Dr. Michael Grosse, Chief Executive Officer at Syntegon

Considering the market volatility, supply chain disruptions, energy costs, and workforce scarcity, what does this past year look like for your company when you draw the line? 

The Russian invasion of Ukraine and the resulting uncertainties in energy sourcing, as well as the challenges throughout global supply chains of course did not go unnoticed at Syntegon: the increasing costs and shortness of supplies affected our operations. Nevertheless, we were resourceful under the given circumstances and managed to successfully grow our business and keep our customers satisfied. 

With the Intelligent Direct Handling (IDH) solution, for example, Syntegon launched a technology that supports customers in enhancing the production efficiency and flexibility for their cookie and cracker business. 

What are your expectations for next year, keeping in mind the legacy of 2022, but also the current challenges? 

The past year was demanding for the whole packaging industry – yet Syntegon is well-positioned for a successful 2023. Besides the aforementioned developments, we are eager to strengthen the partnerships with our customers and focus even more on our service portfolio. 

How do you estimate the market will evolve and what is your priority list for 2023? 

Both automation and sustainability are on top of our priority list for 2023 and will be at the core of our interpack presence in May. We not only develop technologies that support our customers in acting more sustainable, we practice what we preach: We are well on our way to reducing our CO₂ emissions by as much as 25 percent by 2025 compared to 2019 and adhere to the 1.5-degree target set out in the Paris Climate Agreement. To support customers with similar goals, one of our top priorities is to perform our newly developed life-cycle assessment that offers a transparent view of our machines’ carbon footprint to customers.

Where did the growth opportunities come from and what is the most important lesson you have learned in recent times? 

Growth opportunities continue to result from our key industries as our customers invest in their future and modernize their production lines. It is crucial to stay agile and quickly adapt to changing market and customer requirements – because in the end, we want to create value for our customers.

What do you consider to be the most valuable asset you have in 2023 as a company?

Our great strength is collaboration: both with our customers and business partners, as well as between our employees. Without our employee’s engagement, we would not be as well-positioned to start off into 2023 as we are today. 

As part of your growth strategy, how do you prioritize your investments versus your R&D efforts?

The secret is to create a healthy balance between long-term R&D investments and reacting to short-term customer needs. Last year’s challenges have shown us the importance of flexibility and agility – also in R&D contexts. On that account, we prioritize investments based on business cases, customer value and the industry’s anticipated future trends.

What was unexpected in 2022 and how did it impact your business?

Russia’s invasion of Ukraine was of course something the world did not expect and an act to be condemned in the strongest terms. Throughout the year, we focused on our customer base and their needs to keep our business development stable and follow our overall path towards global market leadership in the packaging and processing industry for food and pharma.

Which are the most important drivers of change for your business in 2023? How do you plan to prepare for them?

We believe that the most important drivers within the packaging industry will be the trend towards sustainable materials and resource-efficient equipment, as well as increased levels of automation and digitalization. Manufacturers are looking for ways to make their production more reliable and efficient, even when facing staff shortages or higher costs. 

What would you like to see happening in 2023 for your stakeholders and business environment (in terms of policy, regulations, and market) in order for your business to thrive more? 

Probably every manufacturing company in the world would welcome shorter lead times along the entire supply chain and of course reduced costs and better predictability. I would further like to see decreasing levels of inflation – even though it realistically has to be assumed that it will still preoccupy the international markets. 

And last but not least, sustainability and ESG topics will continue to play a vital role for our customers and end-consumers.