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Moving on up: how to scale in the manufacturing process

small scale brewery

You have a new product and want to start marketing it – great, but the next question is how to start manufacturing it to get it to market. Building up a business can be scary, which is why starting small and scaling up is the safest bet. But where to begin?

The key to scaling is to do it in a way that makes sense for your business. Typically, new product development starts as a tabletop version or lab scale with batch production of 5L to 20L. Batch size is incredibly important when scaling up in production. You want to make enough product to get your feet wet, but not too much that you can’t sell what you have, or get overwhelmed and overspend. The answer to how big of a batch size you want to start with typically depends on marketing plans, annual product forecast and your projected launch quantities. Scaling correctly is even more crucial when producing regulated products, such as pharmaceuticals, and is further complicated by the need to produce products in an equivalent way, meaning quantities and ingredients are properly proportioned.

Once a small batch is produced, the next step is typically a pilot plant with an increase of 10x to 50L – 200L batch capacity. The mid-point in scaling up is incredibly important, because adequate production time is needed to build a reliable, efficient and quality production capacity. Proper financing also needs to be acquired and cash flow managed. With each successful batch, process ranges are also developed, and of course, we develop a scale-up plan that is documented and approved before any work is started.

larger scale brewery

Once demand is confirmed, production is scaled up by another 10x to 500L – 2000L, using either batch or continuous production depending on the characteristics of the product. With beer in particular, when scaling up, understanding that the recipe might also need to change is very important, to ensure that quality is never compromised. As well, one of the best reasons to scale up in beer making is the limited time you can dedicate to brewing. By scaling up, you can produce larger quantities in less time, and streamline the whole process.

 

For those that have a lot of demand, scaling up could mean more than 10x, but this is more risky. You always want to proceed with caution when deciding how big to go. The motto “go big or go home” doesn’t apply here; as it is not only your time and money you are investing, but your brand and name. Putting thought and consideration into your choices will ensure that you don’t take on more than you can handle.

At Cemcorp, the best part of working with small businesses is getting to know them, and seeing them grow and flourish. We are here to help with all stages of development. Our consulting services are extensive, and we can work on a staged development process to manage risk, schedule and costs. The scaling process can always be adjusted depending on your product and timeline.

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Craft beer market giving big name brands a run for their money

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Beer, especially in summer, is a nice drink to enjoy with friends and family; after a long day, nothing is better than relaxing with a cold beer. Now, with the beer market growing at such a rapid rate, the options are endless. One such drink growing in popularity are craft brews. Bigger companies are entering the craft beer market in an effort to stay relevant and attract customers that prefer smaller-batch brews, and local pubs are now affiliating themselves with both craft beers and regular, domestic national beers to appeal to the masses.

According to the Brewers Association, in 2016, the US craft beer industry added 1.4 million barrels to its production volume, growing the segment by 6%, despite losing 1.2 million barrels to ‘big beer’ producers that have taken hold of the craft beer market. Globally, bigger companies, like Molson Coors, are branching out by expanding their portfolio of alcoholic options to include craft and flavoured beers. Besides producing unique craft beers with interesting flavours, like cherry and pumpkin, the bigger brands are also importing international microbrewery options from places like the UK, into Canada, to compete in the market. A strong craft portfolio is also built by acquiring local brews, such as Half Pints Brewing Co from Winnipeg, and Granville Island Brewing from Vancouver, both of which are now owned by Molson Coors.

But with so many options available, you might think that there isn’t room for more. More specifically, smaller breweries think they can’t compete in the bigger market, but this is where they’re wrong. More and more, people are enjoying local craft beer made in-house, in small batches. It is a growing market for businesses big and small; there is room for everyone. Although the big breweries and their recognizable brands aren’t going anywhere, it is just nature the industry that beer should always remain interesting, relevant and contemporary.

In order to stay relevant, it is important for any company to reinvent themselves, and this extends to the types of products you sell and manufacture, which is where Cemcorp can help. We specialize in complete plant designs, from brewpubs to microbreweries, and large commercial breweries. Starting off, we can help with feasibility – is it feasible to innovate your processes to include more craft beer options? If the answer is yes, Cemcorp can help with everything from grain receiving and milling, to brewhouses, refrigeration, filtration, commissioning, start-up and operator training.

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2016-2017 Projects in The Food Processing Industry

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On many projects, we work together with professional consultants, engineers, manufacturers, contractors and financers to get the job done. Our scope of work includes single process performance requirements, to detailed equipment specifications and drawings, for their capital projects. Whatever our clients’ needs are, we strive to best satisfy them with current technology and resources.

Recently, one of our clients came to us for help with three of their processing plants in Ontario. Check out what we did

1. Warehouse Renovation
Before this big undertaking took place, our team completed an in-depth analysis of their requirements to determine how their warehouse should be renovated. Top of mind was determining ways in which the cooling system and racking could be optimized. Since we are full service consultants, we took care of obtaining all of the required permits and provided project management and construction management services.

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2. HVAC Installation
For this particular processing plant, we worked with Installcorp Ltd. on the HVAC installation and upgrade. In order for the plant to become more energy efficient, the HVAC system needed to be upgraded. In a processing plant, an HVAC system can account for as much as 35% of the overall energy use. So replacing it with a system that can work to improve and maintain the efficiency of the plant overall is very cost-effective. With proper installation, this plant’s upgrade was completed with little to no interference to valuable production time.

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The photo above was taken on April 10, 2017 during final testing and commissioning of the HVAC.

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3. Waste Water Treatment System
Our client required both engineering and project management for their wastewater treatment system. For this processing plant, we worked alongside another company in the managing and construction of the project. Construction is now complete, and the wastewater is treated with minimal environmental issues.

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Working with many different companies in a wide range of industries, we strive for excellence with associates who have specialized skills that will easily fit with your goals and objectives. From consulting, to project management, installations, energy efficiency and training, we have got you covered. Get in touch for more information, and to start your next project, today.

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Setting the Standards for Training and Development

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At Cemcorp Ltd., we know that you are busy, and the last thing you want to worry about is training employees on new procedures and regulations that even you may not be familiar with. We can help. We work with start-ups in many different areas of business to provide not only training services, but also development – putting ideas into action.

Our focus is helping businesses meet the requirements of new regulations, and provide the training necessary to meet those regulations. Don’t think you can benefit because your business is small? Think again. We deliver customized training depending on business needs and size. We also offer both a general and detailed option that can be held on site at your company, to specifically address your company’s issues and challenges; we help you obtain the knowledge and skills you require at a price that suits your budget. We can train one single employee, or a Cemcorp senior specialist can facilitate a workshop for a group of employees. Let’s take a closer look at the many options available:

training31. Start-up support – start-ups are a unique type of business, because they require a lot of support as they enter the marketplace. We specialize in helping microbrewers and small distilleries bring their product to market. Our training and support gives start-ups the power to do it themselves, and the tools to create and navigate through their own microbrewery or distillery.

2. Regulations – regulations are always being changed and modified, which is why it’s important to consult with experts in the field who can help you navigate the process. We can help you meet the requirements to keep your business practices up to date.

3. Certification – hire us proactively, to obtain the certifications you require. If you are required to obtain a certificate of approval from TSSA or the ASME, we can help.

4. Installation – we also provide support and training for the installation and operation of new equipment. This extends to all aspects of your business, and will ensure there is no interruption in production or manufacturing.

Don’t see what you need above? We also offer a la carte services, which allow you to determine what you need in terms of service. And since we know support might be needed after the training is complete, we also offer ongoing development of your key personnel. Leverage the Cemcorp advantage today.

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Food for thought: trends in food processing

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2017 comes with a fresh set of expectations, and trends that are going to continue to change the food processing industry. We at Cemcorp strongly believe in evolution and taking cues from the world around us to improve, automate and streamline. Take a look at what trends are emerging and what you should watch out for:

1. Innovative solutions to drive down costs: the pressure to cut costs could be coming from you at all sides, and really impact how and what you do in terms of your food processing. Cut costs by standardizing equipment and exploring automation.

2. Energy efficiency: saving energy is an easy way to not only save time and money, but save the environment. By reducing energy consumption, you can reduce costs and increase margins.

3. A refrigeration strategy: refrigeration compliance has been generating a lot of buzz lately. The move towards more natural options helps reduce your carbon footprint. New technologies and developments are emerging, including embracing CO2 instead of ammonia for cost saving benefits.

4. Organic: the move to organic is really popular these days, and consumers are pushing manufacturers to produce cleaner products that are more natural, minimally processed and not genetically modified. Focusing on transparency is key to increasing sales.

5. Globalization: reaching a new audience by manufacturing a diverse group of products and foods can increase demand and bring in new customers. The specialty food market is growing, as the interest in new flavours also grows. Immigrants continue to acculturate and their food traditions are becoming more mainstream.

6. Tighter Regulations:

  • Good Manufacturing Practices (GMP) – Just like other industries have the quality control standards for best practices, the food industry has GMP. This includes certifications and programs to ensure that the food is handled properly and that proper sanitization practices are observed. In Canada, this is strictly regulated by the Canadian and Provincial Food Inspection Agencies.
  • Waste Water management is becoming an issue as the municipalities are pushing harder than ever before for industry to make improvements on their wastewater management processes and may require you to install additional treatment solutions.
  • Worker safety is always a top priority for our clients. The WSIB sets insurance rates based on your companies past safety performance and the Ministry of Labour enforces strict regulations outlined in the Occupational Health and Safety Act.

Want help with any of the above? We work with many clients on streamlining their food processing. We specialize in complete plant designs for a wide range of industries, including dairy, confectionery, bakeries, wineries, soft drinks and more. Working start to finish on all aspects of manufacturing and processing, we can help with reactors, mixers, vacuum pans, feed tubes, blending systems, batch and evaporators.

Pack Expo 2016 - KEM Display PackExpo2016- Pack West

Packaging, automation and meeting the strict food quality requirements are also things we can help with. We recently worked with Redpath Sugar on some wet scrubber dust collection system improvements. Changes in the design of their equipment were made to prevent sugar dust from collecting and getting into the air. With our help, changes in the design of their process were made and improved.

What are your goals for 2017?

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Save Money. Save the Planet.

cemcorp blog

Saving energy is more than just about saving money – it’s about saving the environment. We at Cemcorp believe in cogeneration, which is clean power’s unsung hero. Also known as combined heat and power (CHP), cogeneration refers to a group of proven technologies that operate together for the concurrent generation of electricity and useful heat in a process that is generally much more energy-efficient than when electricity and useful heat are produced separately. When companies like yours buy hydropower, there is a lot of waste. With the cost of electricity increasing, cogeneration is a great option, because some of the wasted energy can be harvested and used for other purposes, such as space heating and cooling, water heating, and industrial process heat.

One of the most common, and most energy efficient types of cogeneration is condensing steam turbine engines. They are the best for industrial and manufacturing systems because of their large capacity, and are being used all over Canada. Although the most widely known area for using cogeneration is in the industrial sector, the technology is also being used and available on a smaller-scale in residential and commercial facilities.

Don’t just take our word for it. Here are some of the benefits to cogeneration:
1. Reduce air pollutants and greenhouse gas emissions by requiring less fuel inputs
2. Reduce energy waste, thereby increasing efficiency levels
3. Reduce energy costs
4. Reduce releases of ozone depleting chlorofluorocarbons (CFCs) from air conditioning units
5. Reduce dependence on the grid
6. Provide for power when the grid is down
7. Enhance operational efficiency to lower overhead costs
8. Replace aging infrastructure to sustain the life of your business
9. Reduce dependency on non-renewable fossil fuels

Still not convinced that cogeneration is right for your business? We can conduct a study of your process, including a cost-benefit analysis, and give you advice on what your best options are. We can also advise you on what energies are available, and how you can convert them to electrical power. Cogeneration is being used all over the world, particularly in data centres, hospitals, universities and industrial operations, will your company be next to get on board?

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Ontario Technical Conference 2017 by the Master Brewers’ Association of Canada (MBAC) January 26-27 Toronto, ON

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This year the Master Brewers’ Association of Canada (MBAC) held it’s 44th Annual Ontario Technical Conference in January at the Westin Toronto Airport Hotel. This event is the longest running and most informative Canadian Technical Conference for Brewing Technologies.

The organizing committee was busy planning and preparing for the event since last year’s conference in 2016 was a huge success. This year’s event was bigger and better with some great content, additional breakout sessions, and a Brewery Tour and Tastings event to kick it all off January 25th. The event was well attended with over 200 participants attending over the course of the two days.

Last year at the event Cemcorp’s President Stephen Harkness along with Part Owner of Eri-Son Instrumentation Steve Durston presented on Automation Scale-Up in a brewery. This year Cemcorp was one of the many sponsors for the event and Stephen Harkness moderated the Safety Panel discussion as part of the conference program on day one of the event. The safety panel discussion focus was on safety in the brewery including responsibility of the operation supervisors and employees. The topics covered included safety requirements (overview of Ontario laws and regulations), safety cost and benefits, safety culture versus compliance, and safety support services available from the Master Brewers’ Association of America (MBAA) and others.

The safety panel members were:
Stephen Harkness, P.Eng., Consulting Engineer, Cemcorp Ltd.
Joshua Kearley, Beverage Protect, Benson Kearley IFG
Jonathan Crawshaw, Brewing Technical Specialist, Sleeman Breweries
Gary Nicholas, Brewery Safety and Packaging Specialist from MBAA, USA
Jennifer MacFarlane, CHSC, Workplace Safety and Prevention Services,
Wagish Yajaman, Occupational Hygienist, Workplace Safety and Prevention Services.

Take a look below at some of the photos we took at the event and stay tuned for the 45th Annual Ontario Conference in January 2018. We are certainly looking forward to it!

20170127_102838 20170126_090123 MBAC - Steve & Sponsor SignMBAC - Panel Speakers and Steve MBAC - 4 panel speakers MBAC-2017, Steve

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CRN/Registrations & 5 Most Frequently Asked Questions

crn

We thought it would serve as a necessary introduction to outline the most commonly asked questions and answers we have addressed with respect to CRN’s. We hope you find this helpful and encourage you to get in touch with us if you have any further questions.

1. Why Do I Need a CRN Registration?

Receiving a CRN is required before fabricating a pressure vessel, boiler, pressure piping, or fitting. During a site inspection or audit if equipment is found without proper registration, and cannot be registered as built, then it has to be replaced. The efforts of registering before might be laborious but are necessary and can save you time and money in the long run.

2. What Requires a CRN Registration?

The code tends to vary slightly for Canada and the US, but Canada is a bit more restrictive when it comes to pressure vessels. Also, in Canada there is some slight variations by province. But overall, pressure vessels, fittings and piping systems need to be built and comply with the appropriate quality control programs.

3. Who Issues the Registration?

In Canada, each province has its own registration and will issue a CRN number to be put on the vessel nameplate. To register across all of Canada, you must obtain a registration by all 7 of the below jurisdictions:

• British Columbia [BCSA]
• Alberta [ABSA]
• Saskatchewan [TSASK]
• Manitoba [Inspection & Safety Authority of Manitoba]
• Ontario [TSSA]
• Quebec [RBQ]
• Maritimes, NW Territories, Newfoundland, etc. [ACIC]

4. What Is the Process for Applying for a CRN?

In order to obtain the requirements and forms required for each jurisdiction, it is best to contact them directly. Obtaining a registration in more than one province/jurisdiction is a bit more complicated. We find it’s best to start with one province/jurisdiction and then once registration is obtained, submit to other jurisdictions along with any additional requirements or paperwork.

5. When Should I Apply for a CRN?

A CRN should be applied right away and even before fabrication begins. The time it can take to receive a CRN is dependent on the complexity of the design, the jurisdiction or province it is to be registered in, and the quality of the documentation submitted. Considering all these factors you could receive your CRN as early as in 1 month or as late as 3-5 months.

A lot of companies that are experts in the pressure vessel field are starting to find it increasingly difficult to navigate Canada’s complex registration system. Taking this on alone can be frustrating and time consuming, but we are here to help you with complete support from our professionals. We are just a phone call away and would be happy to help you.

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Cemcorp’s 2016 Highlights

blog-highlights

Another year has come and gone, while a brand new year is under way. Here’s a quick look back at our very eventful 2016, and quick glance forward at what’s on tap for 2017. We have grown quite a bit over the past year and are looking forward to that momentum continuing in 2017.

Quick Look Back at 2016:
February 2016 – Launched our updated logo and website
April 2016 – Attended the American Distilling Institute Conference
June 2016 – Cemcorp’s associate Michael Delevante released his third book, 52 years in the Liquor Industry (and still counting)
October 2016 – Exhibitors Booth at Ontario Craft Brewers Conference
November 2016 – Attended Pack Expo Conference in Chicago

Other Accomplishments:
• Completed over 20 PSRs for clients
• Supported our large base of repeat clients with CRNs
• Supported Redpath with special projects
• New client, Gay Lea Foods required engineering services for many projects this year in Hamilton, North York and Hagersville

Cemcorp Logo FINAL-01 website Dina & Joanne Mike D and Steve H cemcorp 20161107_150606_resized

A Quick Glance Forward at 2017:
• January 26 & 27 – Master Brewers Association of Canada Conference
• February 3 – Ontario Craft Brewers Tech Talk – “Exploring Wastewater Issues for Craft Brewers, Winery and Cider Producers”
• March – Trip to Dublin Ireland and visit to the Guinness Brewery
• April 3 to 6 – ADI Conference – Baltimore, MD.
• April 8 – The Consulting Engineers of Ontario (CEO) Annual Awards Gala

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The 5 W’s of Prestart Health & Safety Reviews (PSR)

CRN-MDR-2

1. WHAT is a Prestart Health and Safety Review (PSR)?

A Pre-Start Health and Safety Review (PSR) is an audit completed by a Professional Engineer of any industrial apparatus, protective element, process, or structure, to ensure compliance with applicable standards with Section 7 of the Occupational Health and Safety Act.

2. WHEN is a Prestart Healthy and Safety Review (PSR) required?

According to Section 7 of Regulation 851 of the Occupational Health and Safety Act (S.7 of O.Reg. 851) the following items are examples requiring a Pre-Start Review:

• When a building, room or area is used to store or dispense flammable liquids
• When the following protective elements are used:
light curtains and screens
area scanning systems
radio frequency systems and capacitance systems
safety mat systems
two hand controls
barrier guards using interlocked electrical or mechanical safeguards
• When racking or stacking structures are used to store material
• Where processes that involve a risk of ignition or explosion are installed or modified
• When a dust collector is used that involves a risk of ignition or explosion
• When a factory produces aluminum or steel, or a factory that is a foundry
• When a lifting device, traveling crane or automobile hoist is installed or modified
• When a process uses or produces a substance (i.e. chemical) that may result in the overexposure of a worker to limits prescribed by Ontario regulations

Source: https://www.labour.gov.on.ca/english/hs/pubs/psr/psr_4.php

3. WHY is conducting a Prestart Health and Safety Review (PSR) a good idea?

There are several benefits to conducting a PSR but here are the three main ones:

1. It identifies safety issues to be corrected in an organized and effective manner.
2. Potential cost savings can be identified as a result through work efficiencies and proper installation and placement of equipment.
3. Safe operation and installation of equipment reduces the risk of injuries, lost time and can potentially lower insurance premiums by preventing workplace injuries.

4. WHO

A professional engineer only must conduct a PSR, and sometimes depending on requirements, a professional engineer from more than one discipline may be required. When this is the case, the names and disciplines of all reviewers involved should be outlined and included in the report.

Pricing is based on various factors, such as the type of machine or equipment, type of installation being reviewed, and technical documentation available. Contact us directly or click here to fill out a form and we’d be happy to provide you with a non-obligatory quote.

5. WHERE can I find more information?

Ontario Ministry of Labour
https://www.labour.gov.on.ca/english/hs/pubs/psr

Professional Engineers of Ontario
http://www.peo.on.ca/index.php/ci_id/22069/la_id/1.htm

Safe Workplace Association
http://wsps.ca/Shop/Training/Training-Schedules/Pre-Start-Health-and-Safety-Reviews.aspx

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