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Ryt-way 2002 Operations Update   

Ryt-way earns Superior ratings on its 2002 AIB Audits       

Operations Update

   Year 2002 continues where we left off in 2001, spending time bringing our Lakeville facilities closer to their optimum performance levels.  This opportunity to maintain our focus, and combine it with our employee's efforts, allowed us to achieve some of the best results in our company's history.
   As we look to the year 2002 and beyond, we will continue our efforts to improve facility security, increase automation and offer our customers great performance and innovative ideas.  

• Security

   Ryt-way Industries, Inc has made great strides at improving the security of its facilities since September 2001.  Along with meeting customer specifications, HACCP plans and operational requirements, we are re-evaluating all of our internal safety, security and quality procedures associated with raw materials and finished goods.
   We have pulled together many of our current procedures and policies to create a “Materials/Finished Goods Security Policy”.  The policy addresses the following areas:  Product Specifications, Plant Utilities, Plant Chemicals, Crisis Management, Building Security, Visitors, Contractors and Suppliers, Outside Storage and Hiring practices.
   The warehouse has experienced many modifications and upgrades to solidify the security of the area.  We have constructed a new shipping and receiving office including a secure truck driver waiting area.  This area includes telephone and computer access along with vending machines.  We have also completed the alarming of all exterior doors and changed our procedures regarding the use of seals on incoming vehicles and also ones positioned in our yard.
   During the summer of 2002, we will be completing the modifications to our warehouse by adding dock locks to all warehouse doors.  This will be a great safety and security addition.

•  Automation

   Ryt-way Industries, Inc is always attempting to automate portions of their packaging functions thus providing their customers with efficiency improvements.  The largest automation efforts have been on our FEMC cup and bowl packaging lines.  We also have several new robotic pick-and-place units online in other areas of the facility.  
   To aid in the increased number of "finished goods" pallets produced from our projects we have added a second automated stretch wrapper. Finally, our warehouse does approach its capacity limit from time to time.  we would expect our storage needs to increase.  We have added an additional 2400 rack spaces in the south portion of our warehouse, bringing our total warehouse space close to 20000 pallets.  

• Performance and Innovation
  

Employees

   We provided an opportunity for all of our machine operators to go through a one week, 40 hour training session in January, February and March, 2002.  This training included sessions on….position expectations, communications, training/coaching and “What is Quality to the consumer”.  Sessions were also held in the technical areas of Quality Assurance (proper documentation and WinSPC), Inventory Control and Planning (controlling inventory losses and scheduling) and Engineering (refreshers on packaging machines, checkweighers and product scales).  
   We feel this was a great learning opportunity for both trainers and employees.  It is a wonderful way to increase some of your key employees knowledge and have them participate in improving your operation.  We are also looking at Year 2002 as a time to improve some of our key supervisory positions through training and hiring.

  Packaging

Ryt-way Industries, Inc has provided nitrogen flushing on SURZ form, fill and seal bags for several years.  This is one way to provide our customers an increase in performance and manufacturing innovation.  We continue to be in the developmental stages of several new packaging projects this year.  Most of these fit well with our core competencies, and yet a couple of them will allow us to grow and develop into new areas.  You will hear more about these new projects as the year progresses. 

Recycling

Our facility has been a leader in the area of recycling.  Our first effort is to minimize losses (waste) but if this not successful we need to ensure that we limit our waste to the landfill.  We recycle all corrugate, cartons, plastic, any metals and wood pallets.

Year 2001 saw some significant improvements in our manufacturing performance.  Our employees continued involvement in improving our packaging efficiencies, coupled with the high level of customer satisfaction we have built a reputation on, will drive our performance.   Year 2002 and 2003 have the potential to follow well into its footsteps and beyond.

Quality Control Enhancements through the use of WinSPC

WinSPC is an in-line process analysis and quality management software from Datanet Quality Systems, Inc.  It provides real-time automated process feedback and monitors in-line production and quality data to ensure product and process conformance.  WinSPC empowers our operators with accurate information by presenting production-level document viewing at the point of data entry.  Our Quality Control department has developed user-defined tests that can automatically provide graphical representation to the operators, managers, and supervisors complete with all relevant process data.  We are currently developing additional monitoring control points using machine PLC’s that will report even more statistical data to the machine operators.  This information will then be disseminated through WinSPC to provide vital non-conformance data and allow us to refine our quality control processes even further.

Ryt-way earns Superior ratings on its 2002 AIB Audits

The American Institute of Baking (AIB) conducted its annual audit of Ryt-way's facilities on June 20th and 21st.  Based on the AIB scoring system, the maximum score possible is 1,000.  The results by plant since 1999 are as follows:

Plant 4 again (for the 10th consecutive year) received a "Superior" Rating.   Plant 6 did well in achieving an "Excellent" rating.  The auditor this year was very thorough and complimentary of our facilities.  The Employees, Supervisors and Managers of both, Plants 4 & 6 are to be congratulated for their achievements.