Challenges in Pharma

Manufacturing & supply chain challenges

• Increased number of packaging variants

• Smaller batch sizes with frequent changeovers
• Lengthy changeover procedures and line clearance
• Packaging reconciliation
• Warehouse stock value reduction
• Minimum-order-sizes from packaging suppliers
• Fast time to the market with new and existing products
• Marking of unit-dose blisters
• Implementation of anti-counterfeiting measures, like serialized
codes or printed covert security

2
Manufacturing & supply chain challenges

• Improved asset utilisation

• Focus on OEE improvement

• Implementation of Lean principles

• Reduction of costs

• EU directive on packaging waste

• Security and integrity of packaging

3
On-Line printing increases flexibility

Add unit-dose codes, serialized data for anti-

counterfeiting purposes easily with On Demand printing
technology from Hapa.
Covert features – RFID printing or invisible codes -also
possible.

The trend toward small batch sizes has resulted in a huge

increase in SKU’s making stock control very difficult to
manage. On-line printing eliminates this complexity since
country or market specific packaging can be printed at the
last moment on blank material. Furthermore, printed
stock is reduced to the minimum.

4
On-Line printing increases speed

Frequent line changeovers & lengthy line-clearance

procedures result in poor utilization of production
equipment. Customize a product at the last moment – late
stage customization. Add dynamic flexibility to your lean
production strategy.

The internet is driving customers to expect information

and goods on demand. A newly approved product can
benefit greatly from a faster release. With Hapa
technology, you can produce packaging when required
and speed up your time to market significantly.

5
On-Line printing reduces complexity

With frequent line changeovers comes the necessity to

reconcile packaging which is both time consuming and
costly. With On-Line printing, the packaging material is
blank and can be used for multiple presentations.
Auditing of suppliers is also greatly reduced.

Suppliers of packaging materials have minimum order

size requirements. This can result in the need to stock
more material than you need. With On-Line printing, you
print exactly the amount required. Small runs for
marketing purposes are easily accommodated

6
On-Line printing reduces costs

Most businesses today are looking for opportunities to

reduce costs and improve efficiency. Hapa is the perfect
compliment in helping you reach these targets. Switching
from pre printed to an On-line printed concept can
reduce costs by 80%.

Inline printing combined with low cost of ownership

produces a quick return on investment. Hapa offers free
ROI calculations based on a short questionnaire.

7
On-Line printing is secure and better
for the environment

Packaging security requirements are not new, but with

Hapa you take control of your security. Packaging mix
ups due to errors by your suppliers are eliminated.

Meet targets to reduce packaging waste – even when

packaging is complex. On Demand production eliminates
inventory obsolescence and waste. Reduce costs while
operating green, and please shareholders.

8
Hapa as part of a Lean process

9
Hapa Corporate Overview
Hapa

The global leader in late stage customization and

on-demand printing solutions in the
pharmaceutical industry

• Fully compliant with the strict regulatory

requirements of the pharma segment

• Integrated digital and analogue printing solutions

to fit all packaging processes

• Reliable, expert support for systems from concept

to life-cycle services

• Our vision is to deliver our customers

‘Zero Unplanned Downtime’

2
A Global Company

• Founded in 1933

• Headquarters in Volketswil, Switzerland

• Operating units in BR, CN, DE, IN, MX, PL, UK, US

• Approx. 200 employees worldwide

• Export > 90%

• Annual sales approx. € 55 mil.

• Over 10,000 systems sold, more than 2,000 active

in production in 80 countries

• Focused on the healthcare segment

3
 Hapa Milestones
Hapa Ink
develops and
Hybrid
produces
combines two
individual inks
printing technologies
Solvent &
& Web 4.0
Founded as flexo foil UV DOD inkjet BlisterJet BlisterJet CMYK UV digital printing
“Handels- und and label for label and Late Stage Full-color to platform Industry
Patente AG” printing blister Customization blister printing 4.0–ready

1933 1950 1970 1990 2002 2006 2008 2011 2014 2015 2017 2018

DRUMA UV flexo foil Hapa joins redcube redcube plus Web 4.0
Launch into and label COESIA Group DOD printing CMYK / spot- full CMYK
printing printing & module color printing printing
& Full CMYK DOD & module
Laser Universal
Engraver Label Printer
CMYK printing
of label and foil

4
Mission and Values
Our Mission: create sustainable economical, social, and environmental
value for our clients, employees, shareholders, and the communities
in which we operate

Respect Responsibility
Respect implies rigor and integrity Even collective responsibility starts with
individual accountability

Knowledge Passion
Sapere aude: dare to know Passion allows us to envision results even
before achieving them

5
Hapa Solutions

6
Ink Technology

Developing, producing, and delivering custom-made

inks and supplies, perfectly suited to a pharmaceutical
production environment
• UV & water-based inks
- Low migration
- NVC (N-Vinyl Caprolactam) free
- CMR (Cancerogen Mutagen Reprotoxic) free
- Swiss medic & Nestlé positive list proven
• Volumes down to one bottle – even in spot colors
• Proven on foils, labels, plastic components, IV bags,
cartons and many other substrates and products
• High opacity white ink
• Multiple covert security features available including
taggant and fluorescent inks

7
DOD Printing Technology

• Single, multi-color and CMYK printing systems for

multiple applications
- Foil & web materials - Cartons
- Plastic components - Labels
- Blisters - IV bags
- Pouches & sachets - Closures

• Lean, agile production

- Mass customization
- Blank packaging

• Integrates with existing ERP/workflow

• High resolution UV cured print

• Fully automated print-head maintenance

• Over 500 digital Hapa systems are in operation

around the world
8
Flexo Printing Technology

• Single- and multi-color printing systems

- Blister lidding materials
- IV bags
- Pouches & sachets
• Format-free, rotary printing compatible with
intermittent & continuous-motion blister machines
• Just-in-time production
• Quick change of colors without tools
• Designed to be used by line operators
• The No.1 technology for in line printing of blister
foils for nearly 30 years

9
Hybrid Printing Solutions

UV flexo and DOD technologies combined into one

agile printing system
- Blister lidding materials
- Pouches & sachets

• 4-in-1 printing solution

• Print variable data for improved line performance

• Compact design

• Proven integration into blister packaging lines

• Optimize line performance through set up time
reduction
• Every production run is highly economical, lowering
costs per unit

10
Laser Engraving

Laser Engraver

• In-house print mat production

• Print mats to fit Hapa flexographic printers

• Rapid response to your production needs

• Engrave artwork and variable data

• Economical and agile

11
Consumer Services

Guaranteed life time support: securing & protecting

investments

• 24/7 customer support

• Technical support & consulting
• Preventive maintenance services
• Retrofit & upgrade packages
• Exchange part services
• Engraved print mats to order
• Artwork and layout consultation and support

12
Hapa Worldwide

Offenbach,
Milton Keynes, Germany
UK

Branchburg,
NJ USA
Poznan,
Poland
Volketswil,
Switzerland
Headquarters

Suzhou,
China
Mexico City,
Mexico

Puerto Rico,
USA Pune,
India

São Paulo,
Brazil

Sales & Service Centers

Agents & Distributors

13
 Facts and Figures

R&D: 10% of sales

2017 Machines by Region 2017 Split by Technology Total Installed Base by Technology
3%

7%
25%
15%
24%
Europe DOD Flexo
North America
46%
48% 9% Hybrid
Latin America Flexo
11% DOD
East Asia 69%
Hybrid
India Other

7% SE Asia & Oceania 27% Other

5% Africa & Middle East
CIS
<1% 2%
1%

14
Executive Team Beat Rupp
Chief Executive Officer

Jean-Luc Devenoge Rossella Lama Massimo Lolli

Head of Engineering Lean Six Sigma Black Belt HR Business Partner

James MacKenzie André Nägeli Peter Schkoda

Sales and Marketing Director Head of Customer Service Head of Sales Consumer Goods

Markus Suter Mathias Theiler Marcel Wenzin

Head of Finance and ICT Manager Ink Department Head of Operations

15
COESIA Organization GERMANY
SWEDEN
Berlin
SWITZERLAND
Volketswil
Wollerau
Bielefeld
Langenfeld
Gothenburg
Kalmar ORGANIZATION
Offenbach FLEXLINK
HAPA Schechen
NORDEN
Stuttgart
SOUTH KOREA
NETHERLANDS POLAND
Seoul
Hoofddorp Plewiska

BELGIUM
Ożarów

CZECH REPUBLIC
JAPAN
Tokyo
18 COMPANIES
Leuven
Pilsen
Prague
UNITED KINGDOM CHINA
Gainsborough Guangzhou
CANADA RUSSIA Kunming
Heckmondwike
Burlington Moskow Shanghai
Milton Keynes
St. Petersburg Suzhou OPERATING UNITS
OPERATIN
99
Princes Risborough
Uxbridge
USA of which
Allentown, PA CERULEAN UKRAINE
Kiev HONG KONG
Branchburg, NJ MOLINS TURKEY
Lviv
59 PRODUCTION PLANTS
Covington, KY Gaziemir Hong Kong
Davenport, IA SPAIN Yuen Long
Greenville, SC Barcelona
FRANCE HUNGARY THAILAND
Maple Grove, MN
Courcouronnes VOLPAK
V Budapest Bangkok
Plano, TX

32
Crémieu
Providence, RI
Élancourt
Richmond, VA ITALY PHILIPPINES
Holnon
San Jose, CA Muntinlupa City
MEXICO Noisiel
Bologna COUNTRIES
Mexico City Florence
MGS CITUS KALIX Offanengo UAE VIETNAM
R.A JONES Parma Dubai Ho Chi Minh City
SACMO
Perugia
Scarperia MALAYSIA

BRAZIL
Schio
Turin
COESIA
Penang
Shah Alam
~7,000 EMPLOYEES
EMPLOYEE
Curitiba
São Paulo ACMA
SINGAPORE
CIMA Singapore
EMMECI
G.D
GDM SOUTH AFRICA INDIA INDONESIA AUSTRALIA
Johannesburg Bangalore Cikarang Utara Melbourne
COE
COESIA HEADQUARTERS GF New Delhi Gresik Sydney
IPI Pune
COMPANY HEADQUARTERS
COM SASIB

17
COESIA Business and Companies at a Glance
Operations across three key segments serving a diversified client base through a cohesive group of companies

CUSTOMERS

CONSUMER GOODS TOBACCO AEROSPACE, RACING, AUTOMOTIVE

§ Food & Beverage
§ Personal Care
§ Healthcare & Pharmaceutical
§ Hygiene
§ Home Care
§ Cigarettes § Powertrains
§ Filters § Gear transmissions
§ Next generation tobacco products § Automotive components

SECTORS
Advanced
automated
machinery and
78%

2016 Revenues split

packaging
materials

Industrial
process
solutions
20%

Precision gears
2%

18
 Where can we add
value for you?

HAPA AG
Chriesbaumstrasse 4
8604 Volketswil
Switzerland
Follow us: T +41 43 399 32 00
F +41 43 399 32 01
info@hapa.ch
www.hapa.ch

19
Hapa Regions – Installed Base

CIS

Europe

North America

East Asia

SAARC

South-East
Middle East Asia
and Africa

Latin America
 Europe – Installed Base by Technology World

958

429
215
100 152
62

1st Gen. 2nd Gen. Hybrid DOD Other Total

Flexo Flexo

North Europe

Other
7%
East Europe
DOD
16%
West Europe

1st Gen. Flexo

Hybrid 45%
10% Balkans

2nd Gen. Flexo South Europe

22%
 South Europe – Installed Base by Technology Europe

131

59
34
19 16
3

1st Gen. 2nd Gen. Hybrid DOD Other Total

Flexo Flexo

Other
2%

DOD
12%

1st Gen. Flexo

45%
Hybrid
26%

2nd Gen.
Flexo
15%
 West Europe – Installed Base by Technology Europe

453

234

68 76
37 38

1st Gen. 2nd Gen. Hybrid DOD Other Total

Flexo Flexo

Other
8%

DOD
17%

1st Gen. Flexo

Hybrid
52%
8%

2nd Gen.
Flexo
15%
 North Europe – Installed Base by Technology Europe

162

76
47
24
4 11

1st Gen. 2nd Gen. Hybrid DOD Other Total

Flexo Flexo

Other
7%
DOD
15%
Hybrid
2% 1st Gen. Flexo
47%
2nd Gen. Flexo
29%
 East Europe – Installed Base by Technology Europe

89

48

17 18
3 3

1st Gen. 2nd Gen. Hybrid DOD Other Total

Flexo Flexo

Other
3%

DOD
20% 1st Gen. Flexo
19%

Hybrid
4%

2nd Gen. Flexo

54%
 Balkans – Installed Base by Technology Europe

123

43
33
22 18
7

1st Gen. 2nd Gen. Hybrid DOD Other Total

Flexo Flexo

Other
6%
DOD
14%

1st Gen. Flexo

35%
Hybrid
18%

2nd Gen. Flexo

27%
 North America – Installed Base by Technology World

316

180

64
38 23 11

1st Gen. 2nd Gen. Hybrid DOD Other Total

Flexo Flexo

Other
4%

DOD
20%

Hybrid
1st Gen. Flexo
7%
57%
2nd Gen.
Flexo
12%
 Latin America – Installed Base by Technology World

160
Mexico

95

45

7 4 9

1st Gen. 2nd Gen. Hybrid DOD Other Total

Flexo Flexo

DOD Brazil
Hybrid 3%
4% Other
6%

2nd Gen. Flexo

28% 1st Gen. Flexo
59%
 Mexico – Installed Base by Technology Latin America

60

34

16
4 6
0

1st Gen. 2nd Gen. Hybrid DOD Other Total

Flexo Flexo

DOD
0%
Hybrid Other
7% 10%

2nd Gen. Flexo 1st Gen. Flexo

27% 56%
 Brazil – Installed Base by Technology Latin America

48

25
18

2 3
0

1st Gen. 2nd Gen. Hybrid DOD Other Total

Flexo Flexo

Other
Hybrid 0%
4%
DOD
6%

2nd Gen. Flexo 1st Gen. Flexo

38% 52%
 Middle East and Africa – Installed Base by Technology World

68

22 21
12 9
4

1st Gen. 2nd Gen. Hybrid DOD Other Total

Flexo Flexo

Other
DOD
13%
6%

1st Gen. Flexo

32%
Hybrid
18%

2nd Gen. Flexo

31%
 SAARC– Installed Base by Technology World

76

32
24
14
6
0

1st Gen. 2nd Gen. Hybrid DOD Other Total

Flexo Flexo

Other 1st Gen. Flexo

32% 18%

2nd Gen. Flexo

42%
DOD Hybrid
0% 8%
 CIS – Installed Base by Technology World

20

10

3 2 3 2

1st Gen. 2nd Gen. Hybrid DOD Other Total

Flexo Flexo

Other
10%
1st Gen. Flexo
DOD 15%
15%

Hybrid
2nd Gen. Flexo
10%
50%
 East Asia – Installed Base by Technology World

59

20
14 16
5 4

1st Gen. 2nd Gen. Hybrid DOD Other Total

Flexo Flexo

Other
7%

1st Gen. Flexo

DOD
24%
27%

2nd Gen. Flexo

34%
Hybrid
8%
 South-East Asia– Installed Base by Technology World

32

21

5
2 3
1

1st Gen. 2nd Gen. Hybrid DOD Other Total

Flexo Flexo

DOD
6% Other
9%
Hybrid
3%

2nd Gen. Flexo

16% 1st Gen. Flexo
66%