SBA NBDC. Nebraska's Small Business Development Center,

SBA NBDC. Nebraska's Small Business Development Center, is a cooperative program of the U . S . Small Business Administration and the University of N...
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SBA

NBDC. Nebraska's Small Business Development Center, is a cooperative program of the U . S . Small Business Administration and the University of Nebraska at Omaha

Proposal

to:

Nebraska State Recycling Association

Feasibility Study for Post Consumer Polystyrene

Prepared by:

Jeanne Eibes Consultant Nebraska Industrial Competitiveness Service (NICS) June 28,1996

PROPOSAL TO NEBRASKA STATE RECYCLING ASSOCIATION ~

The Nebraska Business Development Center (NBDC) and the Nebraska Industrial Competitiveness Service (NICS) of the University of Nebraska at Omaha prepared the following proposal for a feasibility study to investigate the opportunities to recycle polystyrene in a five county region around Omaha, NE. The project is estimated to take between 235 and 285 hours and cost $7,000. The fee will not exceed $7,000, with 20% due ($1,400) at the beginning of the contract period, $2,800September 1 (after review of the preliminary draft) and $2,800due upon completion of the report. The activities, tasks and time table for completion of the study are outlined below:

INTRODUCTlON Expanded polystyrene (EPS) foam packaging is the familiar white material that cushions, insulates and protects all types of products in packages. Unfortunately, polystyrene promotes the "throw away" consumer ethic. The Nebraska State Recycling Association would like to assess the feasibility of using post consumer polystyrene from commercial and residential sources as a feed stock for existing and new consumer products. The objective is to investigate and evaluate the possibility of creating a manufacturing facility to process recycled polystyrene in the Omaha Metro Area. The Nebraska Business Development Center, Nebraska Industrial Competitiveness Service, and the University of Nebraska at Omaha bring a unique and complete set of talents to conduct the research and evaluation.

NEBRASKA BUSINESS DEVELOPMENT CENTER (NBDC) As a unit of UNO College of Business Administration, the Nebraska Business Development Center has provided management consulting assistance in Nebraska since 1977. This assistance includes a traditional emphasis on market research, feasibility studies and financial analysis.

NEBRASKA INDUSTRIAL COMPETITIVENESS SERVICE (NICS) The Nebraska Industrial Competitiveness Service (NICS) is affiliated with the Manufacturing Extension Program of the National Institute for Standards and Technology (NISI). NICS is a cooperative effort involving the Nebraska Business Development Center, University of Nebraska at Lincoln's College of Engineering and Food Processing Center, Cooperative Extension and the Community College system and the Nebraska Department of Economic Development. The NICS consultants work as a team to help Nebraska manufacturers become better and more competitive in what they do. This staff will be available to provide information about manufacturing facilities in

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Nebraska. Appendix A has a listing of all NlCS consultants, their related associations and the location of the offices.

PRIMARY CONSULTANT The primary consultant coordinating the work on this project will be Jeanne Eibes. She is a consultant for the Nebraska Industrial Competitiveness Services. She will be responsible for coordinating the marketing assistance provided by the staff from Nebraska Business Development Center. A copy of Jeanne’s resume is included in Appendix B. Description of Tasks to be completed follows.

TASK 1: SUPPLY Even though there may appear to be an ample supply of polystyrene generated from local sources in Omaha and the surrounding communities, a successful polystyrene recycling effort will depend on three major issues: Contamination of the polystyrene and the effort required to clean it. Additives in the original polystyrene and the chemical impact on post manufacture and consumer applications. Transportation and collection costs of polystyrene to and from the recycling facility. Each of these major issues will be addressed during the source analysis.

Survey of Information Resources The consultant will contact information resources to gain knowledge of the current efforts in the industry. Examples of agencies that may be contacted are: Polystyrene Packaging Council, Inc. Alliance of Foam Packaging Recyclers Society of the Plastics Industry, Inc. Plastic Loosefill Council Foodsewice & Packaging Institute Council on Packaging in the Environment Air and Waste Management Association Solid Waste Association of North America (SWANA) National Recycling Coalition Institute of Packaging Professionals

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Describe Local Recycling Efforts To assess area recycling efforts, the consultant will contact current recyclers identified in the area and assess their current capacity and opportunities for expanding their operations. A current activity assessment will be included as part of the project.

Identify Potential sources of Polystyrene The consultant will determine the potential quantities of post-consumer polystyrene within the five-county region specified in the RFP. Manufacturing facilities, hospitals, schools and restaurants are the major producers of waste polystyrene. Manufacturers will be identified from the Nebraska Directory of Manufacturer and recommendations from NlCS consultants who have had personal contact with these manufacturers. A sample will be selected of area hospitals, schools and restaurants. The process for identifying the amount of polystyrene available to recycle will begin with surveying probable sources of the product. The consultant will identify a minimum of 20 up to a maximum of 30 potential sources to participate in a telephone survey. The consultant may also choose to visit the facility to review disposal activities. Using the information gathered through the surveys, the consultant will describe the current polystyrene waste generation potential and possibilities for recycling. The consultant will estimate the approximate volume currently being generated from these sources.

Estimate the Supply of Polystyrene from Area Households The Consultant will contact commercial sources (furniture, computer and electronics stores) to determine a method for estimating volume of polystyrene product available for residential recycling. Using a variety of market supply analyses, the consultant will estimate the potential volume of post consumer polystyrene available from residents in the five county region. This market size will then be adjusted using various scenarios of recycling efforts and costs of curbside collection of the identified polystyrene product(s).

TASK II: BEST AVAILABLE TECHNOLOGY Currently, there are two basic technologies developed for incorporating EPS (either postconsumer or industrial scrap) into virgin EPS, these are: EPS Bead The consultant will investigate these two Extrusion or EPS Regrind. technologies as well as other technologies currently employed in the United States. Using the contacts and information gathered in Task I, the consultant will attempt to match the supply and availability of feed stock with the best technology for producing recyclable products or reprocessing EPS. This will require a match of that feed stock with local demand for products (Task III: End Markets).

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If it is determined that there is not a perfect match of feed stock to local demand, the consultant will recommend alternatives for processing and transporting processed PCP to manufacturers that can use the processed PCP. Capacity requirements will be identified including chemical specifications of processing and/or pelletizing PCP. information will be provided that identifies and defines standards, specifications and costs for testing and certifying the processed PCP. Technical expertise on technology will be gained through the NlCS consultants from UN-L's College of Engineering and Food Processing Center.

TASK 111: END MARKETS The consultant will identify local and regional manufacturers currently making products that can use processed PCP. This activity will involve interviewing the manufacturers, dealers and brokers to determine the specific chemical qualities required for feed stock. The consultant will identify at least five potential alternative niche products that could be manufactured from locally generated PCP. The consultant will evaluate these potential products and make recommendations for possible future applications. The consultant will assist in locating alternative sources for recycled PCP. This may include shipping locally generated PCP to other locations for remanufacturing. The consultant will develop an economic analysis for the various alternative end markets.

TASK IV: FINANCES The consultant will estimate the costs of implementing a PCP processing and/or remanufacturing system based on the technologies identified in Task II: Best Available Technology. The financial scenarios will be developed showing best case, worst case and most likely case of the five selected alternatives identified in Task 111.: End Markets. An economic analysis will include a break-even analysis and volume expectations. Market prices of PCP and other resins will be reviewed to determine the most viable recommendation. The consultant will also identify possible sources of funding from public and private sources.

WORK PLAN AND TIME TABLE The work plan activities will begin with an initial meeting with the Nebraska State Recycling Association outlining expectations specified in the request for proposal dated June 6, 1996. Selection of the consultant will be July 15, so

~

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STATEMENT OF QUALIFICATIONS: 1. Organization Nebraska Industrial Competitiveness Service (NICS) AND Nebraska Business Development Center (NBDC) Peter Kewit Conference Center 1313 Farnam, Suite 132 Omaha, NE 68182 Phone: 402-595-2381 Fax: 402-595-2385

2: Principal Contact Jeanne Eibes, Consultant for the Nebraska industrial Competitiveness Service (NICS), Nebraska Business Development Center.

3. Subconsultants Melinda Cruz, Omaha Center Director - Nebraska Business Development Center (NBDC) Other Subconsultants: Included in Appendix A is a listing of NlCS Consultants that will be utilized in an advisory and technical capacity as needed to complete the study.

4. Resumes Jeanne Eibes’ and Melinda Cruz’s Resumes are included in Appendix B.

5. Relevant Projects: The confidentiality issues of clients require NBDC not to release names of clients, however, listed on the next page are names of references who would be willing to address the quality of the work performed by the Nebraska Business Development Center:

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References Product Customer Survey by Jeanne Eibes

Company and Contact McGill Sales Sheila McGill President, CEO 9015 "F" Street Omaha, NE 68127 402-592-0000

Attitude Survey by Jeanne Eibes

Friedel Jewish Academy Mary Rich Member of Board of Education Works at: US West Work Phone: 402-384-3887 Home Phone: 402-334-5352

Feasibility Study by Melinda Cruz and Jeanne Eibes

Nebraska State Recycling Association Chris Stahike Program Coordinator 512 Elkwood, Center Mall Omaha, NE 68105 402-444-4188

Feasibility Study by Melinda Cruz

University of Nebraska at Omaha Hockey Feasibility Study Don Leahy, Athletic Director Field House, Room 7 University of Nebraska at Omaha Omaha, NE 68182 402-554-2305

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Appendix A

CONSULTANTS FOR NEBRASKA INDUSTRIAL COMPETITIVENESS SERVICE (NICS)

Appendix B

RESUMES OF PRINCIPAL CONTACT AND SUBCONSULTANT

Jeanne P. Eibes

6934 Northland Drive Omaha, NE 68152 Home Phone: (402) 571-9940 Work Phone: (402) 595-2381

WORK EXPERIENCE:

-

UNIVERSITY OF NEBRASKA OMAHA, Omaha, NE -August 1993 to Present NEBRASKA INDUSTRIAL COMPETITIVENESS SERVICE - June 1996 to Present Consultant - June 1996 to Present Meet with manufacturers to assess consulting needs in the areas of quality, financial assessment, marketing, employee training, productivity, and business planning. Delivered client consulting needs, prepared strategic plans, conducted surveys and developed feasibility studies. NEBRASKA BUSINESS DEVELOPMENT CENTER - August 1993 to June 1996 Omaha Center Director - March 1995 to June 1996 Directed all client consulting activities for the Nebraska Business Development Center. Met daily with clients to assess business needs and determine consulting requirements. Was a community advocate for small businesses, spoke at community meetings and conferences, wrote government grant applications and represented the Omaha Center in all economic development activities. Prepared, designed and taught small business training seminars on business planning and financial management. Exceeded goals and developed programs to generate income to supplement government funding.

-

Consultant / Graduate Assistant August 1993 to February 1995 Worked with small business owners in developing business plans, financial projections, loan proposal packages and marketing studies. UNION PACIFIC RAILROAD, Omaha, NE July 1976 to December 1992 MARKETING DEPARTMENT - January 1988 to December 1992

-

Product Manager March 1991 to December 1992 Managed a $12 million revenue budget by developing marketing plans and coordinating the logistics of inter-modal services for railroad customers. Met and exceeded revenue and profit goals. Developed an excellent rapport with customers by visiting their facilities and tailoring rail services to meet their needs. Made frequent trips to Mexico City to sell northbound "double stack" services to the Mexican Railroad and customers.

Jeanne P. Eibes Page 2 of 2 Systems Development Manager - January 1988 to March 1991 Hired to develop a fully integrated transportation pricing system. Successfully designed and trained users on the system while providing end-user support with a staff of three. Received employee recognition awards for outstanding initiative, creativity and leadership.

-

FINANCE DEPARTMENT - October 1983 to December 1988

Promoted from Assistant to Controller to Assistant to the VP of Finance. Effectively coordinated special projects for the executive staff. Advised and assisted in the consolidation of the Union Pacific and Missouri Pacific Accounting Departments. resource management. Prepared strategic plan presentations for executive review. Was a liaison between Finance, other railroad departments, and the Corporation. Analyzed and summarized financial information for corporate and stockholder reports. ACCOUNTING DEPARTMENT - 1976 to 1983 Revenue Accounting -July 1976 to September 1983 Was promoted to successively challenging Manager positions. Managed up to 90 people with an annual expense budget of over $3 million. Directed the timely processing of all revenue financial information and statistical reports to management, the ICC, AAR, and various state and local agencies. Recommended and implemented computer system enhancements, including the installation of a new accounts receivable system. Developed and implemented a plan for reorganizing the entire Revenue Accounting Department resulting in the reduction of 50 positions creating an annual savings of $1.5 million. EDUCATION: University of Nebraska - Omaha, Omaha, NE. Master of Professional Accounting, May 1995. Awarded Outstanding MPA Graduate Student in 1994. Simmons College - Boston, MA. Middle Management Program for Women, September to (Program similar to Harvard Management Development November 1979. Programs.) Iowa State University - Ames, IA. Bachelor of Science in Accounting, May 1976. PROFESSIONAL ORGANIZATIONS: Director for YWCA Board - 1988 to 1991. Was active in United Way fund raising. Influence 1984-85, a management training program designed for women in Omaha. REFERENCES

AVAlLABLE

UPON

REQUEST.

Summary detail oriented professional with over 9 years of progressive experience in client relations, 6 years marketing experience. 3 years in business development and 3 years in international and community development.

Creative.

Nebraska Business Development Center. 1994-Present Consultant- North and South Managed and

Omaha

Nebraska.

NBDC offices.

directed the daily operations of North and South Omaha NBDC offices.

Provided individualized management consulting to over 150 businesses. Individually consulted business, helping them identify opportunities challenges and develop strategies. Provided

assistance

in

business

planning, marketing!, research.

advertising. public relations,. survey design.

SWOT analysis

feasibility analysis.

and other managment areas.

helped clients obtain over $1 million in loans. feasibility studies which involved analyzing competition.

Prepared financial projections which Researched and wrote extensive

researching and estimating the market. surveying customers and analyzing pricing. Effectively managed multiple clients while completing administrative responsibilities and internal projects. Trained and supervised new consultants. Action International, Inc. Omaha.

NE

1994 Researcher. Wrote proposal for the reorganization of succession of membership and procedures of InterAction Council. an international

body

composed of

35

former

the

heads of state and

government from around the world Wrote and edited correspondence to world heads of state and government and ambassadors. Planned events and arranged provisions for v i s i t s of foreign heads of state and dignitaries. Cruz'in Graphics.

1992- 1994

Marketing Manager Marketed and managed a desktop publishing company. Consulted with clients to determine their needs. price range, goals and target market for which designs and materials would be created Designed themes and packaging for clients.

Created. redesigned and refined new

and existing logos, business cards and letterhead for clients. newsletters. and direct mail pieces.

Developed brochures,

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