Packaging: Italian Nordmeccanica between augmented reality and flexible packaging

by Laura Magna ♦

The company led by Antonio Cerciello had a turnover of 110 million Euro in 2019, 95%

of which abroad. The Triplex SL One-Shot laminator developed on Mindsphere

combines mechanics, cloud and IoT. Partnerships with Siemens, Dow Chemical, Hp.

The President has the floor.

InsideNordmeccanica’sfactory

Thelatestinnovationisasystemtocontrolandsetupmachinesremotelywithaugmentedreality,developedinpartnershipwithSiemens.Nordmeccanicahasmadethecutting-edgeapplicationoftechnologyinelectronics,chemistryandsensoryengineeringitshallmark.Thankstothis,ithastakenover65%oftheglobalflexiblepackagingmachinesmarketforthefoodandcoatingindustry.Ithasinstalled3400ofthem,producedinits30thousandsquaremetersofwarehouses.

Itisoneoftheleadingcompaniesinthepackagingsector,oneofthespearheadsoftheItalianindustry:in2019,itsturnoverstoodat110millionEuro,inlinewiththeindustrialplanandgrowingslightlyyearonyear,despiteageneraldeclineinmechanicalengineeringinItaly.Afterall,NordmeccanicahasexpandeditsbusinessfromtheprovinceofPiacenzatothewholeworld,thankstoexportsthataccountfor95%ofits

turnover.Nordmeccanica'slaminatingandmetallizingmachinesclaimnottohaveanycomparisonwithothermarketproposals.Thankstosignificantinvestmentsinresearchanddevelopment(about5%ofrevenueseachyear),theyaretailormadeanddeliveredaccordingtoaturnkeybusinessmodelfromdesigntoinstallation,whilstensuringmaintenancethroughouttheirlifecycle.Overtheyears,thepackagingcompanyhaspartneredwithgiantsintheelectronics,chemistryandinformationtechnologyindustry,fromtheaforementionedSiemenstoDowChemicalandHp.

However,thiscombinationofwinningfactorsmaynotbeenoughnowtoovercometheCoronavirusearthquake.SoPresidentAntonioCerciellocannotholdbackhisanger."Wehaveordersthatallowustoworkuntiltheendoftheyear,butthesystemsalreadycompletedthatcouldbeshippedarestuckinthewarehouse,withtheclientswaitingforthem.WecannotsendourtechnicianstomounttheminIndia,SouthAmericaorIndonesia.Wecouldbesweptawaybyforeigncompetition,becauseFranceandGermanyhavenotexperiencedalockdownassevereasours,andwecouldbeovertakendespitebeingtopoftheclassinmachinetechnology.Butmyconcernisthatwewillseetherealimpactofthiscrisisin2021:ifwelose8%ofGDPin2020,theyearafterthedropwillbe15%.”

The tumble of mechanics

ThebacklashforItalianmechanicscouldbetremendous,ifweyoudonotgetbacktoworksoon.Wearetalkingaboutasectorthat,asweallknow,supportstheentireItalianeconomy.Inourcountry,mechanicsemploysabout1,600,000people,produceswealth(measuredbyaddedvalue)forover€120billionandexportsgoodsworthover€220billion,representingalmosthalfthetotalturnover.Itsexchangeassets(over50billionEuros)contributetothetotalrebalancingoftheItalianbalanceoftrade,whichisstructurallydeficientintheenergyandagri-foodsectors.

Italianengineeringproductionfrom2008to2018.Despitearecoveryafterthecollapsein2009,productionneverreachedpre-crisislevelsagain.Source:FedermeccanicaonIstatdataprocessing

Onebillionsevenhundredmillionperday:thisisthelossaccumulatedduringthelockdown,becausemachiningofsteel,bolts,valves,machines,automation,componentsandelectronicswerenotincludedintheessentialAtecocodesandwerestoppedfor90%duringtheweeksoflockdowntocontainthespreadofCovid-19.Ablowthataddsuptothealreadynotbrilliantperformanceof2019:accordingtoFedermeccanica,itregisteredanaveragedecreaseof3%comparedto2018,withheavylossesforinstrumentalmechanics(-2.8%),metalproducts(-4.4%)and,inparticularfortheautomotiveindustry,whichlostabout10%ofproduction.Overall,productionlevelswere27.6%lowerthaninthepre-recessionperiod(firstquarterof2008)andwearelastinthecomparisonwiththemaincountriesintheEUarea,outgrossedevenbySpain.Estimatesfor2020areterrible:theturnoverisexpectedtodropby40%permonth.Fortheentireindustrialsystemarea,Federmacchineestimatesanaveragedecreaseinrevenuesin2020of27%,over13billionEuro.Packagingrelatedmachineryshouldexperiencethemostlimiteddecrease(-15%)becauseitisaserviceindustrytootheressentialindustriesandthereforeitdidnotstopcompletely.

Laminating machines and hi-tech metallisation

Nordmeccanicacouldbeoneofthoseessentialcompanies,becauseitsmaincustomersworkinthefoodchain.Foundedin1978inPiacenza,itwastakenoverin1998byAntonioCerciello,aNeapolitanmechanicalengineer,bornin1940,withasolidmanagerialexperiencedevelopedfirstinstateholdingsandthenasanentrepreneur.Cerciellohasledthecompanytowardsworldleadershipinthemanufacturingofmachinesfortheproductionofpackagedfoodbags,pharmaceuticalblistersandawholeseriesofhigh-techproductions,suchasthosenecessarytoreproducehologramsoncreditcardsandbanknotes,filmsthatprotectphotovoltaicpanels,reinforcementsystemsforhelmetsandbulletproofvests.

Nordmeccanicapackagingmachine

"However,ourcorebusinessremainsthelaminatingmachines:theycombinethedifferentmaterialsthatmakeupthepackaging.Ourcustomersarethereforepackagingmanufacturers,theso-calledconvertersthatmakethepackagingforthefinalcompanies,andinourcase,80%ofthemoperatesinthefoodmarket,"Cercielloexplains.

Theproductionhasbeenenrichedovertimewithvacuumsystemsforplasticfilmmetallisation."Between2014and2015,wehavetakenovertheVacuumSystemandtheskillstobecomemetallizersfromtheGalileoGroup;wehavemovedproductionfromPratotoPiacenzaandinvestedtenmillioneuros".Themetallizerswillcoverotherindustries,suchasthephotovoltaic,imitationwoodandprotectivefilmsector."Overtime,wehavetriedtorespondtothegrowingdemandfortailor-madeproducts,whichrequirespecialisationandcontinuousrenewal.So,forinstance,wecreatedsolutionsusedintheproductionof

imitationwoodpanellingforflooringlargesurfaces,forthefurnitureandtheautomotiveindustry,whichemploysimitationwoodtocovercardashboards.”TheR&DlaboratoryoftheEmilia-basedgroupalsohousestheprototypeofamachineforcoatingtestsondifferenttypesoflacquer,tomeetthetechnicalrequirementsofeachcustomer.

A tablet for remote control of large machines (and other innovations)

NordmeccanicaDuplexCombiLinear

Differentskillsfromelectronicstomechanicstochemistryarerequiredtobringtheirperfectmachinestolife.Thisiswhythecompanyhasprivilegedcommercialagreementswithgiants,suchastheAustraliangroupAmcor,andexclusivetechnologyagreementswithSiemensforthedevelopmentofaugmentedrealitytechnologies.ThemostrecentandextraordinarilyinnovativemachineintherangeistheTriplexSLOne-Shot,whichputsCloudandIoTinthepackagingmechanics,thankstoitsdevelopmentonMindsphere,Siemens’cloudplatform.Theselargemachinesareequippedwithanaugmentedrealitytablet.Thetabletallowsthedisplayandsettingofmachineparametersinrealtimeonsitewithouthavingtoreturntotheoperatorpanel,andtheidentificationofthedifferentworkareas,givingtheoperatorormaintenancetechnicianallthenecessaryinformation.Bymeansofalinktoanapplicationitispossible,byframingspeciallabelsonthemachine,todisplayorlaunchtheprintingofareportwiththedataoftheidentifiedobject.

Theadvantagesareobvious:thepersonnelworkingonthemachineequippedwithatablethavethepossibilitytoworkalongtheentiremachineandarenotboundtotheareaswheretheHmi(HumanMachineInterface)arelocated.Thisavoidsmovingcontinuouslyalongathree-storeymachine;quicklyidentifythepointorgroupofthemachineconcernedandactimmediately;and,reduceerrors,becauseidentificationiscertain.Thankstothisoperatingsystem,itispossibletoanalysedatawhich,today,areconsideredthetreasureofindustry4.0andcompaniescanmakethemostofthemwiththeuseofdigitaltechnologies."WearepartofthecompaniesthatfoundedtheMindsphereWorldItaliaassociation-explainsCerciello-tomanagedatathroughasecurecloudandanimportantpartnerlikeSiemens.Datathatallowustonetworkthemachinesandinformcustomersiftheyareperformingasexpected.”

Partnerships with the giants

NordmeccanicamovesintotheterritoryofCloudandIoTpackagingmechanics,thankstothedevelopmentonMindsphere,Siemens'cloudplatform.InFebruary,shortlybeforetheItalianlockdownwasmadeofficial,Nordmeccanicapresentedthelatestultra-technologicalmachinedevelopedincollaborationwithHpIndigo:asolventlesslaminationsolutionthatcanbasicallyprinton-demandvirtuallyanysizeandvarietyofflexiblepackagingtosupportthegrowingmarketdemandforfastdelivery.Theability,throughlamination,ofprotectingtheprintandimproveitsmechanicalandchemicalproperties,increasesthevalueofthefinishedproductandexpandsthepossibilityofgrowthforconvertersattheserviceoftheircustomers.ThenewlaminatingmachineisalreadyoperationalattheUSe-PacFlexiblePackagingconverterplants.

"Notonlyelectronicsandmechanics:chemistryisfundamental,sincewealsodealwithadhesives.Todevelopthemachines,wehaverelationshipswiththeworld'sleadingadhesivemanufacturerssuchasDowDuPontandHenkel,bybringingourownmachinestotheirlaboratoriessothattheycantestmachineandadhesivetogether.Thankstothismodel,ourmachinesremainattheforefrontforatleastfiveyears.”WithDowChemicalinparticular,Nordmeccanicahascreatedamachinethateliminatesthetechnicaltimerequiredtocooltheadhesives,abolishingstorageofthematerialinthewarehouseforcooling:theconvertercansendthepackagesdirectlytoproduction,reducingthetimefrom3-4daystojust90minutes.

A company made in Italy

NordmeccanicaisanentirelyItalianproduction,andisproudofit;"ourknow-howisallItalianandwedependonaregionalsupplychain.InItalythereare260employees(outofatotalof340)and130peopleemployedinsatelliteactivitiesinPiacenza,comprisingmostlymechanicalworkshopownerswhoworkalmostexclusivelyforusonourdesign.WeareapointofreferenceforPiacenza’seconomy.Wedothemechanicalandelectronicdesigninhouse,supportedbySiemens:alltheengineeringisours,andintheendwetakecareoftheassemblyandtesting,aswellastheinstallationatthecustomercompany.Theserviceweprovideisturnkey:weleavethecustomerwhenthemachineisrunningatfullcapacityandthenweprovideafter-salesupportthroughouttheproductlifecycle".AconsolidatedmodelthathasalsobeentransferredtotheShanghaiplant,"wherewehavetaughtthemechanicalworkshopsintheareaourmethodsandtechnologies,andnottheyarecapableofsupplyingthenecessarycomponentsforourmachineswiththesamequality.”

...with the aim of conquering the world..

Nordmeccanicahasfiveproductionplants,threeinItaly,oneinChinaandoneintheUnitedStates(inNewYork)andanetworkofrepresentativescovering87countriesaroundtheworld. Inparticular,NordmeccanicahasbeenpresentinChinasince2006andinShanghaisince2009,witha1,500squaremeterplant,subsequentlyexpandedin2012tomeetthegrowingneedsofthemarket.Thenumberofemployeesincreasedfrom6in2009to28in2013,to50today.Today,inChinaNordmeccanicacovers65%ofthemarketshareofthesector.

Amiraclethatwasachievedfocusingonqualityandfittinginwiththegrowingdemandforfoodsafety,drivenSafetyFoodLawby2015,whichalsoinvolvedpackaging,which,forinstance,mustbefreeofpotentiallycontaminatingsolvents."Thelaminatedmaterialsinfoodpackaginghavedifferentfunctions:oneprotectstheproductfromlightormoisture,andtheotheronecarriesthebrandnameontheoutside.Thesematerialsarebondedthroughadhesives,whichcanbewithorwithoutsolvent.Obviously,thelatteraresaferandweareleadersinthese,"Cercielloexplains.

Expansionintherestoftheworldhasgonehandinhand:thecompanyistheleadingexporterofthesectoralsoinNorthAmerica,withaplantinNewYork,IndiaandLatinAmerica,andtwodirectcustomersupportofficesinMumbaiandBuenosAires."Todayweexport15%totheUS,and50%toSouthEastAsia;weareallovertheworldincludingJapan.Italyrepresentsonlyaresidualpartintermsoftradingmarkets".

The world after Covid-19

NordmeccanicaheadquartersinPiacenza

Foranentrepreneuraccustomedtobeingintheworld,itwaspeculiartoseethelinesclosedduetotheCoronavirus.Butdespitethis,Nordmeccanicahasmadeamassiveefforttocomplywiththerulesforsafeguardingthehealthofitsemployees."Wearereadytocomply100%withthefullsecurityregulations,byusingthenecessarydevices,andresortingtosocialdistancingandsmartworkingwhereverpossible.Thecompanyisalsowillingtopayforserologicaltestsontheemployeestoallowthemtoworkassafelyaspossible.Weareequippedfromdayoneandwehaveexpandedouroffices,movedthelinessoastoguaranteeaminimumdistanceoftwometersbetweentechnicians,andcompletelysanitizedtheenvironment.Alotofcompanieshavedonethesamething.Wewanttoreassurethepublicthatwecare

aboutprotectingourpeoplemorethananyoneelseandweareequippedtomakethemworksafely,"concludesCerciello,whoaccusesthegovernmentofputtingtheItalianindustryanditsreputationintheworldatrisk."It'sparadoxical:everythingstopped,exceptforbureaucracy,whichwasn'ttheleastaffectedbythepandemics.Itisabsurdthatacraftsmanhastopresent19documentsinordertoget25,000euros.InFranceandSwitzerland,theprocedureismuchmorestreamlinedandmuchlargeramountsgetcreditedonbankaccountsinjustafewdays".Andit'sabsurdthattherearenocertainties.

"WehaveinformedallourcustomersandagentsthatwehaveimplementedalltheactionsrequiredbytheItalianGovernmenttopreventandcontrolthespreadofthevirus,whileensuringthecorrectassistanceanddeliveryofspareparts.Butwearestillpenalizedbytheclimateofsuspicionthatthereisabroad:betweenrevocationsofmeetings,refusalstowelcometechniciansarrivingfromPiacenza,andpostponeddeliveries,wehave4-5millioneuroscurrentlywaitingforsomethingthatispostponedwithoutacertaindatetoresumetesting".

https://www.industriaitaliana.it/packaging-nordmeccanica-imballaggi-confezionatrici-cerciello-industria/