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Recover Full Value of Product Case Study

Ancos is a leading polymer toller.  We regularly help customers with long term commercial engagements as well as short or one time needs.  We have a full collection of polymer enhancement and material handling services that support resin producers, compounders, distributors, rotational molders, injection molders and many other customers.

One type of need that customers regularly come to Ancos for is to recover the full value of a product that was damaged or for some reason.  We regularly support customer recover needs through drying, blending, screening, de-dusting, de-metalizing or other services.

Types of situations you might face:

  • An unforeseen accident or irregularity in the production process damages product
    • Metal contaminates product somewhere in the supply chain
    • Product package is damaged in shipping
    • Off-grade (product out of process as a result of transition from one product spec to another)
    • Collection of scraps

Solution:

  • Ancos inspects product and determines best path to optimize yield of damaged product
  • Ancos performs necessary processes to return product back to full specifications
    • Screening
    • De-metal / De-dust
    • Re-package
    • Dry
  • Ancos provides diagnosis on source of damage (where applicable) to inform internal controls in your operations

Value Creation:

  • Value creation per pound of product could be anywhere from 3x – 8x greater than the investment in marginal incremental tolling fees, depending on product and services
    • Salvage majority of damaged product

Example Ancos Customer:

  • Irregularity in customer’s process resulted in metal in the product
  • Ancos de-metaled, packaged, sent product on to end customer, and diagnosed source of metal in customers’ internal process
  • Without Ancos support, customer would have had to sell product as off-grade for ~40% of original value

Value creation for this customer:

  • Incremental margin saved = ~$60k
  • Tolling investment ~$8k
  • Return on investment > 7.5x

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