Canadian Packaging Machinery Market Research Report - PMMI

Potential Operating Cost Savings/Added Value 3
Service & Technical Support – In General 4
Service & Technical Support – In Canada 4
Experience in Our Industry/Industry Sector 4
Previous Experience with the Supplier/Brand 4
Speed of Delivery/Delivery Wait Period 5
Costs of Materials and Maintenance 5
Credit Terms 6
6. Attitudes Toward Suppliers:
German, Italian, and U.S. equipment suppliers are viewed positively because they
produce quality equipment using up-to-date technology. Even though the European
suppliers are viewed positively, there can be problems. For example, the local supply
of Italian parts is fine as long as the parts are available, but for serious technical
support one has to deal directly with the Italian manufacturer, which introduces time
and communication delays into the process as they only speak Italian.
Canadian suppliers are viewed less positively because of poor service, poor
equipment quality, and poor equipment availability. For example, there are no
Canadian suppliers of cartoners or case packers that meet McNeil’s requirements for
high speed, capacity, and durability.
a. Perception of Machinery by Country:
Country Overall Quality Up-to-date
Technology
Service
Canada Poor Poor Average Poor
Germany Good Good Good Good
Italy Average Average Good Very Poor
United States Good Good Good Average
b. Perception of Pricing by Country:
Country Price
Britain Average Prices
Canada Excellent Prices
Germany Somewhat Expensive
Italy Very Expensive
United States Good Prices
7. Purchasing Policies and Financial Arrangements
Even though McNeil is a division of Johnson & Johnson, it is authorized to spec and
to buy equipment from suppliers of its choice. Equipment is financed through
corporate channels.
SMG/Columbia Consulting Group Page 170