Companies in the automotive and general industrial sectors are currently under massive cost pressures: In a challenging environment, they must increase the efficiency of their production operations, reduce costs, and simultaneously adhere to high quality standards. Schreiner ProTech (SPT), a business unit of Schreiner Group, supports its customers with smart marking solutions, functional films, and RFID technology in optimizing workflows and tapping into hidden savings potential.
A conversation based on field experience with Markus Loris, Product Manager at Schreiner Group.
What typical, cost-related challenges are your customers facing?
Markus Loris: One of the greatest challenges, no doubt, is material costs. In times of rising raw material prices, companies are obviously intensifying their efforts of identifying opportunities for optimizing material consumption and reducing waste. Another central issue is operating costs that are driven up by high energy costs. Companies in the automotive and general industrial sectors are frequently faced with the decision of either choosing a low-cost solution or investing in a higher-quality alternative that perfectly fits into their value creation processes. Short-term savings can be enticing in that regard but a look at Total Cost of Ownership (TCO) shows that the purchasing price accounts for only part of the costs that a component causes across the entire process chain. These challenges are nothing new but we consistently consider them in our customized solutions.
Can you name a specific example of how you’ve enhanced a customer’s efficiency with a product or solution?
M.L: Our so-called Film-Based Cover (FBC) is a case in point. With the FBC, we’ve developed a film-based housing closure. Currently, most plastic component housings are closed by means of injection-molded covers. But those covers entail high tooling costs—you see, that takes us back to costs!—and simply require a certain space during transportation, warehousing, and in installed condition. The trend–especially in the automotive industry—is clearly pointing in the direction of ‘smaller, lighter, more efficient.’ That’s exactly where our solution engages. In our solution, a robust film is precision-cut to size, delivered on rolls, and subsequently connected with the housing by means of laser welding permanently and reliably. This unique film-based closure is light-weight, flat, and resists chemical, mechanical, and thermal loads. Actually, though, savings potential was the focus.
Exactly, so could you please briefly explain what added value the product offers in terms of cost savings?
M.L: Sure, it starts as early as in the development. The production of an injection-molded cover requires relatively expensive tools causing high costs not just initially but that need to be modified or newly made in case of design changes. The FBC eliminates these tooling costs almost completely. Here, the costs can be reduced by at least a factor of 10!
Production costs are another factor: Thin-walled injection-molded covers can lead to manufacturing or leakage issues. By contrast, the Film-Based Cover—cut to the right size—is delivered on rolls and processed semi- or fully automatically, resulting in simpler parts handling and more efficient production.
Now, let’s talk about weight: Film-based solutions are lighter and flatter than injection-molded parts, which significantly simplifies transportation and storage. In addition, the material savings reduce the carbon footprint—an aspect that’s becoming increasingly important for many companies.
Particularly in the automotive industry weight is a crucial factor—especially for electrification, where every gram counts. And every gram less helps increase the range of electric vehicles or reduce the fuel consumption of conventional vehicles. What does that mean in this case in terms of specific numbers? The Film-Based Cover is up to 90 percent lighter than a conventional injection-molded cover. In vehicle engineering, it’s exactly these optimizations in many minor areas that, in total, achieve major effects. Consequently, the FBC is an attractive alternative especially for OEMs that examine every component for light-weight potential.
However, the film plays a crucial role in another regard: Modern vehicles contain a lot of sensors—be it for advanced driver assistance systems, autonomous driving, comfort functions, or vehicle communications. Conventional injection-molded covers often impair the transmission of radar, ultrasonic, or radio signals. The Film-Based Cover consists of a thin, highly transparent film enabling unobstructed sensor signal transmission. That leads to greater precision of readings resulting in better performance of the systems. Especially for manufacturers that are in the process of developing new sensor platforms that can be a decisive advantage.
But in my view one of the greatest strengths of the film-based solution is its multi-functionality. For instance, the FBC can include an integrated pressure compensation seal (PCS) that equalizes pressure fluctuations while protecting the interior of the housing against dust and liquids. This means that no separate PCS needs to be installed, which saves space as well as installation effort. Thermal transfer printing (TTR) of the FBC is possible too. That’s particularly interesting for components that must be provided with an individual serial number or a QR code because it eliminates the need for a separate process step to attach a nameplate which, in turn, further simplifies production processes.
I’ll briefly summarize again what switching to this housing solution specifically means for customers: They receive one flat component where they previously needed to use and install up to four individual components: a housing cover, nameplate, informational plate, and pressure compensation seal. That reduces the space required in production and capital expenditures for machines, shortens through-put time, and minimizes administrative requirements. That’s a clear reduction of complexity with truly added value.
You’ve already addressed the subject of “hidden costs”: How do you ensure that your products offer long-term benefits and won’t turn into cost traps?
M.L: Schreiner Group is a value-oriented family-owned company in which quality plays a central role. That’s our basic mindset reflected exactly in our products as well. On the one hand, we often develop our products and solutions in very close coordination with our customers and their specific requirements, which ensures that tailored products prevent wrong uses or unnecessary costs that might, for instance, be incurred due to unsuitable standard solutions.
On the other hand, we emphasize the utilization of high-grade materials, precise manufacturing processes, and field-focused tests. We have our own Research and Development Department and in-house testing facilities in which we can check the customer’s requirements to ensure the product’s desired lifetime and stability of use. Using that approach, we avoid hidden costs and ensure that our customers are going to benefit from our solutions in the long run.
The good thing is that with us you get everything from a one-stop shop—from the initial idea to mass production, so you have full transparency right from the beginning. And in case that something should come up for a change you won’t end up in some external call center but are going to be dealing with real contact persons that are there to support you, and our customers appreciate that.
What advice would you provide to companies seeking to maximize their efficiency while minimizing their operating costs?
M.L: I think that can’t be tied to a single aspect but must always be a combination of several approaches. Take automation for example: A high level of automation reduces manual mistakes and increases productivity. Digital workflows and systematic use of Industry 4.0 technologies such as smart RFID solutions enable efficient logistics control that optimizes inventories and reduces shipping routes.
Then take the subject of material optimization: By using innovative marking and protection solutions companies can not only simplify their processes but also reduce their production costs. The utilization of smart pressure compensation seals, for instance, can prolong the lifecycle of components and if we add the aspect of sustainability then the systematic use of durable materials and recyclable components can minimize resource consumption and positively affect the carbon footprint. So, there are many levers that can be used without sacrificing quality or competitiveness. The most important thing in my view is that companies invest in products and solutions that aren’t focused on short-term cost savings but on long-term and sustainable efficiency gains.