STAKEHOLDER MAGAZINE 2/2012
ALL ABOARD
THE COVER Material: Chromolux metallic silver 350 g/m2 Effects: UV offset printing + Pantone metallic 8402C + stancing Illustration: Antti Nikunen Have you noticed the updated Chromolux offer in 350 g/m²? It’s the best choice to value your idea! The heavier range benefits from the same fine smoothness and the superior gloss as previous Chromolux stock but has a stiffer structure. This gives luxury packages a better quality look. Find out more about the new Chromolux range on page 35!
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We’re nearing the end of 2012. Our strategy has already proven successful, and profitability has improved as expected. Our strategic transformation from a paper company into a board company has now begun to bear fruit. The measures to eliminate losses in Alizay and the speciality paper business have been completed. Our paper business is now considerably smaller, but it’s much healthier, and we’ll continue to develop it alongside our board business. We’ve successfully completed an extensive investment programme in the board business, and our production machinery is now world class. We’ve increased our annual folding boxboard capacity by 150,000 tonnes or by 20 per cent. Positive feedback from customers as well as the increase in order volumes support my conviction that we made the right decision. We want to ensure excellent availability of board for our customers in all situations, and we’re well positioned to further increase the capacity of our folding boxboard and linerboard machines. Consumers are increasingly interested in the sustainability of the products they purchase and their related supply chains. Replacing traditional packaging materials with Metsä Board’s ecological and safe paperboards is an easy and efficient way for our customers to enhance the level of environmental responsibility in their operations. The use of lighter paperboard packaging, for example, reduces the environmental impact of a product. Reducing our carbon dioxide emissions is an important goal for Metsä Board. The launch of the new biopower plant at Kyro mill in the
autumn was a major step forward in this regard. The plant will reduce the mill’s annual carbon dioxide emissions by about 100,000 tonnes to about a quarter of the previous levels. The new plant will halve the carbon footprints of both the folding boxboard and wallpaper base products manufactured at Kyro. The global economic outlook remains both uncertain and unpredictable. Nevertheless, I believe we have every chance of continued success. We’re now better prepared than ever to meet market challenges and strengthen our business through close cooperation with customers and partners. Mikko Helander CEO, Metsä Board
MOVING FORWARD TOGETHER Magazine | issue 2 # 2012
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making of A sneak peak behind the scenes of Magazine.
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editorial
Strategy for success.
METSÄ BOARD Magazine issue 2/2012
Publisher: Metsä Board, Communications P.O. Box 20 FI-02020 Metsä, Finland www.metsaboard.com magazine@metsaboard.com
Editor-in-Chief: Juha Laine, VP Investor Relations and Communications Managing Editor: Tytti Hämäläinen Editorial Board: Tytti Hämäläinen, Juha Laine, Nicole Lowartz, Ritva Mönkäre, Edmund Rück, Susanna Siira Production and Graphic Design: Otavamedia Customer Communication, Helsinki, Finland Team: Sirpa Levonperä, Jaana Pakkala, Taru Virtanen, Riina Walli English language editing: Tenfour Communications Oy Translations: AAC Global Oy Printed by: Erweko Oy Metsä Board Magazine (15,000 copies) is published in English, French, German and Russian (only digipaper format). All magazines are available at www.metsaboard.com. Opinions expressed in this publication are not necessarily those of Metsä Board. ISSN: 2323-5500
all aboard
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Tasty design on the streets of Helsinki.
Paper trail – what we are made of Cover: Chromolux metallic silver 350 g/m2 Interior: Galerie Art Silk 130 g/m2
Metsä Board products are made of wood from sustainably managed forests and are available certified according to PEFC or FSC Chain of Custody.
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out of the box
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tracks
An eye-opening visit to Äänekoski mill.
contents 2#2012 16
pure talent All aboard for Express Board!
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colour white Making artistic waves with ordinary office paper.
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securing a sustainable future with unilever Unilever aims to source all of its renewable raw materials sustainably by 2020, as part of the Unilever Sustainable Living Plan. With a total annual paper and board consumption of about one million tonnes, it’s critical that supply comes from reputable sources. As a leader in sustainable paper and board, Metsä Board is the perfect partner.
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Helping packaging stand out with digital printing technology.
column Why customer satisfaction alone is not enough...
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all aboard
three questions Certification is the key to providing sustainable forestry services.
success factor Biopower pays off at Kyro.
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in the box What’s new?
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summary It’s heating up in Kyro!
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making of Behind the scenes of Magazine
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all aboard We’re happy to have you on board!
the renewed story types & their symbols
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tracks Metsä Board leading the way
e have fantastic customers: brand owners, converters, merchants, printers, office suppliers… We’re also lucky to have wide and diverse range of partners – from energy and raw material suppliers to advertising and design agencies. For this issue of Metsä Board Magazine we’ve collected some examples of our cooperation. Hopefully these will inspire you to think about the benefits cooperation gives us all. The idea for the theme came when we got the opportunity to arrange Metsä Board Capital Markets Day 2012 at Unilever’s offices in London in September. We received very good feedback from the participants, who were introduced to the role of sustainable and high-quality packaging as well as the importance of a close partnership between a paperboard supplier and a customer in the global consumer goods business. This issue also marks a new era in Magazine’s history: Maggie, as we affectionately call our magazine here at Metsä Board, has been revamped and brightened up based on your feedback. You’ve asked for more articles for example on technology, Finland and certification – you’ll see these and your other ideas put into action in this and future issues of Maggie. We’ve also renewed Magazine’s online experience: you can find the brand-new website at magazine.metsaboard.com. We’ve designed it to work equally well on computers, tablets and smartphones – just choose which is most convenient for you! Please get in touch and let us know how we can continue our cooperation in the future.
in the box A glance at current topics
Tytti Hämäläinen
making of Behind the scenes of Magazine pure talent More than the sum of its parts colour white White paper for a colourful world all aboard Together we are more
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success factor Investigating latest solutions, technology and research
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Three questions about the paperboard business out of the box Exploring the world
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Managing editor
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Sailing on a sea of inspiration
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Photos: rob wilkinson
Photos: maiju salmi
ocated high in northwestern Finland, Kemi is home to one of the world’s largest forest-industry clusters, with shipments of paper, cartonboard and pulp products leaving its harbour every day for destinations all over the world. To celebrate the significance of its 150 years of forest industry, the city of Kemi attempted to build the world’s largest paper boat in September 2012. And large it was: folded out of one giant sheet of Kemiart kraftliner, the 27 kg paper boat was nearly ten metres long, four metres wide and two metres high. The creators have also applied for Guinness World Record status for the boat. Whether it achieves it still remains to be seen. Inspired by the efforts in Kemi, we asked British artist Su Blackwell to use office paper to create her vision of
“When working with white paper the challenge is to make it visually interesting.”
paper boats for Magazine. Su is best known for constructing delicate sculptures from the pages of books. “I wanted to create a piece which is clean, fresh and stylish,” explains Su. “When working with white paper the challenge is to make it visually interesting, so I scored and folded the paper to form waves, which added some shadow and depth to the image. The boats are attached to wires to create a sense of movement.” The actual size of Su’s artwork is 43 x 28 cm, and it can be seen on pages 16–19 of this issue. To see more of Su’s amazing paper art, visit www.sublackwell.co.uk
Making of World Record Kemi’s 27 kg paper boat gets underway
Making of paper art Creating waves with Su Blackwell
A sea view
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id you peek through the portholes on the cover of Magazine? If so, you’ll have seen the sea view, printed on the matt side of Chromolux metallic silver cartonboard and conjured up by Antti Nikunen, graphic designer at Otavamedia. In the rays of sunlight you can see Pantone 8402C silver, used as an extra printing effect. “The material matters when creating an illustration. In this piece I was inspired by the matt cartonboard, because the slight roughness adds effect and works well with the technique that I used. The silver printing was also a great
inspiration – I wanted to leave the silver surfaces clear and sleek,” says Antti. Antti created the illustration by first drawing waves and sunbeams with a wide-tipped pen. After that, he scanned the pictures and cut, pasted and repeated them on the computer to make a wallpaper-like surface. ”The technique requires a lot of work but it’s very enjoyable. I’ve only recently discovered this style, and it’s certainly opened up new windows for me!” he says.
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Securing a sustainable future
cup at a time Text: Junior Isles Photos: Rob Wilkinson
Sustainability has been put firmly at the heart of Unilever’s business, and suppliers such as Metsä Board have a key part to play.
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ustainability is one of those words that can mean different things to different people. But for Marc Engel, chief procurement officer at Unilever, there’s no ambiguity. “In Unilever, we define a sustainable business as a profitable, growing business that has positive social, economic and environmental impacts on the world.” Yet sustainability is more than just a buzzword to Unilever – it’s at the core of its entire operation. Established in the 1890s, the company has more than 400 brands focused on health and wellbeing. On any given day, a staggering two billion people use Unilever products. Such a mammoth business can have a huge impact on the environment if not managed responsibly. “We realised that we couldn’t continue the way we were. So we decided to change our business model and put sustainability at its heart,” Engel says. The company set itself a vision to double the size of its business while halving its
environmental impact. This vision saw the launch of the Unilever Sustainable Living Plan (USLP) in 2010. The USLP has three main goals underpinned by 60 specific and measurable targets. It aims to have a positive impact on the livelihoods of one billion people, halve the footprint of Unilever products (in terms of carbon, waste and water use), and sustainably source all of Unilever’s renewable raw materials by 2020. Unilever calls it a “ten-year journey
on any given day, two billion people use Unilever products.
to sustainable growth”. But it’s a journey that can’t be undertaken alone; it requires the cooperation of consumers and the support of key suppliers such as Metsä Board. Outside influence
The success of the USLP predominantly depends on what happens outside Unilever’s factories. “As much as two thirds of the footprint of our products is actually generated in consumers’ homes. For example, the biggest contribution we’ve made to the environment is convincing
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consumers to wash their clothes at 30 ºC instead of 40 ºC – it’s the equivalent of taking 16 million cars off the road,” explains Engel. But there’s also a big job to be done with suppliers. While two thirds of the footprint is in the home, as much as one quarter is with suppliers. Unilever chooses its suppliers carefully, and works with them to further reduce their footprint. Unilever uses about one million tonnes of paper and board a year, which Engel notes “is a lot of trees.” It’s therefore important that the supply is from reputable, legal and certified sources. With sustainability high on its agenda, Metsä Board is a natural partner and has supported Unilever for the last decade. “Metsä Board is a large supplier to us and a leader in sustainability in the paper and board business. It’s one of the companies that has taken sustainability very seriously. All its mills are certified. When we buy board from Metsä Board, we know it’s not associated with any illegal deforestation, for example,” says Engel. Tea is a perfect example of how Metsä Board’s products are making a notable contribution to the USLP. As a buyer of 12 per cent of the world’s black tea, this is an important area
Photo: sirpa levonperä
Unilever’s Lipton tea boxes are made of Metsä Board’s lightweight Simcote cartonboard.
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Marc Engel, chief procurement officer at Unilever, is serious about sustainability.
A winning partner for Unilever. It already has a commitment that by 2015 its tea will be Rainforest Alliance certified, but to go further Unilever also decided to look beyond the tea. “To have a sustainable proposition you have to look at the tea bag, the little piece of string with the paper, the package and the plastic,” notes Engel. Making progress
The work with Metsä Board is critical in helping Unilever reach its targets. In April, Unilever published its achievements for the first year of the USLP. The company now stands at 24 per cent in terms of sustainable sourcing and will reach 35 per cent by the end of this year – well on the way to the 100 per cent goal for 2020. More specifically, 50 per cent of its paper and board is now sustainably sourced. While overall progress has been good, Unilever is looking to make further advances in high-growth countries outside of Europe. It’s also hoping to further reduce its footprint with the help of
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Metsä Board. “In addition to being sustainably produced, board produced by Metsä Board is also high quality,” says Engel. “It allows you to get the same stiffness with less board.” Cartons made from these boards are more lightweight, which also reduces the environmental impact. “Metsä Board has been a great partner in reducing the weight of our packaging, which is a very substantial part of our plan to reduce our footprint,” Engel adds. Engel believes that by 2020, there will be no place for businesses that are not operating responsibly and sustainably. Unilever is therefore making every effort to be ready for such a future. “We have a lot of obstacles and challenges, and the bar keeps getting raised. Sustainability is really a journey where two steps forward lead to one step back. We’re doing our best but we need our suppliers to be on the journey with us. We need the best suppliers and we need them to bring their best ideas.”
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etsä Board was the proud winner of Unilever’s Partner to Win award in 2012, in the Winning through Sustainability category. The Partner to Win programme provides a more structured and formalised process for common business planning between Unilever and its partners. According to Mika Manninen, commercial director of the food and beverage segment at Metsä Board, the company was recognised for its developments in lightweight paperboards and its progress in many different fields of sustainability. “The cooperation on sustainability between our companies is very important and is intensifying all the time. Even though we’ve been working with these issues for a long time already, we still have a long way to go.” Commenting on the award, Marc Engel says: “Metsä Board deserves to be recognised for its work in sustainability. No other company has delivered it for us with the speed and scale that they have, and they have been massively important to our business.”
Greenhouse gas emissions during tea’s life cycle (%)
+ A cup of tea made with tea bag (box, UK) 62.6 % 33.7 % 1.9 % 1.2 % 0.6 %
Consumer use Raw materials Manufacturing Disposal Distribution and retail
= 1.2% 0.6%
1.9%
62.6%
33.7%
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ixty per cent of the total greenhouse gases emitted in the life cycle of tea occur when people boil the kettle. By using an energy-efficient electric kettle and boiling only the amount of water needed, consumers can reduce carbon emissions and save water at the same time. The emissions caused by packaging are included in the raw materials figure.
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pure talent More than the sum of its parts
new sheeting technology The latest technology was used to convert the sheeting machines to make folding boxboard sheets.
International
express Metsä Board’s new Express Board service centre can make deliveries within a few days.
Text: Lena Barner-Rasmussen Photos: metsä board
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ith the luxury of predictable demand, cereal makers usually have all the cartonboard they need in stock. For a cosmetics producer, however, a situation can arise where they suddenly get an order for 100,000 eyeshadow boxes, needed right away. The cosmetics producer will make a cartonboard order and keep their fingers crossed that it arrives quickly. Thanks to Metsä Board’s latest
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investment in a new folding boxboard sheeting plant in Gohrsmühle, outside Cologne, Germany, chances are that it will. The plant where the Chromolux range is also made has now been turned into a modern facility that incorporates an Express Board service centre. The sheeting centre means that Metsä Board can quickly respond to an increase in demand for its sheeted boards. In the first stage of the development,
three of the existing paper sheet cutters were converted to sheet folding boxboard. The annual capacity is now 60,000 tonnes – and this can easily be increased by taking more sheeters into use. “With our Express Board centre we can deliver smaller quantities of sheet – like a few tonnes – within days,” says Ari Kiviranta, managing director at Metsä Board Zanders GmbH. If there’s no big rush – no cosmetics producer with an order for 100,000 eyeshadow boxes needed for a department store’s special promotion – larger orders are still recommended to be placed directly with the mills. “When the customer knows their product specification and volume well in advance of delivery, a direct mill order is
15 %
60 %
25 % skilful personnel
hardware The machines were to a large extent already in the plant.
Ari Kiviranta
always the most economical way of ordering board,” Kiviranta points out. The service for direct mill orders has also been improved: Two sheet cutters at the Äänekoski mill came on stream in September. They provide extra sheeting capacity, initially 70,000 tonnes annually, with further potential for growth. “The biggest folding boxboard sheeter in the world, our Simpele mill, has an annual capacity of 240,000 tonnes,” says
Without skilful personnel running it, a machine is just a machine.
Kiviranta. The Express Board centre in Gohrsmühle is ideally located at the heart of Europe. “The cartonboard can be transported to European markets very quickly,” says Kiviranta. With state-of-the-art facilities and skilful personnel, the cosmetics producer can now be sure that they can have their 100,000 eyeshadow boxes made in the blink of an eye.
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colour white White paper for a colourful world
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Sailing Art-work: su blackwell Photos: rob wilkinson
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making waves
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ith their sterns proudly ploughing forward through a choppy sea of brilliant white, five brave sailing boats navigate curled paper waves, no doubt to exotic destinations unknown. Alive with movement and evocative of a modern seafaring adventure, just looking at this amazing piece of art by British paper sculptor Su Blackwell is almost enough to smell the salt water in the air. The boats, seemingly buffeted by the endless ebb and flow of the sea, are in fact made with regular office paper, as are the waves.
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All hands on deck
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reating this 43 x 28 cm artwork clearly took an immense amount of skill, but folding a simple paper boat is a fun little challenge that anyone can have a go at. Why not take five minutes to grab a piece of office paper and see what you can create? Put the wind in your sails and get creative with your folding, or search on the internet for “origami boats� to find some simple instructions for more adventurous designs. You’ll be ready to set sail in no time at all. Anchors aweigh!
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all aboard Together we are more
Unused potential Text: asta hirvonen Photos: matti lehto
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Paperboard for digital printing
Digital printing technology brings interactivity to paperboard packaging.
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hese days even small corner stores offer consumers a wide range of choices from dozens of competing brands. It’s increasingly difficult for a product to stand out and attract new customers. “Packaging is a media that offers a great deal of unused potential,” says Mauri Reinilä, CEO of Solver Services, part of Pyroll Group. Solver is the only company in Finland and one of the few in Europe specialised in digital packaging printing. More and more often packaging has a QR code, which consumers can use with their smartphone to access a website with more information and services. PackageMedia, a concept launched by Solver, integrates customised elements and services or interactive functionalities with packaging. “For example, a product can have a unique token for a social media game, and each purchase brings new features to the game. Packaging can also serve as a ticket to a live online concert where the consumer can even focus the camera on the
Offset is still by far the most popular method for printing paperboard packaging. However, digital printing is gaining ground, and Landa’s first nanographic printing machines will be introduced in 2013.
favourite member of the band,” Reinilä explains. “People are seeking experiences. When combined with social network services and games, packaging turns into an experience that can include 3D elements or even sound.” Customised packaging
Digital printing technology makes it possible to combine customised elements and technology with board. “With digital printing, print runs can be very small and each product can be different. Our production equipment is highly flexible. Traditional printing plates are not needed, which makes it easy to customise and adjust packaging,” says Reinilä. Solver’s significant investments in digital carton production equipment have paid off: the company’s sales increased by 30 per cent in 2012. The Kouvola plant produces about a million packaging items
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etsä Board keeps fully up to date with developments in the printing industry. “The volumes in digital printing are still small, but high growth is expected,” says Heli Kuorikoski, Metsä Board’s technical marketing manager at Paperboard. “We collaborate with printing machine manufacturers and test our products on new machines. Digital printing machines are now being developed with paperboard packaging in mind. Some of the new machines accommodate larger sheet sizes than before, which offers new opportunities to use paperboard in packaging.” In September, the suitability of Metsä Board paperboard grades for Xerox iGen4 digital printing machines was tested at Solver’s carton plant in Kouvola. The experiment produced liquorice packaging for promotional use. “All of our grades are suitable for a variety of digital printing machines without pre-treatment. They have high runnability and almost offset-quality printability. Previously, printing ink didn’t always adhere sufficiently to paperboard. Printing machines and inks have since developed, and separate surface treatments are not always needed,” says Kuorikoski. Magazine | issue 2 # 2012
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annually for medical and food industry companies and other customers. “Medical and food packaging has a great deal of information and often needs to be available in many languages and the information must be updated. In these cases, traditional printing technology is too slow and expensive.” “New digital printing machines produce offset quality and they also allow rapid production processes. Products can be delivered to customers in as little as 72 hours after placing an order. This decreases the need for packaging storage,” says Reinilä. The downside is that digital printing is quite expensive: even though there’s no initial outlay, the per-unit cost is higher than in offset printing. In addition, large sheet sizes are challenging for digital printing machines. Efficient marketing
Mauri Reinilä, CEO of Solver, helped with testing the compatibility of Solver’s printing machines and Metsä Board’s boards. Together, they created beautiful liquorice packaging.
“With digital printing, print runs can be very small and each product can be different.”
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Magazine | issue 2 # 2012 Car ta Digita solida 29 lly pr inte 5 g/m 2 d on Xero x iG en4.
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“It’s difficult to get shelf space in shops. New products are introduced constantly, and few of them survive. Packaging plays an extremely important role,” says Reinilä. Packaging is a medium among other media, such as advertisements in newspapers, magazines, TV or online. “Even if a consumer likes the products on Facebook, the consumer won’t necessarily buy the products. PackageMedia is always related to purchasing and offers something extra for those who purchased the product.” It also facilitates a new sense of community among consumers. “Packaging can create links between consumers in social media as strangers engage in conversations. Consumers can actively contribute to the design and development of products,” describes Reinilä. This provides manufacturers with valuable information on consumers and their needs and wishes. “Modern technology makes it possible to monitor a product in great detail if the packaging is registered. Packaging can provide information on where and when the product was manufactured, where it was purchased or how long a distance the customer travelled to the place of purchase, to name just some examples. This information helps to plan marketing more effectively.” “That’s why I keep telling everyone that packaging has untapped potential,” says Reinilä.
column Simon Rhind-Tutt Joint Managing Director, Relationship Audits & Management simon@relationshipaudits.com
Why customer satisfaction is not enough “Customer commitment is a stronger measure of customer loyalty than satisfaction.”
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once attended a business networking event on a luxurious cruise ship that hosted around thirty business meetings, along with a high-level conference. The night before it started, I met someone in the bar who turned out to be the chief executive of a large financial institution. We got chatting, and I asked him who he wanted to meet, as though he and I weren’t scheduled to meet, I might have been able to give him some background on those suppliers he had planned to see. ”No-one in particular,” was his reply. He was very happy with his company’s key suppliers, and proudly told me that he had recently written to each of them to say how satisfied he was with their work. I was surprised. After all, firms like mine had paid a substantial amount to go and meet people like him. So, I rather cheekily asked him if he felt he was a bit of a fraud for coming, given he seemed so satisfied with his current providers? What he said was fascinating. “It’s just that if I meet someone here who is doing something better or different I would be duty bound to consider them – wouldn’t I?” Whilst he was apparently satisfied, it was clear he could be tempted away with a better offer. I know that in most organisations when you get a letter from the chief executive saying how satisfied they are, you can be tempted to sit back and pat yourself on the back. You’d probably congratulate the team and perhaps even have a small celebration. Just maybe, too, you might be tempted
to take your foot off the accelerator and focus your attention on customers who you think might need a bit more attention, or potential new business prospects. The point is that in today’s highly competitive world, if you are really serious about delivering a leading product or service, “satisfaction” is not enough. Increasingly you need “customer commitment”. Customer commitment is a stronger measure of customer loyalty and a more accurate predictor of future revenue streams. Specialist consultants Relationship Audits have created a unique measure of customer commitment – the Customer Commitment Index – using a series of carefully constructed questions to identify higher or lower levels of commitment amongst the customer’s key touch points. This allows the suppliers and service providers to implement strategies tailored to fix problems or leverage opportunities. Their work has shown that increasing the number of most committed customers by ten per cent can deliver over 20 per cent more profit. The good news is that when problems are resolved the relationship is usually stronger than if those problems had never occurred in the first place. So it’s still surprising that when asked how things are with key customers, many organisations say that everything is “fine”. How do they know? “They haven’t told us there’s a problem so they must be satisfied!” Assumption can be dangerous. So ask yourself: How committed are your clients and customers? Do you know, or do you just think you know?
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success factor Investigating latest solutions, technology and research
Green bonus for customers A major new biomass boiler has been fired up at Metsä Board’s Kyro mill this autumn. it will halve the total carbon footprint of the mill’s folding boxboard and wallpaper base production. Text: Fran Weaver Photos: sara pihlaja
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yro mill’s brand new biomass boiler looms high over the long, low building that houses the mill’s folding boxboard and wallpaper production lines. A continuous stream of chipped bark and logging residues rises through a series of covered conveyors to the top of this impressive tower of biopower. “Steam from the new boiler now provides about 55 megawatts of heat energy – enough for the mill’s needs and to warm
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more than 200 homes and workplaces in a local district heating system,” explains Tero Siltanen, power plant project manager. “The steam is also fed into our existing steam turbine where it generates a further 12 megawatts of electricity for the mill.” A key outcome of the EUR 50 million boiler investment is the 100,000 tonne reduction in annual carbon dioxide emissions. Emissions at Kyro mill are now about a quarter of previous levels. “It’s
very important for us that the new boiler reduces the total carbon footprint of our products by more than one half ,” says Minna Kantsila, product manager for Kyro mill’s Avanta Prima and Carta Elega folding boxboards. Thirst for environmental information
“Our customers are certainly becoming more aware of environmental issues such as greenhouse gas emissions. They
Photo: matti snellman
Going for green energy across Metsä Group
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etsä Board’s increasing use of wood-based bioenergy is part of a wider effort to utilise renewable energy sources throughout Metsä Group. “A strong focus on biomass is logical for a forest industry company. Biomass accounts for about 80 per cent of our total fuel use today – this is already a very high figure, and we’re striving to exploit all viable opportunities to increase it,” explains Ilkka Latvala, senior vice president, energy at Metsä Group. Following a major investment completed in 2011 to boost bioenergy production at Metsä Board’s Husum mill, the new boiler at Kyro will enable a further significant reduction in the company’s fossil fuel use and greenhouse gas emissions. Considerable investments in green energy production have also been made in other parts of Metsä Group, including a new biogas production plant completed at Metsä Fibre’s Joutseno mill earlier this year. “Our group-wide target is that by 2020 our carbon dioxide emissions will be 30 per cent lower per product tonne than in 2009. We aim to achieve this by further replacing fossil fuels with bioenergy and by enhancing the overall energy efficiency of our production processes by ten per cent over the same period through operational and technical improvements,” adds Latvala. Progress towards these targets is tracked across Metsä Group. Mills are increasingly providing customers with carbon footprint figures for specific products. Such efforts are welcomed by customers keen to monitor the sustainability of their suppliers.
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Do you want to know more about the biopower plant? Then turn to pages 36–37!
Minna Kantsila, product manager for Avanta Prima and Carta Elega at Kyro mill, and Tero Siltanen, power plant project manager.
are increasingly asking us for details of the impacts of our products, and we’re happy to provide such information,” says Kantsila. “This has long been true for customers who use folding boxboard packaging for foodstuffs and health products, but interest is now also growing among producers of luxury goods, including major cosmetics brand owners.” Together with Metsä Board’s environmental and energy experts, Kantsila is already looking forward to compiling a new set of detailed paper profiles to reflect the reduced environmental impacts of Kyro’s products after the new biomass boiler completes its first full year of operation in 2013.
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local ENERGY sources
“The big advantage for us is that we can now generate heat and power using wood biomass obtained from local sources through Metsä Group’s supply chains, instead of using natural gas piped all the way from Russia,” says Siltanen. The boiler’s fuel delivery bay receives about twenty truckloads of chipped biomass daily, consisting of bark from the mill’s log-debarking plant and logging residues such as crushed tree stumps, treetops and branches harvested within a radius of 100 kilometres. Siltanen is proud that this shift to bioenergy has gone so smoothly. “Since we began pre-engineering work, it’s taken
just two years to get the boiler up and running. Burning biomass is quite different from burning gas, due to greater variations in fuel properties like water content. Because of this we’ve had to learn a lot about how to use biomass fuel effectively, but we’ve been able to keep the mill rolling throughout the changeover. Our employees also needed special training for the new fuelfeeding system, but it helped that we were able to go and see a similar system already operating at our Äänekoski mill.” The bioboiler has a peak capacity of 80 megawatts. Its bubbling fluidised bed system, made by Andritz, represents the best technology available today. The boiler’s flue gases are treated using fabric filters, a calcium spraying system and a selective non-catalytic reduction system, to curb emissions of particles as well as nitrogen and sulphur oxides. Ash from the boiler will be stored for future use in construction and landscaping. The biomass mix fed into the boiler also includes small quantities of biosludge from the mill’s wastewater treatment plant. This innovation produces useful renewable energy from a residual material previously seen as waste, further helping to reduce reliance on fossil fuels.
Photo: seppo samuli
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Three questions about the paperboard business
double certified
Riikka Joukio, senior vice president, sustainability and corporate affairs, Metsä Group
Metsä Group’s forests are now double certified as the company strives to offer the most comprehensive, sustainable forestry services in the industry.
1.
Why did Metsä Group certify its forests according to FSC?
“It’s very important to us and our customers that our wood comes from sustainably managed forests. We want to be involved in the development of sustainable forestry standards and offer our customers as wide a selection of certified products as possible. To do this we have actively participated in the development of forestry certification. The forest areas owned by Metsä Group in Finland are now actually double certified: already PEFC certified, in 2012 they also received FSC certification. The situation is the same in Russia, where our leased forests were first certified according to PEFC in 2010 and then more recently with FSC. We also want to offer our owner-members comprehensive, sustainable forestry services, including certification. Forestry management customers of Metsä Group’s parent company Metsäliitto Cooperative have the opportunity to join the PEFC and FSC group certificates.”
2.
What does the FSC pilot project mean for Metsä Board customers?
“It should be emphasised that the FSC pilot project in Finland won’t mean a significant rise in Metsä Group’s FSC-certified wood supply. Most of the wood we supply is acquired from owners of private forests in Finland – some 920,000 individuals – who have mostly chosen PEFC certification for their forests. Now they also have the opportunity to join the FSC group certificate.
The FSC pilot covers all forests owned by Metsä Group – around 35,000 hectares in total, mostly located in northern Finland. The annual felling plan for the forests currently included in the scope of the FSC group certificate is around 40,000 to 60,000 cubic metres. In other words, it won’t yet lead to a major increase in FSC-certified products for Metsä Group.”
3.
How will the new FSC certification affect Metsä Group’s products? Does it mean more FSC certified boards?
“In the short term, there won’t be a significant change in the PEFC or FSC certification of our products. The structure of forest ownership in Finland is such that most Finnish forests are owned by small-scale private owners holding PEFC certification. Even though the owners we work with have been given the opportunity to join the FSC group certificate, the majority of Finnish wood will continue to come from forests with PEFC certification. A comparison of certified areas demonstrates the current situation: around 21 million hectares or 95 per cent of all Finnish commercial forest is certified according to PEFC – the highest figure of any country in the world. Only around 430,000 hectares of Finnish forest are certified according to FSC. Globally less than ten per cent of all forests are certified according to one of the existing standards. Of course, from a sustainability point of view, both PEFC and FSC are equally robust systems that prove the sustainable origin of our products.”
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out of the box Exploring the world
Designing food for thought Text: Dan Rider Photos: Mirva Kakko
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ringing together top chefs, food industry experts, Metsä Tissue’s Saga cooking papers, packaging designers and Metsä Board’s premium board products, the Snack & Pack project aimed to bring a more sustainable and holistic approach to street food. “I began talking with chefs and design professionals in spring 2011 about what we could give to the WDC 2012 programme,” says Janne Asikainen, Snack & Pack team leader, and food technology designer and engineer. “Visually innovative packaging and foodrelated design is very important to me, and in the past there has been a huge gap in communication between the packaging industry and consumers. I wanted to design something that would get a strong emotional reaction from the public,” he explains. The project aimed to reinvigorate Finnish street food traditions with a fusion of locally produced ingredients and an ecofriendly emphasis. It also gave Metsä Board the opportunity to showcase the capabilities of its Carta Solida cartonboard. “Our packaging concept gives a new definition to board,” says Katri Kauppila, vice president of 30
Magazine | issue 2 # 2012
Janne Asikainen
As experimental food and packaging design concepts go, the Snack & Pack street food experience – part of Helsinki’s World Design Capital 2012 programme – really hit the spot.
marketing communications at Metsä Board. “The sleeve of the packaging is printed with a real postcard that you can detach and send. It was great to have the opportunity to work with talented young designers and chefs to show what can be done with our product.” The concept – the street-kitchen functionalism that allowed the public to be part of the testing, evaluation and development process – proved to be highly successful. “The public feedback has been extremely positive,” Asikainen adds. “It proves that the relationship between food and packaging design really does matter to people. It also represents a statement to other chefs, food producers and the packaging industry in general. Visually innovative design and food culture in Finland has great potential – we hope that the Snack & Pack project will inspire the industry.”
The sleeve of the packaging is printed with a real postcard that you can detach and send.
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tracks Metsä Board leading the way
PEOPLE BUSINESS
Say cheese! Taking the ‘mandatory’ group photo at the former mill managers adobe. Clockwise from left: Stéphane Porraz (Metsä Board), Christoph Van den Langenbergh, Bruno Barbé and Christian Delaet (Antalis Belgium), Juha Lounasvaara (Metsä Board), Sjacco Janssen (Antalis Netherlands), Maarten Florizoone (Metsä Board), Kaoutar Amry and Delphine Barralon (Antalis France), and Hélène Lehtinen (Metsä Board).
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Text: Tytti Hämäläinen Photos: Hanna-Kaisa Hämäläinen
t’s mid June and the Finnish summer is at its worst: endless rain and a zillion mosquitoes. Undeterred, six fearless Antalis employees from France, Belgium and the Netherlands head to central Finland to visit the board mill that produces Metsä Board’s Carta Solida and Carta Integra cartonboards – the biggest-selling boards for Antalis. “As a merchant, Antalis need to know as much as possible about our boards. They are a continuation of our sales network. It’s important that they know our products well enough to highlight them
in the best possible way for their customers,” says Maarten Florizoone, Metsä Board’s cartonboard sales manager in Benelux. It’s sustainable
The surroundings of the Äänekoski mill emphasise what the guests from Antalis already know: “When a product comes from northern Europe, you know it’s been produced sustainably,” says Delphine Barralon, purchaser for Antalis France. Sustainability is very important to Metsä Board, and it comes up
What happens in Äänekoski doesn’t stay in Äänekoski. Metsä Board is open about its operations and wants to deepen its customer relationships. This summer it was Antalis’ turn to visit.
ANTALIS IN SHORT: • Annual turnover: EUR 2.8 billion in 2011 • No. 1 in Europe and No. 4 worldwide in the distribution of communications support materials • Operations in 45 countries spanning five continents • 6,000 employees serving over 230,000 customers around the world • Broadest range of communication materials on the market; the largest number of paper and envelope references; a full range of packaging solutions • 13,000 deliveries a day throughout Europe
Christoph Van den Langenbergh, business manager of print products at Antalis Belgium, making the most of the visit to Äänekoski.
That little bit extra
frequently in conversation. One example of sustainability is highlighted in product manager Petteri Teerijoki’s presentation: the wood used for Carta Integra’s chemical pulp grows nearby. “The pulp mill is next door and it gets its wood from within a 150 kilometre radius of the mill. This means that neither wood nor pulp transportation has much of an effect on the product’s carbon footprint,” says Teerijoki.
During the mill visit, where the guests get to see 150 metres of machinery close up, questions about product qualities start flowing. Juha Lounasvaara, commercial director at Metsä Board, highlights the investments made by the company aimed at improving both the product availability and the service level. “We also have a new sheeting facility on the premises,” says Lounasvaara. Before the trip, there was already a lot of trust between Antalis and Metsä Board, but now there’s also empirical evidence to support that trust. “The mill visit was really eye opening. We saw where and how quality control is carried out, and discovered that
Carta Solida is tested every day,” explains Barralon. A big part of the visit is getting to know each other, to ensure a continuous exchange of information. “Our business is people business,” agrees Christoph Van den Langenbergh, business manager of print products at Antalis Belgium. “Visits naturally help cooperation and make relationships more transparent. It’s not just hearing about the grades, you really get that little bit extra when visiting a mill in person.”
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in the box A glance at current topics
Putting cartonboard to creative use.
FINDING POTENTIAL IN WASTED SPACE I
n July 2012, up to 500 architecture students and recently graduated architects from over 50 countries gathered in Helsinki, Finland, to take part in a two-week festival of workshops, lectures and socialising in the World Design Capital. The theme of the annual assembly was Wastelands, the aim being to examine the present situation and potential of backyards, wasteland areas and unwanted spaces around the world. Wastelands was organised by EASA Finland, the Finnish arm of the European Architecture Students Assembly
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(EASA). The first assembly was established in Liverpool in 1981, when a group of local students invited talented European counterparts to exchange ideas relating to architecture. The aim was to provide something that institutions were unable to offer. Since then the gathering has blossomed and grown – this year it was the largest and most international architecture event of the World Design Capital programme. Metsä Board was proud to sponsor Wastelands by providing the workshops with Carta Elega cartonboard to use as art and building material.
A brighter future for inkjet printing
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P’s ColorPRO Technology is designed for better quality inkjet printing: brighter colours, bolder blacks and sharper, crisper lines and text. As less ink is needed to achieve these print results, it also reduces both the print cost and the environmental impact. ColorPRO Technology produces the best results when combined with paper made using ColorPRO and a ColorPROenabled inkjet printer. To meet this need, Metsä Board has developed Modo JetPRO – a commercial inkjet paper made using ColorPRO – in cooperation with HP. Modo JetPRO has a simple additive sprayed onto the surface of the paper during production. This helps keep the ink pigments on the paper surface during printing, ensuring a higher quality result. It also means less processing is needed when the paper is recycled as the ink is easier to remove than from paper made without ColorPRO. The additive has no negative environmental impact. The team at Metsä Board has tested Modo JetPRO against two competing papers made without ColorPRO. The tests showed that Modo JetPRO has a far better colour gamut and consistently higher levels of colour intensity across the colour range. Modo JetPRO is one of the leading European uncoated papers offering ColorPRO Technology. It’s available in 80, 90 and 100 g/m2.
Metsä Board wins best overall investor relations
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etsä Board has won the Grand prix award for Europe’s best overall investor relations (small cap) in the IR Magazine Europe Awards 2012. Metsä Board was the only Finnish company nominated for best investor relations in Europe. “The award is a great recognition of our work in investor relations,” says Mikko Helander, CEO, Metsä Board. “Metsä Board’s structural changes to transform into a paperboard company have been a success. We’ve also successfully communicated the structural change and its targets to the capital markets in an open and consistent way.” The IR Magazine Awards are considered the benchmark of excellence in investor relations. The winners are decided via an extensive survey of 500 portfolio managers and analysts across Europe.
Expanding the express liners service
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etsä Board’s Express Liners service now offers Kemiart Lite+, complementing the same service for Kemiart Graph+ introduced in May. “The service helps our customers respond to last-minute orders and shortterm promotions. It’s particularly beneficial in periods of high demand when lead times tend to lengthen,” says Risto Auero, vice president, linerboard sales at Metsä Board. The service is available for the most popular grammages of Kemiart Graph+ (135 and 185 g/m2) and Kemiart Lite+ (130, 145 and 175 g/m2). Both double-coated grades are ideal for retail-ready packaging, point-of-sale and promotional displays, as well as high-end packaging applications. The service operates from Metsä Board’s stock centre in Antwerp and shortens lead times to Spain, Portugal, France, Italy, the Benelux countries, Germany, Denmark, Poland and the UK.
chromolux – New range, new collection, new website
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he Chromolux range of premium cast-coated papers and boards has been refreshed with a comprehensive selection of surfaces, colours and grammages, making it the best-in-class product for all types of printing and finishing processes. Six of the most popular Chromolux colours are now available in a heavier 350 g/m² weight: white, chrome, silver, gold, red and black. This provides more choice for packaging luxury goods such as fragrances, where the bulk and stiffness of a heavierweight board gives added value to the carton. It’s also especially suitable for displays, covers, cards and many other graphical applications. Choosing the right Chromolux product is simple with the help of two new selection books – one for paper and one for board. Both contain a summary of key information crucial for selecting the right product, as well as samples in all grammages. The books come complete with a practical mini swatch, showing the entire range in a fan format. The Chromolux website has also been updated with an inspirational gallery of applications and a convenient new way to order samples. Check it out! www.chromolux.de
Off-flavour guarantee for ALL OUR CARTONBOARDS
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arket requirements for improved food quality and longer shelf lives are placing new demands on packaging. Metsä Board is now able to guarantee a new off-flavour value for its folding boxboards Simcote, Avanta Prima and Carta Elega. According to the standard EN1230-2, the new value for the products is <1 for 12 months stored in original package. Carta Integra and Carta Solida have reached the value already earlier. Metsä Board has carried out substantial measures to research and improve the organoleptic properties of its folding boxboards. This has included the usage of BCTMP pulp in the middle layer, improved washing of middle layer pulp, and regular sensory testing and off-flavour surveys over long-periods (up to 14 months per sample). Magazine | issue 2 # 2012
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Some like it
Hot
1,300 ˚C
510 °C 30 m
850 °C
turbine
Area of the bottom fire grate: 41 m2 1/3 2/3
boiler
sawdust bark
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treetops branches stumps
The Kyro biopower plant is in operation 24 hours a day, seven days a week, controlled by two people at a time. While one operator runs the plant from the control room, the other walks through the plant making sure that everything is running smoothly. One round takes about two hours – that’s how big the site is.
2 h o ur s 36
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generator
wo thirds of the fuel used by the plant is wood biomass, locally sourced from within a 100-kilometre radius. The other third is made up of sawdust and bark. The wood biomass is preferred because it generates more heat when burned. This replaces the use of fossil fuels, reducing Kyro mill’s annual carbon dioxide emissions by 100,000 tonnes to about a quarter of previous levels.
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he new biomass boiler has automatic surveillance, ensuring steam levels and fuel supply remain optimal. When burning biomass, the heat of the combustion gas inside the boiler can reach up to 1,300 °C. The steam coming from the boiler is used in many ways. A part of it is also fed into a turbine, where the steam expands and its temperature and pressure drop, creating kinetic energy. This energy is then converted into electricity by a generator.
Kyro mill uses it. The local community uses it. The heat from Kyro biopower plant is used in many different ways. The great thing is that it reduces the total carbon footprint of Metsä Board kyro products by a half.
Heat & electricity
12 mw 55 mw
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he biopower plant has an electricity production capacity of 12 megawatts, which is roughly equivalent to the annual electricity demand of 15,000 houses of 120 square metres, with non-electronic heating and occupied by four people.
team from the new boiler provides provides about 55 megawatts of heat energy – more than enough for the mill’s needs. Most of the steam is used to dry the paper web, but it is also used for heating. When the steam condenses back into water, it returns to the power plant’s closed water system. Water wastage in the power plant is less than ten per cent.
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n average, the new boiler provides enough heat to district heating system to warm more than 200 homes and workplaces all year round.
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