Discussion

By Rick Littrell on Apr 21, 2009

It was a sad day when I heard that Anderson Litho was closing. I was fortunate enough to have visited them several times during the time that I worked for Scitex (early 80's)and Agfa (90's). They always presented themselves as professional and knowledgeable, but in today's market that is not enough anymore.

There was one phrase in the report that really caught my eye "...apparently there was no digital printing capability in either." In my way of thinking this implies that without a CLEAR revenue growth stream, such as digital printing, a offset printing organization is at risk. Digital printing is not the only growth area a traditional offset printer can have (wide format inkjet, fulfillment, printed electronics, or web services to name a few), but without any new growth area your organization is at significant risk. Even with them it will be difficult. I think that the print industry will continue to suffer in these difficult economic times and we should not expect the work that is going away to ever come back. It's a new world and we, as a communications industry, needs to figure out how to grow and prosper. Perhaps being more aggressive in developing strategic partnerships and/or merging with companies that can offer these new services is the fastest path to growth? There are many ways to do it, but if you are not doing anything to embrace these growth areas, expect a rough and swift ride into the sunset.

 

By Lou Berceli on Apr 21, 2009

Having competed in the national annual report Fortune 500 marketplace for years against Anderson Litho, I was always impressed with their pioneering organization and emulated them in several ways. I even purchased our 6 color MAN Roland web press to match Anderson Litho. I agree with Rick Littrell's previous comment that to not have invested in the digital printing technology clearly increases your future risks.
Similar companies to Anderson Litho such as Sandy Alexander in NJ and Williamson in TX have developed strong and growing digital printing divisions that were calculated risks that are now paying off.

 

By Linda Bishop on Apr 21, 2009

The buyer's definition of value has been shifting ever since Google started selling banner ads. That started a snowball rolling down hill and that chunk of ice is picking up speed and it will flatten whatever is in its path. Every print provider in America needs to be more conscious that print is one of many communication solutions available to marketers. Print does some things well and some things poorly.

Can business owners and sales teams clearly communicate the value of print to current customers and marketers?

Can you negotiate and justify pricing?

Can you verbalize your competitive advantage and value proposition?

Survival depends on looking at worst case scenarios and using our intelligence to cope.

 

By Kate Dunn on Apr 21, 2009

Our industry needs to wake up and smell the coffee. I'm not sure what is keeping their collective smelling senses from working. The country just came through a tremendous period of economic growth. Our customers, in many cases, were making money hand over fist inspite of some poorly made decisions about how to spend their money. Without adequate ways of tracking response, engagement and conversions from traditional print, they just kept on doing what they had always done because the economy was so strong. They made money anyway so what the heck? That's not the case now. Companies can't afford to do things that don't generate substantiated results. So guess what? They aren't printing a lot of stuff they used to print because their budgets have been cut. What they will learn though is that it didn't work when they were doing it or at least not doing it isn't making that much difference. The recession will speed the migration to digital that has been foreseen for years. Those who survive, as what we think of today as printers, will need to have the critical mass to compete on price and still be profitable. Those who can't will need to make money from other things. If you think the volume reductions are all about the recession they aren't.
Kate Dunn
President
Digital Innovations Group

 

By Michael J on Apr 21, 2009

My take is that Cenveo blew it.

If Williamson and Sandy Alexander are doing well, why wouldn't Andersen if managed correctly.

From what I've observed by watching the press about Sandy is that they seem to have a fanatical devotion on their core customers. By keeping the focus on business, they seem to be able to anticipate when a customer is going to want to do something new. Then and only then do they invest both the time and energy and focus to get it done, with the appropriate quality and efficiency.

Yes it is true that in a market with overcapacity it's going to be tougher to grow. But it's not about the latest digital or otherwise technology. The winners have a single minded focus on their customers and work very hard every day to keep that focus. They understand in their bones what their customers are going to want tomorrow, not what they wanted yesterday.

With all the talk about fighting the commodity nature of print and becoming digital marketing service providers, consider this quote from Sandy Alexander in May , 2005.

"We may not be happy about it, but it is the reality we are facing. As better functionality is built into desktop software, the reality is that we are becoming an output device for our clients and their designers." Greg Hill, Sandy Alexander, Inc., in a letter to ODJ, May 17, 2005"

Instead of fighting the future, they prepared for it. Not by buying some silver bullet. By following their DNA.

My bet is that if Cenveo had a different DNA, they could have leveraged the Andersen brand, people, plant and customer base instead of mailing a letter informing customers that their job will be done in St Louis.

Based on those decisions, I'm much less sure that Cenveno is going to be one of the winners.

 

By John Sweeney on Apr 22, 2009

I think comparing Anderson/Cenveo to Sandy or Williamson is a bit of apples and oranges.

My initial response was that it makes sense for Cenveo to consolidate operations, that what a consolidator does.

Of course Cenveo has digital operations, just not in the Anderson facility. The beginning of the end of Anderson, as we knew it, was when Anderson was acquired in 1998.

 

By natalia c on Apr 22, 2009

This past week I had also received the news that Anderson Lithograph 'The Granddaddy of all Things Print' was to close it's doors. I felt of a wave of nostalgia and sadness but not surprise upon hearing this. Over the years in my career I have had the pleasure of working with Anderson many times, on many brands, on projects both large and small. Every project was a joy, every finished piece a crafted work of art, so many won awards, so many successful projects that carried the brand messaging to the highest degree of quality.
From my experience with the professional sales staff who became trusted friends to the production staff, the pressman, even the people who worked in the bindery and the sample departments it was always great.
In the age of digital advertising the art and craft of great lithography is lost on most people. The cost, the time, the effort when weighed against the cheap but far and wide reach of digital media gets dropped off the marketer's
budget now. Less and less are we seeing the need for beautiful high end collateral to sell the product - even a $100k car!
With that I thank Anderson Lithograph for giving me the opportunity to grow my career with them, to learn the art and craft of print media and to achieve the great results we did for our clients through the years. ColorGraphics was never even close to being in that league so I wish Cenveo well. Maybe that is the future of print.

 

By Marriott Winchester on Apr 22, 2009

Wow! Have you ever seen so much interest in a printing plant closing? This is a true testament to John Anderson and John Fosmire and their vision and leadership of the Anderson Lithographic Co.

Anderson was the benchmark for all other high quality printers to follow. I remember the times I spent at the plant and the sign hanging over the customer lounge; "Remember- Only Customers Pay Wages" the truest statement ever made.

Let's hope Cenevo knows what they have done removing one of our most respected name plates in the industry.

Good luck to all the Anderson and ColorGraphics employees.

 

By Michael J on Apr 22, 2009

I hate to be a crank, but it's not the future of print. Closing Anderson in a very difficult environment is a failure of management. Not a failure of Print.

No doubt there will be fewer printers, but again consider the examples of the survivors,
Sandy and Williamson to name just two. They are also facing the same environment.

Hiding behind the "end of print" or a "bad economy" is just a way to not see that bad economic times means the strong survive. In a great business, with the brand as eloquently described by natalia c, it is hard to believe that better management couldn't have gotten through it.

A brand is a terrible thing to waste.

 

By Michael J on Apr 22, 2009

John Sweeney made exactly the right point.

"The beginning of the end of Anderson, as we knew it, was when Anderson was acquired in 1998."

Consolidating the back office in what looks like rationality can kill the DNA that created the success in the first place. That's why printing is so very cool and why this is not the End of Print.

!0,000 manufacturing plants just in the States, each with their own DNA. Each with it's tribe of followers. That kind of diversity is the guarantee of responsiveness in the face of inevitable ups and downs of the economy. Much more sustainable than the big company.

 

By Printboy on Apr 22, 2009

All of the printers who have read the comments this far should not be too surprised by the outpouring of commentary on the demise of Anderson. I commend Natalia C's comments and only hope that someday my clients will write a similar obituary for me. As a client of Anderson Litho, they set the bar for defining a customer experience. From the "Taco Tuesdays" to the handbound sample rushed into my hands as I ran to catch a plane, they were real pros and defined the meaning of a "brand". The gang including Mark, Shorty and Diane always, always took great care of the customer. And at Anderson from the president to the security guard who waved to you at two a.m., they did to right. I received an email from a colleague with the subject "The end of an era" and that truly sums up this announcement.

 

By Mike A. on Apr 23, 2009

It's very sad to see the big guys fall like dominos over the last 10 plus years. George Rice and Son's now Anderson Litho gone; leaders of a lost industry in the LA market. Who's next? Let's not forget all of the other companies that are now only a glimpse of fine lithography past. What is happening? Is this partly due to the raise of Asian/offshore printing and their ever increasing raise in quality. Is it that buyers nowadays are concerned only about the bottom line? I remember bumber stickers in the 80's that read "Buy American; The job you save could be your own" Nearly 30 years later it's coming to being realized! Or is it that the new owners lost touch with their clients. Or is it that their clients buying financial reports and car sales brouchures are at or near insolvency themselves? Questions could of what is going wrong or what wasn't done properly can be asked all day long I suppose... Best of luck to Anderson's employees.

 

By Cary Sherburne on Apr 23, 2009

There is no evidence that offshore outsourcing is at fault here. With large sheetfed presses, web presses and no digital, I believe Anderson is more likely a victim of decreasing run lengths and turn times which perhaps the equipment platform was not designed to accommodate.

 

By Bob Rose on Apr 23, 2009

A well deserved tribute to to the toughest competitor I faced through the years. My hat is off to the teams at Anderson and my head is bowed with the reverence they had earned. We competed in many boardrooms with the highest levels of respect our industry could attain. We were invited to perform for our clients, pure fun! - pure pride! To feel the emotion when you are told that your company will be printing the most critical and beautifully designed corporate literature usually meant that you fought the toughest fight with Anderson. Epic would describe the competition we had battling for the largest print order in the history of our industry with both plants in a world class print-off. Usually from the side of one's mouth you would hear that " I will miss the competition", this time it"s from the heart. To all the individuals that made the whole company; Thank you for making it so hard that the envelope was always being pushed foward. Bob Rose/Sandy Alexander

 

By Paul Harding on Apr 23, 2009

For 14 years I competed with Anderson in the SF Bay market while working at Woods Lithographics of Phoenix. I had nothing but the utmost respect for their work. While I have been out of the industry for 4 years, I still have ink in my veins and the news of the demise causes tremendous feelings of sadness and happy rememberances. The great work and the great people.

Though Anderson is gone, Woods Lithographics is coming back, raising from the ashes like a ..., you get the picture. Let's wish them luck and maybe even send them a couple of jobs.

 

By Michael J on Apr 24, 2009

What a waste of human and social capital. It makes me think of all the human capital that is being destroyed by public corporations thinking the only way to cut costs is to fire the very experienced hard working people who are the real value to begin with.

For a private business the idea of firing people is a terrible personal decision. For a large public company, trapped by the demands for "growth" and the "common wisdom of Wall Street analysts" for quarterly profit statements, it's still hard, but they almost never have to have that face to face conversation.

Meanwhile, with all the blablabla about green sustainability coming from corporate boards, they are destroying the scarcest, most important resource of all.

 

By Smith C on Apr 24, 2009

A few years ago, Cenevo almost brought us. I am glad it never happen. Watching their method of operation, I notice that the most important thing to their organization was shareholders equity, and nothing and no one else mattered.
For many years, I had heard and read about the excellent reputation Anderson Litho enjoyed. I wanted to mimic their style. Good luck to all those unfortunate who have to look for work in this down turned economic economy.

 

By Marsha McGuire on Apr 24, 2009

I agree with Michael J.'s comments totally! Anderson Litho would never have been the icon of the printing business without the wonderfully talented employees who spent a lifetime learning a trade and applying it to the business at Anderson Litho. New ownership never sees nor understands this value.

 

By Michael J on Apr 24, 2009

The irony is that the best way to increase shareholder equity is by harnessing the in place human capital. Have you taken a look at the stock performance of Xerox or Kodak? And then the story is some version of the economy blablablabla...please.

It is to laugh or cry.

 

By Mark Williams on Apr 24, 2009

My comment has no bearing on the financial reasons for closing Anderson Litho. It is to comment on the experience it was to work with Anderson in her heyday. It was when printing was fun. I was one of the fortunate buyers in the 80’s to have the privilege to work with John Fosmire, Garry Pearson, Ken Swanson and Mark Tennant. All who added substance to my career. Being the buyer for Peugeot of America, I was not convinced that heatset web was capable of matching the quality of sheetfed offset. All my worries were laid to rest when I was convinced to fly across country to tinsel town.

Anderson was a major player in the car brochure market and I chose Anderson over players like Case Hoyt, Universal, Hickory, Hennigan, Thebault, Sandy Alexander, Lasky, George Rice and many others. Ironically, I think many of these printers are gone or have been consolidated into others. Anderson had recently installed their new Crossfield System and I went from c-print retouching to the miracle of digital manipulation! Mark Tennant was in charge of the prepress department and I could not have asked for a better professional in the industry. John Fosmire, Garry Pearson and Ken Swanson three of the finest sales oriented individuals I have worked with really knew how to focus on the customer.

Oh how I remember the days of 24 hour press checks, shooting pool or pulling slots in the customer lounge and imagine watching satellite TV at the same time. Riding to one of the many special restaurants like Ivy’s or Morton’s and sitting next to many celebrities, watching the Lakers at courtside sitting behind Jack Nicolson, The Beverly Wilshire, Westwood Marquis, Polo Lounge at the Beverly Hills Hotel ( you really do need a jacket to get in) – it was the whole mystique of LA. And nobody entertained like Anderson. I was in such awe.

I ran millions of impressions at Anderson and won many awards. I enjoyed every moment I spent in that plant on Garfield Avenue. I feel sad to see a true giant in the industry fade away but the relationships and experience will always be a part of me. Farewell my friend.

 

By Joseph on Apr 26, 2009

Anderson was an initial site for Anchor/Emerald fountain solution tests in the early eighties, and I am sure that their success had much to do with the product launch and subsequent millions of sales dollars for Anchor and market leadership thereafter. Sorry to see Anderson go out-good people and great attitude for us manufacturers on products.

 

By Bill Fleck on Apr 27, 2009

I believe Anderson & other printers are not just a victim of the printing industry but, a victim of American business management & philosophies. If you look around at other industries you see the same thing........"the giants & trail blazers" are gone. Sit back & give thought to how many sucessful "mergers" have taken place in the Graphic Arts industry over the last 30 years compared to those that have failed?

 

By Frank Lombardo on Apr 28, 2009

I had done a couple annual reports and other printing at Anderson in the 90's and last couple years for another large project with a major fortune transportation company that I'm now retired from and was always impressed with their high quality and customer service and keeping the customer entertained at down times and well accomodated. Other Cenveo companies have also dissapeared. Economonics and management decisions are a sad commentary today, especially to a well respected printer.

 

By tommyboy on Apr 28, 2009

Herb Zebrack (Lithographix) must be laughing his a## off. He as gained sales, exceptional staff and reputation each time one of the consolidators closes yet another major competitor.

 

By Harvey Halperin on Apr 29, 2009

its clearly noticeable that Cenveno has a different DNA than the other "Big" guys, then again they are not so big, hence the current issue.Guess the "big" guy at Cenveo has some egg on his mug.he ahs a bad history of not playing nice in the sand box.Ask the commerical envelope guys Sad to Anderson go learned a lot about customer service/forward thinking from them.

 

By Harvey Halperin on Apr 29, 2009

its clearly noticeable that Cenveno has a different DNA than the other "Big" guys, then again they are not so big, hence the current issue.Guess the "big" guy at Cenveo has some egg on his mug.he has a bad history of not playing nice in the sand box. Ask the commerical envelope boys. Sad tosee Anderson go learned a lot about customer service/forward thinking from them.

 

By W. Holliday on Apr 29, 2009

Cenveo is totally committed to being the low cost producer regardless of the consequences to established relationships.They are going head to head with competitors who share the same mind set;in a cock fight to see who will be left standing.

 

By Michael J on Apr 29, 2009

Low cost producer is what every one has to do. It's the only way to get a margin. Nothing special there.

But low cost producer in desirable niche markets is much, much better. Anderson once owned a very desirable niche market. Based on the comment here, they had an awesome brand and an amazing culture. They were either the 1 or 2 player in a very loyal market.

If someone is going for bragging rights, frankly who cares. If someone is trying to build a profitable roll up. So far, not so good.

And it's not because print is blablablablabla.

 

By Lou Berceli on Apr 30, 2009

Anderson Litho was one of our strongest and most respected national competitors. When I launched Acme Printing's web press department in 1984 I was always driven to match Anderson Litho's leading edge 6 color web printing quality and efficiency. After careful research, I bought the same MAN Roland Rotoman web press they just purchased. Anderson Litho most definitely raised the bar that greatly advanced our web printing operation in Boston and many of our national competitors.

 

By Cary Sherburne on Apr 30, 2009

I have been amazed at the outpouring of support for Anderson Litho in this thread--not that they don't deserve it, mind you, which is the reason I started the discussion in the first place. It is very sad to see such a high quality company end up in this way. I hope that the Anderson team (both present and past) has been following this and that they take some solace from the "attaboys" for a job well done as a respected competitor over the years.

Sadly, I think we will see more of these situations as the consolidation of our industry continues.

To the Anderson family: Our thoughts are with you as you move through this transition. It is clear that you will be missed!

 

By Michael J on Apr 30, 2009

Cary,
I share your sentiments, but I also look at it a little differently.

Great DNA always survives. Once it finds a new home, it thrives. So my bet is that the old timers will pack up their marbles, being rightly proud of what they've been able to accomplish and finally get to spend their time with grandkids or playing golf in the afternoon without having to make a sale.

Every one else will find new homes and bring their amazing experience to the next place.

The people I feel sorry for are the Cenveo management that let this slip through their fingers while they're chasing the common wisdom about being the "low cost" provider or whatever else is the management blablabla du jour.

 

By Lsharp on May 03, 2009

Gone but not forgotten. Like so many others before us.Printing gave the world B&W.We gave it Life and color

 

By Ken Swanson on May 04, 2009

Digital the solution for a mega offset platform like Anderson? Come on now?

 

By Michael W on May 05, 2009

I knew several people and visited the plant a couple times, the people were very nice and the plant impressive and the print quality stunning.

This is just one example of Corporate America playing poker with house chips (i.e. money that they didn't rightfully earn aka stock) and leveraging everything they have (reputation, equipment, real estate) just to keep up with the Jones'.

It's ironic they announced the installation of those huge Heidelberg presses almost exactly one year earlier to the date of this closing letter. Those presses are somewhere in the neighborhood of $5million each. This is just following Lithographix and Schawk installing similar presses in their facilities.

It's hard to believe there is that much demand in Los Angeles or even the West Coast for those huge presses.

Entertainment, fashion and many other companies have cut way back on packaging and promotional print.

Instead of trying to keep up they should have just kept a focus on what they did really well.

This is a result of bad information, bad projections, bad planning and bad timing.

It's funny, you don't see CGX (their larger competitor) installing a massive format sheet fed press in any of their West Coast facilities.

Perhaps they could have or SHOULD have learned from the mistakes made by Nogales Partners / Graphic Press / Insync Media. It's always less expensive to learn from other peoples mistakes.

Best of luck to all who worked there, you gave everything and you deserve better.

 

By sailsgirl on May 11, 2009

Don't make the mistake of viewing Anderson and Cenveo as the same company; Anderson was the classy dame amongst a pack of boors and thugs. As Mr. Halperin said, just ask the commercial envelope guys. Being acquired by Cenveo was indeed the beginning of the end for Anderson, and what a shame to see them go.

 

By Doug T on May 20, 2009

As a former supplier/Vendor to Anderson, I must say it is sad to see the end of an era, Anderson set the bar for the High Impact Printing market and exuded nothing but professionalism from he front door to the back.
I am honored to have been chosen to work as part of their team it has been a pleasure knowing and working with all of you.

 

By Dave Sigafus on May 29, 2009

It is a sad day to see such a class organization shut down. But I do feel fortunate to have worked there for almost 8 years. I earned my journeyman ship in color separation through the local union and Anderson. I had the privilege of meeting John Anderson and worked with John Fosmire. And I can remember when Mark Tennant was mounting transparencies and huge 16 x 20 car book reflective artwork to scanner cylinders. At least the ones that weren't covered with airbrush touch up. Those were the ones I had to separate on the camera. I also saw the shrinking of the etching and stripping departments as digital workflow became the wave of the future. Our industry has certainly changed over the past 30 years. But some things that haven’t changed is what I learned at Anderson Lithograph, from some of the best people in our industry. Always be open to learning new things, maintain the highest standards of quality, meet all commitments, exceed customer expectations and fulfill your responsibilities with integrity and professionalism at all times. What I’ve learned at Anderson Lithograph has allowed me to grow with this crazy industry. And given me the opportunity to work in one our country’s largest digital and marketing services network, and strongest growth segment of our industry. Thanks Anderson Lithograph. You were truly a class act.

 

By Daniel Simpson on Jun 17, 2009

I have worked for both ColorGraphics, San Francisco and Anderson Lithograph of Los Angeles, both before they were owned by Cenveo. TWO FACTORS : The digital revolution has killed the commercial printing industry. 2. Cenveo ruined Anderson Lithograph as far as employee relations and unfortunately it won't be long before ColorGraphics is a brand of the past and fades into history. This is Very Sad.