Tipping the Scale
An unbelievable deal-including a new scale, a great interface, financing, and service-convinced Idaho Natural and Organic Foods to switch to High Tek USA
Idaho Natural and Organic Foods (INAOF), founded in 2019, is a private label manufacturer of potato and appetizer products for foodservice and retail customers. INAOF was created to tap into the growing demand for natural, organic products. INAOF's mission is, "To be the side dish and appetizer for everyone company."
INAOF offers potato and appetizer products that are organic, non-GMO, vegan, gluten-free, and kosher.
INAOF's potato products include baked, coated, formed, roasted, seasoned, blanched, and homestyle sliced potatoes, along with seasoned fries and sweet potato fries. INAOF also manufactures a variety of appetizers including mozzarella cheese sticks, breaded mushrooms, formed onion rings, avocado fries, buffalo cauliflower wings, plant-based jalapeno poppers, and more.
'A Strategically Located, Flexible Manufacturing Facility
All INAOF products are manufactured at the company's 40,000-square-foot facility in Mountain Home, Idaho, in the heart of the country's highest-quality potato and vegetable growing regions. The plant and equipment were purchased from a previous food manufacturer at INAOF inception.
INAOF's manufacturing facility is a single-line operation that runs every week and employs 26 to 36 people. While INAOF can run a two-shift operation, one shift is most common.
CEO Jeff Jermunson, a veteran of the food industry, said INAOF is unique with respect to the flexibility of its processing capabilities. INAOF has considerable experience supporting large food processors and manufacturers by assisting with the R&D process and helping launch new products.
Struggling in the Packaging Environment
The equipment that INAOF acquired when purchasing the existing facility included a Bosch continuous motion vertical bagger packaging machine and an Ishida scale.
Shortly after Jermunson joined the company in the fall of 2022, he and facility general manager Nicole Seaman observed, 'We were struggling with the performance of the Ishida scale." This was leading to downstream issues with the Bosch equipment. These issues included underfills and overfills, which resulted in a large amount of product waste due to the scale's inconsistencies.
In speaking with employees who had worked at the plant, Jermunson and Seaman learned, ?The struggle in the packaging environment was nothing new.
'To Reinvest or Replace?
In December 2022, Jermunson and Seaman realized that moving forward with the existingscale was not a viable option. INAOF needed to either:
Reinvest in the existing Ishida scale. "Do we throw good money after bad equipment?' Jermunson asked. Or, replace the existing scale with new equipment with a simpler interface. In thinking through this decision, INAOF decided on the following criteria:
- Scaling capacity. The Ishida scale was a 20-bucket system. But INAOF didn?t need so much scaling capacity. A better solution was to have fewer, larger buckets
- Interface. While Ishida has a good interface, it is extremely complicated for the operator. INAOF was interested in the possibility of a simpler interface
- Cost. Ultimately, the cost was a key consideration. INAOF could either repair the Ishida scale, which would be very expensive, or could look for an alternative
Tipping the Scale: A Great Proposal from High Tek
When exploring various alternatives, Jermunson's contacts with knowledge of the packaging equipment world directed him to Jason Sigman, founder of High Tek. Jermunson learned that Sigman had extensive knowledge of Ishida scales but might have other solutions for INAOF to consider.
Sigman sent out a technician to assess INAOF's Ishida scale. This assessment resulted in recommendations about part replacements and interface changes. "It was a long list," said Jermunson. We could do that, but we're still going to have the same scale. So, Jermunson asked Sigman about other options. Sigman replied with the following idea.
High-Tek USA?s Five-Part Proposal
- Deliver a new High Tek scale. Sigman developed High Tek scales based on his years of experience servicing Ishida and other scales. He developed a new line of scales to deliver exactly what customers like INAOF need.
- Take INAOF's Ishida scale as a trade-in. That?s because High Tek sells and services Ishida scales.
- Finance the new scale for one year, at zero interest.
- Provide INAOF a 2-year service warranty.
- Furnish INAOF a 24/7 service hotline, forever. High Tek is unique in the level of real-time, expert service it provides.
After considering whether to repair its existing Ishida scale or replace it, INAOF decided to take High Tek's offer. "It was a super sweetheart deal," said Jermunson, "So we did it."
Implementing the High Tek USA Scale
The new scale was delivered and implemented in July 2023. (There was a slight delay because INAOF was doing some modifications at its facility.) Within about two hours, the High Tek scale was immediately tuned and humming, though the High Tek technician stayed onsite for three days, just to make sure.
While INAOF hasn?t had any issues with the High Tek scale, they love being able to call High Tek any time. High Tek answers in real time and provides outstanding service.
Benefits of Working with High Tek USA
From INAOF's perspective, the entire experience working with High Tek has been outstanding.
Among the benefits are:
- Reduction in product waste.
- Improvement in the reliability and consistency of the entire system. This includes making primary bags, taking them down the line, and putting bags into cases, cases on pallets, and pallets in cold storage. The entire process works better.
- Headcount reduction of a least a few people.
- Dramatic simplification in the operational interface. The new interface is intuitive, simple, and easy to learn. This is a big deal in getting new employees up to speed quickly.
An unexpected benefit has been the improvement in morale in the facility. Prior to implementing the High Tek scale, there was a constant feeling of dread in the packaging room environment.
Lessons Learned
In reflecting on this entire experience, Jermunson said that companies experiencing issues with their scale need to take a thorough assessment of its condition, because all equipment wears out at some point. While Ishida scales are good, repairing them can be expensive.
For food manufacturers wrestling with whether to repair or replace their Ishida scale, Jermunson suggested considering High Tek, because High Tek has such a great value proposition that combines equipment, interface, and service. He said High Tek has similar performance to Ishida, with a great operational interface and tremendous service.
Jermunson also said he was initially somewhat skeptical about High Tek's ability to deliver, but as Sigman had promised, INAOF just turned on the High Tek machine and it worked, consistently and seamlessly.
Lastly, Jermunson said that not all vendors are alike with respect to service. But inevitably, equipment will break and service will be required. Some vendors won't have spare parts and might say it will take 12 weeks. In contrast, High Tek has parts and can provide them overnight. For a company like INAOF with a single packaging line, this is critical.
About High Tek USA
Founded in 2004, High Tek created a new service-based company catering to the specialized needs of the food packaging industry. Focusing on delivering 24/7 service solutions, High Tek's services quickly gained traction, earning the trust and reliance of customers. Building a trusted reputation in the packaging industry, excellence in performance, support, and service spread, expanding High Tek's customer base and its reach across the nation.
A notable gap in the industry became evident: the absence of high-quality, automated equipment offered at competitive prices with exceptional support. Recognizing this opportunity, High Tek diversified its operations to include an equipment division, parts,
and supplies, along with 24/7 service support, addressing the demand for superior products backed by unwavering customer assistance. Thus, the company's evolution continued, propelled by a commitment to meeting and exceeding the needs of its customers.
To learn more or schedule a demo:
800.504.7120, sales@hightekusa.com, hightekusa.com @hightekusa.com