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From Cradle to Gate
 Managing Upstream Waste
            August 16, 2012




Central Container Corporation
      Ed Polin LBC-Sensei
      Lean Enterprise Manager
Today’s Agenda

   Our Company’s History
   Why-When-How-Our Lean-Green Journey
   Sustainable Mission Statement
   7 Green Wastes
   7R’s
   Challenges-Solutions-Examples
Who We Are Today
Central Container Corporation
Main Facility – 85th Ave.
175,000 square feet


Additional -- West Broadway
25,000 square feet


            Housing 130 Full Time Employees
             and 25 Temporary Employees
       Currently Operating at Approximately 70%
Growth - Business Model
High Tech & Medical Companies
• Service
• Quality
• Spirit of innovation
• Breadth of experience
• Expertise in multiple mediums
Sustainability Begins Here – 7R’s
2011 Design Department Expansion
Promotional Packs
Why the Need for Sustainable
                            Packaging Solutions?




A major portion of solid waste produced by
mankind is in the form of packaging

What % packaging?

Throwing away of reusable resources = $$
Sustainability

What is it?
1. There is no one definition for sustainability.
   No right and no wrong definitions.

2. Like an unregulated industry

3. You are defining yourself and your unique
   characteristics
Eliminating Waste & Reducing Costs




Source: United States EPA
It’s called “Sustainability”
“Meeting the needs of the present with out compromising the ability
of future generations to meet theirs”
Why Should We Do This?
(sounds like an expense)
According to CFO.com, nearly 9 of 10 corporate
executives rank the environment as “the top public
issue that could affect shareholder value.”
Who are the shareholders?


 “We did not inherit the earth from our parents, we are
            borrowing it from our children.”
                            Native American Proverb
Sustainable Mission Statement

            Environment
Central Container is committed to promote
and engage in actions which support sound
       environmental stewardship.

   To advance this attitude within our
organization, our employees and families,
   our suppliers, and our Customers.
What is a Green Value Stream?




       Learning to See Green
Source: Brett Wills “GREEN INTENTIONS” Amazon
7 Green Wastes

Energy      Transportation


Water       Emissions


Materials   Biodiversity

Garbage

                           Source: Brett Wills
Our History
Practice Environmental Biodiversity
Future Home of Central Container, 1991
The 7 R’s
1. Remove Packaging:        Eliminate unnecessary packaging, extra
                            boxes or layers
2. Reduce Packaging:        “Right-Size” packages and optimize
                            material strength

3. Reuse Packaging:         Design for multiple use

                        Use materials made of renewable resources;
4. Renewable Packaging: select biodegradable or compostable materials

5. Recyclable Packaging:    Use materials made of highest recycled content
                            without compromising quality

6. Revenue:                 Achieve all above principles at cost parity
                            or cost savings

7. Read:                    Get educated on sustainability
Alternatives in Packaging
             Remove, Replace, Recycle, etc.
   Organic based cushioning foams

   “Bubble Wrap” and other void fills from
    100% recycled materials

   Corrugated average recycled content = 62%
    + with 100% available

   Innovative protective packaging systems –
    suspension packaging.
Medical Device Packaging
Sustainability in Packaging
Case Study
The Challenge:
Remove petro based flexible foam and fluted plastic from
medical instrument package
Sustainability in Packaging
Solution:

Develop a packaging system made of recycled,
recyclable corrugated.
Sustainability in Packaging
Case Study
The Challenge:
Reduce amount of packaging materials being
used… current package uses two carton system for
clock used in institutional settings
Sustainability in Packaging
The Solution:
“Clever Corrugated”…develop a package requiring 33%
less corrugated, while maintaining protection.
Packaging VMI Process
Results in Zero Inventory
• E ordering control by user, location, and Kanban Item
  barcodes scanned using hand held device to Green
  Link
• Auto acknowledgement upon retrieval of data
   o Ability to go paperless
   o Establishes standard work
   o Easy of use
• No Receiving-Direct delivery to individual cells
   o Cartons arrive fully assembled
• Reclaim pallets on next day delivery
• Benefits Cost savings
   o Resources, time, space, and the environment
Paper Industry (Forest Products)
Standing Timber
  • 39% increase since 1952
  • 10 million acres added (1987-2007)
  • Planting 1.7 million trees…..a day

Renewable Energy
  • Leading producer and user of carbon neutral bio
     mass energy
  • 65% of energy to make paper
  • Reduced fossil fuels 56% (1972-2006)
     and 9.2% (2004-2006)
Growth - Awards and Certifications
   Boston Scientific 2011 Supplier Achievement Award Cost-Q-OTD
                                  2009 Received 100% on 3rd Party Audit
   Medtronic Supplier of the Year Award
   HID Global Supplier Excellence Award - 5 years running
   AICC 2009 Innovator of the Year Award Lean/Green
   GMI (Graphic Measures International, Ltd.)
   Enterprise Minnesota “Lean and Green Manufacturer” 2010
   NIST (National Institute of Standards and Technology Excellence in
    Sustainability 2010
   TEC Certified Green Facility (Total Energy Concepts, Inc.) 2010
   Rosemount Supplier of the Year Award Cost–Q-OTD 2011
   ASI Certificate of Excellence in Food Packaging Safety 2012
Growth - Surviving in a Down Economy
Ongoing *Annual Lean, Green Savings 2008 to 2011
   5S                    Metric Boards                          Results/Savings
                                                     Energy Savings Power Factor      81 to 99%
                                                     *TPM Production Hours/Year Increased 560
                                                     Floor Space (square feet)           22,300
                                                     Distance (miles) Fork Truck             782
                                                     Removed Unnecessary Items             1,100
  Sustain                                            Safety Improvements                      32
    5                                                Quality Improvements                     39
                                                     Visual Work Instructions                 91
                                                     Recycled Corrugated (Lbs/year)   3,500,000
                                                     Reduced Pallets/Year                  3,088
                                                     Green E Link P.O.’s                 48,200
                                                     Idea’s Cost Savings               $158,936
                                                     Combined Lunch Break/Year          $57,650
                                                     Time Recording Window/Year         $47,785
                                                     Green Savings/Year                $304,134
                                                     Total Savings/Year               $568,505

                                                     *Not Dollarized

  Organized & Visual         Achieve Performance Targets                Capture the Benefits
                 How will these promote culture?
        Engagement                 Communication &                              Development
                                     Ownership                                    Promotion

                       Solid Cultural Foundation Builders
CENTRAL CORPORATE SALES
15 YEAR HISTORY




   Compound annual increase in sales 5.16% in last 5 years.
Our Future
Reasons for Commitment to the
Future and Sustainability
Useful Links & Resources
• www.sfiprogram.org

• www.fsc.org

• www.ecolabeling.org

• www.greenseal.org

• www.packaging.marketgate.com

• www.gsn.gov
   - Green Supplier Network

• enterpriseminnesota.org

• www.centralcontainer.com
Thank you
   Ed Polin LBC-Sensei

epolin@centralcontainer.com
     Tele - 763-493-0674

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Business & Environment Series: Polin - Waste Reduction at Central Container Corp

  • 1. From Cradle to Gate Managing Upstream Waste August 16, 2012 Central Container Corporation Ed Polin LBC-Sensei Lean Enterprise Manager
  • 2. Today’s Agenda  Our Company’s History  Why-When-How-Our Lean-Green Journey  Sustainable Mission Statement  7 Green Wastes  7R’s  Challenges-Solutions-Examples
  • 3.
  • 4. Who We Are Today Central Container Corporation Main Facility – 85th Ave. 175,000 square feet Additional -- West Broadway 25,000 square feet Housing 130 Full Time Employees and 25 Temporary Employees Currently Operating at Approximately 70%
  • 5. Growth - Business Model High Tech & Medical Companies • Service • Quality • Spirit of innovation • Breadth of experience • Expertise in multiple mediums
  • 6. Sustainability Begins Here – 7R’s 2011 Design Department Expansion
  • 8. Why the Need for Sustainable Packaging Solutions? A major portion of solid waste produced by mankind is in the form of packaging What % packaging? Throwing away of reusable resources = $$
  • 9. Sustainability What is it? 1. There is no one definition for sustainability. No right and no wrong definitions. 2. Like an unregulated industry 3. You are defining yourself and your unique characteristics
  • 10. Eliminating Waste & Reducing Costs Source: United States EPA It’s called “Sustainability” “Meeting the needs of the present with out compromising the ability of future generations to meet theirs”
  • 11. Why Should We Do This? (sounds like an expense) According to CFO.com, nearly 9 of 10 corporate executives rank the environment as “the top public issue that could affect shareholder value.” Who are the shareholders? “We did not inherit the earth from our parents, we are borrowing it from our children.” Native American Proverb
  • 12. Sustainable Mission Statement Environment Central Container is committed to promote and engage in actions which support sound environmental stewardship. To advance this attitude within our organization, our employees and families, our suppliers, and our Customers.
  • 13. What is a Green Value Stream? Learning to See Green Source: Brett Wills “GREEN INTENTIONS” Amazon
  • 14. 7 Green Wastes Energy Transportation Water Emissions Materials Biodiversity Garbage Source: Brett Wills
  • 15. Our History Practice Environmental Biodiversity Future Home of Central Container, 1991
  • 16. The 7 R’s 1. Remove Packaging: Eliminate unnecessary packaging, extra boxes or layers 2. Reduce Packaging: “Right-Size” packages and optimize material strength 3. Reuse Packaging: Design for multiple use Use materials made of renewable resources; 4. Renewable Packaging: select biodegradable or compostable materials 5. Recyclable Packaging: Use materials made of highest recycled content without compromising quality 6. Revenue: Achieve all above principles at cost parity or cost savings 7. Read: Get educated on sustainability
  • 17. Alternatives in Packaging Remove, Replace, Recycle, etc.  Organic based cushioning foams  “Bubble Wrap” and other void fills from 100% recycled materials  Corrugated average recycled content = 62% + with 100% available  Innovative protective packaging systems – suspension packaging.
  • 19. Sustainability in Packaging Case Study The Challenge: Remove petro based flexible foam and fluted plastic from medical instrument package
  • 20. Sustainability in Packaging Solution: Develop a packaging system made of recycled, recyclable corrugated.
  • 21. Sustainability in Packaging Case Study The Challenge: Reduce amount of packaging materials being used… current package uses two carton system for clock used in institutional settings
  • 22. Sustainability in Packaging The Solution: “Clever Corrugated”…develop a package requiring 33% less corrugated, while maintaining protection.
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  • 28. Packaging VMI Process Results in Zero Inventory • E ordering control by user, location, and Kanban Item barcodes scanned using hand held device to Green Link • Auto acknowledgement upon retrieval of data o Ability to go paperless o Establishes standard work o Easy of use • No Receiving-Direct delivery to individual cells o Cartons arrive fully assembled • Reclaim pallets on next day delivery • Benefits Cost savings o Resources, time, space, and the environment
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  • 35. Paper Industry (Forest Products) Standing Timber • 39% increase since 1952 • 10 million acres added (1987-2007) • Planting 1.7 million trees…..a day Renewable Energy • Leading producer and user of carbon neutral bio mass energy • 65% of energy to make paper • Reduced fossil fuels 56% (1972-2006) and 9.2% (2004-2006)
  • 36. Growth - Awards and Certifications  Boston Scientific 2011 Supplier Achievement Award Cost-Q-OTD 2009 Received 100% on 3rd Party Audit  Medtronic Supplier of the Year Award  HID Global Supplier Excellence Award - 5 years running  AICC 2009 Innovator of the Year Award Lean/Green  GMI (Graphic Measures International, Ltd.)  Enterprise Minnesota “Lean and Green Manufacturer” 2010  NIST (National Institute of Standards and Technology Excellence in Sustainability 2010  TEC Certified Green Facility (Total Energy Concepts, Inc.) 2010  Rosemount Supplier of the Year Award Cost–Q-OTD 2011  ASI Certificate of Excellence in Food Packaging Safety 2012
  • 37. Growth - Surviving in a Down Economy Ongoing *Annual Lean, Green Savings 2008 to 2011 5S Metric Boards Results/Savings Energy Savings Power Factor 81 to 99% *TPM Production Hours/Year Increased 560 Floor Space (square feet) 22,300 Distance (miles) Fork Truck 782 Removed Unnecessary Items 1,100 Sustain Safety Improvements 32 5 Quality Improvements 39 Visual Work Instructions 91 Recycled Corrugated (Lbs/year) 3,500,000 Reduced Pallets/Year 3,088 Green E Link P.O.’s 48,200 Idea’s Cost Savings $158,936 Combined Lunch Break/Year $57,650 Time Recording Window/Year $47,785 Green Savings/Year $304,134 Total Savings/Year $568,505 *Not Dollarized Organized & Visual Achieve Performance Targets Capture the Benefits How will these promote culture? Engagement Communication & Development Ownership Promotion Solid Cultural Foundation Builders
  • 38. CENTRAL CORPORATE SALES 15 YEAR HISTORY Compound annual increase in sales 5.16% in last 5 years.
  • 39. Our Future Reasons for Commitment to the Future and Sustainability
  • 40. Useful Links & Resources • www.sfiprogram.org • www.fsc.org • www.ecolabeling.org • www.greenseal.org • www.packaging.marketgate.com • www.gsn.gov - Green Supplier Network • enterpriseminnesota.org • www.centralcontainer.com
  • 41. Thank you Ed Polin LBC-Sensei epolin@centralcontainer.com Tele - 763-493-0674