Archive: Dec 2023

How Does Co-Packing Work?

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How Does Co-Packing Work?

how does co-packing workContract packaging, otherwise known as co-packing, involves outsourcing your product production, packaging, and sometimes even distribution to an expert partner. Let’s dive into the specifics of co-packing, including how it works, its many advantages, and how to get started.

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Food Packaging Robots: The Future

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Food Packaging Robots: The Future

Food Packaging RobotsIn recent years, the food packaging industry has seen a significant improvement in technology, with one of the most revolutionary advancements being the use of robots.

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Food Safety and Continuous Education with Senior Director of Quality Rohail Khan

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Food Safety and Continuous Education with Senior Director of Quality Rohail Khan

Rohail Khan, Econo-Pak’s Senior Director of Quality and Food Safety, details his career journey, his expertise in the food industry, and the innovative practices at Econo-Pak that ensure the highest food safety and quality standards.

This transcript offers a detailed look into our conversation, providing valuable insights for anyone interested in the complexities and challenges of maintaining excellence in the food packaging industry. 

Rohail’s Background and Passion for Food Safety

Sarah Richter: Welcome to the Econo-Pak Food Packaging podcast. Today I’m here with Rohail Khan, our Director of Quality. Thank you for joining us today.

Rohail Khan: Thank you for having me, Sarah. I think this is a great idea, essentially to get to know ourselves, I would say, and to share our knowledge and learn about different departments too. I think the previous podcasts have been great. I work with these people on a day-to-day basis, but getting to know them more closely and sharing it with my team members has been a great idea. Thank you for arranging this, and I feel honored to be part of this too.

Sarah Richter: Oh, thank you. Well, we want to ask you a little bit about your background. What led you to become the Senior Director of Quality at Econo-Pak?

Rohail Khan: The position has a name, but definitely, food safety and quality have been my passion. I’ve been in the food industry for around 14, 15 years. When I joined the industry, it was a learning experience at that point. Even now, it’s a learning point in my career because there’s always something new to be aware of, your surroundings, the updates you’re going through. Again, as I said, it’s an interesting field, food safety. When you talk about quality, it’s great. The new challenges that you see with the influx of food from different countries, like now we are talking about a small world when we talk about the food industry. The food industry used to be more domestic, locally grown, but now you might be eating a dinner that has ingredients from 20 different countries, some places where they have highly regulated food safety measures and some countries where things are not as regulated.

So again, it’s about making sure what we do on a day-to-day basis with food safety. That motivates me on a day-to-day basis. So it is an interesting and challenging job as well, but managing that and working with the team on these topics helps me a lot. One of the things, the second part of your question, working at Econo-Pak, when I was going through my interviewing process and visiting the facility, the things that I liked were the management that attracted me to join the company and later on working with the company. Sometimes, at some places I have been, they don’t factor in food safety or capital investment as a big measure. Whereas since the time I’ve been here, let’s put it this way, things have been pretty much easier when it comes to capital investment on quality testing methods or investing in the team itself. I think the management has been helping me a lot with those things. And the other thing is the different kinds of products that we deal with on a day-to-day basis, which interests me working at Econo-Pak on a day-to-day basis.

Sarah Richter: So I think it’s accurate to say that you’re a food safety nerd.

The Importance of Continuous Learning in Food Safety

Rohail Khan: I do like to keep myself updated, let’s put it that way. Even if things going on in the industry are not related to the products that we handle on a day-to-day basis, I like to learn. Again, as I said initially, my biggest thing is to keep updating and learning about what’s going on in the industry. There’s so much to learn, so much to absorb on a day-to-day basis. You have new trends coming in, new products coming in. You have new regulations that are playing into the industry because now when we talk about exporting or importing products, that’s another area of your food safety portfolio. So I think, I wouldn’t call myself a nerd, but a student, I would say.

Mike Mead: Well, I know you’ve spent a lot of time continuing to educate yourself, like you mentioned, and you’ve attended several conferences in the past year as well. I’m sure that provides a lot of industry insight on what retailers are looking for, what different brands are looking for, and different requirements and things like that.

Rohail Khan: Definitely, hearing from other experts, who are more educated and experienced than me in the industry and who deal with different regulatory bodies too. So I do attend, besides on a regular basis, webinars. That happens probably twice a week sort of thing. Then learning about some of the changes in the industry, what’s going around. I think it falls back onto that you have to keep yourself updated about what’s going around in the industry because if somebody just closes the door on knowledge and thinks that they are fully educated, I think that’s probably when it’s better to retire.

Understanding Econo-Pak’s Approach to Food Safety

Sarah Richter: Can you explain what food safety culture is and what goes into it?

Rohail Khan: Going back to food safety, it’s not just my responsibility. Let’s talk about our company here. It’s not just my responsibility or my department’s responsibility or an individual department’s responsibility. It’s a collective effort that plays roles by everybody in the facility. Food safety is everybody’s responsibility. When you talk about management, you talk about different departments, you talk about the different process steps you can go through. At every process step, there can be a food safety issue. You talk about receiving the product, storing the product, going through production. In a manufacturing world, as the old saying goes, there are three big variables where you see deviations: people, product, or process. In my learning or my experience, people are always the challenging one, but food safety culture is an area of different responsibilities and communication and experience that you go through with educating your people, I think.

So that’s important. Somebody might be doing the same thing for the last 10 years, let them know if they’re doing it correctly. It works both ways. If they’re working wrong, you need to teach them rather than just dictating to them that this thing is wrong and don’t do it. But in my understanding, if you explain to that person why you’re doing it, what was the idea? So you’re communicating some of their knowledge back to them, which helps in the long run, I think.

Sarah Richter: For sure. And you’re currently working on a new training video that we show every year?

Rohail Khan: Yes. In recent years, our approach to PowerPoint slides was fairly standard. However, this year we’ve evolved it significantly. Now, we’re actively involving everyone, ensuring they present and take ownership of the slides, particularly regarding food safety. This not only engages our current employees but also helps newcomers understand our food safety policies and procedures.

Food Safety and Allergen Management at Econo-Pak

Sarah Richter: That’s great. I’d like to discuss our allergen management protocol. Could you elaborate on that?

Rohail Khan: Certainly. At Econo-Pak, we handle various allergens. Primarily, we deal with shelf-stable dry goods, acting as a co-packer or co-manufacturer for our clients. Most products we receive are ready-to-eat, so we don’t handle many ingredients. However, these products have diverse allergen profiles – some containing multiple allergens, while others have none. Managing different allergen profiles can be challenging. To address this, we’ve segregated areas in our facility based on these profiles. We focus on aligning products we process daily and have established specific lines for different allergens to minimize changeovers. In food manufacturing, cross-contamination during changeovers is a risk, especially if equipment isn’t thoroughly cleaned. To mitigate this, we prioritize managing allergen profiles. When introducing a new product, we first consider its allergen profile, where and how it will be processed. Additionally, we conduct extensive allergen testing, both in-house and through third-party labs, to validate our methods.

Leveraging Technology for Enhanced Food Safety

Sarah Richter: How does technology contribute to monitoring and improving food safety at Econo-Pak?

Rohail Khan: Technology plays a significant role in enhancing food safety, just as it does in other industries. We continuously update our platforms to stay current with market trends. This investment has shown a good return, making processes more efficient. With digital reporting, we can respond quickly to incidents, as information is sent directly to my email. This centralized approach also facilitates smoother transitions when team members move to different roles, streamlining processes and improving product traceability.

A Deep Dive into Food Safety Standards and Certifications

Mike Mead: Can you discuss the various food safety standards, certificates, and certifications we maintain?

Rohail Khan: Absolutely. At Econo-Pak, we hold several food safety and identity preservation certifications. Our main certification is SQF, which is based on the GFSI (Global Food Safety Initiative) model. This model encompasses all the globally accepted food safety elements that need to be followed daily. Econo-Pak has been SQF certified for many years. We continuously monitor our programs to ensure they align with the GFSI-SQF and regulatory requirements. In addition to the food manufacturing side of SQF certification, we also hold the quality side, which is not common among all companies. This decision reflects our commitment to maintaining high standards, as evidenced by our successful SQF audits in the past.

Apart from SQF, we handle certain identity-preserved foods and hold various certifications, including Organic, Kosher, and Gluten-Free certified products. These certifications relate to our allergen management, as our programs and processes have been vetted and verified by both regulatory bodies and third-party certification bodies. Furthermore, they are regularly audited by our customers, some of whom are global companies with broad-based programs extending beyond the United States to include Canada and other countries.

We are always open to accommodating our customers’ requests. For instance, if a customer needs a product certified for Europe, we adapt to their requirements. While Econo-Pak is audited for several certifications based on customer needs, we don’t hold all these certificates ourselves. Our philosophy is to do the right thing daily and ensure our food safety practices are up to standard. Overall, we are certified by globally recognized standards.

The Continuous Improvement Process in Food Safety

Mike Mead: That’s great. Going back to what Sarah mentioned earlier about education, it’s impressive how your team is constantly learning. You spend a lot of time keeping up with standards and regulations. It’s great to see your team members excited about learning. I know you regularly conduct learning sessions in the conference room, sharing statistics and new information. That’s an excellent approach.

Rohail Khan: I want to emphasize that it’s a continuous improvement process. I believe in sharing knowledge rather than keeping it to myself. So, I share as much as I can with my team members, enabling them to make informed decisions. Apart from internal trainings, we also send team members to various certification programs. I believe that as much as my team members can learn from me, I can learn from them. This approach fosters better communication.

Sarah Richter: Never settling is key. I have a question about SQF. When auditors come, what are they looking for? What do we need to do to achieve level three, the excellent level?

Rohail Khan: SQF certification, like others under GFSI, adheres to standards set by the Codex, established by WHO. Auditors verify that we are following these standards. An audit is about confirming our compliance with the standard. There are different modules, and during the audit, which lasts several days, auditors check that our programs align with GFSI requirements and our practices match our documentation. I’ve been fortunate to work with understanding auditors who judge based on the standards. So, for us, it’s not just about the day of the audit; it’s a day-to-day process. Yes, we face challenges daily, as is common in manufacturing. But consistently following the standard is key to what the auditors are looking for.

Mike Mead: The technology you mentioned earlier must also help in keeping records organized and responding efficiently to any needs.

Rohail Khan: In my experience, auditors have appreciated our technology. Having documents readily available for immediate display on screen makes the process smoother and more efficient. In fact, many auditors have commended us for this setup in our workflow. Extending this topic a bit, we are working towards going paperless within the next six months. This will enable us to retrieve documents quickly, saving time that would otherwise be spent digging through papers and binders. Technology significantly aids in this aspect.

Maintaining Quality Standards in Food Packaging at Econo-Pak

Sarah Richter: We’ve talked a lot about food safety, but we also deal with food packaging. Can you discuss how we maintain our quality standards in packaging?

Rohail Khan: Sure. Our quality standards revolve around continuous monitoring, which is crucial for packaging. In manufacturing, where bulk production occurs, checks might be done every two or three hours, allowing for product rework if needed. However, in packaging, lacking continuous monitoring can be problematic, as it doesn’t allow for reworking products after several hours of production. We’ve established programs based on industry levels, focusing on weight checks, packaging integrity, and ensuring that the product we produce meets the standards of our customers’ brands. We take our role in the supply chain seriously and strive to protect our customers’ brands. We don’t make decisions for the consumer, but as a part of the supply chain, we ensure continuous monitoring. We’re also incorporating more technology into our inspection processes, including camera systems, label inspections, and testing of seals.

Mike Mead: That investment in quality, equipment, technology, and team building is a significant aspect of Econo-Pak. It’s vital for brands seeking to scale their products to mass market. These brands often start small and then realize the need for more stringent guidelines to achieve scalability. Econo-Pak’s ability to meet these standards is a key benefit we offer to our customers.

 

Rohail Khan: Yes, and this approach helps us work not only with large, global clients but also with startups. We’ve seen small projects for clients grow into dedicated production areas. We guide our customers, educating them about food safety and regulatory requirements. What excites me about working here is our management’s mindset. They’re not only accommodating in helping new businesses but also in expanding the portfolios of our existing customers with different products.

Mike Mead: Your mindset of sharing knowledge extends across the company. It’s fantastic to see. Sharing knowledge is essential, and it’s exciting to help brands scale to mass market.

Key Metrics for Measuring Quality in Food Safety

Sarah Richter: What key metrics do you use to measure quality?

Rohail Khan: We’ve established various KPIs for my department, focusing on food safety and quality. One major metric is consumer complaints, which have decreased by over 40% in the last three years. This improvement mainly pertains to quality rather than food safety. Considering the millions of packages we produce monthly, reducing consumer complaints is a significant focus. Other key metrics include pest management and monitoring the weight of packages and sanitation effectiveness. I also prioritize educating my team, not just internally but also in advancing their careers and certifications. Continuous improvement is crucial, and it’s about how we mitigate risks, like allergen handling, in our facility.

Sarah Richter: Before we wrap up, can you share a bit about your life outside of work?

Rohail Khan: Family is my priority. I spend most of my time with them. I’ve recently taken up golf and enjoy other sports regularly. Following sports is one of my biggest interests. I’m also a food enthusiast. My motto is to respect others to earn respect in return.

Sarah Richter: Awesome. Well, thank you so much for joining us today, Rohail. It was awesome to speak with you.

Rohail Khan: Thank you for this opportunity and I appreciate you guys. Thank you.

Sarah Richter: Alright, thank you.

In this episode, we had the privilege of uncovering the layers behind food safety and quality with Rohail Khan, Senior Director of Quality and Food Safety at Econo-Pak. His insights and experiences highlight the critical role of continuous learning, technological advancements, and team collaboration in ensuring the highest standards of food safety. From handling allergens to maintaining quality in packaging, Rohail’s expertise offers valuable lessons for professionals across the industry.

We thank Rohail for his time and knowledge shared in this episode, providing our listeners with a comprehensive understanding of the diligence and dedication behind Econo-Pak’s success in the food packaging industry. Stay tuned for more insightful discussions in our upcoming podcasts.

Let's start scaling.

Is your demand outpacing your ability to package your own product? Then consider outsourcing with Econo-Pak.

With over 40 years of experience working with both small brands and Fortune 500 companies, we are capable of handling your specific dry food product.

Get in touch with our team for a fixed-price quote for your project.

Packaging Unpacked: A CEO’s Insight into the Contract Packaging Industry’s Growth

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Packaging Unpacked: A CEO's Insight into the Contract Packaging Industry's Growth

In an insightful conversation, we hosted our CEO, PJ Wiebel, to discuss the evolving landscape of the contract packaging industry.

Understanding Current Trends: A Conversation with PJ Wiebel

Mike Mead: All right, PJ, thanks for joining us.

PJ Wiebel: Yeah, you got it. Absolutely, thanks for having me.

Mike Mead: Great. We wanted to connect with you and just talk a little bit about some of the growth trends that are happening in the industry.

Growth Trends in Contract Packaging

PJ Wiebel: If you do some Google searches and things like that, there are some pretty explosive numbers going on in the contract packaging business that we’re excited about. It’s exciting to see where the industry is going in the future and to be part of such a growth factor in a great industry, especially the contract packaging and then the food packaging part of it or the food manufacturing side as well.

Mike Mead: Absolutely. We’re seeing some staggering numbers, the trends that they’re projecting between now and 2030. Looking at the industry as a whole, it’s just going to continue to grow year over year. What do you think are some of the biggest call-outs for that purpose of brands looking to work with contract packaging companies?

PJ Wiebel: There are a couple of factors. Number one, companies are realizing that they can grow, and part of that growth is a marketing thing. They’re going to grow sales. How are we going to grow sales? You can really grow two ways. You can grow internally, or we’re going to add equipment, or we’re going to use existing assets to grow an existing space, existing people. But then a lot of companies are realizing that you’ve got external growth, and you can come to a company like ours, Econo-Pak, and we have equipment and space and people, and you can use our assets to help push your marketing and your sales as well.

Strategic Advantages of Contract Packaging

PJ Wiebel: And so, you know, you may be at capacity, but we have assets available and within a matter of a couple of weeks, we can be up and running your product, and you’re realizing those sales that your marketing department is out there getting rather than having to wait to bring that equipment in, hire the people, add the space and things like that. And then obviously, once you get up and running with us, you get that fixed-cost model. Fixed-cost model is huge. You know, if you produce a product, it cost you a dollar today, it cost you 75 cents tomorrow, may cost you $1.50 the day after that. With us, it’s 75 cents every day. That’s out to us to manage the efficiencies and the productivity, and a lot of companies understand that.

You’re also seeing, which are my favorite kind of companies, companies that don’t even manufacture anything. They’re sales and marketing firms that develop products. They have a great sales strategy, they have a great product, they have great branding, but they don’t manufacture anything. They’re out there, and they use a full network of external manufacturers, external packagers, and create these great brands, and they’re thriving now. It’s no longer that you have to make things to get a good price point. I think the contract packaging business is very competitive. We’re able to, through technology, drive great prices to be able to deliver companies like that, that don’t manufacture anything, great margins, and a lot of companies are taking advantage of it.

I think one thing, if you watch TV and you watch Shark Tank, the people on Shark Tank, or the sharks on Shark Tank, they constantly are pushing use a co-packer, use a co-packer, use a co-packer. You hear it in almost every episode, right? Because you’re able to focus on your branding, your sales, and your product, and it’s a great thing, and I think more and more companies are realizing it. And it’s interesting in the world, too. It’s amazing how many people don’t realize how many great products that they buy every day that aren’t necessarily made by the companies that are the brand. It’s unbelievable, and again, most of the big brands today are utilizing contract packaging for a lot of those reasons.

In the food industry too, you’re also seeing, and we’re seeing trends too, where companies are expanding in some areas and then they’re picking certain products, for instance, especially allergens, right? Where they may say, okay, we want this wheat product or a peanut product, we’d rather just keep this outside our facility, let’s use that for a co-packer. So different internal strategies as well.

Flexibility and Diverse Packaging Options

Mike Mead: Definitely, the flexibility in itself, right? Not investing in that equipment, having their own equipment working with a company like ours, gives them a lot of flexibility to do different things. They can go from a bulk one-pound package to creating single-serve packages. Sarah and I field many calls and many requests through the website of different ways for people to bring their products in. So when they come into working with a company like Econo-Pak, they can get that one-pound bag, they can get the single serve, and then also expanding into variety packs to be able to introduce different types of products in with their brand.

PJ Wiebel: No, you’re exactly right. And that’s a good point. So a lot of manufacturers, so say you do manufacture internally, right? And you’re making your products, and you’re packaging products, you may invest millions of dollars on your number one product line, right? And you’re, I’m going to make this up, but your number one product line, like you said, is a one-pound product, right? But everybody wants also a half-pound product, right? But your line and your efficiencies and the automation is all set up for a one-pound. So in order for you to go to that half pound, you don’t want to diverge that line, set it down, re-set it up, create inefficiencies, or that line’s at capacity. Going to a co-packer and saying, hey, we’re going to do the one pound, you guys take over, and you guys do this half pound for us. And now you’ve got a one-pound successful product and you’ve got a half-pound successful product, right? And that’s what the co-packing is all about, right? Giving these brands a lot of different diversity and ability to really come up with anything they want and get out and sell it quickly and efficiently.

Role of Contract Packaging in Brand Success

Mike Mead: Yeah, and our trial and R&D programs also help these larger brands discover different ways to work with their products. So they have a lot of big marketing teams that have a lot of ideas, and coming to with a contract packer like Econo-Pak, they can then test out those ideas and see kind of proof of concept. What kinds of films are we going to use? What type of equipment is this going to run on? What size packs are these going to be? And it gives them a lot of versatility so they can focus all of their energy on that sales and marketing avenue and not have to worry so much about the production side.

PJ Wiebel: You’re absolutely right. Because again, a lot of the large-scale, large companies, large-scale manufacturing, it’s all automated, right? So if you’re going to go in and produce 5,000 pieces on a fully automated line that has a lot of difference than what you’re producing daily on that automated piece of equipment. So then you’re having to retool the whole line. That makes no sense, right? You can come to us, we’ve got so many different types of equipment that we can use, both fully automated and really kind of stand-alone equipment that you can utilize to produce your trials and things like that. It makes total sense than retooling your fully automated line. So you come to us, we get it done in a day. We can make any amount of samples you want. You’re getting the samples out to marketing, you’re getting your samples out to your customers, and it’s just great.

Quality and Certification in Contract Packaging

Mike Mead: Yeah, and you mentioned Shark Tank, and that’s very interesting, right? So a lot of these people out there, they have great ideas, and they have innovative solutions to problems that people have or different types of brand-new food product or something like that. So they go on Shark Tank, they present those ideas because they’re looking to scale. They need help to get to the next level. So when you get to that level, you start to realize, oh wow, I need to have specific certifications and audits and testing requirements. And I want to sell to Costco, but oh, I need to be certified to sell to Costco. I have to have a Costco audit and all these things. There’s an education value there as well. And I noticed with our clients when they come in, you can have a small startup, a medium-sized company, or a large company or brand. There’s a lot of value added by working with a company like Econo-Pak because you are getting those certifications, you’re getting those audits, you’re getting the highly efficient equipment, servo equipment, all those things.

PJ Wiebel: So, no, absolutely. I mean, you basically can focus on your sales and marketing and come to us, and we’ll take care of the rest from the quality, the production, all different types of packaging, shipping, distribution, all that kind of stuff. You come to us, we’ll take care of everything for you. And again, I say it all the time, we have a full list of certifications, almost every certification you can have. And if there’s a certification we don’t have, we’ll go get it for you, right?

You know, again, it’s just a way for our clients to get out there and sell their products and be successful.

Mike Mead: Yeah, peace of mind knowing that your products are developed and packaged in a fully audited and certified facility just gives you that peace of mind and you can focus on the things that you need to within your brand.

 

PJ Wiebel: Yeah, and a lot of times today too, these big retailers like Costco, ShopRite, and others, before they sell your product, they want to see all these certifications to make sure that the quality of the product that they’re getting to sell to their customers is good. So a lot of times, they want to make sure before they even bring your product in that the companies they’re dealing with, the co-packers, have good certifications to ensure food safety, and that’s a big part of it.

Mike Mead: Definitely. Well, thank you so much for joining us today. It’s great to talk to you about the insights and things that are happening. Very excited about the future, especially at Econo-Pak. We have a lot of great things on the horizon, and we would love to have you join us again in a few weeks to talk about some new things happening for 2024.

PJ Wiebel: You got it. Alright, sounds great.

Mike Mead: Appreciate it, thank you.

Embracing the Future with Econo-Pak

Our discussion with PJ provided valuable insights into the current and future trends in the contract packaging industry. The flexibility, scalability, and cost-effectiveness of this model make it an attractive option for businesses looking to grow and adapt in a dynamic market. As we look towards the future, it’s clear that contract packaging, particularly through partners like Econo-Pak, will continue to play a crucial role in the success of many brands.

Interested in getting a quote for your project? Contact us today for a fixed-price quote.

Let's start scaling.

Is your demand outpacing your ability to package your own product? Then consider outsourcing with Econo-Pak.

With over 40 years of experience working with both small brands and Fortune 500 companies, we are capable of handling your specific dry food product.

Get in touch with our team for a fixed-price quote for your project.