Following intensive discussions a works agreement about the introduction of a new pay system was concluded by the Executive Management Board and Works Council in June 2006. The framework pay agreement came into force at all KHS GmbH plants in Germany on January 1, 2007. The agreement includes for example:

• Special pay scale grouping and complaints procedure
• Common performance appraisal for all staff
• Abolition of the traditional distinction between blue and white collar workers.
  

Pay scale grouping for all staff was performed by a committee comprising an equal representation of members. IG-Metall Dortmund, a local branch of the German metal workers union, described the introduction of the framework pay agreement at KHS as "exemplary".

The excellent rating for the health of KHS staff compared with other sectors of the industry indicates that quantifiable positive results have been brought about by the continuous advancement program in the labor organization, in particular with regard to the advancement program and health care. The company has taken a further step forward by introducing an optimized works agreement in the fall of 2008. Since then, this has not only been implemented at the company's Dortmund site, but across KHS GmbH as a whole. The company medical officer is on hand to advise staff about issues and problems relating to alcohol or other addictive substances and is happy to offer help or make a referral if requested or necessary.

Qualified staff are the backbone for every business. It is therefore essential to invest in recruitment and training as well as ensuring consistent further training. At KHS young professionals can apply for all technical and commercial positions found at an industrial company in the mechanical engineering sector.

In 2009, KHS employs 209 trainees in Germany alone, investing some EUR 70,000 in each one during the course of their apprenticeship. This includes an IT package given to each trainee, consisting of a notebook, digital camera and software, which students are allowed to keep at the end of three years. Each apprenticeship kicks off with a one-week induction seminar to introduce trainees to all areas of the company as well as to their fellow-students. Every trainee also attends an in-house English course that forms part of the company's further training program.

Depending on the size of the company, its high quality standards and the international orientation of the business, personnel recruitment at KHS is generally aimed at a target group of highly qualified employees and executive managers. One important instrument for the proactive recruitment of such young professionals is the KHS university recruitment program. This involves cooperation with leading universities at both a regional and international level. This program has its sights set on students, graduates and young professionals from a number of different fields. Key sectors are mechanical and electrical engineering, mechatronics, beverage technology, process engineering, IT and industrial engineering. Close cooperation with selected target universities helps to raise the KHS profile among students. The systematic organization of contact events such as excursions, guest lectures or attendance of specific university fairs by KHS enables the company to directly address the top students and graduates from each discipline. Offering course-related internships, part-time jobs for students at KHS or specialist advice about their practical final degree projects are opportunities that are eagerly taken up by many students. Some facts and figures for 2008

• 1,200 university applicants
• 96 students employed at KHS
• 35 degree projects already completed

When it comes to its strategy for growth, the company predominantly relies on high-quality sustainable growth. This is why KHS consistently gears its business operations to ensure it can offer premium-quality products and services to customers anywhere in the world at all times. For years KHS has followed the guiding principle: Everything revolves around the customer. This principle also applies to the global advancement of the group, ensuring an international presence with its own sites and safeguarding stringent quality standards in terms of suppliers and logistics in the preliminary stages of production.

As an international organization KHS operates a global production network. Production plants in Germany, India, the USA, Brazil, Mexico and China allow the group to maintain vital local contacts to their global customers. They benefit from time and cost savings thanks to on-site manufacturing and rely on the fast delivery of spare parts worldwide as well as services performed by KHS technicians. The group maintains a direct and trusting relationship with customers through its distribution and service networks as well as its offices based in over 60 countries.

KHS verbessert ständig die Lieferperformance und wählt nach einem festgelegten Kriterienkatalog nur besonders geeignete Lieferanten aus, die unter anderem

• nahezu ausschließlich recyclingfähiges Material für die Verpackung einsetzen dürfen,
• am Kreislaufsystem zum Vermindern des Verpackungsmaterials teilnehmen,
• mit speziellen Sicherheitsdatenblättern den Einsatz unerlässlicher Schadstoffe reduzieren
• sich regelmäßigen Lieferantenaudits und einer jährlichen Lieferantenbewertungen unterziehen und
• in die Supply Chain einbezogen sind.

KHS arbeitet regelmäßig mit Instituten wie dem Fraunhofer Institut zusammen um Abläufe permanent zu verbessern und Verschwendung jeglicher Art in der gesamten Prozesskette zu vermeiden

Labeling technology: A new automatic roll-fed labeling unit, the Autosplicer, is a purely mechanical system and operates without a high-energy vacuum system. This enables the customer to do without the costly use of compressed air, thus making a marked energy saving. The new autosplice system is also simpler to operate, thereby improving efficiency of the machine and the entire line.

Cleaning technology: A specific reduction in material on the side walls reduces weight by some 20 to 25 percent compared with conventional steel bottle carriers. Less carrier mass means a reduction in heat and caustic carryover. This immediately reduces the energy and fresh water consumption in the bottle washing machine.

Filling technology: Vacuum pumps are a permanent fixture in KHS beer filling concepts. They ensure gas exchange with low pressure levels. The mean value calculated for a conventional vacuum pump is a water consumption of 12 liters per hectoliter of beer. The Eco vacuum pump consumes just 0.3 liters of water per hectoliter (i.e. a reduction of 97.5 percent).

Packaging technology: The thickness of film used for processing can be reduced from 40 to 30 microns with a new film-cutting and transport system. The benefit for the customer is 33 percent more film capacity per roll, resulting in longer running times. A new film roll end detection system saves some 0.8 kg of film per roll of film. With a mean running time of 20 minutes per roll this results in a saving and waste reduction of some 50 kg of film per day during three-shift operation.