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Western Trade Adjustment Assistance Center (WTAAC)

Success Stories

Precision Machined Parts
Arizona

This company specialized in precision machining of high quality parts of various materials to customer specifications within the defense and aerospace industries. Historically, it had specialized in the commercial aerospace industry and in short run or prototype production.

The company faced increasing foreign competition as foreign aircraft customers specified domestic content contingencies for orders, primarily from production sources in several developed countries, particularly Australia. In the two years prior to the firm's certification as trade impacted annual sales decreased 7% to $4.5 million and employment decreased 12% to 73.

The company, with assistance from the University of Southern California’s Western Trade Adjustment Assistance Center (Western TAAC) became certified as trade impacted by the US Dept. of Commerce, Economic Development Administration (EDA) .

Western TAAC and the company’s management developed a strategy to improve manufacturing efficiency and planning, seek longer run production orders in commercial aerospace, and diversify into non-aerospace industries. Using its own funds, the company acquired key production equipment and an updated information system. They also secured aerospace production and non-aerospace orders. Over a 3 year period, Western TAAC and the company’s management implement one information technology project that added scheduling and production data collection capabilities to its information system, and one production engineering project that implemented a statistical process control system within its production operations.

Three years after program completion, the results are remarkable. These projects along with other strategy implementation led to outstanding growth and stability for the firm. As a result, in the 5 1/2 years since the firm began working with the Trade Adjustment Assistance for Firms program, sales increased 116% to $8.8 million, employment increased 15% to 98, and productivity improved 88% to $90,089 sales per employee.

 
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