Allan Olson has been involved in the purchasing profession for over 30 years.  He has always been in a management capacity, and always with an emphasis on industrial materials. 

Goodwill Industries is a non profit organization with a mission to "PROVIDE PEOPLE WHO HAVE DISABILITIES AND OTHER BARRIERS TO EMPLOYMENT WITH OPPORTUNITIES TO BECOME INDEPENDENT, SELF-SUPPORTING CITIZENS THROUGH TRAINING, WORK EXPERIENCE AND EMPLOYMENT IN THE COMMUNITY."  In order to accomplish this mission the Goodwill has for, many years, operated an industrial division that provides a work center for their clients to develop these skills.

Allan, what is the largest type of job you outsource to printers as a result of the industrial division?

This division has found a niche within the Automotive Industry, that being the packaging of license plate attaching kits that are included with every automobile produced. One component of the kit is an instruction card which we have printed.  The instructions are different for every car model produced. We buy in excess of 5 million of these instruction cards every year. 

What is the process of producing this work?

We have two printers that provide all of these cards. They have developed files of art work for our required cards and ship to material releases that are sent to them bi-weekly.  The requirements for each part number are determined by our customers and forward to us via EDI transmission. These requirements are then translated into the bi-weekly releases.  Our purchasing department has a staff of 2, myself and an assistant buyer.

We have no internal print capability other than the usual copiers and laser printers.  Our proofing process is quite simple, art work is forwarded to our supplier from our customer.  This artwork is copied and approved by ourselves and the customer. From that point it becomes the standard and orders are places.

Explain the EDI transmission.

The EDI systems used within the Automotive Industry are specific to each automotive customer. (GM, FORD, DiamlerChrysler, etc.) and must be compatible with their systems.  In order to be an automotive supplier you must be able to communicate with each system.  This is quite costly, but mandatory.  In the case of our print suppliers they are not able to justify the cost, so we communicate the information we receive from our customer via FAX.  This is because we are their only automotive related business.  They primarily sell non-production product to the industry.

The EDI ordering system is conducted via the internet, and we are moving to include our suppliers in the process. This will not be a shopping tool but rather a scheduling tool.

How important is the relationship aspect with your print vendors?

I have found over the years that to be successful, a buyer must have a long standing trusting relationship with his or her suppliers.  I need to know that my printers can supply any amount of quality product at a moments notice.  And the printer needs to know that I will not take advantage of that capability. I believe that I have that type of relationship with both of my suppliers.

We have been lucky in that we have not had to change print suppliers.  However, we would make the move if either supplier became non responsive, non competitive or provided consistently poor quality.

Do you anticipate a reduction in the type of print you outsource?

With current down turn in the economy among the automotive companies, all costs are being reviewed.  Printed cards have been an important part of our product for many years, but some engineers are beginning to reconsider their value.


Thank you Allan.