Author Archive

ALAW celebrates 20 years

May 15th, 2013
By: Tim Heston

Mariana Forrest perhaps knows ALAW® better than anyone. The president of laser consulting firm LASAP Inc., based in Troy Mich., has attended all 20 conferences. She was there back when it was called the Automotive Laser Applications Workshop, and in recent years, after the event was broadened and renamed (though conveniently keeping the same acronym) the Advanced Laser Applications Workshop.

During a brief presentation at this year’s event--organized by the Fabricators & Manufacturers Association Intl.® and held in Livonia, Mich., May 2-3--Forrest recalled all the years presenters from around the world, including Japan and Germany, came to Michigan to show advanced laser applications in automotive.

For many of those years North American automotive engineers were wary of the laser’s suitability for automotive applications, especially for body-in-white. Body panels had yet to be designed for laser processing. Unlike resistance spot welding, the laser needed to access a workpiece from just one side. But it also required precise fit-up. Then there were those ugly marks on coated material left by that pesky zinc outgassing.

What a difference two decades makes.

(more...)

It is not just business

April 23rd, 2013
By: Tim Heston

Troy Berg, president of Dane Manufacturing, a contract fabricator in rural Dane, Wis., attends equipment auctions not just to find a deal on equipment, but to learn. With success comes confidence and determination; with failure comes soul-searching, self-scrutiny and, quite often, unfiltered truth.

Berg has gotten quite a bit of truth. This morning, he told me of an auction visit in 2007 to a large fabricator on the West Coast. It was an unusual opportunity, because only half the shop was shuttered. He and other fabricators were in an idle portion of the shop full of lightly used, high-quality laser cutting machines, press brakes, and high-end material handling. The other half of the floor was still humming. Punch presses, lasers, and the buzz of welding arcs permeated the place.

Berg didn’t buy anything, but he did see a man in a blue maintenance shirt, and he walked over and introduced himself. They started chatting. Then Berg, like a true investigative reporter, dove in and asked the question: “So what the heck happened here?”

(more...)

Careers for manufacturing professionals, not button pushers

April 15th, 2013
By: Tim Heston

When it comes to the economy, everyone may be fretting about unknowns, yet manufacturing still is making headlines--this week on TIME magazine’s cover. The article tells a familiar story: Manufacturing is back, but don’t expect the industry to hire people en masse. Automation has reduced the number of people necessary to make a widget, and the people who remain must be technically savvy and think on their feet. In the middle of the article, the magazine spread shows a battery plant, void of human life save for one person with an iPad, overseeing the automation.

I wish the authors had spoken with our columnist Dick Kallage of KDC & Associates; or Rajan Suri of the Center for Quick Response Manufacturing; Gary Conner, of Lean Enterprise Training (who has an article coming up in the May issue of The FABRICATOR). If they had spoken with any one of them, they would have discovered that the GE plant isn’t indicative of most U.S. manufacturers--that is, small companies.

(more...)

American business success: Optimism peppered with pragmatism

March 19th, 2013
By: Tim Heston

So said Don McNeeley, president and COO, Chicago Tube & Iron Co., and professor at Northwestern University, speaking Feb. 27 at The FABRICATOR’s Leadership Summit in Palm Harbor, Fla.

After conversations with various fabricators since then, most tend to agree with him. Business is OK, not great, but big things may be on the horizon. One attendee said she was working through a massive pile of request-for-quotes and was wondering how she was going to get through them all. That’s not a bad problem to have. The recession purged many local markets, and fabricators that performed poorly (or were just unlucky) fell by the wayside. Now OEMs and top tier suppliers are calling on top-performing fabricators to deliver the goods.

Meanwhile, before this week’s troubles thanks to the mess in Cyprus, the stock market pushed into uncharted territory.

“The markets are nuts.”

(more...)

Metal fabrication, a people business

March 12th, 2013
By: Tim Heston

In an upcoming print edition of The FABRICATOR, columnist Dick Kallage, principal at KDC & Associates, Barrington, Ill., asks this fundamental question: Why do customers buy from you? As Kallage explains, “the answer often revolves around soft, generalized terms, such as quality, precision, or service. Those are great attributes for use, but who told you that? Unless you know exactly why your customers choose your company, you cannot possibly improve in a focused, economical manner.”

Those are wise words. Kallage’s column focuses on company valuation. It delves into not just why customers buy from you, but why another company or investor would want to purchase a custom fabricator. As Kallage explained it, investors will pay more for a fabricator with new equipment, because they know they won’t have to update equipment during the near term. But they don’t view equipment as a key differentiator because--unless a shop uses proprietary, custom machinery--other fabricators can buy the same or similar machines.
(more...)

Fabricators march on despite dysfunction in Washington

March 4th, 2013
By: Tim Heston

What happens when you get more than 150 fabricators from across the country in one room? Ideas start flowing. Unlike three years ago, attendees at The FABRICATOR’s Leadership Summit this year spoke of expansion and capacity challenges.

During a roundtable discussion, one operations manager spoke of an aerospace contract. The fabricator had served the customer well, and that customer now wanted to give the fabricator more work--a lot more work. Attendees batted around ideas. Should she expand, or share the work with area fabricators? Ultimately, they chose the latter, because that would provide the excess capacity the fabricator needed to meet future demand, wherever it may come from.

“The customer will thank you for it later,” said one attendee.

(more...)

The FABRICATOR's 2013 Industry Award: An anti-Oscar ceremony

February 26th, 2013
By: Tim Heston

This afternoon I’ll be boarding a plane to Tampa, Fla., for The FABRICATOR’s Leadership Summit. I’m biased, of course, but the industry conference remains one of my favorites. Talk centers on the many joys and challenges of running a metal fabrication business. Industry leaders discuss everything from hiring practices to supply chain issues. Every year, my hands ache from so much note-taking. The story ideas abound.

(more...)

Mr. Bureaucracy, tear down this wall

February 12th, 2013
By: Tim Heston

This morning I talked with Paul Luber, CEO of Milwaukee-based Super Steel, a contract fabricator on a serious rebound. In 2010 the company went into receivership. Now, the fabricator recently has completed a serious growth spurt--it doubled revenue in just 12 months--and is preparing for 15 percent annual growth during the next few years. Look out of the story in the April FABRICATOR.

This shop is one of many I wish more journalists and government officials would learn about--and I’m talking about more than the grip-and-grin coverage, like the “Good American Job” stereotypical photo op we continually saw during the presidential campaign.

Milwaukee is a highly competitive area for metal fabrication. Workers have plenty of options, but, according to company sources, they choose Super Steel because of its competitive pay and benefits. And it’s an engaging place to work, one that continually focuses on product and process improvements.

And, oh yeah, the company also sends its products to Mexico and other so-called “low cost” countries.

(more...)

The real costs behind miscommunication

January 22nd, 2013
By: Tim Heston

At the last FABTECH® show, I ran into an engineer who works for GE Appliance & Lighting, looking for products that would speed that all-important art-to-part time--that all-important product-development time. Their comments make sense in light of recent growth of the company’s Louisville, Ky., Appliance Park. After years of decline, the massive industrial campus has njoyed a welcome rebound in recent years, as described in great detail by The Atlantic magazine last month.

(more...)

Focusing on information waste

January 15th, 2013
By: Tim Heston

Yesterday the Brookings Institution, along with the Information Technology and Innovation Foundation, proposed a program that would involve the federal government designating 20 “manufacturing universities” to prepare students for the sectors that need engineering help. Most intriguing, perhaps is its proposed Ph.D. program for engineers:

“Ph.D.s would be transformed into high-level apprenticeships (as they often are in Germany), where industrial experience is a requirement for graduation. Likewise, criteria for faculty tenure would be reformed to include professors’ work with industry and the connection of research with industrial applications, as much as their number of publications.”  According to the report, this would help bridge the wide divide between academia and industry.

(more...)