“Surviving After the Economic Upturn” was addressed by NAPL's Chief Economist Andrew Paparozzi as he reiterated, “The rising tide will not lift all boats!” The recession actually ended two years ago, as measured by GDP growth, and yet the printing industry has continued to suffer as “excesses and imbalances have not been cleaned up since the boom of the 90s” according to Paparozzi. Current business conditions seem to be breaking out into the sunlight as NAPL's Printing Business Panel has reported a pick up (52%) in business versus those claiming a slow down (19.9%) on a three month trend. And for the second month in a row more panelists are reporting an increase in work-on-hand.
Print pricing trends continue to erode. Paparozzi acknowledges, “Full recovery (for the printing industry) won't be complete until some degree of pricing power is returned to the printer.” Investment priorities of this panel suggest the four corporate priorities to be (1) strengthen the core (bindery tops the list), (2) expand the core (fulfillment, digital presses, database management, and mailing capabilities), (3) digitize, integrate, & improve continuously (CTP, digital infrastructure, MIS) and (4) train and educate (clients and employees).
Steve Musselman, AGFA's Worldwide Business Development Senior Manager, offered an interesting historical perspective and overview of AM, FM, and hybrid screening. Photolithography, the process of screening for print, remained unchanged for 125 years until the digital revolution. The more consistent and precise dots delivered by computer-to-plate have allowed suppliers to develop software algorithms for dot sizing and placement. These screening alternatives are intended to optimize the press' normal ability to render ever-finer halftone details. Virtually every electronic prepress vendor is offering a proprietary series of screening solutions for their clients.
The ultimate roadmap to future print production efficiencies shows the destination to be computer integrated manufacturing (CIM). The intention is to link each manufacturing task to virtually eliminate all set up times, optimize running conditions and speeds, drive associated production spoilage to a miniscule level, and provide real time management information from beginning to end. This far-reaching goal has been achieved by other build-to-order industries, but not yet printing. Adoption of CIP4 and its job definition format (JDF) is the key to reaching this objective.
Heidelberg has its own JDF workflow solution, entitled Prinect. Other manufacturers offering critical links in the graphic production supply chain have joined the Networked Graphic Production (NGP) with a commitment to deliver the value of JDF. It is strongly recommended that no piece of equipment be purchased whose manufacturer is not an active member of NGP and therefore working diligently toward CIM by making their product compliant with the CIP4 and JDF standards.
One of the stumbling blocks to full CIM integration is the plethora of legacy equipment. Tim Daisy, EFI/printCafe's CIM Product Manager, discussed their Auto-Count system, originally intended to measure web press activity, is being adapted to be applied to non-compliant and legacy equipment in both press and finishing departments.
RIT's Frank Cost discussed their project of printing radio frequency identification (RFID) tag antennas using inks containing metal nanoparticles. RFID has been recognized as an improvement over bar code technology for inventory management due to its larger data capacity. Additionally it can serve in theft detection due to its ability to be scanned even if visually obscured. Wal-Mart announced this summer that they expect their 100 largest suppliers to apply RFID to pallet (and case) shipments by 2005 with all suppliers complying by the end of 2006. This is expected to create a ripple effect for further development and adoption of RFID tools.
Currently RFID tags are expensive (about a dollar) and complex to produce. There are passive and active tags with the later powered by a battery. The antenna coil being printed with conductive inks and cured produces the passive units. A microchip is then attached to the antenna to complete the RFID tag. In time the microchip could also be printed to further streamline the production.
The current inkjet and screen techniques are considered slow with limited volumes and resolution. RIT has been experimenting with a Mark Andy flexo press and patented conductive Parelec Parmod inks which contain silver nanoparticles. Mr. Cost and RIT conclude, “Printable electronics may represent a large potential new market for printing equipment manufacturers.”
MAN Roland's Rover combines a tablet PC with camera, broadband connection, and proprietary software to provide a remote diagnostics system for the pressroom. Christian Cerfontaine, MAN Roland's Director of Marketing, described how this portable, handheld device can “make trouble shooting and maintenance an integral part of the printer's workflow.”
An afternoon panel discussed the “Opportunities and Dangers of Diversifying into Mailing and Fulfillment Services.” While all surveys are concluding that printers want to diversify into these value-added services, the title suggests that implementing such a strategy carries certain caveats that the hardware and software vendors may not accentuate. While there are a myriad of individual services that can be provided, some are much more sophisticated and demanding than others. Printers new to these basic services would be wise to both maintain and extend their network of larger specialty vendors with whom they can partner to meet certain needs.
Conference organizer and moderator Bill Lamparter, Principal of PrintCom Consulting, challenged the audience, “Our industry is one of responders with legacy equipment. We need to change and be more proactive. What are you going to do different in 2004?” This challenge is directed to the industry trade associations as well because telemarketing constraints are inevitable while the postal service is struggling to put together a new business model in the light of escalating costs and stagnating volumes.
