Eight year baler hire agreement going strong

Riverside client Momentive Performance Materials

Riverside first started supporting Momentive back in 2008, when the international rubber compounds manufacturer wanted to improve the robustness of its waste handling operations. But fast forward to the present day and this specialist global business remains a long-standing satisfied customer with a new range of machine in its fleet. Find out why…

Background

Bolton-based Momentive Performance Materials is part of a global organisation specialising in the manufacture of rubber compounds. This highly-skilled firm imports base rubber from Europe, before creating different products of various extrusions and shapes, which are then shipped to clients throughout the continent and beyond. Typically handling 60 tonnes of material each week, it is no wonder Momentive is left with so much packaging ‘waste’.

The Challenge

Momentive is an environmentally conscious organisation with a keen eye on sustainable business practice. Eight years ago, the team therefore began to explore a smarter way of handling its packaging recyclables, which included cardboard and plastic film.

However, another key driver for this project was on-site tidiness. The team adopts the Japanese ‘6S’ methodology which ensures effectiveness and efficiency throughout every element of operations. The safety of staff has therefore long been paramount, so, Momentive sought a way to improve the neatness and cleanliness of working areas. They knew that large volumes of packaging materials, if not proficiently managed, could pose a hazard.

The Solution

Riverside Waste Machinery’s managing director Jonathan Oldfield thoroughly audited Momentive’s recycling brief. He investigated the type and volume of waste arisings, as well as the availability of on-site space for new baling technology. He also drilled down into the current cost of Momentive’s waste handling activity to help build a business case for any investment in new machinery.

At the time, for example, Momentive paid £151 per month in skip lift charges for cardboard alone. Jonathan explained that this expenditure could be avoided if the team baled the cardboard for recycling instead. Plus, with a mill size baler, the team could produce 2-3 bales per week, giving them the potential to yield a revenue of approximately £50 per week (based on rebate figures of only £35 per tonne, although, given market fluctuations this has been known to rise to highs of £90 per tonne).

The sums soon stacked up: £200 per month revenue yield + £151 skip charge saving = £361.

The RWM600 mill size baler cost £251 per month to hire, leaving a net saving of £116 per month.

As conversations unfolded, Jonathan also identified an opportunity to better handle Momentive’s plastic drums and pales. These were being sent for specialist processing, due to the nature of the materials they contained. But at a collection cost of €30 per drum, and with the team sometimes disposing of 10 drums per week, this was also an expensive operation.

Riverside therefore re-engineered an RWM205 drum press so that it was possible of compressing 18 pales into one drum, which could then also be crushed. Being able to send 19 receptacles for recycling, for the same price as one, would therefore save €510 each time. Considering the hire charge for the drum crusher was only £160 per month, the savings were incredibly significant.

As a result of these calculations, Momentive signed up for a five year baler rental agreement for the RWM600 mill size cardboard baler, the RWM205 drum crusher for plastic pales and also an RWM40 compact baler for additional plastic film ‘waste’.

These machines perfectly suited the company’s recycling requirements at the time, and provided extra capacity to future-proof the investment as the business grew.

The agreement also included full baler servicing and maintenance for complete peace of mind regarding uptime and ongoing machine optimisation.

The Results

Five years on, in 2013, Momentive remained delighted with the balers’ performance, therefore they renewed their baler hire contract in 2013. As the business had grown further still, the team added another RWM75 plastic baler to their fleet too.

Earlier this year, Riverside’s MD Jonathan – the same person who first established the relationship back in 2008 – contacted Momentive’s project manager Neil Osgood and agreed an upgrade of all machines, to brand new models, for no extra cost.

The old machines were decommissioned and the new balers installed within half a day along with refresher operator training. The careful coordination and swiftness of the replacements ensured no disruption to the rest of the site’s production activities.

Commenting on this long-standing use of Riverside’s products and services, Neil said: “We’ve been nothing but delighted with Riverside from start to finish. In fact, we’re so pleased with the quality, usability and benefits of the balers, that we welcome other prospective Riverside customers on to our site, to see them in action.”

Want to discuss the business case for your waste handling scenario? Complete our free waste audit or contact us via 01423 325038/sales@wastemachinery.co.uk to discuss your needs.