From: TomCrouser@aol.com Date: Fri, 14 Jun 1996 06:37:19 -0400 Subject: 4 Up vs. 1 Up Press Runs Content-Length: 12693 X-UIDL: 834764549.004 Crouser Report OnLine Copyright 1996 Thomas P. Crouser, June 13, 1996 - Material may not be reproduced in whole or in part without prior written consent of the copyright holder. ***** ***** ***** ***** ***** ***** ***** Family Print Shops: From the Worst of Times to the Best of Times. I will be discussing this topic during NAQP s Next Generation session immediately following the NAQP general sessions (July 15th). Hope to see you there. More info contact NAQP or see your registration packet. Tom ***** ***** ***** ***** ***** ***** ***** 4 Up vs. 1 Up Press Runs Transmitted from Melbourne, Florida June 1996 Dear Friends. . . . Four up press runs vs. One up press runs. Seems there is still discussion taking place on the internet about producing sheets on a larger size press. Larry Nebel of San Francisco asked that I reprint a discussion we had in The Crouser Report in 1993. Did better than that. In recognition of our upcoming Production Manager s Conference, I updated the whole thing. So, here is a revision of the articles which first appeared in the February, March and May 1993 editions. Talked to a printer the other day who made the off-handed comment that he ran as much 4 on 17x22 as possible. As a result, he was using a lot of parent size stock. Well, just how effective is it to run 4 on 17x22 instead of 8.5x11? I knew the answer. I ve had larger presses along with a bunch of smaller presses in my shop. You can t produce 4 on 17x22 and cut the paper more economically than you can print it 8.5x11 unless you are really into longer runs. So, if someone is considering buying a bigger press just to print 4 on 17x22, forget it and invest in dog racing. But, how can I prove what I ve just said. What authority can I go to? The Printing Industries of America published SimPAR Standards in the 1960 s. These standards were developed in various PIA shops by the Production Standards Committee and are production standards, not estimating standards. As the introduction to the book states, You d go broke in using (the standards) for estimating purposes unless you were absolutely sure that production throughout your plant was equal to or better than (these standards). The SimPAR report is still one of the best for larger presses although I admit the publication doesn t cover newer models. However, I don t believe the relationship between the presses has changed. The publication provides production standards specific to presses. I chose a Multilith 1250, a Solna 125, a Heidelberg KORD (since my printer friend had a KORD), an ATF Chief 24. (I also originally chose a Miehle 36, but since it is a much larger press, skews the discussion. I will ignore it here.) About the standards: each standard provided separate time values for make-ready, running and wash-up in a difficult, average and easy class. I chose the average class for all items. I also disregarded wash-ups. As for make-ready, a time is available within the average class for the 1st form and repetitive forms. I chose the firm form only on all presses. Additionally, I added .20 of an hour (12 minutes) to the 4 up production for the increase in stripping and plating to cover step and repeat, additional stripping and/or additional burn times. As for running speeds, I chose the medium running times within the average class. Now, for cutting. The one-up production on 8.5x11 does not require post press cutting. Four-up production on 17x22 does. How to calculate? Well, I used the SimPAR Flat Cutting Standards (production standards). Notice, I m not using any of the Crouser Guide s Standards (estimating standards). Instead, I m going to an independent third party. In order for cutting comparison, I chose 20lb bond paper in the 17x22 size which the standard allows to be cut in 500 sheet lifts. Obviously, we re using a descent cutter which is described as one having an automatic pressure clamp and spacer, and electrically operated gauge. The cutter is large enough to turn the lift being cut without its removal from the machine. Also only a minimum amount of time spent jogging the paper is contained in the standard. (Note: To calculate cutting, use the number of sheets run not the number of finished pieces.) Further, I assumed we are not trimming four sides of the stock, but rather splitting the four sheets only. Splitting rather than trimming then splitting reduced my time per lift by 30%. I further used the Up to 14 inch x 20 inch standard which gave us .063 of an hour or about 4 minutes per lift. Now, let s get down to costs. I used a typical $38 per hour 100% chargeable time rate for 8.5x11 production and chose a $42 per hour 100% chargeable time rate for 17x22. Why? I am allowing for an additional equipment investment of $20,000 which has an impact of some $2 per $10,000 invested. Additionally, I used a $42 per hour rate for cutting functions for you are generally using a larger cutter. You may see the result in Table 1, Cross Over Analysis of Total Production Time - One Up vs. Four Up on page 3. Four Up production becomes more efficient time wise than One Up production in the 8,000 range, but it becomes more cost effective only in the 10,000 range. TABLE: Unfortunately the medium of electronic mail will not allow me to reproduce accurately the table which accompanies this report. If you will fax us at (304) 342-5187 and include your name, address, telephone and fax numbers. . . .we will be glad to fax you the accompanying table.> What is more important is just how much money are you saving by investing in the 17x22 press? Using the Budget Hour Rate analysis, we can see that a run of some 40,000 will only save $44 or about $1.10 per finished thousand. Now consider an important direct material cost: paper. Paper in 8.5x11 bond typically costs less than the same quantity of 17x22. You ll have to answer this one for yourself, but $1.10 per thousand is not hard to overcome in paper savings by using cut sheets. So, in my mind, this places the lowest competitive run lengths of 17x22 presses in the 25,000 range. What s the upper range? In our original series of 1993 articles, Dale Matthews (Matthews Printing, Pittsburgh) brought up the subject of even larger presses. He said, It seems to us that if a printer had a Miehle 36, the 100,000 job would be run 8 up on 22x34 stock. . .one might assume if a printer had a Miehle 36, the shop could also have a 45 cutter which would add additional savings since the number of sheets cut per lift would increase to 1,000. By a calculation, I did back then, these assumptions would reduce a 100,000 run to the 4 hour range. If, then, larger presses could handle 100,000 in four hours, the most the 17x22 format will be competitive in would be from the lower range of 25,000 to about 40,000 which is what can be produced in 4 hours according to the accompanying chart. Regardless of the specific calculation, 17x22 sheetfed offsets have competition from the higher end. And it is not limited to large sheetfed offsets. What about small webs? So, it is my opinion that the pure production efficiencies of an 17x22 press puts the press runs in a range of 25,000 up to say 40,000 8.5x11 equivalents. Now, if you accept this, the next question comes, how many jobs require you to print in that range? Yes, we do have these runs, but if you buy a press for only these runs, do you have enough to actually support it. Or, will you do like many others? Buy a bigger press to do small press work in style. Well, someone is saying, Think of the much longer runs we can get! Right, but these are jobs which typically have to be sold, not ones that beat a path to your door just because you have equipment. I don t think I have to go into the success typical small press printers have with selling something. Suffice it to say I have not been impressed in my years around this industry. So, my central thesis is that you don t buy an 11x17 press just to print 4 on 17 x22 (or 4 up 8.5x11). Now, there are many reason to use the 17x22 format presses. Ink coverage, registration and, in some cases, a variety of paper stocks which are cut to the press ready size of 17x22. But, to buy a bigger press just to produce black on white 4 On 17x22 what you can produce as 1 On 8.5x11 is not, in my opinion, one of them. Two Color Presses: As a side note, instead of the 17x22 format presses, I would review the smaller format two color presses available from Itek, Ryobi, Hamada and AB Dick. Or, if you really are into long runs of 8.5x11 or 11x17, check out a small Didde web. But, don t buy new here. Lots of the small webs are gathering cob webs in print shops all over because of the change in the business form demographics. Stuff Coming Up Clients Production Manager s Conference June 6-8, 1996 in Charleston, West Virginia is sold out. We re looking forward to seeing everyone and focusing on getting it out the door. Clients Sales Manager s Conference August 1-3, 1996 in Charleston, West Virginia will open for non-client seating June 15th. Howard Hess and I will be making the three day presentation focused on finding and selling significant accounts. Non-client participant fee is $1200. Non-client NAQP members, PIA members, subscribers to the Crouser Guide and software pay $1,000 for the three days. Clients with a current review pay a reduced rate. Call Clark Workman for more details at (304) 342-5100. Clients are given preference in seating until June 15th. Next Generation NAQP Conference: Immediately following the July 11-14 conference of the National Association of Quick Printers, the Next Generation will meet on Sunday and Monday (July 14-15th). I m honored to be able to address the group on Monday morning concerning: Family Print Shops: From the Worst of Times to the Best of Times. Upcoming Free Power Pricing Seminars: Miami, June 29th. Philadelphia July 27th and August 24th in Colorado Springs. Call Clark at (304) 342-5100 to register free for these Saturday morning sessions. NAQP Quick Print Expo: Hope to see our many friends on the show floor. Stop by and see the latest version of Crouser s Print Shop Manager including Crouser s Quick Estimator, Accounts Receivable and More! Performance Groups: Our fall Performance Group which meets in Orlando is getting full. We are planning to open another in the spring of 1997. If you are considering joining such a group, remember that we must complete an on-site visitation prior to your actual participation. So, it s not too early to plan your on-site. Consideration for the meeting location for the spring 1997 new group is: California; Dallas; or Orlando. If you have an interest, please contact Clark Workman at (304) 342-5100. Visitations: After our Production Management Conference in June, you can find us in upper as well as lower Florida, upstate New York, the Virginia area of Washington, DC and probably with a rest stop in the Jacksonville area to get a grandaughter fix. And, if you have an internet address, but are not receiving the Crouser Report OnLine, send me a message to TomCrouser@aol.com and say subscribe. It s free and it s fun. See you soon. Happy Trails, Tom Crouser Crouser & Associates - Helping Printers Prosper Since 1985
Crouser & Associates Performance Group program includes two on-site evaluations by Tom Crouser each year along with two group meetings. Management training is held during the group meetings along with participation in a meeting with non-competing printers. Join others who have decided to run their business instead of the business running them. Reply to by Email to Tom Crouser for more detailed information or call Clark Workman at (304) 342-5100. Or fax (304) 342-5187 or contact crouser@ibm.net.
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