Niliton

Dear Colleagues, You can feel it at NILIT sites worldwide – a spirit of change in every area of activity, as we are beginning to see results in both efficiency and quality . The change we launched in operations at Migdal HaEmek is proceeding successfully and is already in different stages of implementation at all our manufacturing facilities worldwide, led by plant managers in collaboration with employee teams. It is encouraging to see cooperation between the sites at our ongoing meetings.We see it in learning – sharing challenges and success stories, in conducting analysis and reaching conclusions, and of course in setting shared goals. Our aim is to promote increased efficiency and to assimilate a global organizational culture of continuous improvement. I am particularly satisfied with the progress we have made in the purchasing area which is apparent both at Midgal HaEmek and on the global level. We are making extensive progress in integrating S&OP processes in Israel and, in the near future, in our sites abroad.The goal of this process is to ensure that the relationship between manufacturing capabilities and sales requirements are optimally translated into action. In marketing, we continue to emphasize and showcase our special qualities through Sensil ® – the premium brand we developed that enjoys broad exposure at international exhibitions and in the professional media. Awareness of the advantages of Nylon 6.6 is growing among fabric manufacturers, leading brands and end users. Nonetheless, we cannot forget that this is a long process and that we must continue to invest significant efforts to achieve our goals. In the InformationTechnologies field, we are successfully implementing global analysis systems to provide our salespeople with beneficial tools for contending with market challenges. For the shop floor, we developed tools that utilize information from the machines in order to improve operational processes and performance (e.g. full bobbins, OEE etc.). To achieve our goals in operations, in managing the supply chain, in costing systems, branding processes and more, and to translate those goals into business results with sustainable growth, we are concurrently pushing ahead to bring about improvement in the commercial area as well.This activity begins with the Costing project (proper costing of products) and continues by setting appropriate sale prices for every market and every product so as to optimize profit for the company.This global project applies to all NILIT products, to all our sales offices and to all our customers. No less important is what you think and feel about the organization and how it operates. Further to the Organizational Health Index (OHI) survey that we conducted at the end of the last year at all our sites– and which we are happy to report received peak participation from NILIT personnel – we designed a systematic plan to leverage our strengths and contend with areas that need improvement as indicated by the survey. We believe that employees who realize their abilities, who are connected to the Company’s vision and who understand the processes taking place in the organization, create a healthier company with higher performance .Therefore, this year, we integrated personal development discussions into the performance evaluation process. In addition, we are currently working to establish a range of global and local professional forums intended to cultivate an ongoing dialogue and to enable each and every one of you to participate, impact and contribute to organizational processes. We are in the midst of a change process, and we still face a significant road ahead until we fully put in place a system focused on and designed for continuous improvement.To achieve our goals, we will continue, from time to time, to make necessary adjustments to the structure of our organization, all in the aim of making it stronger and more efficient. The appointments and promotions that were announced in November are in preparation for greater global leadership of ONE NILIT processes. They will enable us to increase global cooperation in the technological innovation field; focus on identifying new business opportunities in the marketing and commercial areas; and provide greater global management of our current initiatives. The five key efforts that await us in 2019 are: 1. Stabilizing work processes and integrating teamwork routines. 2. Improving manufacturing output and efficiency, while maintaining a safe work environment. 3. Growing profits. 4. Strictly managing costs. 5. Focusing on the customer. I would like to thank you for your partnership, persistence and support, and I am confident that together and for the benefit of all of us we will build a prosperous and sustainable future at NILIT and in the industry we lead. With wishes of a new year of prosperity and growth for NILIT, for you and for your family. Sincerely, Ilan Melamed General Manager Together with ONE NILIT From the General Manager Niliton |The Nilit Newspaper | Issue no.43 | December 2018 4