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June 1999
Cover Story
King of the Mills
Kristin Reynolds

Loads of Paper Work
Christine Lyall

Seamless Success
Robin Levine

Taking a Stand
Kristin Reynolds

Feature Stories
A Cut Above the Competition
Michael Maddox

Practices Made Perfect
Henry Rocha

Equipment and Supplies
equipment & supplies
Boxboard Containers International Staff

Orders & Deliveries
A Forum for You
Mike Walsh

contributors
Boxboard Containers International Staff

Price Point
Productivity, but at What Price?
Robin Levine

Coming Events
new media
Boxboard Containers International Staff

Newsmakers
newsmakers
Boxboard Containers International Staff

product directory
Boxboard Containers International Staff

Industry News
AICC Springs Forward with Bottom Line Bounce
Robin Levine

AICC's FirstPak Aims to be Second to None
Robin Levine

Barco-Artios Grants Unlimited Use License to ICPF
Robin Levine

Caraustar to Buy Tenneco's Folding Carton Business
Troy Burkholder

CMM Showcase Deemed a Success
Troy Burkholder

Enterprise Wins Customer Quality Award
Kristin Reynolds

FEFCO Showcases Technical Innovation, Creates Single Industry Voice
Robin Levine and Michael Maddox

Fort James Sells Packaging Plants
Robin Levine

FTA Meeting Sharpens Its Members Spurs
Kristin Reynolds

G-P, Canfor Join Together
Kristin Reynolds

Green Bay Achieves No Accident Record
Kristin Reynolds

J&L, TEI Discuss Acquisition
Robin Levine

Langston is First OEM in FPPA
Kristin Reynolds

New Postal Pack Developed
Robin Levine

NPA Commits to Packaging Its Members' Futures
Kristin Reynolds

Orange County Container Installs New Gluer
Robin Levine

Problems Are Opportunities at FBA Meeting in Houston
Christine Lyall

Stop-it Minority Shares Purchased, Expands Global Sales Effort
Robin Levine

Industry News International
Fort James Consolidating Packaging Business Operations
Boxboard Containers International Staff

Kruger Inc. Announces Investments in Mills
Boxboard Containers International Staff

Smurfit-Stone Container Reports First Quarter Results
Boxboard Containers International Staff

General
U.S. Economy Continues with Strong Growth
Boxboard Containers International Staff

 
Article
 
King of the Mills

Kristin Reynolds

Boxboard Containers International, Jun 1, 1999
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Theoretically, a tree can become paperboard in about 63 minutes. That's assuming, of course, that you could freeze a paper mill's operations long enough to process just one tree, which by virtue of the capital-intensive nature of the business, is highly unlikely. However, if processing trees one at a time was feasible, the average tree could make it through a de-barker and a chipper in 10 minutes, through a batch digester in 45 minutes and through the chemical washing process in less than five minutes. Finally, the process in which the slurried pulp is transformed into paper-which involves moving 900 feet-could be complete in less than three minutes.

Although the paperboard making process is extremely fast, its science has not changed much in the last century. According to Boyd Giles, vice president and resident manager of Mead Coated Board Inc.'s Cottonton, Alabama-based Mahrt coated board mill, "They're still making paper the same way they did 100 years ago. They've come up with ways to do it faster, quicker and better, but it's still the same process." It still takes a fourdrinier-the meshed wire upon which pulp is pressed and drained-a lot of water and a drying section.

"The old Model-T had four wheels, a steering wheel and some seats, and it got you from point A to point B. Today, you still have four wheels and you still have a steering wheel, but the car is a lot more sophisticated than it used to be," said Giles. The same holds true for the papermaking process, he added.

it's no mini-mahrt Despite the fact that there has been little change in the basic process, the Mahrt mill has undergone many changes in its 33-year history. Built in 1966, the mill-called Alabama Kraft-was a subsidiary of Georgia Kraft, which was a joint venture between Temple Inland and Mead. At the time, the mill produced 900 tons of linerboard daily.

Five years later Mead installed an on-machine coater. Two weeks of each month were spent making linerboard, alternating with two weeks spent making coated paperboard, much of which was made for the beverage carrier market. "In the late 1970s the demand for that product grew and Mead needed more than half of the machine," explained Giles. So the company began to "buy" additional machine time from Inland, eventually using it full-time for coated board. "On January 4, 1988, this mill became owned entirely by Mead Coated Board," said Giles. And in 1990, the company added a second machine. Today, according to Michael Skrovanek, director of marketing for the Coated Board Division, the Mahrt mill is one of the most productive coated paperboard mills in the world, producing almost 1 million tons per year.

the run of the mill Although the mill site is enormous, approximately 1,800 acres, it is almost invisible to passersby. Under the cover of hills and manicured greenery, one must be well within the mill's gates to see its enormous stacks. "Mead owns a lot of land and it's sort of a nice buffer," said Skrovanek. "A lot of older mills tend to have cities spring up around them. To build a new mill in the United States today would be more difficult. It would need to be close to a city, a fibre supply and a water supply." The cities nearest to the Mead property are 25 miles away.

The Mahrt mill, which employs 750 people, is almost energy-self-sufficient. It creates all of its own steam and electricity. "We generate about a hundred megawatts of power a day. That amount would probably supply a town with a population of about 40,000 people," explained Giles. The company uses very little fossil fuel. "It's expensive and it's not a renewable resource."

One resource it doesn't "make", it borrows and gives back. "We take about 20 to 22 million gallons a day of water out of the river, and we have to clarify it before it is used," said Giles. However, what many people don't know is that the company sends about 24 million gallons of water back to the river each day. "We are always letting out more water than we are taking in," said Giles. This is possible because half of the weight of wood is water weight. Although the idea of extracting water from wood seems impossible when you imagine squeezing it out with your bare hands, that barrier is easily overcome by the use of equipment.

coming out of the wood work The average roll of paperboard produced by the Mahrt mill weighs about two tons. To make a ton of paper, it takes about four tons of wood. "Supply versus demand requires constant attention," said Giles. "We try to keep wood inventories down to fewer than 10 days, but you have to be prepared for bad weather, because with two or three heavy rains during the week, you might not be able to get any wood. You just can't go out and tear up the land." So building wood inventory to help ride out the winter and rain is imperative. Mead's woodlands helps by storing extra supply in a wet wood storage area. In it, wood is constantly kept moist with the help of sprinklers, allowing timber to be kept for six to eight months.

Product consistency is also an important focus. As evidenced by Mead customer satisfaction surveys, consistent product is a top priority. "What they want is for us to make our product the same way every time. They don't ask for many changes in the product we make, they just don't want to find any surprises," said Giles. The company has many initiatives throughout the mill that focus on consistency within the papermaking process. Tight controls and consistency within the process yield a consistent product.

Another focus for Mead is slightly less under its control, but the company arms itself with knowledge in order to stay competitive. "We face challenges from plastic packaging as well as the mini-flutes," Skrovanek explained. "So there is always some sort of external competition." And Skrovanek's responsibility is to conduct market testing and learn competitive materials' cost structures compared to those of paperboard. "Even though theirs is a different market, I need to understand how competitive we are." Skrovanek also explained that the paperboard packaging industry is working to increase awareness with the help of trade associations such as the Paperboard Packaging Council, through advertising campaign efforts.

While the fundamentals of the paperboard manufacturing process haven't changed a great deal, the pace of change needed to maintain customer satisfaction continues to accelerate. And the rate of competition in the packaging market, increasing exponentially with each competitive innovation, requires quick thinking in order to stay on top. As one of the most productive coated board mills in the world, Mead is king of the mill hill. But it needs to work just as hard as every other mill to stay on top.



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