C2561 - Reese Plastics - Plastics Manufacturer
- Canterbury Region
Summary
Wastage has been significantly reduced throughout the operation. Reject rates
for labelling lids have decreased dramatically over 20% to between 2.5% and
3%. Over $80,000 is saved per year in increased productivity alone. Installing
granulators will save over $20,000 per year.
Business Profile
Plastics manufacturer with 50 staff producing rigid packaging, crates and so
on. This business was part of the Ministry for the Environment's cleaner
production demonstration project.
Type of Project
Process modification, material recycling, waste reduction, reduction in use
of hazardous substances
Reasons for Project
The philosophy of the business involves the efficient use of resources and
operating a cost-effective business. Excessive wastage was occurring.
The Project
Inmould Labelled Lids
| Details |
Reese Plastics has
developed a machine to mould labels into lids of containers.
This means it is no longer necessary to glue labels onto
lids. Reject rates have decreased by over 20% and the use
of toxic substances has been eliminated. The material weight
of the lids has been decreased by 12 grams, which reduces
material and transportation costs. |
| Economics |
Installing the machine
was part of a three month project, costing $26,000 in capital
costs and labour. $80,000 was saved in the first year due
to increased production and decreased reject rates. This
does not account for the significant savings resulting from
not needing to dispose of the reject product, and the saved
cost on adhesives and cardboard labels previously used. |
| Benefits |
Reject rates have decreased by over 20% to between 2.5%
and 3%. The business previously experienced problems with
the glue used to stick the labels onto the lids. Damage
also occurred as lids were moved a number of times throughout
the process.
Production rates have increased by 10% to 15%. This is
because the process has been automated and lids no longer
need to be handled.
Glue and other toxic substances no longer need to be used,
eliminating any possible health hazards for the staff. |
Regrind
| Details |
Reject product is
granulated and used in the extrusion process to make tubing.
Reese Plastics is looking at purchasing two more granulators
to allow them to reprocess reject products at the machine
when they are generated. |
| Economics |
The granulators
would cost $30,000 and are expected to reduce the amount
of virgin resin used by $22,000 per year. |
| Benefits |
Granulating at the machine where the reject product is
created would ensure that the material was not contaminated.
It would also reduce handling and storage of the material.
Regrind material is used to make products that only require
a lower grade of plastic. If regrind was not processed
some of these products would not be made as the cost would
be too prohibitive.
|
Waste
| Details |
All waste oil is collected and re-refined.
All plastic and paper bags used to deliver materials to
the business are collected and reused by various organisations.
Cardboard is also recycled.
|
| Economics |
Re-refining oil saves the business over $1,700 per year.
Recycling bags and cardboard has reduced disposal charges
by between 25% and 30%.
|
Others
A number of other projects have also been undertaken:
- All staff are involved in at least one cleaner
production project;
- An active OSH (occupational safety and health)
committee has been formed as a result of the workers feeling
they can make suggestions to improve the business;
- Staff receive on-going training to increase
the quality of performance of the business and their work environment;
- The business is working towards ISO 9002 accreditation;
- Skylights have been installed throughout the
plant, reducing energy consumption and improving the workplace.
This will have a payback period of 18 months;
- Instructions for process operations have been
formulated and product drawings and specifications are being
developed. This will reduce wastage and improve the efficiency
of the process.
Reese Plastics has been assisted in some of its projects by
the local electricity supply authority, Southpower. Southpower
has monitored energy use and provided advice about load shedding.
Applicability to other businesses
This business has undertaken a comprehensive programme that can be followed
by other manufacturers.
For additional information contact:
Warren Grey
General Manager
Reese Plastics
P O Box 7111
Christchurch
Phone: 03 365-4382
Fax: 03 366-6026
Charlie Hand
Account Manager
Southpower
Private Bag
Christchurch
Phone: 03 363 9828
Fax: 03 363 9836
| 
