TLMI welcomed nearly 150 members to the Hyatt Regency Tamaya, near Albuquerque, NM, USA, for the first time in more than two years. The event allowed attendees to network and discuss best practices in an informal setting. Plus, industry experts delivered presentations on a wide range of topics, which were designed for implementation in converting businesses to foster greater success.

The event took place at the Hyatt Regency Tamaya Resort & Spa, which is nestled on more than 550 acres of the Native American Santa Ana Pueblo land between the Sandia Mountains and the Rio Grande River. The Converter Meeting placed an emphasis on culture, collaboration, and staying true to the association’s principles.

While the last iteration of the event in March of 2020 focused on Covid-19-related business issues, the 2022 version pivoted to address the ongoing supply chain challenges and the impact to the label and package printing industry.

“We want to be more transparent and help each other, and TLMI is here to help facilitate that conversation and share that knowledge,” said Linnea Keen, president of TLMI.

In an effort to address concerns about numerous industry topics, TLMI hosted a panel discussion on March 21. The supplier and converter panel featured an esteemed cast, including John Borrelli of Luminer Converting Group, Andrew Boyd of Blue Label Packaging, Philip Coates of UPM Raflatac, AWT Label and Packaging’s Bruce Hanson, Bostik’s Catherine Heckman, and Wausau Coated Products’ Jim Sheibley.

“We have a very strained and fractured supply chain, so the impact of the UPM strike is being felt more severely,” explained Coates. “Our problems won’t completely go away when the strike ends in 8-12 weeks. Medium and longer term is still a bigger concern going forward. The long-term viability from the paper side of the business is far from assured.”

“Every time we think there’s an improvement and a softening in a segment, another raw material has an issue,” added Heckman.

The converter experts on the panel delivered their methods for handling these ongoing challenges. Luminer’s Borrelli emphasized the need for continued communication throughout all levels of the supply chain.

“The best thing that has worked for us over this timeframe is communication,” said Borrelli. “It’s a three-way street between customer service reps, our suppliers and then production. We have to be as nimble as possible to react.”

Blue Label Packaging, an all-digital label converter, has been presented with different challenges due to the large number of orders they typically receive. “We’ve had to build out our MIS with a really detailed infrastructure to quickly get in touch with customers and give them their list of options and then rapidly get with production,” remarked Boyd. “Our solution has been MIS infrastructure to accommodate rapid changes in jobs. It makes it bearable, not pleasant. Our customers know what to expect, and they’re aware of what the reality is in the short-term because you’re being transparent.

“We need to be more educated and have a ready-list of options to go,” added Boyd. “And if we have a back-up plan in place, it’s going to make our lives a lot easier.”

For AWT, strategic planning for the future has been imperative. “You need to make sure you’ve gone back and looked at your strategic planning process and what markets are you looking to go after, and what will it take to compete,” stated Hanson. “Getting communication out to suppliers is key to let them know what the real demand needs are.”

Meanwhile, industry experts delivered new content on a variety of issues, from the buy/sell arena and Lean Manufacturing to workforce development.

Affinity HR Group’s Claudia St. John laid out the issues facing converters today, both in attracting new talent and retaining the talented employees they have. According to St. John, there is a very tight labor market, with 3.8% unemployment – and in some geographies, it’s even lower.

“You have to create a strategy, marketing plan, and give full effort to attract and retain talent,” said St. John. “Don’t lose your talent because they are poachable. Most importantly, make sure your employees are happy.”

In February, 4.4 million Americans quit their jobs, and that is indicative of a continued trend. “We are losing millions of people from their jobs. It’s not just millennials. It’s coming at all levels – millennials to other offers, baby boomers to early retirement, and mothers to child care.”

For St. John, the most important attribute a business can offer potential and current employees is a strong workplace culture. “Market your business to potential candidates and look at culture,” she said. “A toxic workplace culture is 10.4x more important than compensation to employees.”

Compensation is also key. Compensation strategy needs to be externally competitive and internally equitable. Plus, only 48% of companies have a cohesive payment strategy for employees, and 92% of businesses are planning a pay increase in 2022 (www.PayScale.com).

Harvard Business Trends acknowledged that companies are paying 20% premiums for new hires, and average pay increases are above 4%.
 
For businesses looking to buy and sell, Bradley Scoular, partner and financial planner with
Global Wealth Strategies & Associates, detailed multiple considerations for companies on both sides of the aisle. When discussing buy/sell and business continuation planning, owners must “ignite your why and find your passion,” said Scoular.

There are a host of reasons why an owner might sell, ranging from divorce and bankruptcy on the negative end to retirement on the positive end. Owners must plan for the future – starting now – and manage emotions, expectations and fairness. For example, setting up an investment account for succession planning is a wise endeavor.

Brian Van de Water, SPL Consulting founder and CEO, explored Lean Management and ways to streamline a printing business to generate more productivity and a better bottom line. Van de Water set out to provide a 10,000-foot view of Lean, while providing real-life examples of Lean applied successfully in the label printing industry.

He defined Lean as, “A set of tools designed to take a deep dive into your processes with the goal of identifying and removing waste, using fewer resources for our customers. The goal is to create standard processes or standard work.”

Van de Water also explained the power of Triple E: empowerment, engagement, and execution. “If you have a leadership team that can execute its plans, and you bring Lean into your business, you’re going to be able to sustain that success long-term,” he said. “You have to start to change your culture and makes these changes count. Leadership spreads too. As you lead and your leaders lead, it pervades your whole organization. People will volunteer for projects and really step up.”

To address sustainability, Seventh Generation’s Kelly Murosky identified the sustainability trends affecting labels and packaging, as well as how her company has emerged as a leader in the space. According to Murosky, 100% of materials and ingredients used by Seventh Generation are sustainable, bio-based or recycled. The company has placed a specific emphasis on labels and flexible films, too.

“We’ve seen innovation coming from within the labels space,” said Murosky. “We’ve been orking for several years on a bio-based label, and we’re coming out with these products within the next year. We’ve really focused on getting these new developments into our products.”

Seventh Generation’s goals include achieving zero virgin petroleum in label facestocks and liners, as well as prioritizing PCR and recycled content. Where PCR of PIR are not available, Seventh Generation is looking to source bio resins.

The Converter Meeting also featured significant opportunities for members to network in an informal session. TLMI offered an opening night dinner and cocktail reception, a hot air balloon ride, several hikes of the historic land, an awards dinner, and a tour of nearby Santa Fe, NM. Plus, the Label Leaders of Tomorrow gathered for a networking hour to discuss the future of label printing.