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ESPRESSO BOOK MACHINE
Abdullah Binshaieg, Dennis Saneski, Becca Samelson
IT Department
Technology
Automatic book printer, binder, trimmer Makes publisher-quality books
On board computer Google Books
Espresso Book Machine
Technology
Prints in 3 ½ minutes per book (depending on the size)
Average cost of printing a book around $5 per book Cost includes publisher fees, Google Books
fee, On Demand Books fee, and materials
Business Impact
Allows us to: Lower our inventory(and Depreciation
Expense)
Reduce Cost of Goods Sold
Lower labor costs
Reduce property expenses
Increase our net income
Income Statement 2008(In Millions of US Dollars)
Before EBM
After EBM*
Net Sales $3,280.0 $3,280.0
GOGS (excluding depreciation) $2,380.0 $2,142.0
Operating Expenses $839.6 $587.7
Other Expenses (including
depreciation)$209.1 $104.6
Earnings Before Interest and
Taxes- $148.7 $445.7
Estimated Savings from EBM $594.4*After EBM column is an estimate of potential savings
