From the Sector

During an awards ceremony on Monday, October 17, the Society for Human Resource Management (SHRM) Foundation awarded Barry-Wehmiller CEO Bob Chapman its preeminent recognition in people leadership, the Tharseō CEO of the Year Award.

SHRM is the world's largest HR professional society, representing more than 300,000 HR professionals across the globe, impacting 115 million workers and their families. The Tharseō (thar-seh'-ō)—derived from the Greek word for "courageous, confident and bold"—awards are given to those who demonstrate innovative and impactful business practices leading to better workplaces and a better world by serving as visionaries, innovators and change agents.

Chapman has been the CEO of Barry-Wehmiller since 1975. Since then, he has applied a blend of strategy and culture to create a thriving global organization. Chapman’s work is chronicled in his 2015 Wall Street Journal bestseller Everybody Matters: The Extraordinary Power of Caring for Your People Like Family, co-authored by Raj Sisodia, founder of Conscious Capitalism. In 2016, Harvard Business School released a case study about Barry-Wehmiller’s approach to business that is now taught at 80 business schools. A non-profit, Chapman Foundation for Caring Communities, and a leadership consulting firm, Chapman & Co. Leadership Institute, bear Chapman’s name and share some of the foundational learnings that helped transform the culture of once-traditional Barry-Wehmiller into a caring, dignity-honoring, fulfilling place to work.

In recent years, Chapman has focused on creating caring leaders of tomorrow by sponsoring programs in K-12 schools and universities. In 2021, Chapman and his team partnered with Fordham University and other Jesuit business schools to launch the Humanistic Leadership Academy which helps professors and students become more human-centered.

A sought-after global speaker, Chapman recently addressed the United Nations PRME conference on transforming education, the China Organizational Evolution Forum, Brazil’s Virtuous Leadership Conference, Vizient CEO Network, and the Healthcare Burnout Symposium, to name a few.

Highlights Grow & Deliver (compared with Q3 2021)

• Revenue up 19% and 14% higher in constant currencies1, pricing up 13%
• ROS2 at 6.4% (2021: 10.0%), resulting from lower volumes and higher raw material and freight costs, as well as inflation on operating expenses
• Adjusted EBITDA at €283 million (2021: €325 million)
• Q4 2022 adjusted operating income expected below €150 million

Highlights Q3 2022 (compared with Q3 2021)

• Pricing up 13%, offsetting the increase of raw material and other variable costs. Volumes 5% lower, mainly due to destocking in the distribution channels in Decorative Paints in Europe and in Performance Coatings, as well as lower market demand in China
• Operating income at €168 million (2021: €226 million), includes €16 million negative impact from Identified items (2021: €15 million net negative impact) and €17 million negative from the retrospective hyperinflation impact of the first half-year of 2022. OPI margin 5.9% (2021: 9.4%)
• Adjusted operating income3 at €184 million (2021: €241 million); excluding the retrospective impact of hyperinflation accounting at €201 million
• Net cash from operating activities decreased to an inflow of €126 million (2021: inflow of €290 million)
• Net income attributable to shareholders at €84 million (2021: €164 million)
• EPS from total operations at €0.48 (2021: €0.89); adjusted EPS from continuing operations at €0.57 (2021: €0.93)
• Interim dividend of €0.44 per share (2021: €0.44 per share)

AkzoNobel CEO, Thierry Vanlancker, commented: “Our €201 million adjusted operating income excluding the retrospective impact of hyperinflation accounting bring our Q3 results in line with the market update issued at the end of September. Sharply increased macro-economic uncertainties negatively impacted consumer confidence. This resulted in destocking across several distribution channels in decorative paints Europe and performance coatings, while the market in China was impacted by the ongoing zero COVID-19 policy. Thanks to the strong commitment of our teams, we continue to offset the impact of raw material and freight cost inflation with pricing. We’ve now delivered cumulative pricing of 22% over the last two years. The macro-economic turbulence is expected to continue well into next year. We’ve therefore decided to suspend our targets for 2023 and will provide further guidance when announcing our full-year 2022 results. In the meantime, we will continue to focus on our margin management and cost reduction initiatives.”

Kornit Digital Ltd. unveiled its Impact Report for 2021 highlighting progress made against goals and further expanding its commitment to a long-term strategy designed to transform the world of fashion and textiles into one that is more sustainable. The comprehensive analysis details Kornit’s performance related to climate action, waste management, green chemistry, and diversity in the workplace, as well as other areas of the Company’s Environmental, Social, and corporate Governance (ESG) framework.

Key Accomplishments Against Baseline (2021)  
Kornit’s ongoing dedication to improving ESG practices within its own operations has resulted in Company-wide achievements in the areas of:

Climate Action and Waste Management*

• ~16% reduction in GHG emissions intensity from x 9.11-e to 7.68 MTCO2-e
• 39% reduction in hazardous waste intensity from 1.7 tons to 1.04 tons
• 57% reduction in non-hazardous waste intensity from 33 tons to 14 tons

Green Chemistry

• Complete elimination of Acute Toxic Amines (CLP category 1, 2, 3) CMR
• 20% reduction of VOC level in Robusto Inkset and 30% of VOC in Eco Ink/Green

DEI and Community Engagement

• An increase in women in management, from 30% to 35%
• Reporting 88% of employees feeling respected and free to be authentic at work - *Intensity measures are per $1 million of revenue.

Kornit Digital’s Impact Strategy
Propelled by an ambition to make a positive impact across all areas of its business and throughout the fashion and textile industries, Kornit further adjusted its Impact Strategy this year towards more expansive, longer-term goals and objectives. Kornit’s refined strategy reflects the Company's dual role as a change agent in the industry—both as a leader empowering the fashion industry to be more sustainable, and as an accountable participant responsible for embracing social and environmental change to make the world a better place.  
The holistic strategy accounts for both roles, across two fundamental pillars—"Enable the Change” and “Be the Change”—and incorporates both social and environmental KPIs designed to meet the Company’s goals and respond to stakeholders’ input, as well as industry and ecosystem needs

Kornit is officially unveiling the report during a press event at PRINTING United Expo 2022.

*Intensity measures are per $1 million of revenue.

IDTechEx report: Wearable Sensors 2023-2033

Overall, this report provides insight into how wearable sensors could be integrated into society long term - the technology underpinning value within the trend towards 'the quantified self'. The main drivers for growth identified are digital health and remote patient monitoring, extended reality, and the metaverse and performance analytics of athletes and sports people.

More people than ever before are turning to wearable sensors to monitor their activity levels. Despite its origin in simple step counting, the market for wearable sensors is expanding into the more complex arena of health monitoring. Innovations in wearable sensor technology are expanding the envelope of biometrics accessible through watches and skin patches, addressing the rising demand for remote patient monitoring and decentralized clinical trials but also increasing consumer expectations. This includes easier access to health data, and extends further to sensor integration into headsets and accessories for immersive AR/VR experiences.
 
Motion sensors finding applications beyond step counting
Motion sensing hardware is well established, with accelerometers integrated into almost every wearable. Therefore, as profit margins for manufacturers diminish with commoditization, expanding the application space is crucial to maintain growth. This report provides an outlook for emerging use cases such as health insurance rewards, clinical trials, and professional athlete monitoring.
 
Optical sensors seeking to go further than heart-rate detection
Smart-watch wearers are familiar with the red and green lights on the back of their devices, used to obtain heart-rate data or blood oxygen and further analyzed for insights into calorie burn, VO2 max, and sleep quality.
Sensor developers are interested in pushing the boundaries of what can be measured non-invasively with light - whether it be through new software to analyze photoplethysmography (PPG) signals or new hardware for spectroscopy. Multiple companies are competing to lead in the commercialization of wearable blood pressure, with others setting their sights on ambitious 'clinic on the wrist' devices to replace common hospital tests and even glucose monitoring. This report appraises the potential for optical sensors, and overviews challenges for calibration requirements and regulatory approval.
 
Monitoring of the heart, muscle, and brain
Incorporating conductive materials into wearable technology is a simple concept. However, it has led to a vast variety of wearables sensors including wet electrodes stuck on the skin to measure the heart, dry electrodes in headphones to analyze brain signals, and microneedles within skin patches to quantify muscle movements. As such, this also creates a broad application space for electrodes ranging from vital sign monitoring and sleep analysis for healthcare, to emotional response and stress monitoring for marketing and productivity. This report dedicates a section to the four key categories of electrodes: wet, dry, microneedle, and electronic skin. This includes a summary of key material and manufacturing requirements.
 
Wearable sensors are fundamental to continuous monitoring of health, fitness, and wellness. As applications for wearable technology grow, there are increasing opportunities for sensors that detect parameters ranging from glucose levels to pressure and from motion to temperature. Based on a decade of market research on wearable technology hardware, this report analyses the technological and commercial landscape of this growing industry, both today and into the future. IDTechEx's research in wearables tracks the progress of over 50 wearable electronic product types. Within each of these products, a key focus of the research has been understanding and characterizing the prevalence of sensor types integrated into each.

Long-standing BTMA member James Heal is celebrating its 150th anniversary this year, the company’s formation dating back to 1872, when it was listed as an oil and tallow merchant and mill furnisher in Yorkshire, UK.

Today, as a testing equipment manufacturer for textiles and nonwovens, James Heal continues to expand its range, with a focus on making testing simple – most notably with the introduction of its Performance Testing collection of instruments, most recently the AirPro and HydroView systems.

AirPro
The new James Heal AirPro air permeability tester is used to test the resistance of the flow of air through woven, knitted and nonwoven textiles. Its software offers flexibility with standards and  comprehensive reporting options and different test head sizes are available, making it suitable for a range of applications and standards

HydroView
The HydroView hydrostatic head tester is meanwhile designed to measure the penetration of water in materials which have an end use that requires water resistance, such as those in the medical, geotextiles and nonwovens sectors. It is also proving essential in the testing of end-use applications for technical textiles, such as in protective gloves, diving dry suits and winter sports apparel, to fishing waders, roofing, tenting, ground sheets and more.

Just ahead of the fall season, adidas Originals and Pharrell Williams return to launch an array of new colors of their gender-neutral Humanrace Premium Basics Collection. The FW22 drop features a premium, heavyweight jersey crafted from cotton from Better Cotton, which supports more sustainable cotton farming. Designs are punctuated with the signature puff-print logo execution and large ‘Humanrace’ chest branding on select pieces.

The collection comprises the PW Basics Tee, PW Basics Short, PW Basics Hoodie, PW Basics Pant, PW Basics Crew , and PW Basics Long Sleeve Tee. Each item is available in sizes ranging from 3XS-2XL and in seven colors chosen by Pharrell, including Night Grey, Alumina, Light  Grey Heather, Linen Green, Halo Blue, Almost Pink, and Almost Yellow.

• More ambition and joint European efforts needed

On Friday 30 September, the EU Energy ministers approved a Council Regulation proposal to address high energy prices. The Regulation focusses on the electricity prices and electricity demand reduction, on a solidarity levy from the fossil fuel sector and a retail levy for SMEs. While these initiatives are driven by goodwill, they miss the point of bringing gas prices down – the one measure that would bring the biggest impact on European industry.

EURATEX – as the voice of the European apparel and textiles manufacturers – regrets this lack of ambition: the Regulation does not foresee any meaningful action to directly support the European industry. This can accelerate the de-industrialisation of Europe and loss of industrial capacity to secure the European standard of living and implementing the Green Deal.

“We call on the EU and Member States to pursue our common European interests. The hesitation to adopt a European price cap on natural gas, accompanied by massive national spending programs to subsidise domestic gas consumption, is a dereliction of duty”, said Director General Dirk Vantyghem.

Triggering competition among Member States rather than promoting cooperation in bringing gas prices down for all European companies will also prove ineffective: indeed, the industrial structure in the European Union is fully integrated. Once a segment of the value chain perishes because of the crisis in one country, all companies based in the EU will suffer its negative effect, driving prices up in the supply chain and adding further strain to our operations. The European industry will be saved as a unified industry, or it will not be saved at all. Fragmenting the internal market will not protect any Member State’s domestic manufacturing.

In addition to a EU-wide price cap on gas, EURATEX calls on the European Commission to swiftly amend the Temporary Crisis Framework, making sure the criteria and thresholds applied do not exclude vulnerable companies from possible support (e.g. in textile finishing and services). Euratex also encourages the European Commission to revise the ETS Indirect Carbon Leakage mechanism and include the man-made fibres, non-wovens, spinning and weaving sectors.

It is high time now for the European Union, said the association – in particular for Member States and the Commission – to step up their ambition and adopt a European vision: a chaotic and fragmented approach will not mitigate the crisis but accelerate it.

International technology group ANDRITZ has received an order from Jasztex Fibers Inc., Canada, to supply a crosslapper to its site of Pointe Claire (Quebec province).
The line will be dedicated to the production of polyester blends for a wide range of applications, including home furnishing, filtration, blankets, architectural, fire retardant, transportation. Start-up is planned for the second quarter of 2023.

ANDRITZ has been a regular supplier of Jasztex. Over the last years, ANDRITZ provided crosslappers for previous investments in Toronto (Ontario) and Pointe Claire (Quebec).

Jasztex’s nonwoven products are sold throughout the bedding, furniture, filtration, acoustic and thermal insulation, transportation and medical markets.

This year’s JEC forum DACH, taking place from November 29 to 30, 2022, is strategically located in a composites « golden triangle », between Munich, Augsburg and Ingelstadt. This dynamic area, at the heart of the Bavarian region is known to be hosting major companies such as Airbus, Faurecia, Kuka, Siemens, Voith Composites, KraussMaffei Technologies, Cevotec, Munich Composites, or Premium Aerotec, thus promising a two-days opportunity to meet with key decision makers.

The digital platform available to all participants prior to the event enables to schedule one to one business meetings between buyers and suppliers from the whole value chain of composites, as well as informal networking during breaks, lunches and evening event.

In total, 500 attendees, suppliers and buyers, from Germany, Austria and Switzerland, are expected to participate to JEC Forum DACH 2022.

Business meetings event*
DAY 1 – November 29, 2022:

• 10.15 – 11.45 am – “Keynote and Plenary Conference Session : Market Developments
• Moderator: Dr. Michael Effing, AVK
• 4.0 – 5.30 pm – “Keynote and Plenary Conference Session: Recycling of Composites

DAY 2 – November 30, 2022:

• 9.00– 10.30 am – “Keynote and Plenary Conference Session: Sustainability of Composites
• 3.15 – 4.45 pm – “Keynote and Plenary Conference Session: Innovations: Raw Materials, Processes and Applications

Celebrating composites innovation through awards and startup competition

• The AVK Innovation Awards: Goal is to promote and give prominence to new products/components and applications made from fiber-reinforced plastics (FRP) and promote new processes and methods for manufacturing FRP products.
• Startup Booster competition: The contest is open to entrepreneurs, SMEs, startups and academic spinoffs building innovative composite and advanced materials projects that are based in Germany, Austria or Switzerland (the DACH region).

*You can view the full program here.

INDA, the Association of the Nonwoven Fabrics Industry, has named government relations and external affairs strategist and advocate Wes Fisher as its new Director of Government Affairs to raise the association’s profile in Washington, D.C. He brings strong liaising skills advancing industries’ interest to regulatory agencies such as the Centers for Disease Control and Prevention, U.S. Department of Agriculture, Food and Drug Administration, and state-level departments.

Most recently, he was senior director of government affairs at the Pet Advocacy Network where he led government relations and legislative strategy for the pet care industry’s national trade association.  Fisher’s background includes providing testimony on hundreds of bills and regulations for associations and creating policy positions, notably on single-use plastics and sustainability.
He has held positions working at the American Legislative Exchange Council and then the National Automatic Merchandising Association where he led state government relations and external affairs for the 1,000-members representing the vending and retail industry.   

At INDA, he will serve as the liaison between the industry and government legislative and regulatory bodies by preparing formal submissions to the federal government articulating industry positions, and representing INDA on the Industry Trade Advisory Committee for Textiles and Apparel (ITAC 12) among other responsibilities in this key position.

Fisher holds a Bachelor’s degree in Political Science from James Madison University in Harrisonburg, VA. He also sits on the board of directors of the Washington Area State Relations Group, and was appointed by the Governor of Virginia to serve on the State Rare Disease Council.