Operate more ProfitablyRecipes for Success

Recipes for Success

• Deep dive into several successful print and digital print operations

• Find the recipe, review the ingredients, go though the order, prep, execution and delivery process

• Look at throughput, efficiency, touch points, successes and failures

• Review and discuss solutions to workflow bottlenecks and challenges

About the Businesses

• PSP’s ranging from $10 to $80 million in sales.

• Profitable with a wide variety of products and services from offset to digital and grand format in production size, with many stock, finishing and high value added sheet options

• Most are diversified or in the process of broadening the service spectrum to include multiple channels and other communication and service avenues.

• Indigo volumes range from 5% to 75% of revenue base, print is typically only one of many output and revenue channels.

Digital Business Review Process

• CEO survey on business model, near-term future plans, challenges facing the business today

• On-Site review of organizational structure, business process, infrastructure, customer connectivity, asset acceptance and workflow, order entry into production, production systems, systems integration and quality assurance process

• Interviews with key stakeholders questioning vision, objectives, job description, current initiatives, highlights, challenges and frustrations

Quick Hit Issues - Solutions• Imposition manually via Smartstream at local desktop

• Manual Whiteboard for Implementation of WTP Software

• Lifting 100# plus rolls of material to grand format machine

• Scheduling complex job installations in MS Word

• Frequently missing files for jobs with two files (Print, Cut)

• Gathering requirements for web portals

• No standardized scope of work document for portal dev

• Measurement of adoption rates of web portals

• Jobs schedule printed on paper and distributed manually

• 5 different sharepoints for production files

• No current jobs status listing without deep dive into job

• Over 30% of emails are routing files

What is the Recipe for Success?

The Meal Plan

The end result of a good recipe, select ingredients, careful preparation and good presentation

Digital Business Review – StrategyEach business has a unique strategy and “Recipe” for success. Some of the Recipes:– Conventional sales and marketing team

• Mix of retail and BtoB Sales, Never say no philosophy • Culture of innovation and development • Focus on market segment and cradle to grave (vertical market)

support and service

– Digital print is one channel of many, technology driven• Embracing SAAS model to deliver services via multiple channels• Major initiative to expand services and create networked production

with many partners, moving to the “cloud”

– Indirect sales effort, with brokers and service providers• By offering unique production and visual enhancement

technologies• Provide innovation otherwise unavailable to many partners without

significant capital investment

Digital Business Review – Structure

Some unique and innovative ingredients for success- Product focused with specific product management teams

and resources aligned to support the product

- Highly vertical product manufacturing with turnkey support and services centered around the development, production installation and ongoing support of the product

- Fully automated distribution of assets from digital storefronts to imaging engines in local and remote environments creating widely scaleable production network

- Leveraging in-house development efforts to create web-based SAAS solutions that are extensible to other PSP’s, but maintaining product integrity though control of development and deployment process, becoming a more vertical service provider

Business Review – Leadership

• Strong CEO involved in many day to day operations including pricing, sales and jobs management

• Pros: In touch with pulse of business, hands on with customers results in significant customer satisfaction – high perceived value to customer, highly visible to employees, able to communicate vision directly if that is where the focus of effort lies

• Cons: Difficult to make and spend clear time to plan and orchestrate vision, removes the empowerment of downstream team, can cause perceived favoritism, can create a dependant culture, what happens when you are unavailable?

Business Review – Leadership

– CEO limited in day to day operations focused on financials and performance

• Pros: Able to focus on the ongoing direction and necessary vision, can be very aware of profitability of products and services, focus on bottom line will weed out non-profitable functions

• Cons: Lack of visibility in organization, must have powerful leadership team, can be unaware of pulse of organization or perception of leadership group, can make decision based on purely financial performance and not potential, or how to get the potential out of team

CEO – Best Practices – Organizational

Organization and Function– Corporate objectives are tied to personnel and

department or business unit performance goals

– Personnel are challenged and measured frequently, position and accountability are clearly visible in organization

– Don’t be afraid to cut ties with the past, what was good before may not cut it today

– Reinvigorate people by making sure you are a high character functional leader and aware of the value your employees provide

Fuel Your Business

1. Functional Leaders Drive Profits

2. Vision and Purpose Ignite Forward Momentum

3. Truth and Clarity Motivate Action

4. People are Driven to Live Out a Purpose

5. Freedom Turns Ideas and Vision into Reality

6. Creative Expression Fuels Change and Growth

7. Human Connectivity is the Source of Energy

8. Humanity is the Future

Digital Business Review – Personnel

Training and Development Observations– To busy for formal structure

• Limited formal training program

• Desperately need to get the process under control

– Rock and roll full speed ahead

• Limited formal training program, no measured personal objectives

• Limited process and procedures documentation

• Self-initiatives supported and embraced but often result in development of silos of knowledge

– Planned and Organized

• Comprehensive process and procedures documentation

• ISO certification, online knowledgebase including process

• Standardized on-boarding process including orientation and cross-training, ongoing measurement

Best Practices – Personnel Structure

Put structure in place – revisit often

– Positions are documented and measured– Development results are documented and

understood in regular reviews– All are engaged in regular process

documentation and have ownership of the processes and in training

– Employees are empowered to develop new processes and to refine existing – there is a reward for this

– Positions are visible, managed and continually refined as new technologies can make a huge impact in efficiencies and labor needs

Best Practices – Structured ProcessProcesses need management

– Processes are documented and measured, results are displayed and understood by all

– All are engaged in the process documentation and have ownership

– Processes are available for reference at any time and continually updated (Knowledgebase)

– Employees are empowered to develop new processes and to streamline operations

– Processes are visible, managed and continually refined as new technologies can make a huge impact in efficiencies

Best Practices – Structured Products• Products

– Need to be engineered, critical components include: materials, pricing, production process, efficiency, marketing, sales and estimating process, sales toolset, product production workflow, raw materials supply chain

– Need an “owner” in the classic product management scenario, someone whom is responsible for product, pricing, profitability and promotion. Products should be analyzed by volume, manufacturing cost, margin, customer uptake, velocity, labor required to produce

• Production– Continual measurement, dashboard mentality, real-time

analysis, scheduling and visibility– Products should be developed per a standard for development,

including; manufacturing process, value add possibilities, automation potential, marketing promotion, margin and sales targets

The Order

The process of getting an accurate estimate is crucial to a commercial print operation – If a complex product that you cannot list price - do you have the right resources in place to ensure the job is priced at a profitable margin, within expectations of the customer and should be taken on?

Challenges in the everyday - Order

Most Common Job Flow Bottlenecks– Estimating Process

• Traditional • Price list

• Wizard Driven

– Materials and Processes Selection• Materials pricing – availability of information• What is the most efficient production center• Staffing – availability of resources to produce

– Why Can’t it Scale?• Process or product knowledge limitations• Silos of information within organization• Training and experience• Inability to see production center loading

Challenges in the everyday - Estimate

What Can be Done– Estimating Process

• Add structure or systems • Divide by products amongst team creating experts

• Education by product owners

– Conquer the need for Information• Create Knowledgebase• Create corporate project collaboration portal

– Blow up the model• Create Super CSR’s – Project Managers

• Establish cross-training programs• Create knowledge cells – with planners, estimating and

project managers grouped physically together, sharing process knowledge

Challenges in the everyday – OrderOne-Off Jobs Submission

• E Mail Hell– Typical CSR receives 200 – 300 emails per day

involving jobs with incoming files, inquiries about jobs status, change notifications, questions from plant

– It is estimated over 20% of a csr’s time is used for storing, filing or locating project related emails

• How many emails could you take away with the following technologies:– On-line and accurate job status– On-line collaboration portal – by customer or project– On-line file submission portal passing jobs into the

workflow and only notifying on failures

One-Off Jobs Submission - Tools

• On Line File Submission Portal– Web based front end form – with upload capabilities– Tied into customer database– Tied into the MIS system to provide resources– Tied into workflow – for automatic preflight and

validation– Prepare and place files into structured storage, ready for

a touchpoint – if necessary

• Tool Types– High end commercial – Kodak Insite - $40-60K requires

RBA for scripted actions and reactions – $20K– Connect All – Switch Workflow $10-15K plus internal

time of 75 – 100 hours to build out workflows or $5K to $10K in outsourced custom development

Communications - Tools

• Collaboration Toolsets– Web based front end form – accepts emails– Tied into customer database– Tied into workflow – for job status updates– Provide a “project center” view of a job containing all

inputs, schedules, critical documents

• Toolsets– Smartsheet– SAAS easy to deploy monthly subscription– HP Production Center – PODIO – SAAS easy to deploy monthly subscription– Does your MIS have this capability?

Knowledgebase - Tools

• On Line System– It’s about the people! – need a team based approach– Multiple authors – easy to contribute– Web based system, simple upload capabilities– Searchable Indexed database– Highly visual and collaborative– Can hold process, specs, procedure, standards

• Tool Types– High end commercial – Moxie Knowledge space – used

by many Fortune 500 companies– Bloomfire 50 users - $500 per month– Shareware – Wiki – often times just a document

repository but can be customized and deployed inexpensively

Retooled Process Jobs Submission The Payoff

• Double the amount of Jobs handled – Reduce staff overtime– Repurpose staff to focus on higher end and more

complex jobs– Increased customer satisfaction

• Case Study – Decreased touchpoints resulting in 25% greater capacity– Eliminate overtime for increased amount of jobs– Eliminate errors to press by forcing into templates and

pre-proofing templates

Preparation

Moving the files and assets into the workflow is where some of the new workflow automation tools can really pay off

Digital Business Review – Workflow

• Each Business has a unique workflow– Many are highly manual requiring many touch-points to

get jobs and files to production

Group Job Ticket File Preflight

File Routing

Imposition

“A” 95% Manual

Manual Manual 85% Manual

“B” 85% Automatic

Mostly Automatic

Automatic Automatic

“C” 80%Manual

Manual Manual Manual

Increasing Productivity – Job Ticket

Job Ticket Automation– Why it is important

• Bring Jobs into workflow and communicate back to customers 24/7• Move jobs quickly through workflow handling by exception• Communicate Job Information more quickly to shop and resources• Allows measurement and analytics • Free up talented labor for more complicated and profitable tasks

– How do we do it?• Document workflow as it exists today• Review of systems in place – Customer requirements• Review of touch-points – analyze in detail what adds values what

does not • What can be eliminated, what causes delays (or wait states) what

information moves • Evaluate MIS and systems capabilities

Increasing Productivity – File Handling

Incoming File Handling Automation– Why it is important

• Bring files into workflow and communicate back to customers 24/7• Free up talented labor for more complicated and profitable tasks• Move jobs quickly through workflow handling by exception• Allows measurement and analytics

– How do we do it?• Document workflow as it exists today• Review of systems in place – Customer requirements – why do we

touch files and what value do we add• Review file types submitted, frequency and state• Review of touch-points – analyze in detail what adds values what

does not, what can be eliminated, what causes delays (or wait states) what information moves

• If we know this, then we can automate that

Increasing Productivity -File Processing

File Handling Automation Tools and How To– Toolsets

• Enfocus Switch – Pitstop Server – Connect All• HP Smartstream Production Center

• Impostrip – On Demand• Xerox Freeflow – Puzzle Flow

– How do we do it?• Build out team – Project Manager, Prep, Pressroom• Detailed product workflow• 80/20 rule – go for the low hanging fruit – examine files and

jobs for repeatability, frequency, similar attributes• Review toolsets• Start simple and add complexity as experience grows

Increasing ProductivityReal Time Data Collection

– Why it is important• Communicate Status to Support Team and customers 24/7

• Allow visibility into any job without leaving desk• Communicate Job Information and Status quickly to

Customer Support• Allows measurement and analytics on a real-time basis • Free up talented labor for more complicated and profitable

tasks

– How do we do it?• Analyze and Establish data collection points in plant

• Review toolsets• How do I tie back into my MIS, if I am outside of it?• Look at capabilities of shop floor systems as they exist today• Develop plan and procedures• Plan to enforce

Increasing Productivity

Web to Print Systems

– Why it is important – What is Critical

• Allow access by customers 24/7• On demand reporting

• Workflow Automation on the backend

• Removing touchpoints from process• Allows measurement and analytics on a real-

time basis • Free up talented labor for more complicated

and profitable tasks

Execution

Execution is all about timing, resource management, scheduling, materials and files coming together at the right time

Materials

• Managing materials flow– To the press on time ready to go – handling fixtures– Pull or push system – who is responsible for movement?– Materials to be acclimated – pulled for job – Process for controlling counts– What happens when we need more?– Tagged for post press handling and finishing– Inventory maintenance – counting and verification

• Tools and Resources– Presswise Inventory management– HP Smartstream – Other systems – your MIS– A sound process on the floor – tooling and fixturing

Pressroom• Managing job flow and challenges

– Where are the files– Do we have a production sample– What are the customer requirements– Systems in place for daily production

• Managing job flow solutions– Server centric based file repository for pull method– Push to server for fully automated jobs

• Tools and Resources– Presswise direct to press– HP Smartstream direct to press– Centralized file servers or virtualized storage

Finishing

• Managing job flow – What are the customer requirements– Where are the files – die lines, JDF or XML info– Do we have (need) a production sample

• Managing job flow solutions– Systems in place for daily productivity– Set schedule for production types– How do we manage the schedule – staffing

• Tools and Resources– HP Smartstream Digital Finishing– Duplo iPad machine setup solution– Horizon Standard networked finishing– CP Bourg Off-line Finishing

Increasing Productivity

Infrastructure Solutions– Why it is important – What is Critical

• Phone systems are moving to the cloud providing scalable, flexible integration into other systems such as a CRM

• CRM Integration provides screen pops • On-line chat services can provide greater service• Servers are moving to the cloud virtualized processes

and power can be quickly scaled.• MIS Systems can be moved to the cloud as well

providing scalable solutions• Workflow Automation in the Cloud – Smartsoft

Presswise

Want to Know More – Right HerePresentations at Dscoop 9

• Print MIS Technology– Friday 2:30pm – Naples Room

• Improving Productivity and Utilization through Metrics– Friday 5:00pm - Sun Ballroom C

• How to Automate Incrementally– Saturday 11:00am – Sun Ballroom A

• Automation and Lean Manufacturing– Saturday 2:30pm - Sun Ballroom D

• Improving Productivity Roundtable– Saturday 2:30pm – Miami Room

Want to Know More - Resources

Resources at Dscoop 9

• Smartsoft Presswise – Booth 411• Enfocus Switch – Booth 934

• HP Smartstream Production Center – Booth 113

• Duplo Production Finishing – Booth 307• Horizon International – Booth 730• Rollem International – Booth 617• Baum/Mohr Cutters

• Avanti Slingshot MIS – Booth 801

Consulting to the Industry since 2003

Dscoop member since 2006, Chair of Operations/Tech Committee from 2007-2010, Board of Directors from 2008 to 2011, Active on Membership and Web Committees

Strategic and Tactical Expertise in Management, Business Development and Operations

Have 28 years GA experience, worked “both sides” in the Marketing Communications space, with Fortune 500 companies, Agencies and PSPs

Work with PSPs and MSPs from $5-70 Million in sales with offset, digital, screen, wide, grand format capabilities

Focused on business development both internally and externally

Consulting to the Industry since 2003

Dscoop member since 2006, Chair of Operations/Tech Committee from 2007-2010, Board of Directors from 2008 to 2011, Active on Membership and Web Committees

Strategic and Tactical Expertise in Management, Business Development and Operations

Have 28 years GA experience, worked “both sides” in the Marketing Communications space, with Fortune 500 companies, Agencies and PSPs

Work with PSPs and MSPs from $5-70 Million in sales with offset, digital, screen, wide, grand format capabilities

Focused on business development both internally and externally

Consulting to the Industry since 2003

David B. Smithcell 423.834.0159dave@dynamicprintsolutions.com

Consulting to the Industry since 2003

David B. Smithcell 423.834.0159dave@dynamicprintsolutions.com

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