Petroleum Packaging Council

Fall Meeting Re-cap

Presentations Available to PPC Members

Opening Session & Keynote
Speaker: Don Reynolds

Don Reynolds is an economist and former George W. Bush appointee. He also serves as Chairman of the Board on pension and investment committees, responsible for over 100 billion dollars in investments. Mr. Reynolds and his research company, 21st Century Forecasting, focus on global economic, demographic, and technology trends. Mr. Reynolds has also taught at the university level for over ten years.

During his keynote, he discussed the U.S. economy, various trends in the oil, steel, and real estate markets. Mr. Reynolds indicated that the U.S. should cultivate and view China and Saudi Arabia more as partners versus enemies. He also indicated that the U.S. economy is in good shape.

Safety, Health & Environment Session
“Spill Prevention, Control and Countermeasure”
Speaker: Denise Seery

The speaker indicated that under the Spill Prevention, Control, and Countermeasure (“SPCC”) regulation of the Clean Water Act, containment and prevention measures need to be in place to safeguard against oil spills at certain facilities. Containment and prevention measures are often in the form of berms constructed around storage tanks or emergency drains within a facility. These measures must be documented in a SPCC Plan, and the plan must outline the training to be offered and identify personnel who must attend such training. The speaker provide the example of Client X. Client X personnel have identified those facilities where the SPCC requirements in 40 CFR Part 112 apply and have developed the required SPCC plans. The speaker presented an overview of the SPCC training course that applies to individuals that manage or operate facilities that must have SPCC plans. This training must be provided annually.

The training course must provide personnel with an overview of the regulatory requirements and the content of the Client X’s SPCC Plan for their facility, or the plan for the general area. The training course presented during this session covered the following:

1. The Law – an overview of the federal regulations and definitions;
2. The Plan – a discussion of required SPCC Plan elements; and
3. The Facility – a discussion of facility-specific spill control measures, best management practices, and spill reporting.

Packaging-Containers & Components Committee Session
“European and Asian Packaging Trends”
Speaker: Christian Musiol

The speaker provided a comparison of European and Asian marketing and packaging trends in both regions. Of all the trends globalization, the need to protect against counterfeiting, and improved ergonomy were the most important. The speaker made the following observations:

Consumption of Lubricants and Packages

1. In North America and Western Europe, the consumption is stagnate and may even be declining.
2. At present, Eastern Europe is still behind Western Europe, however, it is catching up fast.
3. Asia is still far behind in consumption with the exception of Japan.

Market Development

1. In the markets of North America and Western Europe, consumption stagnates responsiveness and can even be regressive.
2. Whereas in Asia, consumption is increasing at a high speed and this will have global impact on 1) price and availability of raw materials, 2) production capacity, and 3) the environment.

The speaker also provided the following recommendations:

• Involvement of packaging specialists (i.e., external know-how by consultants).
• Development of internal packaging management (i.e., trained packaging specialists).

Plant Operations Session
“Using Vision Sensors on Packaging Lines”
Speaker: Jon Hickman

The speaker focused on Machine Vision (i.e., making sure that the “thing” that gets down the line is actually what is supposed to be there) and error-proofing the line. Machine Vision applications are: verification, presence/absence, gauging/measuring, orientation, flaw detection, and sorting. The speaker provided a demonstrative of how Machine Vision was used on the RhinoPak Line. For example, during the demonstration the product was viewable for the duration of the line (e.g., it was clear that there were six containers in the box). In addition, it is possible with Machine Vision to determine if there is a leak and to check the status of the product/box at any point on the line. Bottom-line: “If you cannot prevent, then at least you can detect.”

Supply Chain Management Session
“Transforming Tactical Purchasing to Strategic Sourcing”
Speaker: Bill Dempsey

The speaker indicated that at the Coors Brewing Company transformation began with establishing a strong vision and mission. Their vision was to be a leading strategic sourcing organization in the beverage industry. Coors strategic sourcing created value by procuring quality goods and services, supporting growth, and innovation at the right total cost, at the right time, and in the right way. The Coors Brewing Company intends to use strategic sourcing in the following manner:

• Teaming with other functional areas to drive business results (i.e., marketing, sales, and packaging services).
• Teaming with their suppliers to optimize value chain.
• Developing hiring for strategic sourcing skill knowledge versus only transactional.
• Driving shifts in their current culture by 1) increasing their “customer focus” (internally versus externally), and 2) shifting the focus of solely driving cost to driving both cost and volume (e.g., building big brands).