Houston Chronicle SW Production Plant Transformation and Packaging Project
Centralized Packaging for Hearst Media South Texas Newspapers.
Houston Chronicle, Beaumont Enterprise, Laredo Morning Times and San Antonio
Express-News
• We will be a world class service organization that relies on efficient/optimized processes to insure flawless execution
• Our organization is positioned to deliver exceptional value for our audience/readers, advertisers, and is relied on to deliver the bargained for message
• Customer service and process efficiencies are leveraged to unlock incremental value by attracting new customers
Vision
2
Strategies
• Develop a professional management organization & culture
• Ingrain process discipline
• Implement accountability and measurement systems to insure performance
• Ensure effective utilization of assets/tools/staff to create value
• Install financial discipline at all levels in the organization
• GROW Business - Commercial Print Opportunities (Tune in Tomorrow)
Sunday, Direct Mail and SMC Plant - 163,137 Sf.
South West Production Plant Total SF. – 440,730 (118,320 unoccupied)
Harvey Wilson (East) - 78,845 Sf. Newsprint and Distribution with Rail Spur.
Main Business office 801 Texas Ave. - 498,340 Sf. Office Space 278,290 Production/Industrial 220,050 (phased out)
Facilities
Consolidate Kempwood to Southwest / Improve Performance
Background & Business Case
Project Scope: OVERVIEW
Strategy • Convert fixed to variable costs• Lower the overall cost baseInitiative• Close & sell 160,000 square foot offsite, separate
inserting facility• Relocate all inserting to main production facility• Reduce operating costs by $2+ million annually• Relocate all Texas inserting to Houston
San Antonio Laredo
Prior to Project:13 total inserters• Sunday facility: 3 NP 630 ‘s• Main plant: (1) Double out 2299, (5) 1272P• San Antonio: (1) 2299 double out, (1) 1472 and (1) SLS-1000 17 Head inserter
After project:3 total inserters• One 40-1 double out Magnapack• One 32-1 double out NP-632• One double out 2299
Equipment
Southwest 2nd Floor Packaging CenterOne New + One Machine Relocated and One existing 2299
(1) 40-hopper Magnapak + (1) 632 machine relocated. Existing 2299 location shown. All shown as double-out for flexibility in layout.
55’ – 0”
55’ – 0”
55’ – 0”
40’ – 0”
Double-out632 Inserter
40-hopper Magnapak
Existing Press / Operating Level
Pallet out-feed
ROP Stack / TieLines
Existing FourPallet Lift
Existing 2299
Existing (2) SinglePallet Lifts
Pallet staging
632 Inserter under Reconstruction and Reconditioning
NEW MAGNA PACK 40 Head
2nd Floor / First Floor Pallet StoragePallet Storage Racks
2nd Packaging Level 1st Warehouse Level
90’
212’
Wide-aisle Racks
RemainingNewsprint Storage
Pallet Gravity Staging Racks
12
20
12
16
12
20
12
16
12
12
12
12
Pallet / NewsprintStorage Below
Area for lift truckpicking pallets –move to inserter
1
2
1Pallet Gravity Staging Racks
Project Scope Insert Storage and Barcoding Management
Volume Processed
• 34 million (+) inserts per week.• 1,500 pallet storage in Racks• 76 to 80 unique Pressruns Weekly.• Avg. weekly tons 760 (+), up from 641 last year.• Almost 24 thousand M8PP per week.
Products Produced @ SW
• Houston Chronicle• all related Products• Houston LaVOZ Spanish Bi-WeeKly 400K (+)
• USA-Today• Beaumont Enterprise Daily and Commercial• San Antonio Express-News:
• Sun-Comics• Advances Thu-Fri-Sat and other related products requiring inserting
• Laredo Morning Times:• Sun-Comics• Advances Thu-Fri-Sat and other related products requiring inserting.
Distances covered to ship Insert packages
197 mi
314 mi
95 mi
154
mi
Additionally:Houston prints Beaumont Daily 7 daysSan Antonio print Laredo Daily 7 days
• (6) 12 unit Goss Metroliner Presses (12 Folders)
Pressroom Transformation
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