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Table of Contents:
1 Background.......................................................................3
2 Study Objective.................................................................5
2.1 To Analyze the Manufacturing Cost Process – Make Decision................................5
4 Other Advantages towards Make Decision........................11
2.2 Just in time Production can be achieved minimizing finished product stocks........11
2.3 Production Wastages can be studied and necessary corrective actions could be
implemented...................................................................................................................11
2.4 Setting time of die could be studied and necessary corrective actions could be
implemented...................................................................................................................11
2.5 Raw Material costs can be tried for controlling with better planning......................11
2.6 Wear and Tear could be minimized with regular maintenance, so not have shut
down time due to machine break downs........................................................................11
2.7 Proper utilization of machine and labor time could be achieved economizing the
cost of production..........................................................................................................11
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Case Study on Label Converting 2010
1 Background
The labels are one of the identification technologies being adopted
world-over. Labels could be pre-printed as a Brand packaging product
label or could be printed on demand as a barcode label. On demand
labels are printed through label printers and these labels printers
typically print on paper and various label stocks in multiple sizes.
Because label printers can use so many types and sizes of media, they
are suitable for an incredibly diverse range of identification printing
needs. Label Printers can produce wristbands, hazardous material
labels, temporary ID badges and visitor passes, event tickets, receipts,
apparel tags, price labels, file and document identifiers, shipping labels
and container IDs, inspection stickers and more.
These labels are usually in self adhesive forms for easy application to
the varied surfaces.
There are various Printing technologies been used for producing labels
and few of most prominent ones are as below
All the above technologies are utilized for Brand Packaging labels as
these are most efficient and produce quality labels.
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Case Study on Label Converting 2010
Food Barcode
Labels Labels
Thermal
Transfer
and direct
thermal
(Both in
plane and
multi-colour
label)
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Case Study on Label Converting 2010
2 Study Objective
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Case Study on Label Converting 2010
Raw Material
Ink Stock Material – All Panton color and mixed color stock inks
Dies – Dies as per label sizes – Single Up, 2 Ups, 4 Ups and so
on
Machine Cost
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Case Study on Label Converting 2010
3mm
Inter-label Gap : 3mm minimum as standard
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Case Study on Label Converting 2010
Labor Cost
On an average Rs.35 per hour is been paid for a Single operator and
for producing any job about 3 operators are required.
Electricity
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Case Study on Label Converting 2010
Overtime Cost
As for producing 1lac labels 9hours are required, 1hour over time cost
for 3 operators would be Rs.35 x 1.5 x 3 = Rs.157.5
Fixed Costs
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Case Study on Label Converting 2010
3 Buy Decision
This Buy Cost increase much more once it is high value labels in terms
of Synthetic or specialized labels, where cost of the raw material itself
would be Rs.600 per Sq. mtr
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Case Study on Label Converting 2010
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