SEPTEMBER 2016
Late News Cintas to acquire G&K Services Inc. CINCINNATI and MINNETONKA, Minn. — Cintas Corp. and G&K Services Inc. have entered into a definitive agreement under which Cintas will acquire all outstanding shares of G&K Services, both companies report. Cintas says it will purchase the outstanding shares for $97.50 per share in cash, for a total enterprise value of approximately $2.2 billion, including acquired net debt. The purchase price represents a premium of about 19% to the closing price per share of G&K Service’s common stock on Monday, Aug. 15, according to Cintas. Upon completion of the deal, G&K Services will be a wholly owned subsidiary of Cintas and is expected to initially operate under its existing brand name. The boards of directors of both companies have approved the transaction, which is subject to approval by the holders of G&K Services common stock, the expiration or termination of applicable waiting periods under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, and other customary closing conditions. The transaction is expected to close in the next four to six months. ALN
Volume 42, Number 9
Preventative maintenance equals laundry investment Proper equipment upkeep saves money, maintains production, says expert BY MATT POE, EDITOR OAK BROOK, Ill. — When talking about asset management in a laundry operation, equipment often represents millions of dollars in regards to investments. “You want to manage your assets,” says Stefan Schurter, senior vice president with Prudential Overall Supply. “Here’s the simple truth: the better the maintenance, it saves for the plant. You’re going to get an immediate savings.” He shared his insights during an educational session, Preventative Maintenance as Investment, here as part of the Independent Textile Rental Association’s (ITRA) 2016 Mid-Year Training Conference &
Supplier Exhibits. “I just can’t stress enough to every laundry operator, if you have breakdowns, you shouldn’t,” Schurter says. “Your expectations should be no breakdowns. Our equipment is designed that it doesn’t break down—if we do our preventative maintenance.” How can preventative maintenance save a laundry money? Schurter offers the following scenario. An operation invests $7 million in equipment that should last 20 years. With preventative maintenance, a company might get another year out of the machines. “Twenty-one years; that’s 5%. Five percent on $7 million, you just saved $350,000 if we go from 20
years’ operation to 21,” he says. “The difference in equipment to replace, it’s often not technology, it’s just a difference between maintenance.”
GREAT EXPECTATIONS
The first lesson Schurter shared See PREVENT on Page 6
Training guidelines, proper techniques important for hospitality laundry staff The right tools and training lead to increased efficiency, guest satisfaction BY BILL BROOKS RIPON, Wis. — No matter what the professional industry may be, in order for employees to perform at their best, they need to be given the proper tools and training to do so. In the service and hospitality industry, where success depends on guest satisfaction, employee perfor-
mance is critical. Whether it’s an employee, such as a bellman or the concierge who come into contact with guests each day, or one who works behind the scenes in facility operations or the laundry room, every employee plays an important role in achieving and maintaining guest satisfaction. Therefore, it is important for a hotel to have procedures and policies in place to train laundry room staff to ensure that all linens— whether found in the guestrooms, spa, athletic facility or restaurant— are held to the highest standards before they reach hotel guests.
Not only does training laundry room staff help improve guest satisfaction, but having set policies and procedures in place also helps improve laundry room efficiency, ultimately booting the bottom line. TRAINING POLICIES AND PROCEDURES
Labor is the greatest expense in a laundry operation, representing an estimated 45-50% of a total laundry room budget. It is critical that labor is being used as efficiently as possible in order to maximize throughput and reduce operating costs. In order to do this, staff must be trained on
www.americanlaundrynews.com
INSIDE Columnist at Large Eric Frederick discusses the value of knowledge in textile purchasing.
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Part of effective maintenance supervision is setting a timeframe for preventative maintenance activities in a laundry. (Image licensed by Ingram Publishing)
how to properly use the equipment, as well as the overall laundry process. Regardless of the size of the hotel, it’s important that everyone undergoes the same training so that the full staff understands the daily goals and benchmarks, and knows what is expected of them to meet hotel guest needs. Having training guidelines and checklists accessible to employees after their initial training is an important resource for employees to refer back to if needed. Randy Dawes has worked for See TRAINING on Page 10
The Newspaper of Record for Laundry & Linen Management
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CLEAN Act Signed NYC Mayor Bill DeBlasio signs laundry licensing bill into law.
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DISTRIBUTORS DIRECTORY
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