Do You Compu

Do You Compute?

With 1991 behind it, the scrap industry is hoping that the worst of the recession is over and that 1992 will herald the long-awaited market recovery.

The information available through today's computer systems can help scrap recyclers make smarter decisions and operate more efficiently.

BY PARIS WOLFE

Paris Wolfe is a writer based in Concord , Ohio .

Modern recyclers need more than their memories to track and analyze their scrap inventories, commodity prices, customer histories, and all sorts of other important business information. Dealing with the growing number of environmental, personnel, and community relations issues facing their businesses leaves them little time and energy to do double-duty as data bases. And so, the scrap recycling executive of the 1990s turns to the computer for this information.

     Helping them in their efforts are several computer vendors that offer software designed to collect and analyze scrap business data. Until recently, much of this software centered around accounting functions. Information on scrap sales and purchases would be entered as trucks crossed the scales. Using this data and a set of keystrokes, the computer could then update a whole system of files such as inventory, contract history, accounts payable, general ledger, freight use, and container tracking.

Now, these programs can analyze this information and turn it into a variety of reports. "In the past, we had reports that accountants wanted," notes Carl Williamson, president of Four Lakes Business Systems Inc. ( Madison , Wis. ). Now purchase and sales trends can be analyzed daily using new report options. "We can show you on No. 1 copper, for instance, the average price you paid for it in the current month and the past 12 months," he explains. The report could also show what No. 1 copper was sold for and calculate the profit margin.

Making Smarter Decisions

New functions in scrap-specific software also allow operators to track productivity, perform maintenance costing, control scrap quality, and even identify inventory discrepancies that may signal theft, among other options. Nevertheless, vendors say, some of the most important information computer automation systems can offer scrap recyclers are analyses of material purchases and sales.

"What's the hot mover? Are we stockpiling certain materials we're not selling? What commodities are unprofitable and how can we dispose of them?" These are just a few of the questions that today's software can answer, points out Joseph R. Floam, president of Consolidated Resources Inc. (CRI) ( Columbia , Md. ).

Although some may feel that these are the types of analyses that any smart scrap recycler should know off the top of his head, computerized reports can close the gap between perception and reality. For instance, notes Larry Smith, vice president of Shared Logic Group Inc. ( Maumee , Ohio ), scrap recyclers often accept materials they're not interested in so they can capture a more-valuable scrap item. Yet, a comparison of management reports might show that this strategy causes a company to lose thousands of dollars processing the less-desirable material, so it can make hundreds of dollars on a high-demand commodity.

The graphics available through some automated reports can also help make financial realities more easily understood by those who lack a degree in accounting. "Most people aren't trained in reading numbers, so graphs and spreadsheets are used to make the information more accessible," notes Williamson.

Gaining Access to Instant Information

"If someone calls to buy or sell, you can respond faster at a profitable price," says Williamson, adding to the list of potential benefits of computer use. How does a computer figure the best price? For the most part, in the same way that a human would—taking into account prices paid for material, what it costs to process, and what the market will bear. But the computer's calculation can also draw on analyses of a company's business history, offer extra control over numerical errors, and suggest a good price faster than any adding machine.

Some scrap-specific software even allow the operator to set a ceiling price for each type of material purchased. Scott Janis, director of operations for Adept Solutions ( Lincolnwood , Ill. ), explains how such programs work: "Let's say you don't want the price for aluminum cans to exceed 35 cents per pound. You could set this limit and if the user tries to override with a higher price, the computer would stop the transaction."

In general, computers in a scrap business can "speed up the buying process to get customers in and out faster and print a professional purchase receipt," adds Janis, noting, "In today's marketplace, customer service is everything."

Of course, vendors note, computers can help recyclers service their customers in other ways as well—and possible drum up some new business along the way. Imagine this scenario, for instance: A buyer sits at a desk in a yellow, windowless room dialing a telephone. Her numbers come from a list of local industrial operations. She asks to talk to the people in charge of scrap, quizzing them on what they do with their material. She hates this kind of cold calling, but she needs to get her company in to quote on the scrap.

A customer history culled from the computer's memory could make this job a little easier, says Smith, who suggests that scrap buyers try combining "warm" sales calls with account servicing. "You go through the system and ask who you haven't purchased scrap from in the last 60 days or so," he explains. This customer list can then be used to solicit scrap and identify any problems in serving these accounts. "If you haven't done business with them in 60 days there must be a reason," Smith says. "It could be pricing. It could be service. If you're not buying from them, someone else is."

Making It All Work

As software has evolved, so has computer hardware and peripheral products, often enabling users to expand their automation horizons. According to Janis, the trend is going toward color monitors, which typically offer better clarity than monochrome screens, and networks, which link together the personal computers within a company and can even allow different locations to share information. In addition, he notes, "Systems are basically faster and more pleasant to use than a few years ago."

Technological advances have also put new types of computer products within reach of scrap recyclers. For instance, handheld units like those used to take inventory in supermarkets are making scrap plant automation portable. According to Floam, whose company is now marketing handheld computers for use with a scrap-specific software package, these small units can be helpful in tracking commodity purchases at offsite buyback centers. Using the portable printer, an operator can print purchase tickets, cash-out reports, and purchase summaries at the remote location.

Or, a truck driver could use the portable machine to track containers dropped off at or picked up from vendor sites and print a container service report. Routing sheets can also be sent electronically to the handheld computer, Floam notes, so the truck driver doesn't even have to visit the office.

A Midwestern scrap recycling company is looking at the system to track the location its containers and frequency of service to them. Reports generated from the information the firm collects would allow it to monitor driver productivity and tighten routes if necessary, Floam says. Furthermore, he notes, data from the system can keep the company better informed of whether customers are abusing containers, how many containers are in inventory, and which customers are actually using their containers. Containers at nonproductive accounts can then be removed and additional containers sent to those who would fill them more frequently.

CRI is also developing scrap plant computer systems that use barcodes and radio frequency technology to track containers as well as nonferrous and nonmetallic scrap. For example, an aluminum bale or a gaylord of copper could be labeled with a small sticker adorned with a zebra-like series of lines that store data about who the material was purchased from, how much it weighs, and how long it's been warehoused. Using this system, Floam suggests, a plant employee can take inventory by simply scanning the tags with a barcode reader or, in the case of radio frequency tags, walking through the plant with a handheld computer equipped with an antenna.

Besides offering efficiency in terms of data entry, barcodes and other new automation technologies may also help recyclers solve quality control problems by increasing accountability. "If you ship material out and it is rejected, you will know where it came from," explains Floam.

This ability to automatically track data may be a boon to meeting tag-and-hold and other environmental reporting requirements as well. No one has yet created a program to address these needs, but several vendors say it is possible if a customer requests the help.

As a matter of fact, many of the newer applications found in scrap-specific software are offshoots of modifications that scrap recyclers have asked vendors to include in their software programs to meet additional needs.

And, in all likelihood, the computer products to come will be based on meeting recyclers' latest demands.

In any case, computer software and hardware vendors seem certain that whatever programs or machines they come up with, they'll help scrap recyclers take advantage of more than their memories in managing their businesses. After all, as Smith points out, "Sometimes the activity in the recycling industry is so hectic that you can't just work on intuition."

Beyond the Basics

Computer literacy can turn the average scrap recycling executive into a computer junkie. Once a scrap management program has loosed the fingers on the keyboard, it only makes sense to automate other information management.

More than 10 million software programs exist for IBM -compatible computers, according to Lawrence J. Resetar, president of the Computer Clinic ( Chardon , Ohio ). Some of the more popular options for small businesses, he says, include the following:

• Desktop publishing. From easy-on-the-budget basic to the more complex, these programs graphically package information. Many small businesses use these programs to create mailers and flyers for customer communication, while others put them to use in designing company newsletters.

• Software support. For a fee of $200 or so, the buyer gets a toll-free telephone number to dial for computer assistance. Support is typically available around the clock and the subscription usually lasts for one year.

• Virus protection. For about $100, computer users can protect their investment from a variety programs that spread system corruption between computers. Some of these "diseases" simply send friendly messages—like telling users to go home on holidays. Others wipe out data. Viruses are usually spread through public domain software or shareware. If you're not obtaining your software that way, says Resetar, you may not need to add on this expense.

The computer enthusiast may also wish to check out programs that automate a personal telephone book, organize a daily calendar, or record sales call information complete with a reminder system. If a need for information management exists, a local computer vendor can probably offer a solution. And, even if a need doesn't exist, a visit to computer software store can inspire new needs for business tools and toys.  —P.W.

Accessing the Outside World

Computers help organize information inside a business. And, they can be used to bring in outside information. When they set up a scrap-specific software package, vendors usually include a modem for service and training support. This piece of equipment enables the software supplier to communicate, via telephone lines, from his computer to the computer in the scrap firm's office.

In addition to remote support, a modem and a telecommunications package can make it easier for a manager to work from home or other locations. He simply needs to dial into the company's computer from the remote computer—and it's almost like being at his desk.

A modem opens other doors. On-line information services like Knight-Ridder, CompuServe, and Reuters offer subscribers access to thousands of data bases, that can provide up-to-the-minute commodity market quotes, outline the latest news on used oil regulations, or research the financial data of major U.S. steelmakers. —P.W.

What Do Those Terms Mean?

286, 386, 486: The speed of a computer. The 80286 chip is the earliest and slowest in processing information. The 80386 was introduced about two years ago and is faster than the 286. The recently introduced 80486 is even faster.

CPU, or central processing unit: The "brain" where instructions are fetched, decoded, and executed. Some people also use this term to refer to the rectangular piece of hardware that usually sits on top of the desk and contains the primary processing chip as well as the hard disk, power supply, and other components.

Disk: A platter, coated with material that can be magnetized to store bits of information in concentric circular paths, called tracks, on either side of its surface. Hard disks are rigid, fixed parts of computer hardware. Floppy disks have less memory space and are portable.

Disk drive: A unit that reads and writes data stored on a disk.

EGA, VGA: The graphic quality of a monitor. EGA stands for enhanced graphics adapter. VGA, video graphics adapter, presents a better quality image. Super VGA is one step better. Typical small businesses don't need the highest resolution screen, consultants say.

Hardware: The physical equipment and components in a computer system, such as the CPU, keyboard, printer, monitor, and modem.

Modem: Acronym for modulator-demodulator. It's a device that converts digital data output from a computer into analog data that can be transmitted over telephone lines. It also converts analog data into digital data that can be accepted by a computer on the other end of the telephone line.

Network: A system consisting of a computer (or computers) and the connected terminals and related devices, such as modems, printers, and other hardware.

PC, or personal computer: A desktop CPU running one of several different operating systems such as DOS, Windows or MacIntosh-OS. (Many people consider only IBM -compatible machines to be PCs.)

Peripherals: Add-on devices such as printers, scanners, fax modems, and external disk drives.

Program: A logically arranged set of statements defining the operations to be performed by a computer in order to achieve the desired result.

Software: Programs, languages, and/or routines that control the operations of a computer in solving a given problem.

Do You Compute?

With 1991 behind it, the scrap industry is hoping that the worst of the recession is over and that 1992 will herald the long-awaited market recovery.

The information available through today's computer systems can help scrap recyclers make smarter decisions and operate more efficiently.

BY PARIS WOLFE

Paris Wolfe is a writer based in Concord , Ohio .

Modern recyclers need more than their memories to track and analyze their scrap inventories, commodity prices, customer histories, and all sorts of other important business information. Dealing with the growing number of environmental, personnel, and community relations issues facing their businesses leaves them little time and energy to do double-duty as data bases. And so, the scrap recycling executive of the 1990s turns to the computer for this information.

     Helping them in their efforts are several computer vendors that offer software designed to collect and analyze scrap business data. Until recently, much of this software centered around accounting functions. Information on scrap sales and purchases would be entered as trucks crossed the scales. Using this data and a set of keystrokes, the computer could then update a whole system of files such as inventory, contract history, accounts payable, general ledger, freight use, and container tracking.

Now, these programs can analyze this information and turn it into a variety of reports. "In the past, we had reports that accountants wanted," notes Carl Williamson, president of Four Lakes Business Systems Inc. ( Madison , Wis. ). Now purchase and sales trends can be analyzed daily using new report options. "We can show you on No. 1 copper, for instance, the average price you paid for it in the current month and the past 12 months," he explains. The report could also show what No. 1 copper was sold for and calculate the profit margin.

Making Smarter Decisions

New functions in scrap-specific software also allow operators to track productivity, perform maintenance costing, control scrap quality, and even identify inventory discrepancies that may signal theft, among other options. Nevertheless, vendors say, some of the most important information computer automation systems can offer scrap recyclers are analyses of material purchases and sales.

"What's the hot mover? Are we stockpiling certain materials we're not selling? What commodities are unprofitable and how can we dispose of them?" These are just a few of the questions that today's software can answer, points out Joseph R. Floam, president of Consolidated Resources Inc. (CRI) ( Columbia , Md. ).

Although some may feel that these are the types of analyses that any smart scrap recycler should know off the top of his head, computerized reports can close the gap between perception and reality. For instance, notes Larry Smith, vice president of Shared Logic Group Inc. ( Maumee , Ohio ), scrap recyclers often accept materials they're not interested in so they can capture a more-valuable scrap item. Yet, a comparison of management reports might show that this strategy causes a company to lose thousands of dollars processing the less-desirable material, so it can make hundreds of dollars on a high-demand commodity.

The graphics available through some automated reports can also help make financial realities more easily understood by those who lack a degree in accounting. "Most people aren't trained in reading numbers, so graphs and spreadsheets are used to make the information more accessible," notes Williamson.

Gaining Access to Instant Information

"If someone calls to buy or sell, you can respond faster at a profitable price," says Williamson, adding to the list of potential benefits of computer use. How does a computer figure the best price? For the most part, in the same way that a human would—taking into account prices paid for material, what it costs to process, and what the market will bear. But the computer's calculation can also draw on analyses of a company's business history, offer extra control over numerical errors, and suggest a good price faster than any adding machine.

Some scrap-specific software even allow the operator to set a ceiling price for each type of material purchased. Scott Janis, director of operations for Adept Solutions ( Lincolnwood , Ill. ), explains how such programs work: "Let's say you don't want the price for aluminum cans to exceed 35 cents per pound. You could set this limit and if the user tries to override with a higher price, the computer would stop the transaction."

In general, computers in a scrap business can "speed up the buying process to get customers in and out faster and print a professional purchase receipt," adds Janis, noting, "In today's marketplace, customer service is everything."

Of course, vendors note, computers can help recyclers service their customers in other ways as well—and possible drum up some new business along the way. Imagine this scenario, for instance: A buyer sits at a desk in a yellow, windowless room dialing a telephone. Her numbers come from a list of local industrial operations. She asks to talk to the people in charge of scrap, quizzing them on what they do with their material. She hates this kind of cold calling, but she needs to get her company in to quote on the scrap.

A customer history culled from the computer's memory could make this job a little easier, says Smith, who suggests that scrap buyers try combining "warm" sales calls with account servicing. "You go through the system and ask who you haven't purchased scrap from in the last 60 days or so," he explains. This customer list can then be used to solicit scrap and identify any problems in serving these accounts. "If you haven't done business with them in 60 days there must be a reason," Smith says. "It could be pricing. It could be service. If you're not buying from them, someone else is."

Making It All Work

As software has evolved, so has computer hardware and peripheral products, often enabling users to expand their automation horizons. According to Janis, the trend is going toward color monitors, which typically offer better clarity than monochrome screens, and networks, which link together the personal computers within a company and can even allow different locations to share information. In addition, he notes, "Systems are basically faster and more pleasant to use than a few years ago."

Technological advances have also put new types of computer products within reach of scrap recyclers. For instance, handheld units like those used to take inventory in supermarkets are making scrap plant automation portable. According to Floam, whose company is now marketing handheld computers for use with a scrap-specific software package, these small units can be helpful in tracking commodity purchases at offsite buyback centers. Using the portable printer, an operator can print purchase tickets, cash-out reports, and purchase summaries at the remote location.

Or, a truck driver could use the portable machine to track containers dropped off at or picked up from vendor sites and print a container service report. Routing sheets can also be sent electronically to the handheld computer, Floam notes, so the truck driver doesn't even have to visit the office.

A Midwestern scrap recycling company is looking at the system to track the location its containers and frequency of service to them. Reports generated from the information the firm collects would allow it to monitor driver productivity and tighten routes if necessary, Floam says. Furthermore, he notes, data from the system can keep the company better informed of whether customers are abusing containers, how many containers are in inventory, and which customers are actually using their containers. Containers at nonproductive accounts can then be removed and additional containers sent to those who would fill them more frequently.

CRI is also developing scrap plant computer systems that use barcodes and radio frequency technology to track containers as well as nonferrous and nonmetallic scrap. For example, an aluminum bale or a gaylord of copper could be labeled with a small sticker adorned with a zebra-like series of lines that store data about who the material was purchased from, how much it weighs, and how long it's been warehoused. Using this system, Floam suggests, a plant employee can take inventory by simply scanning the tags with a barcode reader or, in the case of radio frequency tags, walking through the plant with a handheld computer equipped with an antenna.

Besides offering efficiency in terms of data entry, barcodes and other new automation technologies may also help recyclers solve quality control problems by increasing accountability. "If you ship material out and it is rejected, you will know where it came from," explains Floam.

This ability to automatically track data may be a boon to meeting tag-and-hold and other environmental reporting requirements as well. No one has yet created a program to address these needs, but several vendors say it is possible if a customer requests the help.

As a matter of fact, many of the newer applications found in scrap-specific software are offshoots of modifications that scrap recyclers have asked vendors to include in their software programs to meet additional needs.

And, in all likelihood, the computer products to come will be based on meeting recyclers' latest demands.

In any case, computer software and hardware vendors seem certain that whatever programs or machines they come up with, they'll help scrap recyclers take advantage of more than their memories in managing their businesses. After all, as Smith points out, "Sometimes the activity in the recycling industry is so hectic that you can't just work on intuition."

Beyond the Basics

Computer literacy can turn the average scrap recycling executive into a computer junkie. Once a scrap management program has loosed the fingers on the keyboard, it only makes sense to automate other information management.

More than 10 million software programs exist for IBM -compatible computers, according to Lawrence J. Resetar, president of the Computer Clinic ( Chardon , Ohio ). Some of the more popular options for small businesses, he says, include the following:

• Desktop publishing. From easy-on-the-budget basic to the more complex, these programs graphically package information. Many small businesses use these programs to create mailers and flyers for customer communication, while others put them to use in designing company newsletters.

• Software support. For a fee of $200 or so, the buyer gets a toll-free telephone number to dial for computer assistance. Support is typically available around the clock and the subscription usually lasts for one year.

• Virus protection. For about $100, computer users can protect their investment from a variety programs that spread system corruption between computers. Some of these "diseases" simply send friendly messages—like telling users to go home on holidays. Others wipe out data. Viruses are usually spread through public domain software or shareware. If you're not obtaining your software that way, says Resetar, you may not need to add on this expense.

The computer enthusiast may also wish to check out programs that automate a personal telephone book, organize a daily calendar, or record sales call information complete with a reminder system. If a need for information management exists, a local computer vendor can probably offer a solution. And, even if a need doesn't exist, a visit to computer software store can inspire new needs for business tools and toys.  —P.W.

Accessing the Outside World

Computers help organize information inside a business. And, they can be used to bring in outside information. When they set up a scrap-specific software package, vendors usually include a modem for service and training support. This piece of equipment enables the software supplier to communicate, via telephone lines, from his computer to the computer in the scrap firm's office.

In addition to remote support, a modem and a telecommunications package can make it easier for a manager to work from home or other locations. He simply needs to dial into the company's computer from the remote computer—and it's almost like being at his desk.

A modem opens other doors. On-line information services like Knight-Ridder, CompuServe, and Reuters offer subscribers access to thousands of data bases, that can provide up-to-the-minute commodity market quotes, outline the latest news on used oil regulations, or research the financial data of major U.S. steelmakers. —P.W.

What Do Those Terms Mean?

286, 386, 486: The speed of a computer. The 80286 chip is the earliest and slowest in processing information. The 80386 was introduced about two years ago and is faster than the 286. The recently introduced 80486 is even faster.

CPU, or central processing unit: The "brain" where instructions are fetched, decoded, and executed. Some people also use this term to refer to the rectangular piece of hardware that usually sits on top of the desk and contains the primary processing chip as well as the hard disk, power supply, and other components.

Disk: A platter, coated with material that can be magnetized to store bits of information in concentric circular paths, called tracks, on either side of its surface. Hard disks are rigid, fixed parts of computer hardware. Floppy disks have less memory space and are portable.

Disk drive: A unit that reads and writes data stored on a disk.

EGA, VGA: The graphic quality of a monitor. EGA stands for enhanced graphics adapter. VGA, video graphics adapter, presents a better quality image. Super VGA is one step better. Typical small businesses don't need the highest resolution screen, consultants say.

Hardware: The physical equipment and components in a computer system, such as the CPU, keyboard, printer, monitor, and modem.

Modem: Acronym for modulator-demodulator. It's a device that converts digital data output from a computer into analog data that can be transmitted over telephone lines. It also converts analog data into digital data that can be accepted by a computer on the other end of the telephone line.

Network: A system consisting of a computer (or computers) and the connected terminals and related devices, such as modems, printers, and other hardware.

PC, or personal computer: A desktop CPU running one of several different operating systems such as DOS, Windows or MacIntosh-OS. (Many people consider only IBM -compatible machines to be PCs.)

Peripherals: Add-on devices such as printers, scanners, fax modems, and external disk drives.

Program: A logically arranged set of statements defining the operations to be performed by a computer in order to achieve the desired result.

Software: Programs, languages, and/or routines that control the operations of a computer in solving a given problem.

Do You Compute?

With 1991 behind it, the scrap industry is hoping that the worst of the recession is over and that 1992 will herald the long-awaited market recovery.

The information available through today's computer systems can help scrap recyclers make smarter decisions and operate more efficiently.

BY PARIS WOLFE

Paris Wolfe is a writer based in Concord , Ohio .

Modern recyclers need more than their memories to track and analyze their scrap inventories, commodity prices, customer histories, and all sorts of other important business information. Dealing with the growing number of environmental, personnel, and community relations issues facing their businesses leaves them little time and energy to do double-duty as data bases. And so, the scrap recycling executive of the 1990s turns to the computer for this information.

     Helping them in their efforts are several computer vendors that offer software designed to collect and analyze scrap business data. Until recently, much of this software centered around accounting functions. Information on scrap sales and purchases would be entered as trucks crossed the scales. Using this data and a set of keystrokes, the computer could then update a whole system of files such as inventory, contract history, accounts payable, general ledger, freight use, and container tracking.

Now, these programs can analyze this information and turn it into a variety of reports. "In the past, we had reports that accountants wanted," notes Carl Williamson, president of Four Lakes Business Systems Inc. ( Madison , Wis. ). Now purchase and sales trends can be analyzed daily using new report options. "We can show you on No. 1 copper, for instance, the average price you paid for it in the current month and the past 12 months," he explains. The report could also show what No. 1 copper was sold for and calculate the profit margin.

Making Smarter Decisions

New functions in scrap-specific software also allow operators to track productivity, perform maintenance costing, control scrap quality, and even identify inventory discrepancies that may signal theft, among other options. Nevertheless, vendors say, some of the most important information computer automation systems can offer scrap recyclers are analyses of material purchases and sales.

"What's the hot mover? Are we stockpiling certain materials we're not selling? What commodities are unprofitable and how can we dispose of them?" These are just a few of the questions that today's software can answer, points out Joseph R. Floam, president of Consolidated Resources Inc. (CRI) ( Columbia , Md. ).

Although some may feel that these are the types of analyses that any smart scrap recycler should know off the top of his head, computerized reports can close the gap between perception and reality. For instance, notes Larry Smith, vice president of Shared Logic Group Inc. ( Maumee , Ohio ), scrap recyclers often accept materials they're not interested in so they can capture a more-valuable scrap item. Yet, a comparison of management reports might show that this strategy causes a company to lose thousands of dollars processing the less-desirable material, so it can make hundreds of dollars on a high-demand commodity.

The graphics available through some automated reports can also help make financial realities more easily understood by those who lack a degree in accounting. "Most people aren't trained in reading numbers, so graphs and spreadsheets are used to make the information more accessible," notes Williamson.

Gaining Access to Instant Information

"If someone calls to buy or sell, you can respond faster at a profitable price," says Williamson, adding to the list of potential benefits of computer use. How does a computer figure the best price? For the most part, in the same way that a human would—taking into account prices paid for material, what it costs to process, and what the market will bear. But the computer's calculation can also draw on analyses of a company's business history, offer extra control over numerical errors, and suggest a good price faster than any adding machine.

Some scrap-specific software even allow the operator to set a ceiling price for each type of material purchased. Scott Janis, director of operations for Adept Solutions ( Lincolnwood , Ill. ), explains how such programs work: "Let's say you don't want the price for aluminum cans to exceed 35 cents per pound. You could set this limit and if the user tries to override with a higher price, the computer would stop the transaction."

In general, computers in a scrap business can "speed up the buying process to get customers in and out faster and print a professional purchase receipt," adds Janis, noting, "In today's marketplace, customer service is everything."

Of course, vendors note, computers can help recyclers service their customers in other ways as well—and possible drum up some new business along the way. Imagine this scenario, for instance: A buyer sits at a desk in a yellow, windowless room dialing a telephone. Her numbers come from a list of local industrial operations. She asks to talk to the people in charge of scrap, quizzing them on what they do with their material. She hates this kind of cold calling, but she needs to get her company in to quote on the scrap.

A customer history culled from the computer's memory could make this job a little easier, says Smith, who suggests that scrap buyers try combining "warm" sales calls with account servicing. "You go through the system and ask who you haven't purchased scrap from in the last 60 days or so," he explains. This customer list can then be used to solicit scrap and identify any problems in serving these accounts. "If you haven't done business with them in 60 days there must be a reason," Smith says. "It could be pricing. It could be service. If you're not buying from them, someone else is."

Making It All Work

As software has evolved, so has computer hardware and peripheral products, often enabling users to expand their automation horizons. According to Janis, the trend is going toward color monitors, which typically offer better clarity than monochrome screens, and networks, which link together the personal computers within a company and can even allow different locations to share information. In addition, he notes, "Systems are basically faster and more pleasant to use than a few years ago."

Technological advances have also put new types of computer products within reach of scrap recyclers. For instance, handheld units like those used to take inventory in supermarkets are making scrap plant automation portable. According to Floam, whose company is now marketing handheld computers for use with a scrap-specific software package, these small units can be helpful in tracking commodity purchases at offsite buyback centers. Using the portable printer, an operator can print purchase tickets, cash-out reports, and purchase summaries at the remote location.

Or, a truck driver could use the portable machine to track containers dropped off at or picked up from vendor sites and print a container service report. Routing sheets can also be sent electronically to the handheld computer, Floam notes, so the truck driver doesn't even have to visit the office.

A Midwestern scrap recycling company is looking at the system to track the location its containers and frequency of service to them. Reports generated from the information the firm collects would allow it to monitor driver productivity and tighten routes if necessary, Floam says. Furthermore, he notes, data from the system can keep the company better informed of whether customers are abusing containers, how many containers are in inventory, and which customers are actually using their containers. Containers at nonproductive accounts can then be removed and additional containers sent to those who would fill them more frequently.

CRI is also developing scrap plant computer systems that use barcodes and radio frequency technology to track containers as well as nonferrous and nonmetallic scrap. For example, an aluminum bale or a gaylord of copper could be labeled with a small sticker adorned with a zebra-like series of lines that store data about who the material was purchased from, how much it weighs, and how long it's been warehoused. Using this system, Floam suggests, a plant employee can take inventory by simply scanning the tags with a barcode reader or, in the case of radio frequency tags, walking through the plant with a handheld computer equipped with an antenna.

Besides offering efficiency in terms of data entry, barcodes and other new automation technologies may also help recyclers solve quality control problems by increasing accountability. "If you ship material out and it is rejected, you will know where it came from," explains Floam.

This ability to automatically track data may be a boon to meeting tag-and-hold and other environmental reporting requirements as well. No one has yet created a program to address these needs, but several vendors say it is possible if a customer requests the help.

As a matter of fact, many of the newer applications found in scrap-specific software are offshoots of modifications that scrap recyclers have asked vendors to include in their software programs to meet additional needs.

And, in all likelihood, the computer products to come will be based on meeting recyclers' latest demands.

In any case, computer software and hardware vendors seem certain that whatever programs or machines they come up with, they'll help scrap recyclers take advantage of more than their memories in managing their businesses. After all, as Smith points out, "Sometimes the activity in the recycling industry is so hectic that you can't just work on intuition."

Beyond the Basics

Computer literacy can turn the average scrap recycling executive into a computer junkie. Once a scrap management program has loosed the fingers on the keyboard, it only makes sense to automate other information management.

More than 10 million software programs exist for IBM -compatible computers, according to Lawrence J. Resetar, president of the Computer Clinic ( Chardon , Ohio ). Some of the more popular options for small businesses, he says, include the following:

• Desktop publishing. From easy-on-the-budget basic to the more complex, these programs graphically package information. Many small businesses use these programs to create mailers and flyers for customer communication, while others put them to use in designing company newsletters.

• Software support. For a fee of $200 or so, the buyer gets a toll-free telephone number to dial for computer assistance. Support is typically available around the clock and the subscription usually lasts for one year.

• Virus protection. For about $100, computer users can protect their investment from a variety programs that spread system corruption between computers. Some of these "diseases" simply send friendly messages—like telling users to go home on holidays. Others wipe out data. Viruses are usually spread through public domain software or shareware. If you're not obtaining your software that way, says Resetar, you may not need to add on this expense.

The computer enthusiast may also wish to check out programs that automate a personal telephone book, organize a daily calendar, or record sales call information complete with a reminder system. If a need for information management exists, a local computer vendor can probably offer a solution. And, even if a need doesn't exist, a visit to computer software store can inspire new needs for business tools and toys.  —P.W.

Accessing the Outside World

Computers help organize information inside a business. And, they can be used to bring in outside information. When they set up a scrap-specific software package, vendors usually include a modem for service and training support. This piece of equipment enables the software supplier to communicate, via telephone lines, from his computer to the computer in the scrap firm's office.

In addition to remote support, a modem and a telecommunications package can make it easier for a manager to work from home or other locations. He simply needs to dial into the company's computer from the remote computer—and it's almost like being at his desk.

A modem opens other doors. On-line information services like Knight-Ridder, CompuServe, and Reuters offer subscribers access to thousands of data bases, that can provide up-to-the-minute commodity market quotes, outline the latest news on used oil regulations, or research the financial data of major U.S. steelmakers. —P.W.

What Do Those Terms Mean?

286, 386, 486: The speed of a computer. The 80286 chip is the earliest and slowest in processing information. The 80386 was introduced about two years ago and is faster than the 286. The recently introduced 80486 is even faster.

CPU, or central processing unit: The "brain" where instructions are fetched, decoded, and executed. Some people also use this term to refer to the rectangular piece of hardware that usually sits on top of the desk and contains the primary processing chip as well as the hard disk, power supply, and other components.

Disk: A platter, coated with material that can be magnetized to store bits of information in concentric circular paths, called tracks, on either side of its surface. Hard disks are rigid, fixed parts of computer hardware. Floppy disks have less memory space and are portable.

Disk drive: A unit that reads and writes data stored on a disk.

EGA, VGA: The graphic quality of a monitor. EGA stands for enhanced graphics adapter. VGA, video graphics adapter, presents a better quality image. Super VGA is one step better. Typical small businesses don't need the highest resolution screen, consultants say.

Hardware: The physical equipment and components in a computer system, such as the CPU, keyboard, printer, monitor, and modem.

Modem: Acronym for modulator-demodulator. It's a device that converts digital data output from a computer into analog data that can be transmitted over telephone lines. It also converts analog data into digital data that can be accepted by a computer on the other end of the telephone line.

Network: A system consisting of a computer (or computers) and the connected terminals and related devices, such as modems, printers, and other hardware.

PC, or personal computer: A desktop CPU running one of several different operating systems such as DOS, Windows or MacIntosh-OS. (Many people consider only IBM -compatible machines to be PCs.)

Peripherals: Add-on devices such as printers, scanners, fax modems, and external disk drives.

Program: A logically arranged set of statements defining the operations to be performed by a computer in order to achieve the desired result.

Software: Programs, languages, and/or routines that control the operations of a computer in solving a given problem.