News & Events: The latest from Menasha

Thank you for your interest in news about Menasha. Below you will find recent news about our company, where to find us at trade shows, and helpful information for anyone writing about our company or mentioning our products and services in print.


Click to see other Menasha News & Events:

 


Trade Shows

Seeing is Believing

Menasha participates in several industry trade shows throughout a year. Stop by to see the difference.

Path to Purchase Expo

October 2-4, 2018
Minneapolis, MN 

Pack Expo International

October 14-17, 2018
McCormick Place
Chicago, IL
 

GlobalShop 2019

June 25-27, 2019
McCormick Place
Chicago, IL 

IRCE 2019

June 25-28, 2019
McCormick Place
Chicago, IL 

News Releases

Oct 11, 2018

Menasha Corporation Receives Wisconsin 75 Distinguished Performer Award For Sustainability

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Sep 11, 2018

Menasha Now Offering ISTA 6-Amazon.com Testing & Certification

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Sep 04, 2018

Menasha Corporation Publishes 8th Annual Corporate Social Responsibility Report

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Jul 17, 2018

Menasha Packaging Company Names New President

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Jun 26, 2018

Hormel Foods Awards Menasha Packaging with Spirit of Excellence Award

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Mar 29, 2018

Menasha Honored with 16 OMA Awards

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FACT SHEET: THE NUMBERS ARE IMPRESSIVE:

It began by making a better box over 168 years ago. Since then, Menasha has continually evolved to meet our customers’ needs for delivering world-class packaging solutions. Today, in addition to corrugate, preprint, and protective packaging solutions, Menasha offers specialized packaging and merchandising solutions that improve supply chain efficiency and build brand momentum.

#1: the largest independent privately held, retail-focused display and packaging company in the U.S.

50+ facilities in North America

30+ fulfillment locations

14+ manufacturing locations


6 Retail Integration Institute Campuses

3,600+ employees

100+ designers

70+ project managers

Family owned since 1849


Significant experience in the food, personal care, OTC, household products, and retail markets

Market leadership in retail-focused merchandising solutions

Strong family values with industry-leading growth

History of leading and guiding philanthropic activities

Recent Awards

Win BIG with Menasha

Blog

Recent Blog Post

Jun 20, 2018

Contract Packaging | Why Your Partner Needs Strong Financials

It’s quite clear why you’d want to choose a contract packaging partner with plenty of industry experience and versatility. But, why is a supplier’s financial strength a key attribute to consider in the decision-making process?
 
The contract packager you choose to partner with will become an extension of your brand and will have an impact on the presentation of your brand to shoppers and to your retail partners. In the case of a supplier with solid financials, their financial strength can make your organization stronger; or in the case of a supplier with shaky financials, weaker. But a supplier’s impact on your business is more complicated than that. Menasha’s own contract packaging expert, Kevin Hall, shares many reasons why strong financials matter: their ability to minimize labor costs and improve cash flow being the most important. First, let’s review some real time trends…
 

Financial Stress Created by Low Unemployment, Rising Minimum Wage, and the “Amazon Effect”
 
“The biggest challenge in co-packing right now is that it is extremely labor intensive and the cost of labor today can be high,” Hall explains.

While we all hear a lot about how the federal minimum wage has lagged inflation and the cost of living in the United States, take a look at the graph below, which is based on data from the Bureau of Labor Statistics. It shows the average hourly wage in U.S. manufacturing from 1950 through 2015.

The average hourly wage was just over $10 an hour in 1990, and it practically doubled in a span of 25 years.  This is an example where average actual wage, not minimum wage, tells the true story.
 
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Taking a closer look at more recent changes, Trading Economics reports average U.S. wages in manufacturing increased to $20.96 per hour in July 2017, up from $20.77 just one month prior.  And that trend is predicted to continue at an even higher rate over the next five years.

For many manufacturers, labor is the largest line item on the balance sheet. Even temporary workers in contract packaging operations are getting paid much more than the federal minimum wage, as cities such as Chicago and states such as California have significantly higher hourly minimums.  Additionally, the introduction of massive Amazon distribution centers into a region can drive the demand, and price, for labor far above minimum wage.
 

Financially Stable Suppliers Are Investing in Automation to Combat These Rising Costs
 
“Labor continues to be a large percentage of the cost of contract packaging,” Hall says. “To help combat that rise, companies need to be able to invest in automation and efficiency improvements. And that takes resources that many contract packagers simply don’t have.”

Being able to invest in the technological advancements that make automation possible requires people and capital.  A supplier with shaky financials may be struggling just to meet payroll -- there’s no way they are going to have the capital to invest in automation and efficiency improvement projects on your behalf.  Your contract packaging partner needs to be improving productivity by introducing automation into its processes and continually looking for cutting edge technology that makes them more efficient.
 
In addition to the capital to invest in automation, you’ll want a contract packaging partner that has made a strategic investment in Lean Manufacturing Principles, is committed to Continuous Improvement, and has supported that with both the investment in people as well as training. If your supplier is not committed to Lean Manufacturing and Continuous Improvement processes, they will not be committed to delivering upon your year over year improvement metrics.
 

Financially Stable Suppliers Can Reduce Your Working Capital & Improve Cash Flow

When cash is a problem for a supplier, they often require the CPG to pay up-front for longer lead-time items, like packaging components, equipment, and tooling.  These requests can have a major impact on a project’s short and long term viability and immediately start eroding already-thin margins.

A supplier with strong financials creates the opposite scenario: instead of asking for up-front payment, these suppliers typically require the CPG’s to pay for the finished good when it ships. 

While this cash flow advantage may not be significant on smaller, in-and-out programs, it can be the difference between success and failure on larger projects where the material spend is in the millions or tens of millions.
Brian Sullivan, Menasha’s Vice President of Sales, elaborates.  “When we partner with a CPG on a large, vertically-integrated project in which Menasha provides full, turnkey material, contract packaging, and distribution services, the combined spend is often well over $10MM.  The margin improvement from improved cash flow for our customer on a spend that large has a major impact on the project financials for our customers.”

 
There is Risk in Selecting a Supplier That is Not Financially Stable

A particularly troubling possibility that may occur when working with smaller contract packagers is that when they have cash flow problems, it can come back to you.

“Smaller contract packagers often struggle with cash flow, which means they can also struggle to pay their vendors,” Hall explains. “Even though a CPG may not have a relationship with its contract packager’s suppliers, if a supplier doesn’t get paid, the CPG could certainly get a phone call.”

Do you want your procurement department getting calls from a temporary employment agency because your contract packager didn’t pay its bills? It’s a real possibility if you end up working with a contract packager without strong financials.
 

In Conclusion

Your suppliers’ financials matter.  They matter to you, your brand and your customers.  So it makes sense to choose wisely and dig a little deeper than a simple Dun and Bradstreet® report.  Ensure your supplier has the strength to help mitigate labor costs through investment, improve your cash flow, is committed to year over year continuous improvement, and, by all means, ensure you don’t get dragged into their financial problems.
 

To Learn More About How Menasha Can Help You…
 
Contact Kevin Hall directly at kevin.hall@menasha.com to better understand how Menasha’s end to end model (North American Network of Material and Contract Packaging/Product Manipulation Centers) can help your brand, or portfolio of brands, win at retail and operate more efficiently throughout the entire merchandising supply chain.