EL PASO PAPER BOX

2019 MANAGEMENT REVIEW MEETING

December 06th 2019

REVIEW INPUT❑ Follow-up actions from previous management review meetings.

❑ Changes that may affect the Quality Management System

❑ Customer feedback.

❑ Employees feedback

❑ Quality objectives.

❑ Process performance and product conformity.

❑ Nonconformities and corrective actions.

❑ Monitoring and measurement results.

❑ Audit Results:

■ PJR / 2018 and 2019 Surveillance audit.

■ Internal

❑ Performance of external providers

❑ Adequacy of resources

❑ The Effectiveness of actions taken to address risk and opportunities

❑ Recommendations for improvement.December 6,

2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 2

FOLLOW UP ACTIONS FROM PREVIOUS MGT REVIEW

❑ Send a gift to customers who complete the survey.

■ Incomplete

❑ Sales contact to follow up with customer that did not complete the survey.

■ Incomplete

❑ Employees feedback, improve communication, why things happened?

■ Incomplete

❑ Monthly meetings with employees.

■ Incomplete

December 6,

2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 3

CHANGES THAT MAY AFFECT THE QMS

❑ No major changes to the current ISO9001 procedures.

December 6,

2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 4

CUSTOMER FEEDBACK

December 6,

2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 5

Q1 Q2 Q3 Q4 Q5 Q6 Q7 Q8 Q9 Q10

2017VERY POSITIVE

93 94 90VERY

POSITIVE

VERY

POSITIVE

VERY

POSITIVE

VERY

POSITIVE 95EXTREMELY

LIKELY

2018VERY POSITIVE

90 91 91POSITIVE VERY

POSITIVE

VERY

POSITIVE

VERY

POSITIVE 94EXTREMELY

LIKELY

2019 DETERIORATED 91 91 76 NO CHANGEDETERIORATED

SOMEWHAT POSITIVE

DETERIORATEDNEUTRAL

DETERIORATEDSOMEWHAT POSITIVE

91

DETERIORATEDFEW NOT LIKELY

EMPLOYEES FEEDBACK

❑ Employee survey for 2019 was done in December with a 149 employees participation

❑ Overall the employees perception average answers are improved versus 2018

❑ Graphs are posted next to the lockers

December 6,

2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 6

CUSTOMER

SERVICEPRE -PRESS DIE SHOP QC ACCOUNTING

UPPER

MANAGEMENT

2017 73.5 78.5 75.5 81 84 73

2018 78 84 81.5 84.5 84 75

2019 76.5 82.5 84.5 84.5 84 78

QUALITY OBJECTIVES

❑ WASTE 1.8 % MAXIMUM – ACHIEVED

❑ COMPLETE ORDERS AT 90% MINIMUM – ACHIEVED

❑ SQF AUDITS AT 90% MINIMUM – ACHIEVED

❑ PREVENTIVE MAINTENANCE 90% MINIMUM – ACHIEVED

December 6,

2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 7

PROCESS PERFORMANCE AND PRODUCT CONFORMITY

❑ Performance of our processes is evaluated through our Internal Audits

December 6,

2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 8

PROCESS PERFORMANCE AND PRODUCT CONFORMITY

❑ Product conformity is performed through quality inspections and documented in ERP

Quality Checklist

December 6,

2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 9

MONITORING AND MEASUREMENT RESULTS

December 6,

2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 10

2018 CUSTOMER COMPLAINTS: 72

2019 CUSTOMER COMPLAINTS: 62

REDUCTION OF 14%

2018 REJECTED PCS: 307,356

2019 REJECTED PCS : 210,509

REDUCTION OF 31%

2018 RMAs: 72

2019 RMAs: 72

EVEN WITH 0%

2018 NON QUALITY COST: $69,761

2019 NON QUALITY COST: $73,899

INCREASE OF 6%

PJR / 2018 SURVEILLANCE AUDIT

❑ INCIDENT 1- MINOR: Preventive Maintenance– Not performed at the designed interval.

■ CLOSED 11-15-18

December 6,

2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 11

PJR / 2019 SURVEILLANCE AUDIT

❑ INCIDENT 1- MINOR: Management Review does not address Internal Audit results and

Risk Rating Scale & Matrix.

■ ANSWERED 11-06-19

❑ INCIDENT 1- MINOR: Not completing document changes within 30 days, as required per P

9.0 Performance Evaluation.

■ ANSWERED 11-06-19

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2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 12

INTERNAL AUDITS

December 6,

2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 13

Date Process Findings Corrective Action Status

3/26/198. Operation / W 8.2.1 Customer

ServiceNone N/A N/A

3/28/19 8. Operation / W 8.6.3 Manufacturing None N/A N/A

9/03/194. Context of the organization /

D4.4.1. Process Matrix & ModelNone N/A N/A

9/04/19

5. Leadership / D.5.2 Management

Quality Policy/ D.5.3 Organizational

chart

None N/A N/A

9/06/196. Planning / D.6.2.2 Quality

ObjectivesMinor

Update Quality

Objectives based on

2018 Management

Review

Complete

9/27/19 8. Operation / W 8.6.3 Manufacturing None N/A N/A

9/30/198. Operation / W 8.6.4 Receiving-

Shipping-handlingNone N/A N/A

PERFORMANCE OF EXTERNAL PROVIDERS

December 6,

2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 14

ADEQUACY OF RESOURCES

❑ PRINTING

■ Investment of buying plastic pallets to improve product quality.

■ Investment on new sheeter.

❑ FINISHING

■ Investment on new window machine.

■ Investment on new strapping machine (for Align).

■ Investment on new double tape machine (for Align).

❑ SHIPPING/ RECEIVING/ WAREHOUSE

■ Investment on new Forklifts.

■ Investment on new shrink wrapper machine.

December 6,

2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 15

ADEQUACY OF RESOURCES

❑ HUMAN RESOURCES

■ Investment in training for various employees from different departments:

▪ Die Shop – Additional BSI.

▪ Laminating - Foliostar machine

▪ Expertfold 145 – setup training

▪ Expertfold – barcode scanner setup training

▪ Window machine – setup training

▪ Electric forklifts - training

❑ IT (LAPTOPS, PRINTERS, TABLETS)

■ 3 Laptops for new machines.

■ 5 Desktop barcode printers

■ 4 Tablets for shipping

December 6,

2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 16

EFFECTIVENESS OF ACTIONS TAKEN TO ADDRESS RISK AND

OPPORTUNITIES

December 6,

2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 17

RECOMMENDATIONS FOR IMPROVEMENT

❑We have to continue pushing towards our goal of becoming SQF

certified.

■ Handwash fountain, outside cafeteria.

■ Finishing portable vacuums

■ Sanitize finishing department frequently

■ Use of hair nets and gloves at finishing

■ Maintain Painted walkways.

■ Employees training

December 6,

2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 18

REVIEW OUTPUT

❑ Opportunities of Improvement

❑ Updates or changes of the QMS

❑ Resource Needs.

December 6,

2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 19

OPPORTUNITIES OF IMPROVEMENT

❑ Reduce Raw inventory

❑ Implement MRP

❑ Reduce production scheduling daily changes

❑ Try to become a leaner WIP flow facility

December 6,

2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 20

UPDATES OR CHANGES OF THE QMS

❑ Process flow was updated after Tony Peralez’s ISO9001 surveillance audit

observation.

December 6,

2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 21

RESOURCE NEEDS

❑ 2 Industrial barcode printers for finishing.

❑ Cleaning crew by shift.

❑ Materials manager position to help in the management and control of all

inventories (Raw, WIP, FG) in line with MRP.

❑ Increase cutting throughput capacity

❑ Add additional security measures at employee entrances.

December 6,

2019Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 22

THANK YOU VERY MUCH FOR YOUR TIME

December 6, 2019 Regional Leader in the Folding Carton Industry – Member of the ICG and ISO9001 Certified 23