documents reflecting the given delivery. The document accompanying the goods/delivery is called the delivery note. Delivery note

Must include the number of the purchase order of HANZA , the article number of HANZA , and the amount of the delivery. This information has to be also presented in the bar code, which must include the supplier’s addresses and contact data. The delivery note has to be attached to the package/pallet. The delivery note must include the real address of delivery/warehousing as well as the telephone number. All the delivery notes can be placed on one package. One delivery should include AT LEAST one delivery note. Example: the delivery note is placed in the plastic pocket and attached to the pallet/box.

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Example delivery note:

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The weight and size of the delivery should also be presented as the bar code on one of the pallets.

Barcode requirements

The bar code should be presented both on the transport label as well as on the delivery note.The bar code must include: 1) the number of HANZA Purchase Order 2) the HANZA Article Number 3) the amount of delivery.

The bar code should be 1D and of type 39.

Example bar code on delivery note and for transport label:

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2) Delivery sum info in Bar Code: Also pelase create delivery sum info in the bar code. Delivery sum info must be on one pallet (not all delivery pallets) Delivery sum info must consist of the following info Example:

How to proceed in case Supplier delivers from different warehouses

If the supplier uses several different warehouses for fulfilling the order, the purchaser of HANZA should be informed in advance. The easiest way is to include the actual delivery/loading address on the order confirmation. If the supplier has not informed HANZA purchaser about the delivery/loading in advance, the supplier shall pay for the transport themselves. HANZA accepts only the confirmed addresses of delivery/loading. Loading address No. 1: ______________________________________________________________________________________ (Company, zip code, city, country, e-mail, telephone) Loading address No. 2: ___________________________________________________________________ (Company, zip code, city, country, e-mail, telephone) Loading address No. 3: ___________________________________________________________________ (Company, zip code, city, country, e-mail, telephone) If the supplier is going to send delivery from non-EU country then delivery must include a PRO FORMA INVOICE with the relevant information including the name, statistical code, amount and weight of the goods. Transportation company shall return the delivery to the supplier in case rules aren’t followed.

Example info in text:

Same info in barcode:

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Special requirements for warehousing goods

If some special requirements apply to the warehousing of the goods, the purchaser of HANZA should be informed. The purchaser will send out a separate document for the supplier to fill. Ordering transport of goods to be purchased by HANZA

Calculation of transportation units A place for one pallet with a height of 2.1 m is considered as 1 packing unit and as 0.4 loading meters (ldm). HANZA calculates transport space in loading meters, it is necessary to use the same system in order to save costs. The weight of one box of the goods should not exceed 7 kg; one pallet should not exceed 550 kg (see the previous paragraphs). Before ordering transport, the measures and weight of the delivery have to be determined. If the delivery contains only boxes, the supplier should mark the number and gross weight of the boxes. The amount of loading meters doesn´t need to be calculated. If the delivery contains pallets, the amount of loading meters have to be calculated. Example measures 1: 1.2 x 0.8 x 1.4m = width x length x height. One such pallet should be 0,4 ldm and weigh 250 kg. Layout of the measures 1: 1.2x 0.8x 1.4m; 250 kg; 0.4 ldm.

Example measures 2: 1 pallet = 1.2 x 0.8 x 0.2 m, the weight is 98 kg but there are altogether 4 such pallets placed on top of each other (see the photo), then Layout of the measures 2: 4 pallets; 0.4 ldm, (4*98) 394 kg.

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Example measures 3: 1 pallet = 1.2 x 0.8 x 1.1m, the weight is 98 kg but 2 of such pallets are placed on top of each other and there are altogether 10 pallets (see the photo) then the layout of the order shall be the following: Layout of the measures 3: 10 pallets, weight 980 kg, (5*0.4 ldm) 2,0 ldm.

Transportation order template

To order transport, supplier should fill in the Transportation order template, which has been sent to you together with the transport information package. In case you need it to be re-sent, please contact HANZA logistics. All the agreements apply from the collection of the goods till their arrival to HANZA warehouse. Supplier must submit the transport order at least 24 hours in advance. During the collection of the goods, the driver must provide a CMR, which will be filled in according to the supplier´s packing list. All the details regarding the sender, receiver and the consignment must be written out clearly. It is the supplier ´s responsibility to make sure that the goods will be handed over to the transport company correctly and that the CMR corresponds to the actual delivery. The supplier must sign all the documents to confirm this. Time of Delivery

Agreed delivery times: Pick UP from supplier´s door until delivering at HANZA’s door. Transport order needs to be submitted at least 24 hours before pick up (loading from supplier´s door). Express deliveries

HANZA will not share express transportation account number. All express transportation paid by HANZA can be ordered by us for YOU. Summary

Packing the delivery into boxes – Max weight of one box cannot be more than 7kg. If the delivery contains of more than 1 box, then You need to mark the boxes as: 1/3; 2/3 and 3/3. If the delivery contains of more than 5 boxes, then You have to pack this delivery on a pallet. Packing the deliveries on a pallet – Max weight of one pallet may not be more than 550kg. There cannot be more than 4 frames. If more than 1 pallet, then the pallets need to be placed on top of each other and max height cannot be

1 2

3 4

7 8

5 6

9 10

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more than 2,1m. All pallets must be covered with a cover (LID). The supplier has to pack the details in a manner to avoid quality decrease during transport. Packing the material – sheet and band materials need to be packed on large pallets and material needs to be covered with supporting packing material. Bar material must be packed into wooden boxes or wrapped into plastics. Tube material must be packed into wooden boxes. All deliveries to HANZA must be marked with BarCode. Bar Codes must consist the following info:

1) Delivery Note – HANZA purchase order no, HANZA article no and delivered Qty. 2) Transport label on boxes/pallets – HANZA purchase order no, HANZA art no and delivered Qty 3) Delivery gross weight and transportation unit.

Bar Code must be with Type 1D and with text type “CODE 39” Delivery documents are:

• delivery note needs to be added to the shipment Supplier´s different warehouses – Please inform the Purchaser if You have more than one loading address (different warehouses)! Transportation and delivery term FCA Ordering Transport – You need to place an order by using the Transportation Order Template and send it to the transport company´s e-mail address (please look at HANZA´s transportation letter

Transportation Units – Transportation units must be calculated into loadings meters and the transport info must also include the gross weight (kg) and actual packing quantity.

If the delivery has not been picked up – If the Transport company has not picked up Your delivery in 24 hours from confirmation time (or if they haven´t confirmed your order in 2 hours) then please inform HANZA factory logistics responsible person or your appointed purchaser. Express deliveries – HANZA will not pay the transport cost if the supplier hasn´t sent out the delivery on time. When an agreement has been made between HANZA`s purchaser and the supplier that the delivery needs to be sent out with Express then HANZA factory logistics responsible will send out Import Express Transport Order and the supplier must confirm this delivery ASAP (Latest on the same day at 13:00). If Our Suppliers are not going to meet our requirement regarding delivery instructions and will send out incorrectly packed goods, they will be responsible for any damage that might occur during transport. After carefully reading through this instruction, You should understand the process of sending goods to HANZA. Thank you for following our instruction!