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JIPM Special Award
On November 27 we reached a new goal in our JIPM era: two Japanese auditors performed the evaluation required for
the “Special” award, the third of the five-step award system.
11 pillars and 10 teams presented how successfully we have been implementing the WCM methodology to reduce our
losses and improve the efficiency of our production.
The auditors were satisfied with the achievements presented. They gave us additional advice and made
recommendations to be incorporated into our work in the future.
The scores received in the final evaluation far exceeded the level required to earn the award.
Following the final approval of the JIPM board, we will be presented the award in Kyoto in March.
This recognition has earned us two records: the plant in Budaörs is the first Tetra Pak production
plant to achieve a next JIPM level every other year, and none of the production plants in Hungary
have such a high level certification.
Thank everyone for your cooperation!
WCM office
Merry Christmas and a
Happy, Healthy, Wealthy New Year!
Supply Chain Newsletter Poland & Danube Issue 4/1, December 2013
Dear Colleagues,
We have a lot of good news to share at the end of the year too:
The most recent news is that we have succeeded in obtaining the next JIPM level. This is a huge
success and is indicative of the strength of the entire organisation. I am grateful for
everyone’s efforts!
The KPIs indicate excellent results:
Production volume continues to look good: we will exceed the target by more than 10%. The
situation regarding claims has stabilised, but due to the poor period at the beginning of the year, we will not reach
the target. In fact, this year will probably be worse than the last.
Other KPIs are very promising. Total waste is more than 10% below the target, in no small part due to the fact
that the Budaörs plant ranks as the first among all Tetra Pak plants in the world regarding printing set-up loss.
This is covered in a separate article in our magazine. The Equipment Efficiency indicator is right on target both
for printing and for the laminator. The supply chain service index also meets the target.
As a result of it all, our costs were 12% below target at the end of October, which is an excellent achievement.
The planning process for 2014 was completed successfully. The pillars and the areas have done a great job in
identifying losses and the steps to be taken. The KPIs for 2014 will be finalised in January, based on the end-of-the-
year results.
In October we paid the third quarter bonus to our blue-collar staff: HUF 11.7 million – 4% up from last year –
was distributed among a total of 126 staff. The largest sum paid was HUF 111,000, but the smallest was not less
than HUF 80,000 either.
November was the month of surveys: we completed questionnaires on employee engagement and on our
psychosocial condition. The rate of participation was very high for both surveys. The results of the Employee
Engagement survey will be published soon, while the findings from the psychosocial survey were evaluated on the
Health Day. The latter will also be covered by a dedicated article in the magazine.
A further piece of happy news is that the Budaörs plant won the category for medium-sized offices in the first
European Green Office competition, held on 22 November in Brussels! This way, for the first time in Tetra Pak’s
history, the standards of our offices were raised to European levels.
Please read the newsletter for further news concerning the production and plant extension activities,
as well as the developments of the market company.
Zoltán Révész
2. 2
VMR for improved customer service
Vendor Managed Replenishment (VMR) is the optimization of
packaging material supply including quantitative discount,
optimized logistics cost and customer workload reduction
and is commonly used by CSR to improve our services to
customers. VMR agreements are signed in Poland in the
Czech Republic and in Slovakia. Most recently, we have
signed an agreement with Tatranská mliekaren (TAMI, a
diary customer in Slovakia and a Tetra Pak customer for
more than 20 years. Thanks to the VMR tool, we have been
able to improve our performance with this customer.
WCM teams in cooperation with FLINT
Staff of Flint Group, Tetra Pak’s printing industry supplier, who work at our plant, set up four WCM teams jointly with
Tetra Pak staff this May in order to eliminate ink-related losses in printing.
The so-called Colour Team focused on solving colour problems arising during printing. Earlier there were recurring
cases of badly prepared colours or dried ink appearing on the print. By now, however, the number of recurring issues
has been reduced significantly by modifying the colour-mixing recipes and regularly calibrating the machine used to
monitor ink quality.
The Stock Team is working on reducing the quantity of ink left after printing. In order to maximise ink utilisation,
they have refined the scale of ink quantities that may be requested. The goal set for this year, i.e. the average of 4 tons,
can be achieved by the end of the year, allowing the team to prepare for reducing losses even further.
The Waste Team is searching for solutions to reduce ink loss. Rather than the goal of saving 5% by the end of the year,
it is expected that they will exceed the target and achieve 30%. As ink loss typically occurs during set-up changes,
modifying the ink change process was found to be the solution to the problem.
The fourth team is an AM (Autonomous Maintenance) team, of which each Flint employee here is a member. This year
the team achieved the fourth step (general inspections) out of the seven steps of AM. The essence of the system is to
identify check points and document regular checks. This has resulted, among others, in significantly reduced cleaning
and lubrication times. In 2014 the team will go further and is aiming at reaching step five: autonomous inspections.
Transfer from Brazil
The flexibility and adaptability of the Budaörs plant is
evidenced by the fact that it took over the production of
30 million 1000 ml base cartons from Brazil over October
and November.
Although the task demanded extra effort from the plant in
Budaörs, in the field of raw material sourcing, for
example, it was fulfilled to the satisfaction of the
customer, taking a great burden off the shoulders of our
colleagues in Brazil.
Renewal and standardisation of pre-press work processes
Tetra Pak is renewing and standardising certain pre-press processes globally in order to better serve the needs of
our customers. Changes are being made to digital file management and cliche production, and the technical markings
on the cartons are also being standardised.
The goal of standardising technical markings is to ensure that – while the appearance of cartons does not change –
technical markings are identical and are located in the place determined by the standard on every carton, regardless
of which Tetra Pak plant produced them. The new process will have the benefit that, based on the order number, the
order can be identified from the package. The new process is expected to be implemented in the second quarter of
2014.
Developments at Tolnatej
Tolnatej is a major Hungarian dairy company. The
main products of the family-owned enterprise are
ESL milk, cheese and desalinated whey powder. It
is expected that by the end of 2013 our business
with them will grow to 40 million cartons, four
times that of 2008. We installed the first C3 Flex®
filling line in 2007 and the second in 2011.
The ESL milk produced by Tolnatej is sold in a
packaging that is unique in the Hungarian market:
TB Square. The heat treatment of the milk is
performed using the VTIS technology, i.e.
pasteurisation is done by direct heat treatment,
which gives the product a distinctive flavour.
“In summer 2013 we signed an agreement to
extend the existing machine lease contract. We
also agreed on the installation of a Galdi 250 UCS
filling machine, which will be
used to fill the 500 ml
products into Tetra Rex®
cartons instead of TB Square
cartons at Tolnatej. Part of
the reason for this decision
was that the installation of
the new machine will enable
the operation of the C3 Flex
lines at greater efficiency and
lower packaging material
loss, „ said Key Account
Director Jenő Kampós.
3. Winter specialties from Poland
Winter is starting so it is the highest time to think about spicy, warming up drinks to be
tasted during long evenings. Hortex has prepared two unique products that may serve
these purposes and packed them into TPA 1000ml square packages. Winter tea is a sweet
and spicy composition of oranges, raspberries and black tea, flavoured with
cardamom, cloves, cinnamon and ginger, while dried plums drink has a traditional
aromatic Christmas taste of prunes, apples and pears, exactly how it should be for a
Christmas Eve dinner.
Material handling in the production hall during the extension works
Due to the construction work associated with the plant extension, it was necessary to close the gates leading to the
production hall in the area of the laminator and slitting machines.
The complete rearrangement of material handling was implemented as teamwork, headed by Printing Area Manager
József Feldicskó, with Logistics, Maintenance and the Safety and Health pillar working together to enable the smooth
and accident-free supply of the materials needed for production. This involved setting up the rules for pedestrian,
pedestrian-accompanied truck and truck traffic, securing the routes with signs and setting up new traffic rules. Also, a
new role was created: each shift got assigned a dedicated material handler responsible for the safety of traffic.
Thanks to the fast and effective work and concerted efforts of the team, production needs
have been met smoothly and without accidents in the new system since early November.
Psychosocial Survey and Health Day
Stress at the workplace hurts millions of people and is increasingly causing organisations
damage in the field of productivity and efficiency. Now also in Hungary there is a law
requiring large companies to conduct a psychosocial survey of the employees to explore the
factors which are a risk to well-being and productivity at the workplace. We have
conducted such a survey, and made it our goal that at the Health Day, which was organised
in response, everyone could learn useful things which would benefit their daily work.
On the basis of the results of the psychosocial survey our organisation belongs to the
category of the low-risk employers. The experts conducting the survey found that our main
stengths are the right level of peer influence, the strong commitment to organisational
goals and the well-defined roles and responsibilities. Our area to improve is the
communication between managers and subordinates, as well as between the departments.
Based on the findings from the psychosocial survey, the Safet and Health Pillar organised a
Health Day for Supply Chain employees on 11 November. Eleven teams participated in
health checks and special programmes as part of a fun contest, and could taste organic food
and drinks during the breaks between the stations.
The contest was won by team No. 2 – their reward was a package of organic foodstuffs
worth HUF 5,000 for each team member.
The company spent a total of HUF 13 million on the Health Day, i.e. about HUF 65,000 per
employee.
A special thanks to Kata Kovács for the excellent organisation of the event!
Printing set-up loss: Budaörs at first place!
At 32 metres per set-up, the Budaörs plant is at the first place among Tetra Pak plants with respect to printing set-
up loss. This excellent result is due to the three years of work by three WCM teams. In addition to reducing the
quantity of scrapped material, the teams also focused on increasing the proportion of brown paper loss to white
paper loss, and to set the final ratio as a standard.
To reduce the duration of the printing set-up to the minimum, we categorise setup papers according to their
thickness and width, and also by their quality according to whether art can be printed on the brown side. Another
tool used to reduce losses was the laser built into station 1, which enables us to adjust the lateral position of the
paper line quickly and accurately, saving a significant number of metres.
New work arrangements also contributed to the excellent result: the former two-operator set-up was replaced by a
three-operator one, which shortens the time needed to perform multiple tasks, lessening the time required for the
complex task of adjustment needed between two setups.
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