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CHAMPION PAPER EXECUTIVE SUMMARY The following report is an analysis of Champion International Corporations Hamilton Mill operation in Hamilton Ohio A paper production facility with a history dating back to the Industrial Revolution the plant has undergone its share of changes with the passage of time For the majority of its existence it produced paper for a stan- dard commodity market However as the mill aged the paper industry saw a new wave of production technology advances which made it difficult for the mill to compete in the mass market with their antiquidated processes To respond to these changes the Hamilton Mill underwent a major transformation in the late 1980s with its shift from a commodity- based mill to a premium papers facility producing three particular gradelines Kromekote All-Purpose Litho and Premium Text and Cover Following these changes the mill began to concentrate on its operating strategy in terms of performance enhancement and reporting standards In order for the mill to integrate a management-reporting system that supports the production operation function they need to address the drawbacks in producing the various product lines Even though it is part of a large commodity-based company the mill is not fully integrated due to the lack of a pulp mill which leaves the firm vulnerable to the price volatility of pulp on the open market Other issues associated with the product lines include the viability of continuing to produce Kromekote paper in light of dwindling demand and market alternatives the inherent inefficiencies associated with the cutters trimmers and rewinders on the production apparatus and the lack of communication between the various departments In light of this situation several options have been drafted in order to correct these problems The first option is to end production
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