Inspiring Print Innovation, with Jos Steutelings

Could the print industry in the Benelux region provide a blueprint for success elsewhere? 

In this episode, Jo Lloyd catches up with Jos Steutelings, Managing Director of VIGC, on the current state of play for the print industry in the Benelux region and the innovations that have been drawing attention.

Now lockdown measures have eased and the search is on for new opportunities. A surprising amount of focus has been put on workflow automation and process enhancement over the past 12 months and there is also a growing potential for commercial printers to exploit online print solutions, especially in the B2B space. 

Jos also stresses the need for businesses to create a culture that matches the mindset of Millennials and Gen Zs at a time when talent is in short supply: A culture of constant innovation. 

The Canon Ascent Programme is all about fostering innovation through insight, supporting Canon’s Pro Print customers now and for the future. Get started on our website: https://canon.sm/PrintMattersPodcast

Find Jos Steutelings online:
Twitter: @jsteutelings
LinkedIn: https://www.linkedin.com/in/jsteutelings/ 

Transcript

Jo Lloyd: 0:08

Hello, I'm Jo Lloyd, and thanks for joining us today for the latest in our In Conversation series of podcasts, which have been created as part of Canon's Ascent Programme. These podcasts feature a selection of guests, all with perspective and insight that we think will be valuable to our listeners in the print and creative industries. And I'm delighted today to be joined by a Belgian guest, Jos Steutelings, who is the MD at VIGC. Hello, Jos.

Jos Steutelings: 0:36

Hi, Jo. How are you doing?

Jo Lloyd: 0:38

I'm good thank you, Jos. And thanks so much for being with us today. Really appreciate your time. Could you tell me a little bit more about yourself and VIGC, do you think?

Jos Steutelings: 0:47

The pleasure is all mine, Jo. At VIGC, we look at innovation in the wider print and communication industry. I want to stress wider, because there is still quite some misconception if we talk about our industry, especially when you talk with people from outside our industry. The origin of VIGC is in the commercial brand space. But, of course, there is so much more to talk about in our industry. And that's the reason we not only focus on commercial print, but also on labels and packaging, large format, print and industrial print. We are a nonprofit organisation. And that's most definitely one of our USPs – we can act as an independent point of contact for print professionals, although we of course have also a very strong relationship with vendors. And by the way, Jo, Canon is one of our 23 strategic partners, and moreover, it's the oldest partner we have. We mostly operate in the Benelux, but we regularly take part in European projects supporting PSPs and vendors. I think you can see us as an atypical membership organisation with of course a lot of drive. And we try to act as a startup – that's very important for us. So short lines, lots of new ideas, new approaches, very agile, very pragmatical, and approachable for everyone in our industry. In our daily operation, we engage PSPs, we have 200 production companies, which are VIGC members, our 23 strategic partners I mentioned before, but also, for example, graphic art schools and other print communication organisations are very welcome in our network. As such, we are not only an innovation centre, but also a network organisation, with a strong focus on technology. So the hardware of the machines, workflow, the software which drives the hardware, the processes, and this you can see is actually the physical layout of the company and, of course, the business models. And for us, it's obvious that those things need to come together if you want to succeed as a business today. So, we organise our initiatives in three ways, at the highest level – and we tend to call it our 'one to many' approach– we have our events. We organise approximately five events a year, and this includes a yearly study trip abroad. Furthermore, we have our 'one to few' approach, which consists of our trainings. We have an open training programme, but also in-company trainings are very popular these days. And finally, we have our 'one to one' approach – our consultancy. We also have a small laboratory where we can do substrate(that's ink) tests, and, for example, light fastness tests.

Jo Lloyd: 3:52

That's a really good range of services that you're offering. So how did you personally get into it?

Jos Steutelings: 3:57

Personally, I graduated in 1996, at University of Ghent with a graphic study degree. And then for 18 years, I worked at one of the largest newspaper publishers in Europe, called Media Hosts, first as a Pre-Press Manager, and then as a Business Process Manager. I started working for VIGC approximately eight years ago, as a consultant on the web print project, which was funded by the Flemish government. And since 2019, I'm appointed as Managing Director. I'm very interested in technology and innovation, especially in combination with human factors.

Jo Lloyd: 4:39

That's lovely, thank you, sounds like an intriguing business. So today, what I'd really like to try and do is get your take on the industry at the moment and talk about any of the highlights that you've noticed over the last 12 months or so. So to start, what's the general feel within the industry in the Benelux area right now, Jos? Is there a feeling of optimism, or are companies still working their way through a series of challenges?

Jos Steutelings: 5:03

Well, that's a good one Jo, and the picture is quite diverse. Generally, you could say that over the last months, we see an upturn, but all depends on what you are comparing with, and in which sub-segment of the market you are operating. Very important to mention, is resilience we've seen during the last two years. The way companies have come up with new applications and services makes me very happy. Nevertheless, our industry is heavily impacted, especially commercial (I'm not sure with print), closing the leisure industry at some points during the pandemic had an immediate and devastating effect on our industry. Turnover dropped by 60 to 80% in some companies. Government communication, and communication by virologists at that time, immediately had impact to business. But that worked in both ways. When measurements were eased, revival and turnover soon followed. And of course, we had relatively good support from the government in Belgium and the Netherlands, which helped for temporary unemployment and postponement of some payments. But of course, in general, the impact was very big. The latest Intergraph report reveals that Belgian turnover in the graphic arts industry dropped by 4.3% in 2021, as it was already dropped by 16.4% in 2020. Packaging is, by the way, not included in these figures. As a matter of fact, during the pandemic labels and packaging did relatively well, with some good growth rates and some applications of those industries. This was mainly related to the shift in buyer behaviour at the end of the customers. When restaurants are closed, and people were forced to stay at home, more income was spent in let's say, for example, supermarkets. We didn't see a huge impact of the pandemic on unemployment, and the fear of a lot of bankruptcies has not become reality. Of course, unemployment declined further in line with forecasts made earlier. And honestly, Jo, that surprised me. Although I think this could be due to a delaying effect. As we all know, eventually the postponement of payments is not everlasting. But perhaps the greatest danger lies in the events that are unfolding after the pandemic, as we speak. It cannot be ruled out that we could move towards an economic recession. Of course, I hope I'm mistaken, but all the alarm signals are going off anyway. There is still disturbance in the supply chain because of recent lockdowns in China. The aftereffects of the strike at UPM, the growth of e-commerce with the associated increased use of packaging materials on the one hand, and the shift from graphic papers to corrugated at the paper manufacturers on the other hand, have a huge impact on paper availability, and then the Ukraine war has a huge impact on electricity, and gas prices won't stop increasing. And then you have the war on talent, which is not only infecting our industry, we see a structural lack of skilled people. Unfortunately, as an industry, perception is not in our favour, by the way, quite wrongly, in my opinion, because we are a high-tech industry, that in many ways, is far ahead of other industries. So Jo, to summarise, how are we doing in the Benelux? It all depends on the sub-market you are operating. Most companies survived the pandemic. At the moment all the books are looking good. But we'll have to see how some socio-economic events evolve over the next month. But looking at resilience we've shown as an industry in the past, we need to be optimistic and look for new opportunities that definitely are arrived. At VIGC, we are ready to join forces and help our industry to diversify and do great business.

Jo Lloyd: 9:21

Yeah, it's really interesting Jos, the situation as it stands at the moment. I mean, there's certainly a lot to be excited about at the moment, but we can't ignore the economic challenges that are facing us. So thinking ahead, if you were to choose one innovation that you would advise a commercial printing company to look at right now. What would it be and why?

Jos Steutelings: 9:44

What we see is that a lot of companies look at their workflow. Last year we did a lot of assignments in workflow automation and process enhancement. This, of course, is not new or very advanced, as you should think everybody did this over last decade. But apparently, the theory here is somewhat different than we would think. Costs increase further, margins are under pressure more and more, and we see a structural shortage of employees. In this context, many companies appear to want to take a closer look at their processes and workflows again. And, of course, they should, and honestly, looking at your processes and workflows – this is not something you do once every 10 years. This is an ongoing process that you should do at least one or two times a year. Preferrably, you appoint someone within your organisation to do this as his or her main task, or at least one of the focus areas. What I can recommend is also that you challenge yourself by using the input of other people within your company, and also an external view is also shown as very valuable. Taking courses and following events to broaden your view on the latest technology and industry developments is crucial in this perspective. This is something every PSP should do, whether you are a commercial printer or active and another sub-segment of our industry, that doesn't matter. For commercial printers, more specific, I would say, look at how online print solutions can help you to better service your existing customers. Especially in the B2B space, I think online print can help you increase retention. And I'm sure you could think of some products where you excel in, which could be worthwhile offering via social media channels in the B2C area. This takes some research, of course, also time and money. But if you see how e-commerce evolve over the last two years, I think digital readiness is exploded. And you have momentum at print buyers but also when targeting end consumers.

Jo Lloyd: 12:05

Yeah, I mean, we've all been talking about online shops for years, haven't we, but few people are doing it really, really well. So what's the best bit of innovation you've seen in the last year or so, Jos? And what really struck you about it?

Jos Steutelings: 12:18

I'm going to be bold on this one, Jo, and mention the winners of the VIGC European Graphic Arts Hackathon of last year. The idea of the winning concept is to optimise the design process of packaging and labels. They want to create a platform where you as a brand owner can have packaging designs analysed and optimised, according to the specific needs of your target audience. That platform combines AI technology, and human opinions. The combination of database design, and creativity ensures that a new product or a redesign sells better, creates more brand awareness, and achieves the predetermined goals faster and more cost effectively. It is also interesting that this concept was conceived and further developed by recent graduates, who chose not to apply for a job, but to start their own business. And the European Graphic Arts Hackathon helped them to crystallise their idea, get feedback from industry experts (we call them 'mentors' in a hackathon), and then expand their personal network. Furthermore, in my opinion, we need this kind of initiative and young potentials to promote our great industry. What I see is that these kind of examples get a lot of support from within our industry, and also from outside of our industry. But we need more of those initiatives, and we need to support them with a lot of generosity.

Jo Lloyd: 13:53

That's brilliant. And I love the fact that they did it by setting up their own business. That's what we really need, isn't it, entrepreneurs and innovation. So, starting to wrap up now, Jos and to come back to your background, I know that originally you come from a repro side. So thinking back to those times, if you were there again today, what would you be looking to implement to make life easier for you and your team?

Jos Steutelings: 14:17

If you work in, for example, a pre-press department, especially in a larger company, you are a small part of an entire process. And if you look at it in a wider perspective, an industry it is easy to get stuck in repetitive tasks that soon makes you indifferent and less motivated. So, I would make sure that my employees understand better what their role is in the end-to-end process of the company, why they are important, and give them the opportunity to learn on a daily basis. I also would look at alternative ways to achieve this. Let's say for example, organise round tables, invite interesting speakers on the work floor, making some external company visits, doing some master classes, learning networks, and of course, also some classic education. I think it is important to create a culture that match, how should I say, maybe the mental age or the age of your employees. If you want to attract millennials, or Gen Z, you need to make them feel comfortable. And that means that you need to adapt yourself as an employer.

Jo Lloyd: 15:39

Yeah, that makes good sense, actually. And that thought of having to adapt yourselves to the people that you're bringing in, and not them adapting to you, is a really nice way of looking at it. Jos, thank you, as ever, fascinating to talk to you.

Jos Steutelings: 15:55

My pleasure, Jo. Canon podcasts are really a great initiative, which I'm glad to contribute. So thank you for having me, and I hope we can catch up soon at one of the many events this autumn

Jo Lloyd: 16:06

And thank you to to our listeners. I really hope you found value in what you've heard, and that you'll check out the other podcasts in the series. Plus, the Canon Ascent Programme has a wealth of other content: articles, tools, and top tips all designed to help support your future business development. If you're interested in finding out more, click the link on the podcast page, search Canon Ascent Programme or speak to your Canon Account Manager. See you next time!