Treofan transformation progresses with strong start to 2015

Treofan’s business operations in 2014 were characterized by the implementation of pre-planned restructuring measures, while process improvements included a refocusing and strengthening of its sales organizations, the transformation of the Italian organization into a fully integrated production hub, and the introduction of lean manufacturing and a continuous improvement process in the group’s largest manufacturing site in Neunkirchen, Germany.

In parallel, significant investments were made in innovation and production, most notably 35 million EUR (39.6 million USD) for a new five-layer line in Neunkirchen, which is planned to go live this summer. A metalizer is to be added at the Zacapu site in Mexico.

Further, in 2014 Treofan created a product mix supported by a growing innovation pipeline, not least driven by last year’s introduction of a software-based innovation management system that helps focus resources and shorten lead times.

Last year also saw Treofan reduce fixed costs by a double-digit million EUR amount compared to the previous year, so creating liquidity and flexibility it has used to make investments ‘crucial to our future’.

‘In doing so, we have gotten slimmer, faster and more flexible,’ Bickel (pictured) said, who was named as Treofan's new CEO earlier this year.

Treofan’s focus in 2015 is on process efficiencies, continued transformation of its product mix towards premium products, further customer orientation and commissioning the new line in Neunkirchen.

‘While we increased turnover, our financial result was slightly down on 2013 due to corrections as part of the working capital program we began in 2014. This reflects the period of transformation we have undergone,’ Bickel said.

‘In sports, you would say we underwent intensive endurance and fitness training in order to hit the ground running in 2015. The strong first quarter proves that we are on the right track.

‘I am proud of the global team’s hard work and its continued dedication to building a positive long-term future for Treofan Group.’

Read an exclusive interview with Carolyn Wagner, the head of Treofan's Packaging business unit, here