e-Trends Newsletter

This digital community newspaper offers readers a nexus of timely news of the people, companies and trends that drive Minnesota's manufacturing economy.


Enterprise Minnesota e-Trends

December 2, 2011

 

Customer-Driven Success          

Listening to the customer - a successful growth strategy for manufacturers.

For many manufacturing companies, finding the next big project to grow business can be quite a strategic challenge. At Alexandria Industries, their strong growth is driven by how well they've listened to their customers.

"We're telling our customers, 'demand innovation,'" says Alexandria Industries CEO Tom Schabel. "If you've got a problem, bring it to us. Challenge us. Put it before us. We have the systems in place and the people to figure it out."

Schabel, one of several executives who spoke at Enterprise Minnesota's Business Event Growing Profitably: Four Manufacturing Success Stories, shared his company's success through expansion over the last several years, and how the company plans to keep growing.

Formerly known as Alexandria Extrusion Company (AEC), Alexandria Industries rebranded to represent newly added capabilities. Since 1966, the company had supplied precision aluminum extrusions, including advanced engineering services and innovative value-added operations. Under the new Alexandria Industries umbrella, services include plastic injection and foam molding. In addition, a facility in China serves customers in Asia.

Schabel says that their growth and acquisition of new capabilities - even the new facility in China - resulted from customer needs. Each year, he spends nearly half of his time on the road visiting clients and finding out where Alexandria Industries can provide a solution.

"Our mission is to satisfy our customers, continually improve quality, and ensure positive growth," Schabel said. "It's continuous improvement."

Minneapolis-based WW Johnson Meat's chief operating officer, Kent Mogler also shared with the Business Event audience that his company is growing through a customer-centric strategy. Customers include food distributors, and large food sellers that provide fresh hamburger patties to restaurants, schools, hospitals, and grocery stores. On any given day, WW Johnson runs orders for 25 different sizes of hamburger patties using 20 different ground beef recipes. In total, the product line includes about 300 unique SKUs.

Making fresh hamburger patties is a tricky venture. The product life is limited, meaning that getting the hamburgers out quickly to customers benefits both the buyer and the seller. Lean process improvement comes naturally in that setting. Orders are out on the product floor within five minutes, and can be shipped on the same day.

Customers demand product variety, and WW Johnson knows that its success lies in being able to meet orders with speed and flexibility. "We take ground beef - which should be fairly simple - and make it complex," says COO Kent Mogler.

The company's strategy relies on a simple principle: help their customer control the center of the plate. Hamburgers and other meat products do not make a lot of money for WW Johnson's customers, but by having their product as the center of the meal, food distributors can sell items such as napkins and other higher margin products to restaurants. In other words, the customer's goal drives WW Johnson's strategy.

"There's some white space for us to participate," Mogler said. "We know that need, and we want to fill that need. The more dominant that we can make the hamburger, the more our customer is making money."

Click here to see presentations from all speakers.

Business Events

The Leader Within: Training Effective Employees

December 14, 2011
8:00am-11:00am
RJF (7225 Northland Drive North, Suite 300)
$79 Early Bird Rate (Before December 7) or $110 Regular

Come learn about leadership, communications, conflict resolution and problem solving - skills you want to gain for yourself and have your employees embrace. The objective: to make lean the focus of every employee, and to develop a systematic approach to identifying and removing problems.

Our expert consultant will share the principles of Training Within Industry (TWI), including Job Methods, Job Instruction, Job Relations, Job Safety, Social Styles, and Problem Solving. You will also hear from manufacturing company leaders about how they employed TWI and Problem Solving to help their company compete and grow profitably.

Speakers:

John Norris, President & Owner, Atscott Manufacturing

Bill Shafer, Process Engineer, CPP

Lori & Traci Tapani, Co-Presidents, Wyoming Machine

Jan Hepola, Business Growth Consultant, Enterprise Minnesota

 

Industry News

Enterprise Minnesota president named one of 200 Minnesotans to Know:
Enterprise Minnesota president & CEO Bob Kill was recently named one of 200 Minnesotans You Should Know by Twin Cities Business magazine. Click here to read the entire list of 200 individuals. 

Ecolab merges with Nalco: 
Ecolab Inc. announced that it has completed its merger with Nalco Holding Company, a water treatment company that serves industrial and manufacturing customers.    

Carlson & Stewart Refrigeration Acquires Central Minnesota Refrigeration, Inc.:
Carlson & Stewart Refrigeration, with headquarters in Marshall, MN, and a branch office in Sioux Falls, SD, has acquired Central Minnesota Refrigeration, Inc., Sauk Rapids, MN. The new company, now operating solely as Carlson & Stewart, maintains the Sauk Rapids location and its 15 service technicians and customer service employees. Both companies provide industrial and commercial refrigeration systems to the meat packing, poultry, dairy, beverage, bakery and cold storage industries as well as refrigeration equipment for supermarkets and other merchandisers.

Donaldson names new VP:
Donaldson Company, Inc., announced that it has appointed Wim Vermeersch as Vice President for its European, Middle Eastern, and North African business effective January 1st. Most recently, Vermeersch was Director of Engine Products for Donaldson's European Operations. Vermeersch will assume the leadership of Donaldson's European, Middle Eastern, and North African business from Tod Carpenter, who was appointed Senior Vice President, Engine Products, as previously announced.

 

Upcoming Events

Energy Harvesting and Solid State Batteries for Advanced Medical Devices
Presented by LifeScience Alley
December 3, 2011
7:30-9:30am
Hamline University Minneapolis

First Tuesday- Eric Kaler, President, University of Minnesota
Presented by the Carlson School of Management
December 6, 2011
11:30am-1:00pm
McNamara Alumni Center

Innovation Critical: A One Day Master Workshop on Leading Innovation & Being an Innovator
Presented by the Minnesota Council for Quality
December 6, 2011
8:30am-4:30pm
Twin Cities

A Window on the World
Presented by TiE Minnesota
December 6, 2011
6:30pm-9:00pm
Windows on Minnesota

Building a Culture of Engagement
Presented by RJF Agencies
December 7, 2011
8:30am-11:30am
Golden Valley Country Club