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The Magazine

Issue 8

Eat yourself well - Food can be an agent of improved public health, if we approach the issue carefully.

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Spencer Green
Chairman, GDS International

Sales and the 'Talent Magnet'

A lot is written about being a ‘Talent Magnet’, either as a company, or as President. It’s all good practice – listen, mentor, reward, provide clear goals and career maps. Good practice for the employer, but what about the employee?
25 May 2011

Counting the cost

Revent International | www.revent.com


Ever since Revent invented the very first Rack Oven in 1958 ‘Total cost of ownership’ (TCO) has been a guiding star for us.


A baker faces many different costs - installation, service, energy, rejects, packaging, etc - that need to be considered. Knowing, controlling and reducing these costs not only affects the annual result but should also be evaluated when deciding upon which equipment to use.

Over the years we have recognised the value of TCO since many of our customers return to buy yet another oven when expanding or remodelling. In recent years we have also noticed how increasing numbers of large multinational corporations involve their service department at an early stage of the investment project, together with our technical expertise, in order to analyse the different costs of ownership.

Installation and service

Of course the cost of labour for installing the oven matters but the possibility to reduce downtime or create flexibility for the construction team might be as important. Our goal is that customers should be up and baking the same day.

Speaking about a product's quality at the same time as the need for service might seem a bit contradictory but even the best trucks sometimes need a drop of oil. Our experience though shows that service and spare part costs differ significantly. When comparing different brands over a longer period (5-7 years) the cost over time, including the oven, service and spare parts, can vary more than 25 percent. Add to that the downtime and the purchase price becomes secondary.

Energy and durability

Today's energy consumption isn't only a cost. It has also become a global threat to our planet. To measure an oven's energy consumption over a life cycle isn't an easy task and there are many aspects and situations to study such as durability and usage of material for the oven, the efficiency of the energy source, baking properties, production efficiency etc. One interesting method is performed by Fisher-Nickel Incorporated. But at the end it must be the total energy used that matters. Add to this the output of CO² and you are better prepared next time when deciding on which oven to buy.

When investing in an oven one should at least be able to operate the oven 50 percent longer than the normal number of years used in the capital investment appraisal, regardless of whether your bakery works three shifts. Today one should not have to settle for less.

Production efficiency

A nice crust and good volume together with an even bake doesn't only save costs and increase capacity. It creates satisfied and loyal customers. The oven's recovery time and its influence on production efficiency have been known for many years but it is still significant to evaluate. Another important property is the interface i.e. the control panel, which has always been a technical challenge for the oven industry in trying to come up with a reliable, functional and simple solution.

An old technique that has been dusted off and nowadays produced to a more acceptable price level is the vacuum cooling technology, which goes in line with cutting the baker's costs even though it affects a wider range of the total production process. The vacuum-cooling system shortens the total baking time by 20-30 percent. Before the products are fully baked in the oven they are put into the vacuum chamber where the bake is completed under vacuum and the heat lowered to ambient temperature, reducing the cooling time. The technique also increases the freshness, and therefore the shelf life, of the product by up to twice the normal time. Other positive effects are a lower need of freezing capacity and cost savings in transportation.

More than quality

To assist and service our customers in their everyday work, our development programme always strives towards improved reliability, top quality of the final product - the bread - and lowest possible TCO. This is what we mean when we speak about "More Than Quality

 

Per Junesand is CEO and President of the Revent Group of Companies. He has a wide professional experience from different leading positions in the military, IT and entrepreneurship and has over 20 years of international business and management experience in the traditional production industry.