Success Stories
Forged Metal Part Manufacturer
California
This firm is an integrated forge and machine shop
capable of furnishing a wide range
of high quality forged parts of various materials to
customer specifications. The
company has developed an established nationwide
customer base in the oil refining,
mining, paper pulp mill, government, and food
processing industries.
In the mid-nineties the firm encountered import
injury from larger vertically
integrated forging competitors in France and lower
cost competitors in the Western
Pacific Rim. As a result the firm suffered a 39%
decline in sales and a 13% decline
in employment.
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) in May of 2000.
Western TAAC and the firm's management developed a
strategy to specialize in the
manufacture of forged and precision machined parts,
while expanding and
diversifying its customer base. The strategy targets
markets where it can capitalize
on its ability to produce short run orders of high
quality forged products with “Rush
Delivery” requirements.
The company has successfully completed its 6th year
in the implementation phase of
the TAA Program. During this period the company,
with Western TAAC assistance,
implemented its marketing and production engineering
projects. These projects
focused on improving its marketing and sales
capabilities and re-establishing its large
forge operations. Since beginning its public/private
sector partnership with the
TAA for Firms Program, sales increased 366% to
$20.4M, employment increased
85% to 76, and productivity improved 152% to
$342,105 sales per employee. |
