Justification Report
Packaging Services
TO
FROM
SUBJECT
CC
EYCureg
JASuing
Conveyor Chain
HCY
DATE
September 2, 2014
Background:
Heat Shrink Labeling Services started Y2011 and we acquire the Heat Shrink Labeling Machine on the
same year. As a sole supplier, we are using one machine for 3 years to sustain the good quality products
and services with Unilever Foods.
Heat Shrink Labeling Machine composed of four tunnels: pre-heating tunnels and the shrinking tunnels.
We feed the glass jars in the conveyor to move from one stage to another until the full process was done
with average temperature of 200°C. Conveyor is one of the essential parts of the machine because it
carries the product from start to end. Currently, we encounter mechanical problems in the conveyor
chain. Chains were loosening and misaligned that often resulted to breakage. As per recommendation by
our Engineering and Benison, we need to replace the conveyor chain. We are in the peak season and
expected of 24 hours work schedule and full utilization of the machine. In case of breakdown we can no
longer use the chains and we can’t operate.
Acquiring brand new Stainless Table Top Chain is part of our contingency plan, to have a continuous
operation and fully support the customer requirement.
RECOMMENDATION
I hereby recommend acquisition of the below parts to fully support the Heat Shrink Labeling Operations.
Description
Stainless Table Top Chain
Sprocket
Qty
1 set
2 pcs
See attached quotation.
For your consideration and approval.
Respectfully Yours,
Jennifer A. Suing
Asst. Manager-Packaging Services
Unit Price
Php 197,400
Php 14,464.29
Total Amount
Amount
Php 197,400
Php 28,928.57
Php 226,328.57
Packaging Services
TO
FROM
SUBJECT
CC
EYCureg
JASuing
Conveyor Chain
HCY
DATE
September 2, 2014
Noted By:
Approved By:
RTManalo
Logistics Head
Edna Y. Cureg
Executive Vice President