distribute then print
DESCRIPTION
Presentation Title Distribute then Print Consolidated Graphics’ Digital Print Centers Steve Brown, Kevin Davis, Jim Finger, John Scheffler Name of Speaker • CGX Global Digital Footprint Overview • The Value of Outsourcing • Data Security • Print Transformation – tapping into Digital’s potential • Case studies • Q&A agendaTRANSCRIPT
![Page 1: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/1.jpg)
Presentation TitleName of Speaker
April 21-22, 2010 San Antonio, TX
Distribute then Print Consolidated Graphics’ Digital Print CentersSteve Brown, Kevin Davis, Jim Finger, John Scheffler
![Page 2: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/2.jpg)
agenda
• CGX Global Digital Footprint Overview• The Value of Outsourcing• Data Security• Print Transformation – tapping into Digital’s
potential• Case studies • Q&A
![Page 3: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/3.jpg)
who is Consolidated Graphics?
Consolidated Graphics provides the service and responsiveness of a local printing company combined with the economic, geographic and technological advantages of a large global printer.
![Page 4: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/4.jpg)
digital super centers
![Page 5: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/5.jpg)
29NexPress
22 iGen
• Over 220 digital presses in 64 companies
• Expanding international production
• Integrated Digital Highway
5Xeikon
2Oce
57Indigo
digital capabilities
![Page 6: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/6.jpg)
color management• All sites GraCl7 Master Certified• Managing color on each press, each platform, at every site, to
meet aggressive color goals• Maintenance of color fidelity is best in class• With our management skills, we achieve a Delta E of less than
3.0 across our entire digital fleet!• We are confidence that no one else in the world is managing
color and quality at the level CGX is doing today.
![Page 7: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/7.jpg)
digital PCS
Digital Production Control System• Automates order process across all production facilities• Site selection made by product type, geography and other pertinent
factors• Drives template management system for multi-up layout• Bar code driven templates to monitor individual orders• Real time reporting to maintain control of all operations• Orders submitted with color profiles included• Designed to manage tens of thousands of orders, across all facilities,
seamlessly and to very aggressive production schedules.• Global monitoring system to address issues before failure occurs or to
quickly respond to unexpected situations.
![Page 8: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/8.jpg)
global capability
• Printing: 30,000,000+ 4-color digital pages per day• Binding: 200,000+ bound books per day• Mailing: Millions of pieces per day• Fulfillment: 200,000+ orders per day
• This capacity is unmatched in our industry today.• We are committed to future expansion.
![Page 9: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/9.jpg)
strategic outsourcing value
FuelGrowth
ReduceCosts
MitigateRisks
• Faster Time to Market• Flexible infrastructure• Virtual capacity• Global expansion•Business Intelligence• Information Lifecycle Management
• TCO• Volume = Savings• Lower Support Costs• Leverage CGX buying Power• Enhanced Operational efficiency
• Multiple operations• Disaster recovery• Experience• Knowledge of HP Infrastructure• Improve Security• Better controls
![Page 10: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/10.jpg)
total cost of ownership
Hidden Costs
Visible Costs Per unit printed material price
Printed Material
Procurement
2
Material Management
Waste/Obsolescence
Storage Distribution
Managing multiple vendors adds 5-15% 16% is wasted due to obsolescence Single purchase order generates $75-$175 in internal costsStoring inventory adds 19%Fulfillment adds 87%
Total Hidden Costs $0.20
$0.02$0.02$0.01$0.03$0.12
$0.14
![Page 11: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/11.jpg)
SystemIntegration
• Custom API
• Integrated network• Content mgmt software• Digital PCS• Online resources
Sourcing
• Capacity planning• Forecasting• Contingency planning• Material standardization• JIT/VMI Supply Chain
Production
• Facilities• Equipment allocation• Training• Color management• Project management•Quality (ISO)
Distribution
• Global resources• Distribute & print• Automated ship selection• Freight options • Postage savings
Invoicing Reporting
• Centralized billing• Production reporting• Key performance metrics• Savings analysis
strategic outsourcing
![Page 12: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/12.jpg)
Local/Regional Printers
Historical
Local Departments / Divisions
Marketing Purchasing
CustomerCorporate HQ
Customer - Printer relationship
CustomerCorporate HQ
Today Future
Local Departments / Divisions
CGX Print and Document Services
PurchasingMarketing
CGXOperation
CGXOperation
CGXOperation
CGXOperation
strategic outsourcing
![Page 13: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/13.jpg)
strategic outsourcing – reengineer your thinking
• Job strategy & planning • Continuous improvement methodology• On site project management• Scalable solutions• Process engineering within CGX network• Local representation for HP OEM’s• Dedicated support services group• Administrative/reporting services• Subject matter experts • Program implementation
![Page 14: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/14.jpg)
Implementation Team Leader
Facility Preside
nt
Producing Facility 1
Facility Preside
nt
Implementation Team Leader
Producing Facility 2
Customer
Sales Team
CGX PMTSSG
strategic outsourcing
Distributed Manufacturing
• Single Point of Contact
• CGX Presidents “own solution”
• Solution “Franchised”
• Processes replicated
• Training replicated
• Equipment replicated
![Page 15: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/15.jpg)
statement on auditing standards #70
(Data Security)
![Page 16: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/16.jpg)
important ?’s
![Page 17: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/17.jpg)
SAS-70 users
• Current and Prospective Clients
• Client Security Organizations
• Independent Accountants and Auditors
• Sales and Marketing Departments
• Corporate Accounting
• Institutional Clients
![Page 18: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/18.jpg)
SAS-70 type 1 & type 2 differences
• Reports on controls placed in operation and tests of operating effectiveness (for a period of time, 6 months)
• Differentiating factor: Includes Tests of Operating Effectiveness
• More comprehensive• Requires more internal
and external effort• Identifies instances of
non-compliance• More emphasis on
evidential matter
Type 1 Type 2
• Reports on controls placed in operation (as of a point in time)
• Looks at the design of controls- not operating effectiveness
• Considered for information purposes only
• Not considered a significant use for purposes of reliance by user auditors/organizations
• Most often performed only in the first year a client has a SAS 70
![Page 19: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/19.jpg)
print transformation• The future is Digital!• By 2020, 40% of industry sales will be Digital compared to
10% of industry sales in 2010.• CGX leverages technology, footprint and equipment mix to
assist customers in leveraging digital capabilities.• 100% of our National Accounts have leveraged our digital
resources to meet strategic objectives and achieve higher levels of performance.
![Page 20: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/20.jpg)
print transformation
CurrentDistribution Model
Improve Distribution
Reduce Obsolescence
Process Change
Improve Cost Savings
Today
WarehouseNeeds
Future
PODNeeds
![Page 21: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/21.jpg)
opportunity is in the process
On average, for every $14 spent on printing, $20 goes to ancillary services.
-Infotrends.com
![Page 22: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/22.jpg)
print transformation
The Challenge: • Marketing materials were not the first priority at the Tyco
fulfillment facility.• Delivery times were too long• No accurate product counts• Obsolescence was uncontrolled• Most important to them, they had no true measure of costs
and usage.
![Page 23: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/23.jpg)
print transformation
The Result: • Print and fulfillment services awarded to CGX• Increased time to market utilizing CGXSolutions StoreFront • Improved inventory control• Over 50% of products migrated from offset to digital• CGX-led Print Transformation to meet ADT goals • Six Sigma team recognized 64% reduction in expenses & 48% reduction in
process steps • Total cost savings of $2.1 million in the first year alone.• Reduced fulfillment time from 30+ days to 1-7 days • Reduced literature creating time from 104 days to 20 days.• StoreFront hosts 1600 products and provides user access to 5500 active users.
![Page 24: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/24.jpg)
print transformation
Shell Overprint Program •Digital technology reduced turn time•Eliminated storage costs•Removed need for inventory management •Mitigated risk of obsolescence•Reduced risk of cash flow tied up in static materials•Customer saved $55,000 in first year
![Page 25: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/25.jpg)
print transformation
The Challenge: • Replace clumsy two-color pocket folder & hand
collated inserts • Integrate with existing ordering system • Develop a scalable solution • Reduce costs • Produce up to 300,000 units per year
![Page 26: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/26.jpg)
print transformation
The Result: • Decreased Call Center Volume • Closed Down an Entire Warehouse• 1.2 million pieces of paper trashed when move made to POD• Decrease in Postage Costs • No affect to the IT budget • Positive Response from Brokers & Customers• Product updates take less than an hour with no waste.• Fully automated digital workflow is fast and error free.• Print Transformation goals achieved for customer
![Page 27: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/27.jpg)
print transformation
The Challenge: • Eliminate inventory • Eliminate product obsolescence • Reduce transportation costs• Reduce new product release lead-times• Production to occur on-site with other
manufacturing processes
![Page 28: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/28.jpg)
print transformation
The Results • Installed onsite digital production facility within Esselte operations• Saved Esselte $500k in year 1• Reduced inventory from 6 months on-hand to 1 day• Virtually eliminated transportation costs• Expanded Digital Production centers inside Esselte facilities in
Union, MO and Reynosa MexicoSaved Esselte 500k in year 1• Reduced inventory from over 6 months to 1 day• Virtually eliminated transportation cost• Digital Production centers inside Esselte facilities in Union, MO and
Reynosa Mexico
![Page 29: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/29.jpg)
print transformation
Nimblefish Program• Produced over 120MM direct mail
pieces • Largest digital direct mail campaign
in North America• Single source production contact• Choreographed production utilizing
the 4 CGX digital supercenters
![Page 30: Distribute then Print](https://reader035.vdocument.in/reader035/viewer/2022062501/568bd7ee1a28ab2034a18432/html5/thumbnails/30.jpg)
Presentation TitleName of Speaker
April 21-22, 2010 San Antonio, TX
Distribute then Print Consolidated Graphics’ Digital Print CentersSteve Brown, Kevin Davis, Jim Finger, John Scheffler