The Mondi Group

Mondi Group is an international packaging and paper group company, who employ around 26,000 people across more than 30 countries worldwide. The group are integrated across the packaging and paper value chain – from managing forests and producing pulp, paper and plastic films to developing and manufacturing effective industrial and consumer packaging solutions.

When it came to the procurement of their material handling equipment, Mondi lacked a benchmark for the total cost of ownership of their fleet. This made it difficult for the customer to work out which product was the most effective for their particular needs from an overall cost and productivity standpoint. The information that the manufacturers provide (for example on fuel consumption and the turning radius) is not enough for Mondi to make a judgement on which make & model of forklift truck to procure.

CHG-MERIDIAN produced a total cost of ownership analysis, in which it used an efficiency test to compare different makes of the same type of forklift. At the pilot site, the test trucks were fitted with sensors designed to track their performance and operational data for future analysis. The test drivers had to complete the kind of loading and unloading jobs that they would typically be expected to do for the company, as quickly as possible and at the same frequency. During the test drives, the team collected data on loading/unloading performance, productivity and handling, which was then evaluated and used to create the total cost of ownership analysis.

Mondi received a detailed report that helped them weigh up the purchase costs concerning, the optimum useful life, the replacement cycles and the finance model. The group now has physical evidence that justifies why opting for a brand that, although more expensive, can prove to be a better strategic investment in the long run by resulting in a lower total cost of ownership.