Springs summer 2015 vol 54 no3

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Summer 2015

The International Magazine of Spring Manufacture

A Publication of the Spring Manufacturers Institute / Vol. 54, No. 3

Additive Manufacturing: Does it Add Up for the Spring Industry? page 29

Is Additive Manufacturing in Your Future? 37 Go Lean — and Do It Your Way 46 SMI Annual Meeting Report 55

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President's Message From Hap Porter

Giving Credit Where Credit is Due “Great job.” “Congratulations.” “Thank you for all you do.” These are phrases that I hope are familiar to everyone. For those of us who have been a boss at work, or who have been a spouse and who have maybe raised children, these words should have been spoken often, clearly, and delivered in a heartfelt tone. Likewise, to be on the receiving end of sentiments like these is to be made to feel appreciated and valued. Hearing such compliments can serve as the motivating fuel for us to strive even harder for success the next time we face new challenges. I also suspect that most of us, in whatever roles we have undertaken, can think of times when we failed to say or hear these very words. That failure to communicate is something I want very much to avoid, so let me be very clear about the following: to everyone who puts time into the work of SMI, who volunteers to serve on our operating committees, who works on such glamorous topics as benchmarking, membership, regulatory compliance, and the like, I say, “THANK YOU!” At our April convention in Orlando, I was awed by the level of interest, participation and dedication exhibited by our operating committees during their meetings. The usual schedule has committees meet on the Saturday of the convention, and we try to entice any potential but unsure participants with a “free lunch!” What I saw in April, however, went far beyond freeloaders chowing down. We had several committee tables which were full, with almost more participants than seats available to hold them. Beyond this event, we have numerous committees which meet outside the annual convention gathering. These committees are the place where the work of SMI gets done, where members can have direct input on the allocation of SMI resources and the direction of its future efforts. And although our committees are driven by membership participation way beyond the chairman, let me at least give a shout out to those who serve in that role: Education, SMI VP Mike Betts Finance, SMI Secretary/Treasurer, Steve Kempf Convention Planning, Bert Goering Magazine, Ted White Benchmarking, Tim Bianco Technical, Gene Huber and Simon Fleury Membership, Charly Klein Regulatory Compliance, Steve Wunder Associates, Bill Torres Spouses, Jen Porter Trade Show, Dan Sceli To all these folks, and to the people who serve with them, let me be loud and clear in my acknowledgement and appreciation, and let me say this on behalf of the entire SMI membership – “GREAT JOB. THANK YOU FOR ALL YOU DO!”

SMI Executive Committee President: Hap Porter, SEI MetalTek Vice President: Mike Betts, Betts Company Secretary/Treasurer: Steve Kempf, Lee Spring Immediate Past President: Steve Moreland, Automatic Spring Products At Large: Bert Goering, Precision Coil Spring Co. Executive Director: Lynne Carr

SMI Board of Directors Tim Bianco, Iowa Spring • Mark DiVenere, Gemco Manufacturing • Simon Fleury, Liberty Spring • Ed Hall, Spring Team • Gene Huber Jr., Winamac Coil Spring • Charly Klein, Fox Valley Spring • Bill Krauss, Vulcan Spring • Don Lowe, Peterson Spring • Bill Marcum, MW Industries • Melanie Orse, Sound Spring • Jennifer Porter, SEI MetalTek • Dan Sceli, Peterson Spring • Bill Torres, Gibbs Wire and Steel • Jeff Wharin, Bohne Spring • Ted White, Hardware Products • Steve Wunder, Duer/Carolina Coil

Springs Magazine Staff Lynne Carr, Advertising Sales, lynne@smihq.org Gary McCoy, Managing Editor, gmccoy@fairwaycommunications.com Dina Sanchez, Assistant Editor, dina@smihq.org Sue Zubek, Graphic Designer, zubekdesign@gmail.com

Springs Magazine Committee Chair, Ted White, Hardware Products • Reb Banas, Stanley Spring & Stamping • Lynne Carr, SMI • Raquel Chole, Dudek & Bock • Ritchy Froehlich, Ace Wire Spring & Form • Bud Funk, Fourslide Products • Bill Marcum, MW Industries • Brett Goldberg, International Spring • Tim Weber, Forming Systems • Europe Liaison: Richard Schuitema, Dutch Spring Association • Technical Advisors: Loren Godfrey, Honorary Member • Dan Sebastian, Honorary Member Advertising sales - Japan Ken Myohdai, Sakura International Inc. 22-11 Harimacho 1-Chome, Abeno-ku Osaka 545-0022 Japan Phone: +81-6-6624-3601 • Fax: +81-6-6624-3602 E-mail: info@sakurain.co.jp Advertising sales - Europe Jennie Franks, Franks & Co. 63 St. Andrew's Road Cambridge United Kingdom CB41DH Phone/Fax: +44-1223-360472 E-mail: franksco@BTopenworld.com Advertising sales - Taiwan Robert Yu, Worldwide Services Co. Ltd. 11F-B, No 540, Sec. 1, Wen Hsin Rd. Taichung, Taiwan Phone: +886-4-2325-1784 • Fax: +886-4-2325-2967 E-mail: stuart@wwstaiwan.com Springs (ISSN 0584-9667) is published quarterly by SMI Business Corp., a subsidiary of the Spring Manufacturers Institute: 2001 Midwest Road, Suite 106, Oak Brook, IL 60523; Phone: (630) 495-8588; Fax: (630) 495-8595; Web site www.smihq.org. Address all correspondence and editorial materials to this address. The editors and publishers of Springs disclaim all warranties, express or implied, with respect to advertising and editorial content, and with respect to all manufacturing errors, defects or omissions made in connection with advertising or editorial material submitted for publication. The editors and publishers of Springs disclaim all liability for special or consequential damages resulting from errors, defects or omissions in the manufacturing of this publication, any submission of advertising, editorial or other material for publication in Springs shall constitute an agreement with and acceptance of such limited liability. The editors and publishers of Springs assume no responsibility for the opinions or facts in signed articles, except to the extent of expressing the view, by the fact of publication, that the subject treated is one which merits attention. Do not reproduce without written permission.

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Contents 37 29 61

FEATURES 29 Additive Manufacturing: Does It Add Up for the Spring Industry? By Gary McCoy

37 Is Additive Manufacturing in Your Future? By Paul Menig

40 SMI Metal Engineering eXpo Will Include Session on Additive Manufacturing 46 Go Lean — And Do it Your Way

COLUMNS

DEPARTMENTS

21 Be Aware Safety Tips

2 President’s Message

Contractors On-site: Your Risk Exposures By Laura Helmrich-Rhodes

25 Dean of Springs

Private Equity and the Spring Business By Dan Sebastian

By Clayton Baker

50 Flashback

Parts Forming Machines 1960/1970 By E. V. Cavagnero

Giving Credit Where Credit is Due

7 Global Highlights 18 Regional Spring Association Report 61 Springmaker Spotlight

Surviving and Thriving at 60: A Profile of the Kahn Family and Perfection Spring & Stamping By Gary McCoy

67 Book Corner

52 SMI Scholarship Program Has Awarded $127,500 in its First Five Years

69 Inside SMI

55 SMI Annual Convention Provides Magical Time for Attendees in Orlando

74 New Products

59 WAFIOS Opens New Midwest Technology Center

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71 Committee Connection

55

75 Advertisers’ Index 76 Snapshot

Ed Hall, Spring Team Inc.


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Global Highlights North America

Callaghan resides in Logansport, Ind. He received Lee Spring, a global leader his Bachelor of Science degree in finance from Fairfield and supplier of mechanical University and his Master of Business Administration springs and related products, from Western New England University. has appointed Jim Callaghan Betts Company announced the appointment of Bill Betts to a newly created position of executive vice president to the newly created position of president and chief operating of busi ness development. officer (COO). Mike Betts, formerly president of Betts Callaghan will oversee the Company, will actively continue in the business as chairman development and expansion of the board of directors and chief executive officer (CEO). With this appointment, Bill Betts becomes the seventh of Lee Spring’s operations through a strategic growth president of Betts Company, founded by William Michael Jim Callaghan plan that will include targeted Betts in San Francisco, Calif. in 1868. Betts Company ac qu i sit ion s a nd f u r t her has been owned and led by members of the Betts family position Lee Spring as a global leader in springs and without interruption throughout its rich 147-year history and continues to reflect the passion and values of the spring-related products. “Lee Spring is thrilled with the addition of Jim Callaghan Betts family. In addition to Mike and Bill Betts, Don to our executive team,” stated Steve Kempf, Lee Spring’s CEO. Devany (senior vice president, Betts Company), Joe Devany “In addition to 33 years of spring industry leadership, Jim brings an impressive track record of helping to build a company through strategic acquisitions. Jim’s expertise in growth and expansion within our industry is exactly what Lee Spring is seeking as we look to take on additional products and geographies. Furthermore, Jim already has a deep understanding of our customer’s needs and can guide our growth in ways that will benefit them most.” Callaghan has worked in the spring industry for 33 years, most recently as the vice president and chief financial officer of MW Industries (Matthew Warren) for 20 years. During his tenure with MW Industries he was involved with the completion and integration of 12 acquisitions. Previously, Callaghan worked at Associated Spring/ Bill Betts (left) was appointed to a newly created position of president and chief operating officer (COO) of Betts Company. Mike Betts (right), formerly president of Barnes Group in a variety of financial and Betts Company, will actively continue in the business as chairman of the board of operating management positions. directors and chief executive officer (CEO). “I have long admired Lee Spring as an established leader in the spring industry,” stated Callaghan. “I am excited to be part of their (director of operations, Betts Spring Manufacturing and continued growth as they look to expand in ways that BettsHD) and John Devany (sales manager, Betts Truck are both true to the values of a 100-year old business and Parts and Service) are Betts family members actively beneficial to its global and expanding customer base. Lee involved in leadership of this six generation family Spring’s recent organic growth is enviable, but I believe business. “This is a proud day for our family and our company,” there are still tremendous opportunities for strategic said Mike Betts. “Like all leaders at Betts Company, growth ahead.” SPRINGS / Summer 2015 / 7


Global Highlights

Bill has earned this opportunity by his passionate commitment to our associates, customers and suppliers. He is an excellent example of living our Seven Core Values and embodies ‘Improving the Way Things Move.’ Bill’s appointment provides all Betts Company team members – past and present – an opportunity to reflect on the very special accomplishment of sustaining and growing a family business for nearly one hundred and fifty years.” “I am humbled and grateful for the confidence and trust placed in me today,” stated Bill Betts. “Leading Betts Company has been a lifelong goal and I am excited by the opportunity to help Betts pursue its next phase of growth and excellence. I have great respect and appreciation for every associate who has played a part in the history of our company and look forward to serving them in the years to come.” Bill Betts joined Betts Company in June 2007 after a successful two year stint with Protiviti Inc., an international risk and business consulting firm. He joined Protiviti on graduation from the University of Colorado, Leeds School of Business, with a B.S. degree in accounting and entrepreneurship. Since joining Betts Company, he recently earned an MBA from the Craig School of Business, California State University, Fresno. He has held varied leadership positions during his tenure with Betts Company, including procurement, sales,

marketing, customer support, strategic planning and project management. In his new role, he will have primary responsibility for Betts Company’s three business units and development of overall strategic direction. Bill Betts is a board member of GenNext, the heavyduty aftermarket’s newest group formed to educate, mentor and recruit the next generation of aftermarket leaders. In addition, he is actively involved in YPO (Young President’s Organization), San Joaquin Valley Chapter and is a board member with Boys & Girls Club of Fresno County. He is certified in Production and Inventory Management (CPIM) through the Association for Operations Management (APICS) and a member of the APICS, San Joaquin Chapter. Mike Betts has been the president of Betts Company since 1995, having held numerous positions in sales, marketing, innovation and leadership with the company for over 37 years. In his new role, he will continue to provide guidance and support to Betts Company’s leadership team. In addition he will focus on activities which favorably impact industries, markets and communities important to Betts Company Mike is involved in many industry and civic organizations, including his role as vice president of SMI. For more information on Betts Company, visit www. Betts1868.com, phone 559-498-3304 or email info@ Betts1868.com. Central Wire Industries has acquired Hempel Wire Limited, a manufacturer and distributor of stainless and nickel alloy wire, located in Rotherham, United Kingdom. The business was purchased from Hempel Special Metals Holding GmbH, an international distributor of specialty metals, part of the F.W. Hempel & Co Group of companies, headquartered in Oberhausen, Germany. Hempel Wire manufactures and distributes both round and profile wire in a wide variety of alloys, including virtually all stainless steels and nickel alloys. Founded in Rotherham in 1983, Hempel Wire reported sales of £9 million last year and has approximately 45 employees. Cent ral Wire Indust ries, founded in 1955 a nd headquartered in Perth, Ontario, manufactures and distributes stainless steel, nickel alloy, and copper and brass wire products throughout the world. The company, which maintains eight manufacturing facilities - six in the United States and two in Canada - has 360 employees. Central Wire provides products to many major industries, including aerospace, petrochemical, food-processing, medical, automotive, and marine. The acquisition comes after Hempel Wire’s recent purchase of certain trademarks, trade names, and intellectual property from Fox Wire Limited in neighboring Sheffield, enabling Hempel Wire to take a position as the leading supplier of round and shaped stainless steel wire in the United Kingdom. Included in this transaction were the rights to the SUPA family of alloys, including SUPA

8 / SPRINGS / Summer 2015


Global Highlights

75, a well-known and long-standing leader in oil and gas industry applications. Central Wire Industries looks forward to augmenting its product lines with the capabilities and know-how of Hempel Wire as well as utilizing Hempel Wire’s distribution network for Central Wire’s wide range of product offerings. As a result of the transaction, Hempel Wire Limited plans to change its name to Central Wire Industries UK Limited in the very near future. Hempel Wire’s managing director, James Roper, will continue in that role and manage the on-going business for Central Wire Industries. “This acquisition significantly broadens the product offerings of CWI, expands our reach in existing markets, and enables new market opportunities,” said Paul From, president and CEO of Central Wire Industries. “We are truly pleased to make this announcement and are delighted to welcome James Roper and the Hempel Wire team and business into the CWI Group.” André Hempel, ma nagi ng director of Hempel Special Metals, said: “The sale of Hempel Wire to Central Wire Industries allows us to focus on and further develop our core specialism of international distribution of corrosion and heat resistant high performance materials and components. We wish the team at Hempel Wire all the very best for the future and we are sure that the benefits of past cooperation will be transferred to the new organization.” The transaction was completed on Friday, February 27, 2015. For further information, contact Paul From, president a nd CEO Central Wire Industries, at 613-2673752.

1921, owner and president Joseph Goldberg acquired International Spring in 1968 and Warnock Spring and Manufacturing in 1988. Warnock Spring employs 50 people in a two building, 55,000 sq. ft. campus. Brett Goldberg, general manager, said, “To be a finalist for Supply Chain Management Supplier of the Year at Chrysler and to receive this quality award is a wonderful recognition from the automotive community. It is something that all of our employees have earned, and shows their dedication to our customers needs every day.”

Wa r n o c k Spr i n g a n d Manufacturing Company, a division of International Spring Co. in Morton Grove, Ill., was a finalist for Supplier of the Year in the category of Supply Chain Management at Chrysler FCA for 2014, and also received the 2014 Outstanding Quality Plants Award at Chrysler FCA. Wa r noc k Spr i ng a nd Manufacturing Company is located in Morton Grove, Ill. Founded in

SPRINGS / Summer 2015 / 9


Global Highlights

Warnock Spring and Manufacturing Company serves the automotive industry, as well as appliance, pump and other sectors of the industrial market with a wide range of mechanical springs, wire forms, and assemblies. Visit www.internationalspring.com for more information. SkillsUSA has announced the appointment of Montez King, director of credentialing for the National Institute for Metalworking Skills Inc. (NIMS), as a volunteer expert for the Manufacturing Team Challenge students competing at the 43rd WorldSkills Competition, August 11-16 in São Paulo, Brazil. King will be responsible for preparing and mentoring three students who will join 16 other SkillsUSA students as part of SkillsUSA’s WorldTeam. King will also serve as a judge of the Manufacturing Team Challenge (MTC) contest in São Paulo, but he will not evaluate the U.S. team. The biennial WorldSkills Competition promotes global workforce skills development and provides a vehicle for comparing career and technical students and methods of training among industrialized nations. About 1,000 individual students, age 17 to 22, from nearly 70 countries will compete in one of almost 50 contests covering manufacturing and engineering, construction and building technology, information systems and

communications technology, social and personal services, and transportation and logistics. A grant to SkillsUSA from the Alcoa Foundation will partially underwrite the WorldTeam and enable SkillsUSA to enter students in the Manufacturing Team Challenge contest for the first time. The MTC contest involves three student teams that perform design, production, assembly and testing of a manufactured product — all technical and career skills in high demand worldwide among manufacturers. “We are very grateful to NIMS and to Mr. King for stepping forward to assist our students in this international showcase of skilled workforce education,” said Tim Lawrence, executive director of SkillsUSA. “NIMS has been a very important and loyal partner to SkillsUSA, helming volunteer support for our national machining contests at our SkillsUSA Championships and now adding the mentorship of our MTC students preparing for this summer’s WorldSkills Competition.” The National Institute for Metalworking Skills (NIMS) was formed in 1995 by the metalworking trade associations to develop and maintain a globally competitive American workforce. NIMS sets skills standards for the industry, certifies individual skills against the standards, and accredits training programs that meet NIMS quality requirements. For details, visit www.nimsready.org.

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Global Highlights

SkillsUSA (www.skillsusa.org) is a not-for-profit association that serves more than 300,000 member high school, college and postsecondary students — and their instructors — in trade, technical and skilled service instructional programs. SkillsUSA partners educators and students with business and industry to help ensure the United States has a rising skilled workforce that is well prepared. “Women in Titanium” (WiT), a new committee administered by the International Titanium Association (ITA), held its first meeting on February 27 in Los Angeles, Calif., and officially approved the group’s charter and laid out an initial slate of near-term goals. Dawne S. Hickton, the vice chair, president and chief executive officer of RTI International Metals, Inc., Pittsburgh, served as the keynote speaker for the event. Hickton, who last year was tapped as the first female president of the executive board for the ITA, announced plans to establish the committee, during TITANIUM USA 2014, the ITA’s annual industry conference and exhibition, which was held in Chicago last September. The mission of the WiT committee is to develop a networking group of collegial women presently in the titanium industry, and to promote, attract, and encourage high school and college women to enter the titanium industry. The committee will contribute to the growth of the titanium industry by providing mentoring, collegial and networking opportunities for women within the titanium industry, as well as take part in programs which advance gender equality in STEM (science, technology, engineering and mathematics) fields for high school and college women. The WiT committee will support women involved in STEM in high schools and universities. The gathering in Los Angeles included more than 30 registrants: eight executive officers; five managers from human resources, quality, and export services; three technical representatives; 13 sales/procurement professionals; and three high school students. Michelle M. Pharand, the director of sales and business development for Dynamet Inc., was selected as the vice chair of the WiT committee for the 2015-2016 term. Pharand will work with Hickton to develop and implement plans for the group. Dynamet, a subsidiary of Wyomissing, Penn.-based Carpenter Technology Corp., is an international supplier of titanium alloy products for the aerospace, medical, consumer and recreation industries. As for tracking her own success in the titanium sector, Pharand cited two major factors: her business mentors, male and females; and her global experience. “I’ve had great bosses over the years, mostly men,” she explained. “They took an interest in my success. They supported me and were loyal to me. They took time to teach me the skills I needed.” As a result, she hopes to bring that same spirit of mentoring to WiT.

In recent years, Hickton and other ITA leaders have focused on the need for industry stewardship programs; dedicated efforts to cultivate the next generation of titanium designers, engineers, metallurgists and executives. The ITA’s WiT initiative is part of that overall effort. The nex t WiT meet i ng was slated for May 11 in conjunction with the TITANIUM EUROPE 2015 conference and expo. A plant tour of RTI’s Tamworth, UK, facility was offered to WiT participants on May 13 following the conference. For additional information on the ITA’s WiT committee, contact ITA’s headquarters in Colorado USA. Jennifer Simpson is the executive director of the International Titanium Association. General Wire Spring Company, founded in 1930 by Abe Silverman, is celebrating its 85th anniversary this year. Silverman spent several years working with his uncle Frank Magidson at Rapid Wire Spring in Pittsburgh, Pa., before moving on to found General Wire in Pittsburgh. The company had two more moves in Pittsburgh before settling into their current facility in McKees Rocks, Pa. in 1968. This facility has expanded several times in the years since. One of General’s first jobs was to produce springs for the country’s original voting machines. The company has one of the largest wire ranges in the spring industry, and has served virtually every conceivable type of customer.

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Global Highlights

In addition, the company expanded to become a leading manufacturer of drain cleaning machinery. The company takes great pride not only in its long history, but in the many long term customers and relationships that have flourished during this time. In addition, General Wire Spring Company announced that James Gaworski celebrated his 50th anniversary with the company on June 18, 2015. Gaworski, the production supervisor, has played a vital part in the company’s success. “His creative and technical ability, unsurpassed knowledge of springs, as well as incredible work ethic, has made him a shining example for all workers at General Wire Spring Co.” Gaworski’s father and uncle played an important part in the company’s early history. As part of the current workforce, Gaworski’s brother, son, son-in-law and nephew all work for the company. The InterWire Group, Inc. (IWP) of Armonk, N.Y. has announced the appointment of Ted Davis as president of IWP. Davis brings over 30 years’ experience in the manufacturing, development and management of specialty wire products, having worked for many of the wire industry’s lead i ng compa n ies. H i s Ted Davis responsibilities will include product development of ferrous and non-ferrous alloys, and both bare and electroplated wire products across multiple industries, including the aerospace, electronic, consumer, medical, automotive, and communication markets. “Ted’s extensive sales and marketing management experience coupled with his operation and manufacturing knowledge and his product development skills will help maintain IWP’s leadership role in the wire industry,” said Frank Cardile, CEO of IWP. IWP also announced three other appointments: Tom Howlett has been named operations manager for IWP’s Midwest division. Howlett is a Chicago native and a graduate of Marquette University in Milwaukee. He’s been an employee at Industrial Steel & Wire for the last 25 years. Howlett brings extensive knowledge of the wire business, having managed almost every aspect of the company in one form or another from sales and purchasing, to a recent stint as operations manager. Charlie Simonet is the new general manager of IWP California. He was originally from New Jersey and now resides in Orange County, Calif. Simonet has been in the insulated wire and cable business for more than 30 years, working in recent years as a director of sales for a large German-based control cable manufacturer. He also was a partner in a wire and cable distributor, specializing in

12 / SPRINGS / Summer 2015

the automation and robotic industries that sold industrial electrical distribution throughout North America. Tim Kurtz has been appointed territory manager at InterWire Products in Bristol, Conn. Kurtz brings with him more than nine years of technical and sales experience in the wire industry. Previously, he was employed by A.M. Castle, where he increased sales and profit in a variety of Midwest locations. While at Castle, Kurtz was recognized for generating the largest revenue for new customers, including several one million dollar plus accounts. Kurtz has a Bachelor of Business Administration degree in finance and completed his MBA last spring. He is married with two boys and enjoys hiking and playing golf. Fenn has announced the appointment of two new members of the company’s leadership team. “We continue to build a strong team across our entire business, which prepares Fenn for growth opportunities and new markets to serve. Our new innovations in metal forming and shaping machinery, and the increasing demands from our global customers, led us to look for additions to our team who will fit in with our ethos of cutting edge designs and exceptional service, and it is very fortunate we were able to find this caliber to fulfill these roles,” said Paul Uccello, Fenn president. Ryan Cutter joined the team in April of 2015 as the director of engineering for Fenn. Cutter has prior experience as an engineering manager of a dedicated R&D team at Parker Hannifin, as a senior engineer at UTC Power Technologies, and as a mechanical design engineer at BHS-Torin. Cutter holds both a B.S.M.E. and an M.S.M.E. from the University of Hartford. Cutter brings valuable leadership and technical skill from a variety of industries and plans to use his experience with innovation, R&D and machine design to help ensure a tradition of robust, reliable equipment while focusing on continuous improvement and innovation. David Mika joined the Fenn leadership team in May of 2015 as the director of operations. In his current role, Mika will be responsible for all of operations, purchasing and scheduling. Before joining the Fenn team, Mika spent several years as an operations manager, director of manufacturing, plant manager, and manager of industrial engineering in a high volume machining company in the metal industry. Mika worked for companies such as Sigarms, Savage Arms, Smith & Wesson, Avid Thermal Technologies, Watt’s Industry, Mid-State Machine Products and New Hampshire Ball Bearing. He has an A.S.M.E. from Springfield Technical Community College and a B.S.M.E.T. from the University of New Hampshire. Fenn looks forward to the valuable contributions of both new members of it senior leadership team. Fenn is proud to keep its 115-year-old tradition of producing high quality, innovative metal forming machinery to a global


Global Highlights

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Obituaries It is with deepest sympathy that SMI announces the passing of Bob Schaff. Schaff, 70, of Elizabethton, Tenn., died unexpectedly on Saturday, May 16. He was born on July 14, 1944, a son of Jane Lorson Schaff, of Elizabethton and the late William George Schaff, Jr. In addition to his father, he was preceded in death by a brother, Jonathon Lorson Schaff; his very special friends, Ray McIntire, Joe White and Paul Mottern; and his “little brother” Terry Proffitt. Schaff was born in New York, New York, but had resided in Elizabethton since 1955. He graduated from Florida Central Academy and Milligan College, and later completed one year of post graduate studies at East Tennessee State University. He then began his successful career as CEO, owner and operator of Mapes Piano String of Elizabethton. Schaff was a member of First United Methodist Church of Elizabethton and was very dedicated to the church and loved his fellow members. He loved the Lord and embodied “Do unto others, as you would have them do unto you.” He was a past chairman and present member of SPR Committee First United Methodist

Church trustee, property committee, and transportation committee. He was also active in the Believer’s Sunday school class. Schaff never met a stranger, he was warm, gentle, loving, kind, compassionate and generous, and everyone that met him, loved him. His smile was contagious. He loved music, especially bluegrass and Jimmy Buffett. He was a member of the advisory board for the Center of Appalachian Studies at ETSU. Schaff also was a member of the Thursday Nite Boys. He had a love for boats and anything pertaining to the lake, old cars, old westerns, and his pets, which were considered by Schaff, his “family.” In addition to his mother, he is survived by his loving companion and lifemate of 34 years, Mary Etta Shadoan Elliott; two brothers, Bill Schaff and wife Lois, and Frank Schaff and wife Merry; four nephews, Mark Schaff and wife Jamie, Will Schaff, John Schaff and Matthew Schaff; two nieces, Regina Schaff Harris, Johnson City, and Stephanie Schaff; four great nephews, Ed “Troop” Harris, Elizabethton, Bucky Harris and wife Chelsae, Christofer Schaff, and David Lyons; two great nieces, Tessa Whitmore, and Kelly Lyons; a very special goddaughter, Julie Proffitt Buchanan; his special friends, Elaine Mottern and Conner Johnson; and his other family, the Shadoans.

SPRINGS / Summer 2015 / 13


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A service was held Thursday, May 21, at First United Methodist Church of Elizabethton. Past and present employees of Mapes Piano String were among those acting as honorary pallbearers. Those who prefer memorials in lieu of flowers, may make donations to the general fund of First United Methodist Church, 325 East E. Street, Elizabethton, Tenn., 37643. Condolences may be sent to the family by visiting www.tetrickfuneralhome.com and signing the guestbook or by fax 423-542-9499. John E. “Jack” Lappen, beloved husband of the late Joan Fox Lappen, of Simsbury, Conn., Naples, Fla., and most recently, Marlborough, Mass., passed away Saturday, May 9, at home with his family. He was the son of the late George Lappen and Josephine (Duffy) Lappen of Dorchester, Mass., and Lancaster, Penn. Lappen was born in Boston, Mass. on June 18, 1920 and grew up in Brookline and Newton, Mass. He attended Franklin & Marshall College and served in the U.S. Army during World War II. He attended Newton High School with his future wife, and they were married in 1947. They moved to Simsbury in 1953 where they raised their family and lived for 53 years. Lappen was associated with Gibbs and the spring industry for over 57 years. He was one of the first employees hired by Charlie Gibbs in 1957. Gibbs always

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said it was one of the best decisions he ever made. Not only did they work closely together to grow the business, but they became lifelong friends. Gibbs benefits to this day from decisions made by Charlie and Jack. Lappen retired from full-time employment from Gibbs in 1986. At that time, he was the national sales manager. Lappen did not retire completely and continued to consult for the company and stayed as a member of the board of directors. He continued to serve on the board until December of 2010. He never ceased being very interested in Gibbs; the company continued to send him reports and have great discussions with him about the business after he retired from the board. Lappen enjoyed singing and music, a gift he shared with his family. He also loved reading and was devoted to his Red Sox and NY Giants. He often recounted walking to Fenway Park as a young boy and paying 25 cents to see a doubleheader. He and his wife Joan were charter members of the Hopmeadow Country Club, where he was an avid golfer (and placed second with daughter Martha in a father-daughter tournament). Jack and Joan attended St. Mary’s Church, Simsbury, for many years and, more recently, St. Catherine of Siena in West Simsbury. Beginning in 1986 they spent summers in Simsbury and winters in Naples, Fla. He is remembered by his loving children and their partners: John Jr., and his wife Mary Piasecki; Richard and Janet Lappen; Martha and James Pfeiffer, who were his loving caregivers when he became ill in his final year; and Stephen and his partner Hunter Margolf. He also leaves his loving grandchildren, Caitlin and Hannah Lappen, Max Pfeiffer, and Sarah and Alex Lappen; a great granddaughter, Claire Curran Lappen; many nieces and nephews; and his dear friend, Meg Wiltse. A memorial mass was celebrated Friday, May 29, at the Church of Saint Ann in Avon. In lieu of flowers, memorial donations can be made to McLean Hospice, 75 Great Pond Road, Simsbury, Conn., 06070; St. Catherine of Siena Building Fund, 265 Stratton Brook Rd., West Simsbury, Conn., 06092; or The Michael J. Fox Foundation for Parkinson’s Research, Grand Central Station, P.O. Box 4777, New York, N.Y. 10163. Richard “Rich” Thomas Rae, 70, of Madison, Conn., succumbed to cancer on Monday, April 20, 2015 at hospice in Branford. Rae was born on December 1, 1944 in Bridgeport, Conn. He married Katherine Kowalski of Branford on October 26, 1968. He is survived by his wife Kathy, daughter Beth (Allan) Rosenstein; sons Richard Jr. and Edward (Astrid); brotherin-law Fred Kowalski; sister-in-law Patricia Keegan; six grandchildren, Claire, David, Richard, Taylor, Logan, Lucia; and loving extended family. Rich was a loving husband, father, grandfather and great friend. Rae started his career in design and engineering as a draftsman for United Nuclear. A career change took


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him to the manufacturing of wire straightening and cutting machinery where he found his passion. With this knowledge he founded ERA Wire Inc. as a part-time venture in 1988. Rae continued to pursue his passion to the end with his son Richard Jr. and leaves a thriving family business as his legacy. He enjoyed golf, boating, camping and any gathering with family and friends (especially if there was a game of horseshoes involved). He had achieved the rank of Sergeant E5 of the First Squadron 26th Cavalry, Yankee Infantry Division of the National Guard, where he served from January 1964 to January 1970. A service was held April 23rd at St. Margaret’s Church in Madison, Conn. Memorial donations in Rae’s honor can be made to Disabled American Veterans, www.dav.org, or St. Jude’s Children’s Research Hospital, www.stjude.org. Forrest Samuel Gardner, 76, died May 14 at The Aroostook Medical Center, Presque Isle, Conn. He was born on September 2, 1938 in Hartford, Conn., the son of William and Gladys (Welch) Gardner. Gardner moved to Maine with his family at the age of nine. As a young man, he was a machinist in the spring industry in Connecticut before serving his country in the U.S. Army as a Signal Corps lineman and was honorably discharged in 1967.

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Gardner started his own business in California, Foremost Spring Co., the same year. He enjoyed the challenges that came with solving problems, and throughout his career he worked closely with customer engineers to find solutions to their most difficult tasks. He held a patent for a chambered dental drill bur block which he invented in 1994, and enjoyed building “one of a kind” machines for the shop. Gardner semi-retired in 2005 and moved back to the family farm in upstate Maine. He traveled back and forth between coasts for several years. He sold Foremost Spring Co. Inc. in February of 2012, ensuring the continuation of the company by selling to Dennis Trepanier, a former employee and longtime friend who now runs Foremost Spring as an independent division of FTR Associates. Gardner enjoyed foreign travel, the peacefulness of fly fishing and sailing, and more adventurous passions like scuba diving and sky diving. He cherished his family and friends, loved to make people smile wherever he went, and instigated many pranks. Gardner is survived by his wife, Leslia AltamiranoGardner and stepdaughter, Mayra Gonzalez; daughters Martina Gardner, Julie Gardner, Debra Donley and Laura Gardner; sons Dane Gardner and Ty Gardner; sisters Marie Womboldt and Sally Prosser; brother, Willard Gardner; stepmother Noi Gardner; and four grandchildren.

SPRINGS / Summer 2015 / 15


Global Highlights

In addition to his parents, Gardner was predeceased by his brother, John Gardner. Services were held Thursday, May 21 at Duncan-Graves Funeral Home in Presque Isle. Online condolences may be expressed at www.duncan-graves.com. Stanley P. Bitel, founder and owner of Rowley Spring and Stamping Corporation in Bristol, Conn., was born October 16, 1921, and died on Friday, May 22, 2015 after a long battle with Alzheimer’s disease. He was the loving husband of the late Florence Kovitch Bitel and beloved father of Darlene Bitel Krammer (and Ludwig) and Camilla Bitel Farrell Russolino (and Larry); grandfather of Andreas and Nicholas Krammer and Dean Russolino. He also leaves many nieces and nephews. He was pre-deceased by his sister Mary Folcik, and brothers, Vincent, Frank, Joseph, Walter, and John Bitel. Bitel was the son of immigrant parents, Stanley and Anna (Kapish) Bitel, who settled in Southington, Conn. with their seven children, of which Stanley was the second youngest. Bitel graduated from the University of Connecticut, joined the United States Navy and became an accomplished Naval Aviation Officer. In 1954, Bitel started his own spring business in the garage of his home residence on Rowley Street in Berlin, Conn. Today the business is still flourishing, now located in Bristol.

Bitel was active in various civil and professional organizations over the years, including trustee of St. Paul’s Church in Kensington, NESMA board member, Bristol Chamber of Commerce board member and award recipient. An avid golfer, he was a member at Chippannee Country Club in Bristol, Farmington Country Club, and Indian Hill Country Club in Newington. He shared many wonderful memories with friends on golf courses around the world; he proudly achieved a hole-in-one at the Wianno Golf Course on Cape Cod. Bitel was a devout and spiritual person and served as a lector at St. Paul’s for many years. This was matched by his generosity: Bitel’s favorite charities included St. Paul’s; the American Cancer Society, after losing his adoring wife to breast cancer in 1987; and the Alzheimer’s Association. Funeral services were held May 27 at Newington Memorial Funeral Home and St. Paul Catholic Church in Kensington. Bitel was laid to rest with military honors in Immaculate Conception Cemetery, Southington. Memorial donations may be made to the Alzheimer’s Association Rhode Island Chapter, 245 Waterman Street, Providence, RI 02906; or to a scholarship fund set up in his memory to support manufacturing education, checks payable to the Main Street Community Fund, PO Box 2702, Bristol, CT 06011-2702. To share a memory with his family, please visit www.newingtonmemorial.com.

International Obituary It is with deep sadness that SMI announces the passing of Ichiro Itaya, president of Itaya Engineering Ltd., who died on March 20, 2015, after losing his battle against cancer. Itaya graduated from a Tokyo University in 1974 with a degree in mechanical engineering and, after a year spent travelling in Europe and the U.S., joined his father’s engineering company producing various types of machine equipment in Tokyo. It was here, in 1977, that Itaya added a computer to a mechanical springmaking machine and thus invented the world’s first CNC springmaking machine. Itaya truly was a pioneer who revolutionized the way the spring industry has evolved. His original vision for how such machines should be operated still forms the foundation of today’s machines — a simple system, easily understood by everyone. Itaya was not only a gifted and inspirational engineer who expertly guided the company into the 21st century, but also a peaceful man with a kind heart, wonderful sense of humor and an enjoyment of life. He inspired respect, admiration and also a deep affection in all who knew him. He will be sadly missed. His son, Taro Itaya, will replace him as president and, assisted by Ichiro’s daughter, Hanako Itaya, will continue to run the company in his spirit. Itaya’s funeral ceremony took place on March 30 in Tokyo. n 16 / SPRINGS / Summer 2015


SPRINGS / Summer 2015 / 17


©iStockphoto.com/Scott Hirko

Regional Spring Association Report NESMA Holds Casino Night By Ted White, Hardware Products The New E ng la nd Spr i ng & Metalstamping Association (NESMA) held its first ever Casino Night at the DoubleTree Hotel in Bristol, Conn. on April 23, 2015. NESMA has been trying to work on a way to support the Spring Manufacturers Institute (SMI) in its new Metal Engineering eXpo in Charlotte. Mark DiVenere, an avid supporter of both NESMA and SMI, thought that the NESMA Expo might conflict with the new SMI trade show in the fall. Mark, who has run the NESMA Expo for more years than he cares to remember, and his committee thought that if NESMA changed its format to a casino night it would be less of a competition with the SMI show. The casino night included 34 exhibitors and 190 attendees. After attendees had an opportunity to discuss business with the exhibitors, there was time before and after dinner to visit the casino tables. To help defray costs, 11 sponsors stepped forward to support

the event. We thank those sponsors very much and note that the sponsorship was the first category to sell out. This support by our members is indeed both comforting and appreciated. Each participant in the casino night received $1,000 in phony money which they turned in for chips at the tables. After receiving their chips, the participant could play any of the tables she/he wanted and win or lose according to the rules of the game. There were blackjack tables, craps tables, one arm bandits and poker tables featuring Texas Hold ’em. At the end of the night, participants could turn in their chips for chances to win door prizes. The more chips you had, the more chances you had to win. Several people I talked to said that they had won big and that they wished they were that lucky when they were dealing with real money. Regardless of whether they won or lost, it appeared as though everybody had a good time.

At the end of the evening, the door prizes were handed out. The two big door prizes, a 42 inch television and a drone were won by SMI’s own Lynne Carr and Tom Hunt of Amstek Metal respectively. Lynne subsequently donated the TV to the Environmental Learning Centers of Connecticut, a charity in which DiVenere is involved. In this continued attempt to change its format in support of SMI, next year NESMA may put together a general manufacturing expo rather than one limited to just springs. The format would be in partnership with several other small Connecticut area manufacturing groups to co-sponsor a manufacturing show that caters to all small businesses in the area. The size and location of the expo will depend on the interest of other manufacturing associations. More on this in the upcoming months. For more information on NESMA, visit www.nesma-usa.com.

Baseball Game, Tabletop Show, and Golf Tournament Highlight 2015 WCSMA Events

scheduled to play the Toronto Blue Jays at 6:05 p.m. Tickets are $25 per person and quantities are limited. As part of the outing, WCSMA members will gather before the game for a tailgate party under the “Big A” sign at the stadium. Look for the red and yellow WCSMA banner. Contact Mark Tiedemann to reserve your tickets at 562-802-2041 or email Mark@Tru-Form.com. This is one of the association’s largest events each year, with up to 750 tickets expected to be sold. Members are encouraged to buy their tickets early before they sell out. WCSMA’s annual golf tournament and dinner is scheduled for Thursday, November 12. More details on the event will be announced soon.

WCSMA will hold its bi-annual Tabletop Expo on Thursday, January 21 from 3 p.m. to 7 p.m. at the Holiday Inn in La Mirada, Calif. WCSMA says the event is “an eclectic mix of vendors who supply products, materials, equipment and services, and a must-attend trade show for everyone in the spring manufacturing and metal forming industries.” There is no need for attendees to pre-register and admission is free. Attendees will enjoy free hors d’oeuvres, a cash bar and great door prizes. Vendors who wish to exhibit can download a registration flyer at www. wcsma.us. To keep in touch with WCSMA activities, be sure to visit www.wcsma.us.

Th e We s t C o a s t Spr i n g Manufacturers Association (WCSMA) has a bevy of activities planned for its members in 2015–2016. After its annual Spring Fling to the Peppermill Resort in Reno, Nev. in May, WCSMA will hold its annual Angels Game and Tailgating Party on August 22 at 4 p.m. at Angel Stadium of Anaheim in Anaheim, Calif. The Los Angeles Angels of Anaheim are

18 / SPRINGS / Summer 2015


Regional Spring Association Report ŠiStockphoto.com/Scott Hirko

CASMI Travels to Peoria By Tom Renk, Executive Director The C h icago Associat ion of Spring Manufacturers, Inc. (CASMI) held its Annual Plant Tour on April 16, 2015. CASMI members visited the Keystone Wire & Metals Plant in Peoria, Ill. More than 30 spring i ndu st r y exec ut ives a nd pla nt managers explored the three main areas of the massive plant sitting on the Illinois River just south of Peoria. CASMI members visited the melt shop, where the air temperatures soar way above 125 degrees and the melt temperatures above 2,800 degrees. This is where metal scrap is melted into molten steel in the furnace department. The molten steel is then moved to the ladle met where it is further refined. Keystone produces 1006 to 1080 grades of steel. After the ladle met furnace area, the tour moved into the caster department, where molten metal is poured into white /red hot billets for transfer to the rod mill and the mid mill. Keystone has a two strand rod mill and produces over 650,000 tons of rod a year, producing high carbon rods up to 1080 for the market. Rod sizes include 7/32"- 3/4". The w i re m ill is where t he rods are drawn into low and high carbon spring wire. Keystone has t h r ee new h ig h ca rbon spr i ng wire drawing machines. Recently, phosphate coated tanks for spring wire production were installed in the cleaning house. There is also a new large diameter machine which draws up to .625" wire on 2000#, 3000# and 4000# stems. Our hosts at Keystone were wonderful; after walking all over their hundreds of acres, storage yards and rail lines, a lunch was served in their training facility. For more information on CASMI, visit www.casmi-springworld.org. n

SPRINGS / Summer 2015 / 19


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Be Aware Safety Tips

Contractors On-site: Your Risk Exposures By Laura Helmrich-Rhodes, CSP, Ed.D.

D

o you use cont racted services? Many spring manufacturers employ “temp agencies,” electricians, plumbers, groundskeepers, janitorial services – even safety consultants! Any of these contractors increase your risk exposures. The new OSHA National Emphasis Program on Temporary Workers has caused this subject to become a higher priority. One employer wrote to OSHA and asked for an explanation of the term “independent contractor.” His concern was focused on his Hazard Communication program. OSHA has received thousands of questions and requests for clarification about their occupational health and safety standards from employers, individuals, unions, and other organizations throughout the years. When OSHA responds to these questions, they typically do so though a Letter of Interpretation. The following Letter of Interpretation gives us guidance on who is an employee versus a contractor.

No single criterion exists that, in and of itself, determines if an employer/employee relationship exists. When evaluating divergent work situations in order to determine the applicability of OSHA coverage, OSHA utilizes the following criteria:

1. Whom do the workers consider their employer, or do they consider themselves self-employed? 2. Who pays the workers’ wages? Who establishes the level of pay? How are wages established? 3. Who has the actual power or ability to control the workers? Who actually directs or supervises the worker’s daily and overall activities, assigns work, decides whether work is satisfactory, and establishes work schedules including hours of work, vacation and sick leave? 4. Who has the responsibility, as opposed to the actual power, to control the workers? 5. Does the worker’s ability to increase their income depend on simple efficiency rather than initiative, judgment or foresight? May the workers increase their income through the exercise of business judgment?

6. Who has control over the work environment such that hazards may be abated? Who owns or furnishes the equipment and physical worksite?

Recognize that contracted employees could potentially create deadly hazards. You, literally, are placing the well-being of your employees, visitors and facilities into their hands. Prudent risk management strategies address the safety of contractor employees and protect your organization from hazards created by contractors. Recognize that contracted employees could potentially create deadly hazards. You, literally, are placing the well-being of your employees, visitors and facilities into their hands. A formal contractor selection process should be established regardless of your company size or personal relationship with the contractor. At the very least, the following should be completed:

Certificates of Insurance Certificates of Insurance for both workers’ compensation and general liability should be obtained. If the contractor creates conditions that cause your employees or visitors to be injured, those costs should not be yours. The same

Laura Helmrich-Rhodes, CSP, Ed.D., is an independent regulations compliance consultant to the Spring Manufacturers Institute (SMI). A former member of PA/OSHA Consultation, she is an associate professor in the Safety Sciences Department at Indiana University of Pennsylvania where she teaches graduate and undergraduate classes on topics such as OSHA standards, safety communications, workers’ compensation and human relations. Rhodes is available for safety advice and information. Contact SMI at 630-4958588 or laurahrhodes@gmail.com.

SPRINGS / Summer 2015 / 21


holds true if one of their employees (or personally for independent contractors) are injured or killed; it is possible that you will be liable for those costs if they are not carrying proper insurance.

Hold Harmless Agreements Ask your insurance broker, loss control representative or attorney about the use of hold harmless agreements in your state. These can solidify the responsibilities assigned to each party. OSHA Citation History An item that is easily checked and can indicate the safety performance of the contractor is OSHA compliance history. Have they been cited? Were they cited for the service you are planning to use, for example Lockout/ Tagout? What prompted the inspection? Was it an employee complaint? Each of these are indicators of safety program deficiencies in that company. What has happened to correct those problems since the citations? If you do not like the response, consider another contractor. Workers’ Compensation Experience Modification Rate (EMR) The contractor’s insurance agent or broker should provide the EMR. This is used to calculate workers’ compensation premiums. The best explanation of this number is that it represents the dollars the insurer is paying out versus the premium dollar. An EMR of 1.50 means that the insurer is paying $1.50 for every $1.00 of premium. It means the losses/cost of injuries are much higher than expected. These rates haunt an employer for three years in most states. Obviously, an EMR of zero or less than one is most desirable since it might be one indicator of a solid safety culture within the contractor organization. Certainly, a single, high cost incident for a small employer can wreak havoc on their EMR but it is a metric to consider in contractor selection. Discussing this with the contractor is an excellent way to hear about their safety concerns, management deficiencies and plans for improvement. Keep in mind, workers’ compensation claims are much different than the definition of OSHA recordable. Let’s look at that metric as a selection criterion. OSHA Incident Rates Another easily obtained number is the OSHA incident rate. Like you, employers with greater than ten employees over a calendar year must keep an up-to-date OSHA 300 Log and post the summary sheet by February 1 of each year. Incident rate date can be measured against the national average. Do they exceed the national average? Does a different contractor have a better rate and perhaps more effective safety efforts? If a contractor has fewer than ten employees they do not have to accumulate this information, and some contractors may have no OSHA

22 / SPRINGS / Summer 2015

recordables. This makes the EMR and formal written programs more important.

Written Safety Programs and Documented Training S o m e O S H A s t a nd a r d s s u c h a s t h e Pe r m it Required Confined Space, Lockout/Tagout and Hazard Communication require dialog between the contractor and the host employer regarding decision-making, hazard controls and employee training. You should determine if the contractor has formal written programs focused on the work being performed at your site. Written proof of training should be provided to you. Due to its importance for safety training and emergency evacuation, you should obtain the names of the workers assigned to your facility on a daily basis. The turnover they experience impacts safety performance and can lead to catastrophic incidents. Create a way to decide whose programs should be used. Most often it will be the written program of the contractor; however, if there is complicated equipment such as a process with multiple energy sources, it might be necessary to use yours. You must determine how you will protect your own employees and visitors from the hazards they create while performing the work too. So to answer the original question: “Does OSHA require a written contractor safety program?” They do mandate contractor use be addressed in certain programs. Should you establish a written contractor selection process regardless of the size of your organization? Certainly. The potential loss is astronomical and can easily be reduced or eliminated with pre-planning. One last thought provoking question in conclusion: If your company were being contracted, how would you fare on the criterion above? n

Helpful Links OSHA’s temporary worker information page https://www.osha.gov/temp_workers/ Definition of contractor https://www.osha.gov/pls/oshaweb/owadisp.show_ document?p_table=INTERPRETATIONS&p_id=19939 OSHA’s recordkeeping requirements for temporary workers https://www.osha.gov/temp_workers/OSHA_TWI_ Bulletin.pdf Sample programs https://www.osha.gov/dcsp/compliance_assistance/ sampleprograms.html Search OSHA history of potential contractor https://www.osha.gov/pls/imis/establishment.html


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Dean of Springs

Private Equity and the Spring Business By Dan Sebastian

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n my long journey through the world of spring companies, I have often been asked: “How can I get money out of my business for my family or estate planning?” One way is by taking on a private equity partner. Private equity is one of four primary types of ownership.

The overriding thing about private equity groups is they are not all created equal. Some work with the existing company management team to create value, while others believe their management experience and ability to recruit “high profile managers” is a way to move quickly with their growth objectives (this can also be a way for you to exit the business).

Private Ownership This is the traditional way most spring companies are owned and operated. There are many different forms of ownership, including an LLC, sole proprietorship, corporate entities, and partnerships. Each form provides owners with total control, but in many cases access to capital can be limited and is largely based on the value of your assets.

Public Corporation There are a few spring companies operating in this arena. It is a highly regulated environment with SEC reporting requirements and compliance with laws like Sarbanes-Oxley and Dodd-Frank. They generally have greater access to capital markets but with lots of oversight. ESOP The Employee Stock Ownership Plan has had very limited use because of its complex rules. We have seen a few companies in the spring world structured like this but most have been short-lived. Private Equity Funds are procured by investment banking groups who raise money from high net worth individuals, pension funds, and endowments that are looking for high rates of return. They are looking for growth both organic as well as through acquisitions. The faster the growth, the sooner they will sell to another entity. In general, their time horizon is around five years. Each group attracts investors by what they do differently to grow the company. The overriding thing about private equity groups is they are not all created equal. Some work with the existing company management team to create value, while others

believe their management experience and ability to recruit “high profile managers” is a way to move quickly with their growth objectives (this can also be a way for you to exit the business). Historically the groups who think they have a better plan for growth and bring in managers from outside the spring industry, have had a difficult time achieving success in the spring world. Many groups have trouble understanding the family-oriented culture of springmakers. The distinct difference with almost all private equity groups is they can bring large amounts of cash in to the business, much of which is from investmentoriented banks. Some of the cash may also come from the management team who may be given an opportunity to buy in, or be compelled to buy in for job security. In evaluating the type of ownership that best fits your short- and long-term business objectives, it is worth considering if the private equity model can fit with where you want to lead your business. In general most private equity groups who invest in your company will require

Dan Sebastian is a former SMI president and currently serves as a technical consultant to the association. He may be reached by contacting SMI at 630-495-8588.

SPRINGS / Summer 2015 / 25


controlling ownership. That’s because, in most cases, investors require it to protect their investment. The amount of control you lose can vary widely from group to group. You should know that in all cases, once the initial investment has taken place, they will be focused on exiting the investment. The exit depends on how much earnings have improved and what the market is like at the time of exit. The way the financial world values companies changes constantly, based on the overall economy, banking climate, and where investors believe they can get the greatest rate of return. The change in control of the business may cause you to operate differently than in the past. You will be reporting your results to people who look at it through the eyes of bankers, so getting the results in their language can sometimes be a challenge. Making decisions on everything from equipment purchases to employee practices will have to meet the standards of the private equity group. Expect review meetings with an investor and a banking team to take place at regular intervals. In addition, depending on the group, you will have to learn how to work with people who have limited understanding of the spring industry. Here are the key ways private equity companies will help develop your business by providing capital to:

1) Invest in new products that can improve your margins and/or expand your customer base. 2) Grow your business by acquiring other companies to add sales income and customers. 3) Consolidate operations or companies to eliminate what they believe to be duplicate cost. 4) Purchase equipment and processes that can reduce cost and improve quality while improving margins. 5) Consolidate purchasing of supplies with other companies in their portfolio. They may also develop outsourcing relationships with low cost producers. All of these growth programs usually occur in a highly leveraged environment. You will be diverting a significant amount of cash to pay interest. Cash is always a key driver in the business. Private equity is a way for you to exit the business or a path toward growth, while giving you the opportunity to obtain some cash up front and the possibility of an even larger pay day down the road when they exit. The tradeoff is a real difference in the way you run your business (if you stay). Finding a partner that you are comfortable with is critical in a successful relationship. The key to success is in having not just a desire to grow, but a real commitment to the industry. n

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“The formal industry name for 3D printing, additive manufacturing, is actually quite descriptive of how these machines work. ‘Additive’ refers to the fact that 3D printing methods fabricate objects by either depositing or binding raw material into layers to form a solid, three-dimensional object. ‘Manufacturing’ refers to the fact that 3D printers create these layers according to some kind of predictable, repeatable, and systematic process.”

– From the book “Fabricated” by Hod Lipson and Melba Kurman

Additive Manufacturing: Does it Add Up for the Spring Industry? By Gary McCoy, Managing Editor

SPRINGS / Summer 2015 / 29


IHS, a leading research firm, recently identified three technologies that are

most likely to transform the world during the next five years and one near the top is additive manufacturing. The company says the top three were identified by leading experts representing the technology supply chain from electronic components to finished products across a variety of market applications. The list included additive manufacturing (3D printing) in third place; cloud computing/big data at number two; and the “Internet of Everything” coming out on top. Interchangeably called additive manufacturing or 3D printing, this technology encourages design innovation by facilitating the creation of new structures and shapes, and allows limitless product complexity without additional production costs. It also greatly speeds up time to market by making the idea-to-prototype cycle much shorter. According to IHS, total revenue for the 3D printing industry are forecast to grow by nearly 40 percent annually through 2020, when the aggregated market size is expected to exceed $35 billion. This is up from $5.6 billion in 2014. As stated in a recent issue of The Week magazine, “At its core, 3D printers replace ink with everything from plastic to chocolate to metal, and instead of spitting out a flat ink-on-paper product, they stack thousands upon thousands of extremely thin printed layers on top of each other to create complex three-dimensional objects.” According to Tim Horn, a research assistant professor at the Center for Additive Manufacturing and Logistics (CAMAL) in the Edward P. Fitts Department of Industrial and Systems Engineering (ICE) at North Carolina State University, the technology of 3D printing is not new. In fact, the first machine was developed back in 1983 by Chuck Hall. Only over the last 10 years has the technology come into broader adoption by businesses and consumers. Just the cost of a 3D printing machine has dropped dramatically. According to The Week, the Z402 3D printer weighed 300 pounds and cost $50,000 in 1996. A new Da Vinci 1.0 3D printer in 2014 costs $499 and weighs 52 pounds.

30 / SPRINGS / Summer 2015

While simple 3D printing machines are affordable, the price of larger industrial machines capable of handling titanium, nickel-steel and other metal alloys, start around $500,000 and can soar past the $1 million mark.

A 3D Printed Sports Car 3D printed objects are showing up everywhere. The Office of Energy Efficiency & Renewable Energy has an Advanced Manufacturing Office (AMO). This past year the AMO’s 3D-printed EV version of the 50th anniversary Shelby Cobra, printed out of carbon fiber-reinforced plastic, has been seen everywhere, including the Detroit Auto Show. A team at the Oak Ridge National Laboratory (ORNL) put it all together, to show off their Big Area Additive Manufacturing (BAAM) technology that could allow for rapid prototyping to fully move out of the clay-model era. The spokesperson for ORNL claims that their improvements on 3D printing with these materials substantially reduce energy use, and allow for energy-absorbing structures to be printed—technologies they think could prove revolutionary to the transportation sector. The approximately 1,400-pound vehicle contains 500 pounds of printed parts made of 20 percent carbon fiber.


Recent improvements to ORNL’s BAAM machine include a smaller print bead size, resulting in a smoother surface finish on the printed pieces. Subsequent work by Knoxville-based TruDesign produced a Class A automotive finish on the completed Shelby. “Our goal is to demonstrate the potential of large-scale additive manufacturing as an innovative and viable manufacturing technology,” said Lonnie Love, leader of ORNL’s Manufacturing Systems Research group. “We want to improve digital manufacturing solutions for the automotive industry.” The team took six weeks to design, manufacture and assemble the Shelby, including 24 hours of print time. The new BAAM system, jointly developed by ORNL and Cincinnati Incorporated, can print components 500 to 1000 times faster than today’s industrial additive machines. ORNL researchers say the speed of nextgeneration additive manufacturing offers new opportunities for the automotive industry, especially in prototyping vehicles. Even UPS sees the value in 3D printing. The company announced in May the colocation of an industrial scale 3D printing operation at the UPS supply chain solutions campus in Louisville. Cloud DDM, a company focused on delivering direct

digital manufacturing (DDM) services, has launched an advanced additive manufacturing facility for “designers, engineers, and companies who want to leverage the benefits of industrial additive manufacturing (3D printing) to reduce upfront production costs, manage stock and inventory, and accelerate product development.” Cloud DDM co-founder and CEO, Mitch Free, says additive manufacturing is growing on an industrial scale. “DDM is taking additive manufacturing to the next level. Our systems are almost entirely automated, from the time a user uploads a digital model, through production, and on to packaging and shipment. Direct digital manufacturing allows us to be incredibly efficient and produce parts, in large volumes, at prices competitive with traditional manufacturing methods.” General Electric, a traditional manufacturing company, has also adopted 3D printing. The MIT Technology Review reported that the company’s aviation division, the world’s largest supplier of jet engines, produces a fuel nozzle for a new aircraft engine by printing the part with lasers rather than casting and welding the metal. “The technique, additive manufacturing, could transform how GE designs and makes many of the complex parts

that go into everything from gas turbines to ultrasound machines.” By using additive manufacturing GE Aviation has explored creating parts using titanium, aluminum and nickel-chromium alloys. The company envisions a single part being made of multiple alloys, letting designers tailor its material characteristics in a way that’s not possible with casting. “A blade for an engine or turbine, for example, could be made with different materials so that one end is optimized for strength and the other for heat resistance.” On its website, GE Aviation touts its LEAP jet engine which features 3-D printed fuel nozzles, carbon fiber fan blades, and ceramic matrix composites.

The Spring Industry So how does the spring and metal forming industry view additive manufacturing? More importantly, is it a new technology that is being adopted by the industry? To get an idea on the industry’s familiarity with additive manufacturing we sent a survey to SMI members. More than 70 company representatives responded, giving a good representative sample of the industry’s position on this issue. Respondents were asked: “How would you describe your knowledge of additive manufacturing?” Just slightly more than 50 percent This Shelby Cobra sports car, 3D-printed at the Department of Energy’s Manufacturing Demonstration Facility at Oak Ridge National Laboratory, was displayed earlier this year at the Detroit Auto Show Technology Showcase.

SPRINGS / Summer 2015 / 31


SMI Survey Results

How would you describe your knowledge of additive manufacturing?

17.4% 46.4%

Better than most

I have a lot to learn

36.2% Average

Are you currently using additive manufacturing?

23.9%

reported their knowledge as either “better than most” or “average.” Some 46.4 percent checked the box, “I have a lot to learn.” A little less than one fourth of the industry is currently using additive manufacturing or working with customers who do. The number who said they were using it came in at 23.9 percent, while 76.1 percent said they were not currently using it. Of those who have adopted additive manufacturing, the most common response was they were using it for “prototyping” or “samples.” One springmaker answered, “We have one customer who creates a plastic replica of each of their new ideas before bringing it to us.” Several said they have purchased 3D printers to make prototype springs and components. No one indicated they were using 3D printers to actually produce working parts.

Yes

76.1% No

Do you see additive manufacturing as a threat or opportunity for your business?

49.3%

Opportunity

45.1%

Too early to tell

5.6% Threat

32 / SPRINGS / Summer 2015

Opportunity or Threat? Whenever a disruptive technology comes along it is either embraced as an opportunity or perceived as a threat. In regards to additive manufacturing, only 5.6 percent in our survey believe additive manufacturing is a threat. Almost 50 percent (49.3 percent) see it as an opportunity, while 45.1 percent say “it is too early to determine.” In an open-ended question, we asked: “What applications do you foresee for additive manufacturing in the spring and metal forming industry?” Many answered the question similar to previous answers that they are or will use additive manufacturing for rapid prototyping, especially for complex parts with very low stress applications. Some also saw the use of additive manufacturing for rapid gauges and some over-molding applications. One springmaker commented, “I think they will be making static parts rather than dynamic parts (such as springs) for a long time.” Another said, “An excellent process for prototyping, particularly

for more complex parts. There’s no need to take a stamper or coiler offline to run a few dozen samples. It might possible to use for very short run springs. For spring testers, it will be a great source for replacement parts, particularly for obsolete testers.” One respondent doesn’t foresee the use of 3D printing to make springs. “They will never print springs; it is just too expensive for any kind of volume.”

Down the Road The final question in our additive manufacturing survey was openended: “Do you have any other comments, questions, or concerns?” Here are a few that we received. • “We want to know more about when powdered metals can be joined when conducting 3D printing.” • “We’re very interested in what other spring companies are thinking about this.” • “For $1,200, buy one (3D printer), then figure out what you might use it for.” • “It is really not common in springs, as it is for other industries.” • “I’m sure the resin technology will advance, but it would be almost impossible to replicate the function of most mechanical springs with printed resin. For instance, if it involved the production of compression springs it would be tough to print springs at a rate of 10,000 per hour.” • “3D prototypes in plastic are not likely to replicate true functionality.” • “Still too slow for volume production.” • “We currently have a team investigating this.” • “We have considered 3D printing for tooling details, but are unsure what materials can be used as print media and what degree of strength could be attained.”


3D Printing Using Metal If there was every proof that you can use 3D printing for metal objects, this is it. Engineers at the Edward P. Fitts Department of Industrial and Systems Engineering (ISE) at NCSU, under the leadership of Professor Horn, were able to 3D print a full-size football bearing the logo of the NCSU Wolfpack. The football, which isn’t a dinky plastic creation from a typical FDM or FFF 3D printer, was in fact created on one of the center’s most sophisticated and expensive printers, an Arcam EBM (Electron Beam Melting) machine, using titanium powder. Typically such a machine is used in the medical industry to fabricate implants for procedures such as knee replacements, but the team, led by Horn, couldn’t resist the opportunity to print something special for their Chancellor, Randy Woodson. NC State ISE is a worldwide leader in advanced manufacturing research, and the department’s work in the area of 3D printing technology is at the forefront of the global movement toward mass customization. Horn said the titanium football turned out to be a double edged sword for NC State. “The football was designed to highlight to our students, and get them excited about this idea of additive manufacturing,” said Horn. “We’re making real parts now, as opposed to the early ‘90s when they were making just trinkets and prototypes. Now we’re making parts for manufacturing with real materials like titanium.” Horn says one of the key advantages to additive processes, as compared to the traditional processes which require forging or casting, is no tooling is required. “Obviously with forging we require a forging die. In injection molding we require a mold,” explained Horn. “Drawing anything up like that we require some form of tooling, and there’s a significant

cost associated with that tooling, but it also allows you to work in a mass production environment. With additive manufacturing we can make hundreds, or thousands, or millions of something to very tight quality standards.” With no tooling to worry about, Horn says additive manufacturing frees engineers from constraints. “One of the big advantages is that it gives us geometric complexity, because we don’t have these same designed for manufacturing restraints associated with that tooling. We don’t have to worry about draft angles in an injection molding die because we can just print whatever surface we want with the additive process,” he explained. “We don’t have to worry about the same wall thickness constraints as we might have to worry about in a forging die. All that goes out the window. Basically, that allows us to print parts in very small batch sizes. It also allows us geometric complexity, because by building in a layer-like fashion we don’t need to be concerned that a mold needs to open after you’ve made your part.”

Top: NCSU professor Horn (far right) presents a full-size titanium football to NCSU Chancellor Randy Woodson (center) as ISE department head Paul Cohen looks on. Bottom: This full-size football was created on one of the center’s most sophisticated and expensive printers, an Arcam EBM (Electron Beam Melting) machine, using titanium powder.

SPRINGS / Summer 2015 / 33


Horn says the titanium football’s novelty has brought a lot of notoriety to the school and shows the complexities that can be achieved. “It has the internal spiral feature,” said Horn. “You couldn’t possibly get that with any sort of tooling.” “The football has a lattice mesh structure populating the outside surface of the football, which is a lightweight but highly compact feature that couldn’t be made with any other process,” he explained. “The downside to the football is that it has overshadowed a lot of the really neat work that we’ve been doing in the aerospace and biomedical fields for the last 10 years.” Horn says the pioneering work done by the school in producing titanium parts brought immediate attention from the aerospace industry. “They became interested in alloys like Inconel 718 and 625, and high temperature nickel super alloys.” Professor Horn says the school has done a lot of work

developing the proper parameters, characterizing the materials, doing studies of material properties, and micro-structural properties. “We’ve found some very interesting things about how these materials behave similarly or in some cases differently in these additive processes,” said Professor Horn. Horn says the school now has two electron beam melting machines and an EOS laser melting machine in its lab. “Each one of those machines is close to a million dollars,” he said.

Where Additive Makes Sense The areas where additive manufacturing is “really shining,” says Horn, “are areas where we have small batch sizes, or very complex parts that would be difficult to manufacture in other ways. Or using a material that can only be processed with additive manufacturing.” Horn says there are some cases where “mass production is

feasible and preferred with additive manufacturing.” However, he says for the most part, additive manufacturing makes the most sense for highly complex, high-value added items in small batch sizes. “Replacement parts for aging aircraft, or potentially high end automotive,” are a few examples Horn cited. For anecdotal evidence, Horn recalled a conversation he had a couple of years ago with a BMW engineer. The engineer told Horn at a conference that a large percentage of classic parts for BMW cars are now additively manufactured. Horn says there are some economic advantages to 3D printing in certain scenarios, but not every scenario makes sense. “I gave a big presentation to a group at the Precision Metalforming Association a couple of years ago, and there were people there that do roll forming of hinges. Guess what,

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we’re not going to come in and 3D print hinges any time soon unless it’s a really special hinge that can’t be made any other way and somebody really wants it badly,” explained Horn. “I would still be skeptical that additive manufacturing is going to make a big dent in the spring market any time soon.” So what should a manufacturer of springs, stamped metal parts, or wire forms consider when looking at 3-D printing for their business? “Because you’re freed from traditional design constraints, you can think differently,” Horn said. “Think about how a coiled spring is currently made in some sort of drawing or forming process. You make a wire and then you form it. You have a special machine that’s set up to form it. Because of that tooling and the set ups involved you lose flexibility – not spring flexibility, but manufacturing flexibility. You can’t change from one part to another very fast.” He said while at the moment additive manufacturing may not be competitive on the economies of scale, he said manufacturers should still explore additive manufacturing to discover the possibilities of making a better spring. “Perhaps it doesn’t have to be coiled anymore. It doesn’t have to look like anything that you’ve necessarily imagined at this point. Maybe you could make a more optimal spring for a specific application,” Horn speculated. Horn recalled seeing a chair at the Rapid Conference & Exposition that was laser printed. “The entire chair---all the springs and all the cushions in it—were 3D printed,” he said. “They made geometries that would be impossible to manufacture any other way. They were optimized based on a computer model, a finite element model, to form a certain way under certain loads. Instead of manufacturing hundreds of thousands of springs and assembling them, this whole chair and all its

springs and all its hardware were printed as one single piece.” Horn says using additive manufacturing to produce prototypes has been going on for over 30 years, and will continue to be a primary use for the technology. “In large part because of what we’ve done at the university level, these materials are becoming available along with the machines that are capable of producing high quality parts, in materials that are robust enough for the engineering needed in real applications. That’s what’s driven the transition from rapid prototyping to additive manufacturing,” Horn explained. “The rapid prototyping part of it has not gone away and won’t go away. The manufacturing portion has really come online in the last decade or so.” Even though it has been around for over three decades, Horn says a lot of advances have been made in additive manufacturing in just the past few years. “A lot of what we do involves hosting industrial visitors and conducting workshops at the center. We’re getting CEOs now that say, ‘We need to be in 3-D printing.’ And they don’t really know why yet,” explained Horn. “We do a lot of work force education and getting people trained on the advantages and the limitations of additive manufacturing today.” For the scope of this article, there is not room to devote to all the different types of 3D printing machines available on the market. Several machine manufacturers have developed very helpful white papers on the subject. One of the best is from Proto Labs, titled “3D Printing Technologies for Prototyping and Production: How to Leverage Additive Manufacturing to Build Better Products.” The paper provides a helpful overview of different processes available, including the pros and

cons of: binder jetting (BJET), fused deposition modeling (FDM), stereolithography (SL), selective laser sintering (SLS), polyjet (PJET), digital light processing (DLP), and direct metal laser sintering (DMLS). Visit www. protolabs.com for more information or phone 877-479-3680. Other active companies include Sciaky, Inc., ExOne Company, and Stratasys Corp., to name just a few.

Advice to Ponder Richard D’Aveni produced an article for the Harvard Business Review earlier this year titled, “The 3D Printing Revolution: It’s Happening, and it Will Transform Your Operations and Strategy.” D’Aveni makes the point that additive manufacturing is transformative. “It enables easy customization, eliminates both assembly and inventories, and facilitates product redesigning. Firms should examine how this technology can enhance their offerings and those of their competitors, and how operations should be reconfigured to optimize fabrication.” He believes every manufacturing company should assess how it will affect their environment. “Three ways to adopt 3D printing include beginning with high-end goods, allowing effects to trickle down; focusing first on components of a product, swapping out oldmethod parts for 3D ones; and focusing on components shared in multiple products and replacing them with 3D manufactured ones in a cut-cross strategy.” It appears that additive manufacturing does add up for the spring and metal forming industry, but not in a major way at the moment and primarily limited to rapid prototyping. The possibilities for additive manufacturing in the future are endless. Stay tuned. n

SPRINGS / Summer 2015 / 35


©iStockphoto.com/BanksPhotos

36 / SPRINGS / Summer 2015


©iStockphoto.com/BanksPhotos

Is Additive Manufacturing in Your Future? By Paul Menig

T

echnology interests me greatly. I maintain, if it were not for technology, humans would still be waiting for lightning to strike and start a fire rather than creating it on demand with a spark and natural gas. We would still be carrying everything on our heads, shoulders and hips if the technology of the wheel, the lever, the motor and the internal combustion engine weren’t combined to form highly efficient modes of transportation and freight movement. And, we’d be battered and bruised if those vehicles did not have suspension springs that smooth our rough ride. How is technology affecting the metal forming industry, and what will happen in the next 15 years or more? I’ve now had a chance to visit over a dozen manufacturing facilities of the members of the Spring Manufacturers Institute (SMI). In addition to those visits, I’ve been able to tour airplane assembly operations, engine assembly and solar panel plants recently. I’ve seen the one room assembly and heat treatment for a cast iron skillet from a KickStarter program. When these are combined with my past experience

in industrial automation and truck assembly, I’ve been able to see many ways of casting, stamping, cutting, bending, assembling, deburring, welding, gluing, joining and forging. Nearly every one of the operations has involved waste — extra fluids and materials that get thrown away or recycled. Most of the operations are looking for higher volumes of unchanging parts to be able to optimize the operations and reduce the time and waste to create the parts. But, what if? That’s a question engineers and other visionaries often ask. What if something could be different? What if we could make parts efficiently, one at a time rather than batches of 100 or more? What if every part could be customized to a customer, rather than the customer having to buy something just like what everyone else has bought? What if we could add to, rather than subtract from, to produce a part? What if Star Trek’s food replicator, with its capability to produce the food container as well as the food, really existed? Well, some of this does. It has some special uses today due to expense and manufacturing time. As more people

SPRINGS / Summer 2015 / 37


Here is a link to a YouTube video for lost wax casting of get familiar with its unique capabilities and the special material properties it can create, they will find more places a ring with no stone set in it, such as a man’s wedding band. https://www.youtube.com/watch?v=_GZ0C3I4-FQ that it can be used. I was at an advanced manufacturing conference in Fresno, Calif. recently. An expert on additive manufacturing The point of all this is that this is a slow, complicated related a story about a custom ring manufacturer. The process with lots of waste. The custom ring manufacturer in the case related by sta nda rd process for the professor, had four creating and producing a Customers now use the Internet and graphics carvers and was able to custom ring for a couple produce about 10 custom or individual involves software behind the website to design their rings a week. Customers a sa les consu lta nt own rings, without the need for the sales now use the Internet working with the couple consultant. The graphics file is then fed to additive and graphics software to define what they want behind the website to u s i n g pi c t u r e s a n d manufacturing machines to produce the wax mold. design their own rings, sketches. Once that is The result is the company can now support 1,000 without the need for the completed to everyone’s custom ring designs a week and can return them sales consultant. The satisfaction, a trained graphics file is then fed to i nd iv idu a l c a r ve s a to the customer in much less time. additive manufacturing mold out of wax that machines to produce the can be used to create a mold around it. Eventually, metal is poured into the mold, wax mold. The result is the company can now support the ring is hand finished and the diamond is set. Below is 1,000 custom ring designs a week and can return them to the customer in much less time. That’s the power of an example of the carving process. additive manufacturing for high-value, low volume, http://www.instructables.com/id/Making-a-customcustom products. Mass customization is a term applied Platinum-Diamond-engagement-ring./?ALLSTEPS to this technology. But, this process can be extended further by eliminating the wax mold step. Using laser sintering, additive manufacturing processes, a metal ring of titanium or gold can now be manufactured directly from the graphics file. To speed the manufacturing process, tens of custom rings could be produced at one time, minimizing travel time Since 1935 and other delays in the equipment process. https://www.youtube.com/watch?v=TCyYf8lUqqs

Compression

The power of customization for this decorative application is immense. Think about all the metal ornaments that are used on machines, cars, trucks and other items. A Delta faucet in an exclusive home could have a tag on it with the owner’s name in the future. Instead of the dealership putting their name on your car for advertising purposes, you could have a custom insignia on your trunk installed. You may not have heard of the Gartner Hype Curve. It’s a look at where the informational hype is versus the real world applications that have matured. http://www.gartner.com/technology/research/ methodologies/hype-cycle.jsp

Tension Squareness Under Load Digital Squareness Lateral Load Torsion

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38 / SPRINGS / Summer 2015

Accuracy

Reliability

IDTechEx has created a version of this, specifically for additive manufacturing, both plastic and metal. http://www.rapidreadytech.com/2014/05/ analysts-forecast-optimistic-future-for-additivemanufacturing/

Images


What should you be doing right now with additive manufacturing? Here are seven ideas to consider.

1

Just ASK — Always Seek Knowledge from your customers. Find out what they are thinking about additive manufacturing and what they are doing.

6 3

2

Sponsor a contest at a high school, community college or local university to get students engaged in showing the potential for your business. You may end up finding a future employee.

5

Have your engineering department design something for additive manufacturing and have it “printed” at one of the many service bureaus that specialize in printing for others.

4

Have some lunchtime lectures where suppliers come in and talk about the technology.

Assign one or more of your youngest, brightest people to prepare a white paper on the subject to be presented to senior management.

Let a small team attend one of the many trade shows that focus on additive manufacturing or have a track related to that. In fact, the upcoming SMI Metal eXpo is an excellent opportunity.

7

Invest in a plastic printer and let people use it on their own time to get familiar with it. Let children of your employees have access. Getting young people into your facility with guidance from others may create excitement for the industry in the future.

Images in this article: ©iStockphoto.com/gradyreese, vgajic, gjohnstonphoto

Metal forming is one thing, you may think, but springs are another deal. I’m not so sure. Here is a sample of a plastic spring made using additive manufacturing processes. on3dprinting.com/2014/01/21/create-3d-printedbobble-head-doll-mixee-labs/ I learned that the Slinky was created by the founder of one of the members of SMI, Richard James of James Spring & Wire Company. Here is a link to an additive manufactured version of a Slinky. https://blog.adafruit.com/2014/04/17/severaltechniques-to-produce-laser-cut-helical-springs3dthursday-3dprinting/ It’s clear that additive manufacturing has already inf luenced t his indust r y. A recent su r vey of t he

membership had an excellent 25 percent or better return rate. Of those responding, over 20 percent have already been involved with it, or have purchased equipment. If we assume those are leaders in the industry, it would be safe to say that over five percent of the membership has already been involved. As engineers at customer sites begin to understand the potential for creating new features, their use of this will increase. Of course it won’t happen overnight. In fact, additive manufacturing has already been in existence for 35 years now. We called it stereolithography in the ‘80s and ‘90s. It was used to get an idea of a shape of a part and let people touch and feel it. At that time, it was not good for much else. Today, we can make parts that go into production with it, albeit ones that are custom and use expensive materials. n

SPRINGS / Summer 2015 / 39


SMI Metal Engineering eXpo Will Include Session on Additive Manufacturing

A

nticipation is in the air as the Spring Manufacturers Institute (SMI) gets ready to host the first ever SMI Metal Engineering eXpo at the Charlotte Convention Center in Charlotte, N.C. The three day trade and education event, October 19-22, 2015, is all about exposing companies to new sources of materials, machinery, and processes. It is designed to be the premier trade show and educational event for the engineered spring and precision metal components industries in North America. The trade show is being supplemented by a strong array of technical education sessions to assist companies who are involved in the processing and production of wire, springs, and bent components. In fact, 24 hours of time has been devoted to the eXpo’s technical symposia, which have been divided into six educational tracks on the subjects of: Business Environment, Business Practices, Culture/ Leadership/Motivation, Manufacturing, Technology, and Materials and Testing. For those who want to learn more about additive manufacturing, the theme of this issue of Springs, you’ll want to attend a session with Todd Grimm titled “Additive Manufacturing (Rapid Prototyping) – Today and in The Future.” In his session, Grimm will explore the present and future of additive manufacturing (rapid prototyping) which will include a presentation on current materials and applications. Grimm will provide a realistic and optimistic look at what additive manufacturing might do for your business. With more than 20 years of experience in the industry, Grimm brings real world understanding to the capabilities of today’s world of additive manufacturing. His current position on the board of the Additive Manufacturers Users Group also gives him a unique perspective on where the industry is heading in the near and not-so-near future. The session by Grimm is under the Technology track and will be held at 8 a.m. on Wednesday, October 21 and repeated again on Thursday, October 22 at 9 a.m.

40 / SPRINGS / Summer 2015


The three day trade and education event is all about exposing companies to new sources of materials, machinery and processes. It is designed to be the premier trade show and educational event for the engineered spring and precision metal components industries in North America.

Solutions ed Here. mponents Industri es.

SMI Metal Engineering eXpo Schedu le Monday, October 19 1 p.m. to 6:00 p.m. Tuesday, October 20 6:30 a.m. to 6:30 p.m. 10 a.m. to 11 a.m. 11:30 a.m. 11:30 a.m. to 5 p.m. 5 p.m. to 6 p.m.

Registration Registration Opening Ceremonies Exhibit Hall Opening Ceremony Exhibit Hall Open Welcome Reception (Exhibit Hall Floor)

Wednesday, October 21 6:30 a.m. to 5:30 p.m. Registration 8 a.m. to 10 a.m. Technical Symposia – Six Tracks * Business Environment * Business Practices * Culture/Leadership Motivation * Manufacturing * Materials and Testing * Technology 10:30 a.m. to 5 p.m. Exhibit Hall Open 5 p.m. Open Supplier Night 6:30 p.m. to 9:30 p.m. NASCAR Hall of Fame Reception with special guest Dale Jarrett Thursday, October 22 7 a.m. to 3:30 p.m. 8 a.m. to 10 a.m. 10:30 a.m. to 3 p.m.

Registration Technical Symposia – Six Tracks * Business Environment * Business Practices * Culture/Leadership Motivation * Manufacturing * Materials and Testing * Technology Exhibit Hall Open

m SPRINGS / Summer 2015 / 41


©iStockphoto.com/seraficus

For those who want to learn more about additive manufacturing, the theme of this issue of Springs, you’ll want to attend a session with Todd Grimm titled “Additive Manufacturing (Rapid Prototyping) – Today and in The Future.” In his session, Grimm will explore the present and future of additive manufacturing (rapid prototyping) which will include a presentation on current materials and applications.

Educational sessions are scheduled for one hour each on Wednesday, October 21 and Thursday, October 22 between 8 a.m. and 10 a.m. before the trade show opens. Here’s a list of the rest of the sessions currently scheduled under the six tracks.

Business Environment Track

Business Practices Track

Wednesday, October 21 8 a.m. Steel Industry Overview John Anton Join us for an overview of what’s happening in the global steel industry and market. We’ll discuss what to expect in the future and the probable impact on SMI members.

Wednesday, October 21 8 a.m. The State of Health, Safety and Environment Laura Rhodes Meet SMI’s new regulatory consultant Dr. Laura HelmrichRhodes, CSP and take an in-depth look at the top 10 OSHA violations specifically for this industry. She will also review OSHA’s emphasis on amputation prevention. Resources for determining if you have combustible dust will be given. Her presentations is interactive and you are certain to learn something new.

9 a.m. Terms and Conditions of Sale: Pitfalls Gary Carboy “Terms and Conditions of Sale” is an area of potentially high exposure for companies that are not paying close attention. In this forum attorney Greg Carboy, a partner of Cowles Thompson, who has extensive experience in product litigation, will lead a discussion regarding some of the most serious pitfalls that all suppliers need to consider when entering into an agreement to supply parts or materials. Thursday, October 22 8 a.m. Economic Update Tim Quinlan What’s next for the global and North American economies? Join us as economist Tim Quinlan shares his thoughts on what’s coming down the pike. 9 a.m. Steel Industry Overview John Anton (repeat of Wednesday session)

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8 a.m. Career Technical Education — What are the Options? Al Mangels, John Dellalana, Mike Betts, John Bagnuolo All companies in the metalforming industry need to develop more and better skilled employees. Join us as a panel of executives, from four spring companies who are based in different regions of the U.S., discuss options and alternatives for achieving this important objective. 9 a.m. Improve Employee Wellness Sarah Szul This presentation will focus on performance-based wellness for small business. Learn what you can do to help reduce your company’s health care costs.


A reception on Wednesday evening at the NASCAR Hall of Fame will feature an appearance by NASCAR legend Dale Jarrett. Jarrett is a former NASCAR car driver and current sports commentator known for winning the Daytona 500 three times and winning the NASCAR Winston Cup Series championship in 1999.

Culture, Leadership & Motivation Track Wednesday, October 21 9 a.m. How to Hire the Best Mark Lee Selecting the best job applicant isn’t always easy. In this session, human resources expert Mark Lee will share best practices in hiring. Leave with a better understanding of how to screen applicants to make sure you end up with the hire who is the best possible match for the job—and for your company. Thursday, October 22 8 a.m. Become a Better Leader David Wheatley Expert David Wheatley shares insights that will help you maximize your leadership potential. Learn to develop your skills, perform better and improve customer service strategy. Leave with practical tips you can put into practice right away—or use to coach your team members.

Manufacturing Track Wednesday, October 21 8 a.m. How to Have It All: Quality, Cost, and Performance Paul Menig Manufacturing expert Paul Menig says it is possible to have quality,

cost and performance without having to make a trade-off. This session delves into examples of advanced manufacturing techniques used in other industries and related metalforming industries. Menig will review these examples to identify opportunities for improvement in our own industry. Learn integrated and automated solutions for the complex process of “Order-entry-to-cashfrom-a-satisfied-customer” that your people can support. Thursday, October 22 8 a.m. Machine Set-Up: Coil & Grind Martin Dorn, Carl Atwater This symposium will identify best setup practices for both coiling and grinding machines—then provide tips and ideas on how to automate either or both of these operations with one another. The critical characteristics of coiling setups will be scrutinized, teaching attendees how to optimize each step to facilitate a defect-free and efficient grinding process. Next we’ll identify potential efficiencies that can be achieved in the grinding process, as well as talk about options for automatic feeds and other automation. 8 a.m. How to Have It All: Quality, Cost, and Performance Paul Menig (repeat of Wednesday, October 21 session)

9 a.m. Repeatability and Reliability… It’s All in the Setup Wade Keats Presentation of best practices in setup for repeatability, speed and accuracy for slide forming machines. The session will also include an open forum section for those interested with questions and or ideas. Presented by Keats Mfg. with cooperation of PMA forums on the subject as well.

Materials & Testing Track Wednesday, October 21 8 a.m. Update: Stainless Steel Shawn Chaney More medical devices are made from stainless steel than all other materials combined. Device designers select stainless for its ideal balance of strength, corrosion resistance, mechanical properties and cost. Applications include guide wires, catheters, staples, endoscopic devices, tools and a variety of coiled products. Join us for a discussion of the various grades and tempers for medical coil winding applications. Leave this session with an understanding of the material characteristics that result from the various melting methodologies, inclusion distribution and the resulting fatigue endurance limits.

SPRINGS / Summer 2015 / 43


The Queen City's dining options are practically endless. Restaurants in Charlotte offer a surprisingly diverse mix of cuisine: Feast on barbecue or farm-to-table fare; savor international cuisine or interesting twists on American favorites.

9 a.m. Update: Coating Gary Drosz Here’s your chance to get up-to-date on coatings. Our discussion will detail the differences between various paint coatings—including a comparison of the strengths and weakness of each. We’ll also outline proper application and processing. Presented by PPG Industries. Thursday, October 22 9 a.m. Metrology: Load Vector Analysis Larry Sheiman This session will explore the latest trends in load testing capabilities including Load Vector Analysis. Discuss the benefits of utilizing these capabilities for your company and your customers. Presented by SAS Technologies

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Technology Track Wednesday, October 21 8 a.m. Additive Manufacturing (Rapid Prototyping) — Today and in The Future Todd Grimm (see more information on page 40) 9 a.m. Software Integration to Manufacturing Richard Dignall Hear Richard Dignall present his findings on integrating computers or CNC equipment with ERP systems. The discussion will include advantages, challenges — and feasibility.

Thursday, October 22 8 a.m. Update: Residual Stress Dan Sebastian Join us for a presentation on the preliminary findings of an SMIsponsored project to identify a more cost-effective means for companies to use basic metallurgical tools to verify that parts have been properly stress relieved. The data for this study will be measured in micro hardness and confirmed with x-ray defraction technology. This study will help to establish new guidelines governing the temperature and time required for adequate stress relief. Presented by: Dan Sebastian, SMI technical advisor, with input from the following SMI member companies: ASW, Gibbs, PAC, Liberty Spring, Associated Spring, Precision Coil Spring, and MW Industries.


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Reel Time. 8 a.m. Software Integration to Manufacturing Richard Dignall (repeat of Wednesday session) 9 a.m. The Effects of Shot Peen Dave Breuer Learn the results of a study on the effects of shot peening on highly stressed, low fatigue cycle springs. Findings will be presented as fatigue life studies and as correlations to X-ray Diffraction results on study samples. This study will become the basis for a future SN curve to more accurately predict fatigue for high tensile chrome silicon springs with life expectancies of less than 10^5 cycles. 9 a.m. Additive Manufacturing (Rapid Prototyping) — Today and in The Future Todd Grimm (repeat of Wednesday session)

Event and Hotel Information Get Plugged In

Not-to-Be Missed Events

If you are coming to the eXpo, you will want to make your hotel reservations right away. The Westin Charlotte Hotel is conveniently located right next door to the Charlotte Convention Center, and will serve as the headquarters hotel for the SMI Metal Engineering eXpo. In addition to the Westin Charlotte, please consider staying at one of the Metal Engineering eXpo 2015 official hotels: • Aloft Charlotte Uptown @ the EpiCentre • Hampton Inn Charlotte Uptown • Hilton Charlotte Center City • Hilton Garden Inn Charlotte Uptown • Hyatt Place Charlotte Downtown • Sheraton Charlotte Hotel

An opening reception will be held on the show floor of the SMI Metal Engineering eXpo on Tuesday, October 20 from 5 p.m. to 6:30 p.m. Through the sponsorship of Industrial Steel & Wire, SMI will hold a reception on Wednesday, October 21 at the NASCAR Hall of Fame, which is adjacent to the Charlotte Convention Center. The three hour reception from 6:30 p.m. to 9:30 p.m. will feature an appearance by NASCAR legend Dale Jarrett. Tickets are required for this event. All registration, hotel and educational session details for the SMI Metal Engineering eXpo are available at the official website for the show www. metalengineeringexpo.org.

All hotels are within a four to five block walking distance to the convention center. Transportation is not provided. The Metal Engineering eXpo 2015 housing cutoff date is September 22, 2015.

SPRINGS / Summer 2015 / 45


Go Lean –

and Do It Your Way By Clayton Baker

T

he impact of lean manufacturing over the past 30 years is undeniable. Based on the Toyota Production System (TPS), which initially was implemented for the manufacturing of automobiles, the practice aims at eliminating waste in the production process. For many manufacturers, lean also became the answer to another age-old problem. To paraphrase the Pogo comic strip that was popular in the mid- to late-1900s, “We have met the enemy, and it is…inventory.” Excess inventory became a main culprit when assessing the hidden costs in the manufacturing process. So companies around the globe began looking for ways to streamline their operations based on TPS. A movement was born. In the years since, countless books and articles have been written about lean, and college courses have been offered to train students in its principles. A parallel emphasis on continuous improvement produced such business classics as “The Goal: A Process of Ongoing Improvement” by Eliyahu M. Goldratt and Jeff Cox, a best-selling business novel that is based on the concept of eliminating bottlenecks in the manufacturing process. With all of the knowledge available today about lean, how can a small- to medium-sized manufacturer adapt its principles to changes in the marketplace? Are there any key components to lean that are easily overlooked, resulting in less-than-desired productivity?

A Change in Thinking As with any process, it’s important to start by identifying areas where attempts at improvement will bring about tangible results. At the same time, it’s equally important to translate theory into practice. But how? Well, to refer to another time-honored axiom, “to thine own self be true.” While it’s important and worthwhile to study management theory, inevitably you have to act. And you have to act in the best interests of your company, and your customers. There was a time in the industrial world where a fascination with production capability led to the idea of manufacturing mass quantities of products—sometimes regardless of immediate need. If it was cheaper to make products by making a lot of them all at once, why not do so, and simply store the excess? By the mid-1900s, the problem with that philosophy was becoming evident. The bottlenecks Goldratt and Cox wrote about actually reduced productivity and often resulted in waste—in

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Interior of Alco Spring Industries


As with any popular business philosophy, there is the temptation to try to do too much all at once when implementing lean. Such ambition often goes unrewarded when management finds it has bitten off more than it can chew. The process gets bogged down in details and indecision, and the unfinished initiative only ends up costing the company money instead of saving it. SPRINGS / Summer 2015 / 47


To keep things simple, focus on one area at a time, rather than everything all at once. This might run counter to what classic lean manufacturing suggests, but business theories are best utilized when they’re adapted to your specific situation and needs. As you’ll see, focusing on individual steps, and the people who perform them, is an important key to success with lean principles.

both inventory and man-hours. Making products to order— in other words, manufacturing only what could be finished and used immediately—was recognized as a less expensive, more efficient process for many purposes.

The Process As with any popular business philosophy, there is the temptation to try to do too much all at once when implementing lean. Such ambition often goes unrewarded when management finds it has bitten off more than it can chew. The process gets bogged down in details and indecision, and the unfinished initiative only ends up costing the company money instead of saving it. One way to avoid this dilemma is to dwell on the process of improvement, rather than the overall process

48 / SPRINGS / Summer 2015

of initiating a lean program—the end “Goal,” if you will. Focusing on training people in lean concepts and terminology can result in potentially alienating supervisors and other personnel by creating a forced cultural change that may not be clearly understood. An essential idea behind lean is to reduce the cycle time of the various processes while enhancing both flexibility and quality. So keep things simple, and make sure you can achieve the goals you set for your team. To keep things simple, focus on one area at a time, rather than everything all at once. This might run counter to what classic lean manufacturing suggests, but business theories are best utilized when they’re adapted to your specific situation and needs. As you’ll see, focusing on individual steps, and the people who perform them, is an important key to success with lean principles. Let’s examine the implementation of lean manufacturing, using four areas essential to the production process: Product flow, lead times, quality, and workforce engagement. 1. Product flow. The idea of continuous flow is central to lean, because it describes the production of materials without interruption. It is based on the concept that it is less expensive to make things to order and producing what can be completed all at once rather than in stages— stages that are often separated by days, weeks or longer. This also lowers inventory costs, and opens up other opportunities for machinery on a plant floor to take on additional projects rather than sitting idle for long periods of time. Such idleness is often caused by bottlenecks, or stages in the production process that limit the production flow. These bottlenecks can be caused by factors such as lack of capacity, inadequate or improper processes, or lack of properly trained personnel. The idea is to “chase the bottleneck”—fix one, then go after the next one. Some bottlenecks not present at the onset are actually created after another one has been addressed, so flexibility and adaptability are essential to lean, even during the process. 2. Lead times. By streamlining operations, lead times can be reduced by one-half, two-thirds or even more. The reduction of excess product eliminates bottlenecks, prevents excess handling of items in storage, and can prevent work-in-process inventory from being misidentified or misplace while it awaits later use.


35

Years

060-6000-0113-06.indd 1

3. Quality. Beyond just thinking of the whole, which lean is designed to do, it’s beneficial to focus on individual processes in manufacturing. By verifying that each specification is met—consistent tapering length, for example, or the correct length bar stock to begin with—and making sure the operators understand the importance of precise accuracy, the amount of scrap and rework is reduced. Likewise, instead of having personnel whose task is to perform quality checks throughout the process, designate the operators at each station to look for and eliminate potential problems before manufacturing begins, instead of during or after. 4. Workforce engagement. It is essential to have employee participation. Ask the individuals who are performing the actual jobs to offer input. Form them into teams to review and analyze every step of the operation, not just their own. Employee buy-in is essential because they have a tendency to think that “going lean” means loss of jobs. However, streamlining the manufacturing process can actually save jobs by reducing scrap, eliminating bottlenecks, and making the company more competitive overall. (When our company implemented this approach, employee concern over jobs was minimal. Instead, their attention was focused on their roles and the overall benefit to the company.) The buy-in of employees is perhaps the most important step listed above. Without the active participation and support of your staff, your company will be hard-pressed to set realistic goals, let alone achieve them.

2/4/15 3:05 PM

If you’ve been faced with the dilemma of rising costs, excess inventory, too much waste, and increasing inefficiency, consider the long-term benefit of “going lean.” Tailored to your specific circumstances, it can turn your company’s fortunes around and usher in a renewed era of quality, efficiency, and profitability. n Clayton Baker is vice president of Alco Spring Industries, Inc., a manufacturer of hot wound coiled springs located in Chicago Heights, Ill. Alco is a subsidiary of A. Stucki Co. of Pittsburgh, Pa. In addition to his manufacturing background, Baker has extensive international management consulting experience in the mining, hospitality and food manufacturing industries. Having previously worked at Alco Spring in the 1990s, Baker returned in 2007 and was part of the team that implemented lean manufacturing principles at the company.

SPRINGS / Summer 2015 / 49


Images in this article: ©iStockphoto.com/demarco-media

I

Flashback

Parts Forming Machines

1960/1970 By E. V. Cavagnero, Vice President, Torin Corporation

(Editor’s note: Springmakers have always looked at new technologies to improve the way they manufacture springs. In this edition of Flashback we reprint an article from the October 1971 issue of Springs about the state of wire forming machines in the late ‘60s and early ‘70s.)

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n the United States, the early sixties promised a rebirth of the American spirit on all fronts. As a nation, we were wrestling with data processing and computers, soaring into space, strengthening the technical domains of our educational systems, and gearing our attitudes for the new tomorrows. Machine tool sales and marketing experts were gaining rapidly on the technical problems associated with numerically controlled machines, but couldn’t overcome the “Return on Investment” arguments. We in the metal forming machinery building business were also exploring. Market requests were many and varied. Let’s consider some: • Automatic looping devices were needed to reduce labor costs. • Coilers and torsion winders needed redesign to reduce the level of setup skills presently required. • Automatic gauging with feedback was needed to reduce scrap and operator costs. • Compensation for material variations was needed. • Feed, diameter, and pitch tolerances would have to be held more closely. • More tonnage and stroke length were needed on fourslides.

The list was longer, but I haven’t yet touched upon the real problem faced by machinery builders. Here it is: How does one provide the answer to ABC Company’s needs that also meets the requirements of XYZ’s with a single machine or manufacturing concept? This question, if applied to nearly all of the above listed market requests, would clearly explain why 1971 arrived without answers to all of the above listed problems. However, here are some of the answers that were provided: • In spring looping, there were several combination coiler loopers introduced with varying degrees of sophistication. The conceptual effort employed here was directed towards dropping the spring completed to spec with minimum handling. An entirely different concept separated the coiler from the looper to allow optimum performance of each unit with minimum handling when used with an automatic feeder. Both systems worked and offered the market place a choice. • In torsion winders, there were two major domestic efforts made. One offered a completely new design of machine capable of extending all of the previous specifications with better secondary capabilities on the machine. Another company offered a numerically controlled torsion winder also capable of extending previous specs with


improved secondary capabilities on the machine. The advantages of a numerically controlled torsion winder permit setup with reduced skills but at a higher initial cost. Again, the market had a choice. Coiler buyers had newcomers to consider. From England came a new coiler utilizing both forward and reverse strokes of the crank mechanism. From Italy came a new coiler with continuous feed embodying a flying cutoff and, naturally, high production speeds. In the United States, we introduced new sizes and new attachments designed to extend the universal coilers versatility. We improved materials and manufacturing tolerances for better life and precision. Ad apt ive c ont r ol s of f e r e d b ot h by m a c h i ne manufacturers and independent suppliers added to the buyer’s confusion, especially in companies employing their own designs. As 1970 closed, a new domestic coiler appeared with the intent of offering advantages in versatility and ease of setup. Fourslide manufacturers were very active during this period, often times going in seemingly opposite directions. Let’s look at the results: • New massive horizontal fourslides appeared for the first time. • A large new vertical fourslide was introduced to automated assembly lines and parts production. • New designs of very small fourslides competed vigorously for electronic parts production. • A principal manufacturer of lower priced machines introduced the first of a line of higher priced versions. • A principal manufacturer of higher priced machines introduced the first of a line of lower priced designs. • A principal manufacturer of horizontals, in an apparent attempt to please both vertical and horizontal proponents, offered an adjustable angle design. • Several European companies offered vertical designs with slides adjustable in a circular path. • The intent here is to reduce tooling complexities by rearranging slides to best suit the part geometry. Adaptation of fou rslides into new concepts of manufacturing by combining forming with both resistance and electronic beam welding have effectively reduced parts costs. The market again was offered a choice. Additionally, new devices for secondary forming, load testing, stress relieving, wire payoff, hopper feeding, etc., have been employed with varying degrees of success. Where are we, where will we go? Our market is still concerned with versatility, cost, ease of setup, extended

How does one provide the answer to ABC Company’s needs that also meets the requirements of XYZ’s with a single machine or manufacturing concept?

specifications, reduced secondaries, cost of tooling, reliability, durability, and all the others. Machinery builders will continue their best efforts to supply equipment answers to these demands. n

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j n m a c h i n e r y. c o m SPRINGS / Summer 2015 / 51


SMI Scholarship Program Has Awarded $127,500 in its First Five Years

S

tarted in 2011, the SMI scholarship program has assisted 62 students to date, representing $127,500 in financial aid. With more than 100 students applying for the 2015 scholarship program, 15 students were selected for awards in the amount of $31,000. “The growth and reach of our scholarship program continues to accelerate,” said SMI president Hap Porter. “Higher education is a valued investment that we are happy to contribute toward as an association.” To be eligible for an SMI scholarship, award winners must be a son or daughter of an employee who works for an SMI member company. For 2015, SMI awarded nine regional scholarships in the amount of $2,000 each. Six at-large scholarships were also selected, which included: the WAFIOS Innovation award in the amount of $2,500; the KERN-LIEBERS Texas scholarship for $2,500; the International Spring Scholarship, awarded to two students in the amount of $2,000 each; the Callaghan-Hart Scholarship for $2,000; and the Bud Peterson Memorial Scholarship in the amount of $2,000. “The SMI executive committee and board of directors is grateful for all the companies and individuals who contributed funds toward our scholarship program,” said Porter. “I encourage all of our member companies to make their employees aware of this program, and the opportunity to help defray the cost to send their son or daughter off to college.” SMI member companies will be sent information for the 2016 scholarship program in the fall, via mail and email.

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2015 At-Large Scholarships

KERN-LIEBERS Texas, Inc. Scholarship Mary R. Stanford Hometown: Dickson, Tenn. SMI Member Parent: Ricky Stanford, Sumiden Wire Products Attending: University of Tennessee, Martin, Tenn. Major: Elementary Education

Bud Peterson Memorial Scholarship Samuel J. Ligeros Hometown: Munhall, Pa. SMI Member Parent: James Ligeros, Diamond Wire Spring Attending: Penn State University, State College, Pa. Major: Undecided

International Spring Scholarship Erica G. Hilbig Hometown: Westminster, S.C. SMI Member Parent: David Hilbig, Ulbrich Attending: University of South Carolina, Columbia, S.C. Major: Nursing

International Spring Scholarship John J. Hunt Hometown: Ada, Mich. SMI Member Parent: Tom Hunt, Amstek Metal Attending: University of Alabama, Tuscaloosa, Ala. Major: Engineering

Callaghan-Hart Scholarship Jason W. Chang Hometown: Darien, Ill. SMI Member Parent: Der-Form Chang, MW Industries Attending: Northwestern University, Evanston, Ill. Major: Economics

WAFIOS Innovations Scholarship Tiffany M. Rogers Hometown: Niles, Mich. SMI Member Parent: David Rogers, Suzuki Garphyttan Attending:University of Florida, Gainesville, Fla. Major: Agricultural Communications


2015 Regional Scholarships

Canada John Babu Hometown: North York, Ontario SMI Member Parent: Babu Francis, Commercial Spring & Tool Co. Attending: York University, Toronto, Ontario Major: Biology

Michigan Keri L. Masserant Hometown: Novi, Mich. SMI Member Parent: Timothy Masserant, Peterson Spring Attending: Michigan State University, East Lansing, Mich. Major: Applied Engineering Science

Students Express Their Appreciation

Southeast Kathryn N. Anderson Hometown: Spartanburg, S.C. SMI Member Parent: Curtis Anderson, Duer/Carolina Coil Attending: Presbyterian College, Clinton, S.C. Major: Pharmacy

“I would like to take this opportunity to express my gratitude for being selected as a recipient of the WAFIOS Innovation Scholarship. I am extremely honored to have been chosen for this award. I am looking forward to continuing my college education at the University of Florida and pursuing my plans for the future. This scholarship just puts me one step closer toward achieving my goal of graduating with a master’s degree in agricultural communications. I would just like to thank you once again and share how much this scholarship will assist in my educational and professional goals and endeavors.” Tiffany Rogers, Niles, Mich. “I would like to express my appreciation and gratitude on being selected for this award.” Zachary Smith, Kewanna, Ind. “I would like to express my gratitude to the Spring Manufacturers Institute for awarding me the $2,500 KERN-LIEBERS Texas scholarship. This scholarship is greatly appreciated and will be a tremendous help with my final year of college. Thank you again for providing a scholarship program that allows myself and others to pursue and achieve their higher education goals.” Mary Stanford, Dickson, Tenn.

Chicago Zachary B. Smith Hometown: Kewanna, Ind. SMI Member Parent: Mark Smith, Winamac Coil Spring Attending: University of Chicago, Chicago, Ill. Major: Mathematics

Northeast Christopher J. Vaichus Hometown: Wolcott, Conn. SMI Member Parent: Charles Vaichus, Newcomb Spring Attending: Naugatuck Valley Community College, Waterbury, Conn. Major: Accounting

Mid-Atlantic Joel D. Touranjoe Hometown: Liverpool, N.Y. SMI Member Parent: David Touranjoe, Midstate Spring Attending: Nazareth College, Rochester, N.Y. Major: Biochemistry

Pittsburgh-Ohio Michelle A. Holodny Hometown: Highland Heights, Ohio SMI Member Parent: Alexander Holodny, American Spring Wire Attending: University of Pittsburgh, Pittsburgh, Pa. Major: Actuarial Mathematics/ Economics

Southwest Cailey B. Crawford Hometown: Pontotoc, Miss. SMI Member Parent: Jan Crawford, Pontotoc Spring/MW Industries Attending: Mississippi State University, Starkville, Miss. Major: Biochemistry

West Max Staskauskas Hometown: Phoenix, Ariz. SMI Member Parent: John Staskauskas, Lee Spring Attending: University of Arizona, Tuscson, Ariz. Major: Biochemistry

“I wanted to thank you for awarding me with the SMI scholarship! I am excited to start college at the University of Alabama next fall and this award will help with the expenses of that.” John Hunt, Ada, Mich. “Thank you for your consideration during this scholarship application and decision process. I’m excited to begin a four year study program in pharmacy this fall. This scholarship will help defray the cost of my post-graduate studies.” Kathryn Anderson, Spartanburg, S.C. “Thank you for selecting me for the Spring Manufacturers Institute scholarship. This unparalleled support toward my education has enabled me to continue my pursuit of becoming an accountant. After graduation, it will be my goal to help corporations operate effectively, efficiently, and with ease. Due to your generous scholarship I am able to focus more time on my studies instead of working. Receiving this award is both a privilege and honor that I am grateful to accept. I cannot thank you enough for your support, encouragement, and assistance in my life.” Christopher Vaichus, Wolcott, Conn.

SPRINGS / Summer 2015 / 53


54 / SPRINGS / Summer 2015


SMI Annual Convention Provides Magical Time for Attendees in Orlando The new Four Seasons Resort Orlando at Walt Disney World® Resort served as a beautiful backdrop for the 2015 SMI Annual Meeting held April 10–14. The relaxing atmosphere provided for numerous opportunities for networking, culminating with a final dinner on Tuesday, April 14 at The American Adventure within the Epcot Theme Park at Walt Disney World Resort. The night also included an appearance from Mickey and Minnie Mouse, followed by dessert and a spectacular fireworks display, “IllumiNations: Reflections of Earth.” A very informative educational program during the meeting on Monday, April 13 and Tuesday, April 14 included presentations by Edgar Papke, Garrison Wynn and William A. Strauss.

Getting Aligned Everyone who attended Papke’s session received a copy of his book, “True Alignment.” Chef turned leadership psychologist and executive coach, Papke is dedicated to studying and teaching the human art of business. He is an author and global award-winning speaker who reminds us that business is the expression of who we are, what we want, and how we get it. During his presentation, Papke talked through the principles of the book. He provided a framework for SMI member companies to get everyone in their organization aligned around the same goals. He presented a clear, systematic approach to alignment centered on the four elements of customer, brand intention, culture, and leadership.

SPRINGS / Summer 2015 / 55


“Hig h-perfor m ing tea ms a nd organizations a re groups of aligned i nd iv idua ls com m it ted to c r eat i ng extraordinary results for themselves and one another,” said Papke.

Economic Update St rauss, a sen ior econom ist a nd econom ic adv isor i n t he econom ic resea rch depa r t ment at t he Federal Reserve Bank of Chicago, provided his view on the U.S. economy. “The outlook is for the U.S. economy to expand,” explained Strauss, “at a pace slightly above trend through 2016.” He noted that employment is expected to rise moderately with the unemployment rate slowly improving. Strauss also noted that a slack in the economy will lead to a relatively contained inflation rate. Strauss said manufacturers are not hiring a lot of new workers, “they are just working them harder.” Comedy and Success Hav i ng tou red as a professiona l stand-up comedian, there were plenty

56 / SPRINGS / Summer 2015


of laughs during Wynn’s session. With a background in manufacturing, telecomm, and financial services, Wynn is the author of the Amazon.com bestseller “The REAL Truth about Success,” has contributed weekly to the Washington Post, and has coauthored with Stephen Covey. Wynn’s presentation focused on how top performers harness the power of their advantages, even when the odds are not in their favor. His program looked at answering two questions: 1) “How do you get people to do what you want them to do?” and 2) “How can you get better results from the challenging people you encounter along the way?” As he stated, “If the world agreed on what’s best, everybody would choose the best and nothing else would be considered. Decision making doesn’t work that way.” His presentation challenged SMI members to become more influential regardless of circumstances. SMI members mark your calendars for the 2016 Annual Meeting to be held April 15-19 at the St. Regis Monarch Beach in Dana Point, Calif. n

SPRINGS / Summer 2015 / 57


Thank you for attending

SpringWorld® 2014

Over 2,700 Spring Industry Professionals were in attendance.

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October 5-7

Donald E. Stephens Convention Center Rosemont, IL


WAFIOS Opens New Midwest Technology Center On May 21, 2015 WAFIOS Machinery Corp. held an “Opening Ceremony & Technology Symposium” for its new Midwest Technology Center in Mokena, Ill. David Purcell, president of WAFIOS Machinery Corp., greeted a crowd of more than 50 who had gathered for the day-long symposium at the center, located in the south suburbs of Chicago. Purcell said the site is strategically located just off Interstate 80 to accommodate customers not only from the Chicago area, but also the nearby states of Wisconsin, Indiana, Iowa, Michigan and Ohio. “It’s our intention to use this facility and forum to illustrate to the wire and tube working market the essence of WAFIOS technology,” said Purcell. “We are an organization that has enjoyed a long, accomplished history, and we plan on utilizing the Midwest Technology Center to expand our footprint in North America with a superior level of support and technical resources.” Those who participated in the educational symposium included: Dr. Peter Weigmann, chairman of the board, WAFIOS AG; Christoph Rohm, WAFIOS AG; David Galas, WAFIOS Machinery; Thomas Madelung, WAFOS Machinery; Michael Rief, WAFIOS Machinery; Christian Honsdorf, imess; and Joe Schroeder, Aicon-Accurex. The event included a catered lunch and dinner, technology information and machine demonstrations. The Midwest Technology Center is being led by its new director, David Vujaklija. n

SPRINGS / Summer 2015 / 59


©iStockphoto.com/Björn Meyer

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Springmaker Spotlight

The Kahn family (l-to-r): Joshua, Rachel, Lou, and David.

Surviving and Thriving at 60: A Profile of the Kahn Family and Perfection Spring & Stamping By Gary McCoy, Managing Editor

T

his year marks the 60th anniversary of Perfection Spring & Stamping, located in the Chicago suburb of Mount Prospect not far from O’Hare International Airport. Like the famous airport nearby, Perfection Spring & Stamping has soared to heights way beyond the modest aspirations and origins of its founder Lou Kahn. Kahn’s son, Joshua, recently wrote a two-page document “From Humble Beginnings” to highlight the company’s history. In the narrative Kahn stated, “I can’t believe it has been 60 years since I founded Perfection Spring & Stamping on April 1, 1955 when I was 28 years old. Now that I am 88, I can’t believe how quickly time goes.” Little could Kahn imagine that his fledgling business would someday employ 100 workers, including his two sons, David and Joshua, and his granddaughter, Rachel. “We started Perfection Spring Manufacturing Co. with two employees; me and Aunt Fannie,” Kahn recalled. “With $5,000 in capital I purchased one coiling machine and a ‘very used’ fourslide machine. We put it in my garage and went to work.”

SPRINGS / Summer 2015 / 61


As the company stated in a recent blog, “Things sure have changed in the last 60 years as Perfection now serves a global market of Fortune 1,000 companies in the automotive, appliance, medical, consumer electronic, and a variety of other markets, with over 35 percent of our sales being shipped overseas.” In fact, the company exports to a variety of countries, including China, India, Korea, Malaysia, Czech Republic, and Mexico, to name a few.

Beginnings Kahn grew up around a different family business: Frey & Kahn, a “fine men’s clothing store” in Chicago that his father co-owned. Kahn served in the U.S. Navy during World War II, before he started working at Frey & Kahn while attending Loyola University from 1947 to 1951 to study history. During his stint at Frey & Kahn, he said: “It was not long before I decided that the retail business and selling suits and ties was not for me.” In 1952, he joined the U.S. Army at the beginning of the Korean conflict, but did not serve overseas. That year he met “the girl of my dreams,” Barbara, and the two have been together now for more than 63 years. After his stint in the Army, Kahn and his new bride “took off for Bermuda with no job or plans for the future.” As Lou puts it, “when we ran out of money in Bermuda we eventually made it back to Chicago.” Kahn sold canned food by day while learning a skill at night as a tool and die maker apprentice. He graduated one year later.

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When Aunt Fannie retired from another spring company in Chicago, a firm that Kahn says remains a friendly competitor to this day; she encouraged her nephew to start his own spring company. And, as they say, the rest is history. Through many difficult challenges like recessions, double-digit inflation and even a flood in 1987, Kahn grew the business and eventually retired in 1991, handing the reins over to David as president. David has run virtually every machine at the plant, and holds a degree in marketing from Colorado University. Joshua, executive vice president, joined the business in 1988 after graduating from Michigan State University with a degree in human resources and is responsible for sales and marketing. Joshua has also worked his way through the company from scheduling, to quality, estimating to human resources. Rachel, David’s daughter, is a graduate of the University of Illinois in art education and joined the company in 2013, making it a third generation family business. This is a proud achievement for the company, as statistics show that only 12 percent of family-run businesses in the U.S. survive to the third generation. Kahn wrote in his two-page history that it was amazing to think of all the things “we went through over the years.” He said the company made it “because we never altered from my founding business philosophy of integrity, honesty, hard work, and persistence. You can’t go wrong with that.”

Bedrock Principles Those bedrock principles that Kahn handed down to his sons and granddaughter have survived to this day. In a 1995 article in the Daily Herald, a local suburban Chicago newspaper, Kahn said he always gave his two sons the opportunity to work in the business but never made it easy for them, giving them the opportunity to “start at the bottom.” In the Daily Herald article, Kahn recalled a chat with David, who had stopped by his office. “The young man was covered with sweat and grease after working on the shop floor at the Mount Prospect company. Lou Kahn recalls telling him, ‘If you ever sit in this chair, never forget that there’s a guy out there sweating just like you are right now.’” Lessons and phrases like that from Kahn have stuck with his sons. David admires his dad for starting a business that has grown, thrived and supports a lot of people. “He’s a very bright guy that went into a business that he knew nothing about, which is really amazing to me. You couldn’t start a business today the way he did it. It would just be too difficult. I have nothing but a lot of respect and admiration for what he did.” Joshua says he continues to run into people who knew his father who tell him of the profound respect they have for his father’s honor and integrity. “The reputation of Perfection was really who he was,” explained Joshua. “He always told us, ‘The dollar is round and rolls from person to person, but your reputation is square. If you can do it, do it. If you can’t do it, tell them you can’t do it.’”


David says not long after he was named president, he would call his dad every night on his way home from work “because he wanted to hear about how things were going.” “He still wants to hear,” chimed in Rachel. “I didn’t necessarily need his counsel every night,” explained David. “Still, from time to time I’ll ask him for advice, but it’s tougher now that his hearing is not as good as it once was.” Rachel says her grandfather is inspiring and creative. “Ever learning and ever teaching; sharing his wisdom,” she said fondly. “He has a phenomenal workshop in his basement. When we had a school project to complete, we went to school with the best projects you’d ever see.” With a CNC milling machine and a CNC lathe in his basement, David and Joshua are not sure they’ll be able to get them out when the day comes for the house to be sold. “We’re going to have to sell the house to a mechanic or machinist,” said David. Lou Kahn continues to visit the plant in Mount Prospect, but at 88 years-old, it is not as often as he would like to. He always makes a point to walk through the shop and say hello to the old and new employees, all of whom he considers family. Before he leaves it is rare he doesn’t tell his sons how proud he is of what they’ve done with the company as his legacy continues. In homage to their father, Kahn’s very first coiler that he rebuilt in his garage, an old W10, is still in use on the shop floor at Perfection. Not to be forgotten is mom. Barbara helped run the machines early on in the infancy of the business so Kahn could go on the road to drum up business. David’s fondest memory of his mother is from the time when the company experienced a flood. “We’re dealing with the aftermath and the cleanup. My mother’s here and I’m try to orchestrate things and she starts yelling at me. ‘Why are you just standing there? Pick up a mop or broom or something. Help clean up.’”

Taking on Headaches Perfection Spring and Stamping pursues business with the goal to go “above and beyond just manufacturing custom metal components.” Four different aspects sum up what the company calls the “Perfection Advantage.” The first advantage is its products and processes. In addition to its legacy business in springs and wireforms, the company provides punch press/stampings, fourslides/ wireforms, and mechanical assemblies. As they state on their website, “We specialize in minimum production runs of 25,000 pieces to millions!” The other three areas of the Perfection Advantage are “engineering excellence,” “service and security,” and “buyer’s benchmark.”

Kahn recalled a chat with David, who had stopped by his office. “The young man was covered with sweat and grease after working on the shop floor at the Mount Prospect company. Lou Kahn recalls telling him, ‘If you ever sit in this chair, never forget that there’s a guy out there sweating just like you are right now.’”

SPRINGS / Summer 2015 / 63


“The assembly work is an area we are excited about and growing,” said David. “We are looking to take on more value-added operations and get away from commodity work as much as possible.” With passion David says, “We are anything but commodity. We are an engineering-driven company. We provide engineering solutions for customers and we happen to make standard springs, wireforms and assemblies. Our goal is to work with a customer’s engineering team to design cost out, and design ease of manufacturing into whatever products that they’re making.” David says he’s noted a trend that companies are wanting to be more “product design” oriented so they don’t have the headache of making products. “They would like to outsource as much of their headaches, as possible,” he says. “Then that’s where we come in; we take on headaches.” David says they enjoy taking on difficult jobs. “We do not do the easier, simple parts. We do the very difficult parts, and we focus on very high-precision type of work. Some of our parts are plus or minus a couple thousandths of an inch in dimensions.” With a bit of laughter, David says, “We hope to command a little bit better margin for that type of work and of course they try not to pay for it.” Joshua says Perfection is similar to Starbucks. “Starbucks doesn’t sell coffee, they sell the experience and everything that goes with it. We don’t sell commodity springs, we sell everything that goes with it. The engineering, the experience, the lessons learned, the better mousetrap, the improvements and all the services we do, as well.” Joshua reiterates that Perfection is constantly adapting to change with the goal to “reinvent ourselves to meet our customer demand.” David, Joshua and Rachel want customers to feel like Perfection is part of their company. “It was my father’s philosophy to become an integral part of a customer’s business,” explained David. “We look at ourselves like we are a division of our customer. We are their spring division. We are their stamping division. We are their slide division, and their assembly department.” Joshua is involved with sales for the company and constantly tells customers, “We’re big enough to have the resources to give you what you want. But, we’re small enough to act quickly.” He adds, “We would like to still work with a handshake wit h our customers, but we supply Fortune 1,000 companies now, as well as small startups.”

Industry Involvement Service and participation in the industry has long been a part of the culture at Perfection. Kahn is a former CASMI president, as is David. Joshua is currently serving on the board of CASMI and will be president of the group in a year and a half.

64 / SPRINGS / Summer 2015

In addition, David has served on the SMI board and the company is a strong supporter of the SMI computer design software. “Every job we bid on, we utilize the SMI software to validate the design,” said David. The company has also benefitted from networking opportunities through SMI. David cites a recent example. “We got involved in a project for a potential customer where it involved a material we had not worked with before,” explained David. “It was more of a specialty material. I was able to pick up the phone and call someone I hadn’t spoken to in a long, long time who I became friends with through the SMI and asked him questions. He was absolutely, completely free and open with me in sharing the information. It’s that sort of camaraderie in the industry that makes it great.” Like many spring companies, Perfection struggles to find workers. “One of the hardest things to do is to find qualified people,” said Joshua. In an effort to do something to solve the challenge, the company has had apprentice programs in place for many years. And they’ve worked hard to help change the image of manufacturing. When Rachel came on board, she got involved in overseeing the apprentice program. “If you come into the factory, it’s not the perception that has been out there for years,” she explained, “it’s not a dark and dingy and a dirty place anymore.” Rachel said she brings the perspective of a teacher to the task of the apprentice programs and as a millennial to Perfection’s social media program. “A lot of people look at millennials and think they jump from job to job because they’re bored,” said Rachel. She’s found in talking to her fellow millennial friends that many leave their jobs not because they are bored, but a feeling that the company is not interested in investing in them. Rachel feels the opposite about her job: that Perfection invests a lot in her and their other employees. She enjoys going back to her friends and telling them that she enjoys her job because she learns something new every day.

Family Values The management and staff of Perfection have worked hard to promote a family atmosphere. “We just wrote a blog about how much of a family we are,” said Rachel. And David quickly interjected with a laugh, “There’s a lot of nepotism here.” Joshua added, “God forbid there’s a wedding or a funeral out in the shop. We’d close down, you know.” The company has 23 different families working at the plant, with a lot of second-generation employees. They even recently hired a father and daughter at the same time. When the earthquake hit Nepal recently, one of Perfection’s employees was personally affected by it. “The employees, on their own, organized a fundraiser and raised two thousand dollars,” said Joshua. “We matched it, providing over four thousand in relief to help this employee’s relatives.”


“It costs six thousand dol la r s to r ebu i ld t hei r house,” said David. “So we were able to hand them twothirds of the cost to rebuild.” With pride Joshua said, “That’s the family. That’s the Perfection environment.” Joshua said it is amazing to see how many employees have left and later come back to work for Perfection after seeing “the greener grass.” He remembers one employee in particular who left and returned eight years later. Joshua said, “He came back and told us, ‘It just felt like home when I was here, a nd I wa nted to end my career here.’” Rachel said, “All of the departments are very welcoming to one another, and everyone’s so kind to one another.” One of the unique things Perfection does is a three-hour orientation program for all new employees. “During that time they learn about our mission statement, and our company values,” said David. “They learn a little bit about our business and why it’s important to keep costs down.” Joshua added, “We go through a breakdown of the costs, fixed overhead and profit and how it all works together.” He said it’s interesting when employees come out of the orientation meeting, which is typically held every six weeks, and they say things like, “I’ve worked at a lot of places, and I’ve never learned so much about a company when I started; I’ve never felt so involved.” Joshua said this has come from employees who have worked at both bigger and smaller companies. “I think the other nice thing about that orientation is the executives and the president, they come in and employees get to sit down with them,” said Rachel. “It’s not some person that doesn’t seem approachable. If they have something they need to approach one of them about, they know they can go to them and that they care.” In addition, the company holds an employee meeting once a month where the management team shares the company’s current performance level.

“We got involved in a project for a potential customer where it involved a material we had not worked with before,” explained David. “It was more of a specialty material. I was able to pick up the phone and call someone I hadn’t spoken to in a long, long time who I became friends with through the SMI and asked him questions. He was absolutely, completely free and open with me in sharing the information. It’s that sort of camaraderie in the industry that makes it great.”

Future Outlook David, Joshua, and Rachel all see a bright future ahead for Perfection. David commented, “We’re a small company and our potential to grow sales here is still very good, as long as we maintain our reputation and provide a quality service with value to our customers.”

SPRINGS / Summer 2015 / 65


He says the company didn’t survive sixty years by not being prudent, or by providing bad or overpriced products. “I think the U.S. economy is still growing,” David said. “There are definitely some external factors that concern me. That could derail everything.” David paused and continued, “I’m optimistic, I have to be.” Joshua quickly chimed in about his brother, “Dave is the most optimistic person I know.” He cited an example from a few years ago when the company bought a six hundred ton press. “It’s the most expensive piece of equipment in the building, and we had no work scheduled for it. It was a strategic decision that paid off.” More recently, the company invested in new equipment for its spring division. “In the last three to five years, our capital investment has been in seven to 10 machines in that area to keep up with technology,” said Joshua. “There’s been more technology change on the coiling side of the business than there has been in stamping,” added David. The company has also invested heavily in social media with a presence on Facebook, Twitter, LinkedIn, Google+, YouTube, and through a company blog. “YouTube is huge for us,” said Rachel. The company has put together a series of videos that explains the company’s processes and also highlights the various departments such as quality and assembly. They also have videos that highlight unique machines that Perfection uses. “We have over 75,000 views on our YouTube channel,” said Joshua. YouTube has been one of their most effective social media channels. In fact, Joshua said he recently asked a prospect about YouTube when he came to Mount Prospect for a plant tour. “He said, ‘I watched all your videos. Now I’m here to see the plant.’” Joshua said the reach of the videos is worldwide. He had a professor in Spain who asked permission to show Perfection’s videos in his technical class.

Thriving on Reputation David cites the power of social media when it comes to a company’s reputation. “As Joshua said earlier, we’re a service company. We don’t have a product,” explained David.

66 / SPRINGS / Summer 2015

When he teaches the orientation class, David tells new employees that Perfection is like the restaurant of manufacturing. “You go to a restaurant, and you have a bad experience,” explained David. “First of all you’re not going back. That’s the easy one. Secondly, you’re going to tell your friends not to go there. Today telling your friends not to go there is not telling one or two people. It’s telling a million people or two million people by going on Facebook or going out on Twitter.” David says reputation and integrity are extremely important to Perfection. “We’ve walked away from multimillion dollar jobs because we told the customer the truth. You’re not going to get that built. This assembly machine cannot be built in twelve weeks. ‘Well, the other guy said they could do it.’ Well, the other guy took six months and he kept the work. We never got it back, but we kept our reputation and as long as we keep our reputation there will always be a spot for us.” David says Perfection remains a “small fish in a big pond.” David, Joshua and Rachel see Perfection as a third generation survivor that has defied the odds and gone beyond what Lou Kahn and Aunt Fannie could have ever imagined 60 years ago. David said the most gratifying thing for him was attending the company’s 60th anniversary party held earlier this year, “to look around the room and see all the people that we had touched. But it goes beyond that room. It’s all the people that have come through here and gone on to other companies. That’s extremely gratifying. I don’t think there’s too many companies that can say they’ve been in business for 60 years.” n

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Joshua said the reach of their YouTube videos is worldwide. He had a professor in Spain who asked permission to show Perfection’s videos in his technical class.


Book Corner ©iStockphoto.com/kertlis

Fabricated: The New World of 3D Printing

D

ue to rapidly changing technology, it’s a safe bet that books on additive manufacturing (3D printing) can be outdated shortly after being printed. The authors of “Fabricated: The New World of 3D Printing,” Hod Lipson and Melba Kurman, acknowledge this fact in the preface. “We chose not to write a simple ‘here’s how to use a 3D printer’ since such a book would be obsolete in just a few months. Instead, since the technology changes faster than a book can be produced, we dug below the surface and chose to explore the deeper implications of 3D printing technologies, how this new capacity for production will change our lives, our laws and our economy.” For a book written more than two years ago, for the most part it delivers on its promise to provide an “informative, engaging and fastpaced introduction to 3D printing now and in the future.” At points the book gets bogged down in technical jargon about the types of machines available and the computer software that drives 3D printing. But that’s a minor quibble. For readers who are more engineering and design driven, this discussion will likely be something that will stimulate their thinking Toward the beginning of the book, Lipson and Kurman list 10 principles of 3D printing that everyone who manufactures products in traditional

ways should read and ponder. While not likely to immediately impact the spring and metal forming industry, the principles listed should not be taken lightly about the way products will be manufactured in the future. The first principle: “Manufacturing complexity is free” looks at the idea that “on a 3D printer, complexity costs the same as simplicity.” Lipson points out that 3D printing is already shaking our notions of what can and can’t be made. “But what we’ve seen so far is just the tip of the iceberg. The next episode of 3D printing will involve printing entirely new kinds of materials. Eventually we will print complete products—circuits, motors, and batteries included. At that point, all bets are off.” The applications of 3D printing are explored, such as printing food, dental crowns and someday into the inconceivable world of replacement heart valves, organs and joints. “Broad and versatile technologies like 3D printing send disruptive ripples through different industries,” said Kurman. “We will see the emergence of new business models and shorter supply chains in manufacturing. Someday people will print the perfect meal; surgeons will print replacement knee cartilage. The technology is moving fast — the law will struggle to keep up.” The book also addresses a whole new level of intellectual property

challenges that are on the horizon, as 3D printers enable people to make copies and even “edit” commercial products and works of art. There is no doubt that additive manufacturing technology opens up new frontiers. Whether this “will be the ultimate tool that will perhaps change human culture forever” remains to be seen. This book is a good resource to help you plan toward this uncertain future, however the disruptive ripples may wash over this industry. n Book reviewed by Gary McCoy, managing editor

Have a favorite business book you would like to tell us about? Send your suggestions to Springs managing editor Gary McCoy at gmccoy@fairwaycommunications.com.

SPRINGS / Summer 2015 / 67


©iStockphoto.com/seraficus

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Inside SMI

The SMI Board of Directors met on April 11, just prior to the start of the annual meeting in Orlando. It was noted that the SMI 401(k) program now has t h ree member companies enrolled. Many more companies are currently evaluating proposals to switch over to the plan, which can provide significant cost savings for both the company and its employees. SMI is also investigating t he merits of offering a captive workers’ compensation program. Steve Kempf of Lee Spr i ng, SM I’s secreta r y/ t reasu rer, has been tasked wit h reviewing this and will report his findings to the board at a later date. Severa l i nter nat iona l event s were highlighted, including t he International Congress of the Spring Industry in September in Prague, the Spring Technologies event in Tokyo in November, and the wire show in Düsseldorf in April 2016. Mike Betts will represent SMI at the Düsseldorf show as the incoming president of SMI. SMI is planning to host a cocktail reception like it did in 2014, and Lynne Carr has arranged a block

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©iStockphoto.com/seraficus

SMI Board Meets in Orlando

of rooms for SMI members who will be attending the show. Kempf noted in his treasurer’s report that 2014 was a solid year and SMI remains fiscally healthy. “It’s a good time to have a strong balance sheet while starting up a trade show,” noted Kempf. “Our expenses are in line with revenues.” He also noted that the annual audit was clean and the auditors made two recommendations which have

already been implemented. The board moved to approve the audit. Various committee reports were presented and approved by the board. For more details on the committee reports, be sure to read the “Committee Connection” report on page 71. The SMI board of directors will hold its next meeting on October 19, the day before the start of the inaugural Metal Engineering eXpo in Charlotte.

Springs App Now Available all such references are hyperlinked on the app. To download the app, search: Spring Manufacturers Institute or Springs Magazine in your Android or Apple device. “S i n c e w e a n n o u n c e d t h e availability of the app in May, we’ve had overwhelmingly positive feedback from our members,” said Lynne Carr, executive director of SMI. “Everyone

©iStockphoto.com/gruizza

SMI is proud to announce the addition of the Springs magazine app for all electronic devices. The free app from SMI contains the current issue of the magazine and archived issues beginning with the Winter 2015 edition. The app will continue to archive all issues going forward. To make it easy for readers to contact individual email addresses or websites mentioned in the magazine,

appreciates the ease and availability to read the magazine when it is convenient for them.” n

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©iStockphoto.com/Studio-Pro

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Committee Connection ©iStockphoto.com/Studio-Pro

Packed House in Orlando Nearly a dozen SMI committees met on April 11 during the Spring Manufacturers Institute (SMI) annual meeting in Orlando. Tables were full of committee members who enjoyed a complimentary lunch and hashed out the issues important to them. Here’s an update on the activities of these groups that consist of individual SMI members who volunteer their time to help run the association.

Trade Show Committee Led by Da n Sceli of Peterson Spring, the committee reported that sponsorship is at 100 percent for the SMI Metal Engineering eXpo to be held Members of the past president's committee (l-to-r): Dave Weber, Dan Sebastian, Steve Moreland, in October. Sceli said exhibit space and G. Donald Jacobson Jr. sales are also progressing on schedule. The committee is busy working with Trade Show Logic, the company hired by SMI to manage Benchmarking the show, to finalize many details. As the show draws Chair Tim Bianco of Iowa Spring welcomed John and closer, the committee will be having a monthly conference Taylor Mackay to their meeting. Mackay Research Group call to iron out last minute details. See a full story on the helps put together the Annual Market Study for SMI, Metal Engineering eXpo on page 40. which was mailed to members in April. The Mackays have developed a dashboard to display information in a useable, moveable format to help companies compare their data Technical Under the leadership of Gene Huber Jr. of Winamac to an “ideal” they have established. The dashboard is an Coil, the technical committee has been busy finding interactive tool that enables participating firms to make speakers for the Metal Engineering eXpo. They are also minor changes and to model company data to match their making progress on a stress relief study, but results are goal numbers. The Mackays emphasized that personal information will remain confidential from others. Bianco not available yet. Huber said “Spring Design 101” is an educational need and committee members are reviewing the dashboard tool that many companies have. “We need to think about a and will recommend at a future meeting if it would make teacher volunteer to present the material,” said Huber, “or sense for SMI to purchase it. It was suggested that the compensation survey put get a volunteer for each region. We need to create a central, content package for these volunteer teachers to present.” together by Mackay Research Group could be dropped to In addition, the committee heard a report from Tom help pay for the new dashboard, because participation in Armstrong of Duer/Carolina Coil on the TC227 committee the compensation survey has been historically low. which is currently discussing standards for leaf springs. He said the standards are moving forward and should be Associates completed soon. He said the next item on the agenda is Chairman Bill Torres said every associate member at disc springs, followed by shot peening. The next TC227 his table is participating in the Metal Engineering eXpo meeting is scheduled for Kuala Lampur. as exhibitors, feeling it “would be effective.” They also

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Members of the membership committee (l-to-r): Charly Klein, Ed Hall, Brian Duemling, David Purcell, Linda Froehlich, and Don Lowe.

discussed improvements to the SMI website that would make it more informative to members. The committee would like it to include information on conflict minerals. The committee would like to discuss reshoring at a future meeting. Finally, Torres said associate members discussed the idea of branching out to participate in other committees to provide input.

Spouses The committee under the leadership of Jennifer Porter discussed the plans for the spouse program at the 2015 meeting, “Business Behind the Magic.” In addition, they pointed forward to the 2016 meeting in Southern California. Anna Beth Goering, who lives nearby, has volunteered to provide ideas for next year’s event, which could be a local tour or cooking demonstration.

Regulatory Compliance Committee chair Steve Wunder of Duer/Carolina Coil said the group is working with Laura Rhodes, SMI’s new regulatory compliance consultant to update the safety portion of the SMI website, especially the items most important on a members’ compliance “laundry list,” such as combustible dust. Rhodes has created an OSHA inspection checklist that she wants to send to companies prior to her visit so they can go through it on their own. “We need to share best safety practices,” said Rhodes, “so no one is reinventing the wheel, in order to keep all of our employees safe.” Membership Under the leadership of Charly Klein of Fox Valley Spring, the membership committee explored many ideas to help promote SMI membership. Ideas included a profile of new members in the magazine highlighting why they joined, a brochure listing the benefits of SMI membership, and capturing video testimonials from SMI members to be posted on the website. Magazine Led by committee chair Ted White of Hardware Products, the magazine committee discussed ideas for getting meaningful feedback on the content of Springs. An electronic survey will be sent to members for feedback, and a more in-depth critique will take place starting with the members of SMI’s board of directors immediately after each issue is released. The committee is also looking into how to best report the anniversaries of SMI member companies in the magazine. For more information or to provide feedback about SMI’s committees, contact SMI’s executive director Lynne Carr at lynne@smihq.org or 630-495-8588. n

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New Products ©iStockphoto.com/hüseyin harmandaglı, morkeman, PeskyMonkey

Safety Today Introduces Brass Knuckle® CR4300 Glove Safety Today, Inc. has introduced Brass Knuckle® CR4300 (BKCR4300) work gloves featuring ANSI cut level 4 protection and a “hold-tight” latex coating on full-finger and palm. The crinkle grip pattern enhances dexterity, reduces the likelihood of sprains and minimizes fatigue. The gloves are made of a highdensity polyethylene (HDPE) — a low-lint, continuous filament yarn that is stronger than steel on an equal-weight basis. The stylish salt-and-pepper shell and blue palm and carefully considered form and fit make the BKCR4300 a glove model that workers want to wear, encouraging compliance. This heavy-duty work glove offers durable grip and dexterity, without bulk. The latex coating is designed not to mar product surfaces, ideal when processing glass, steel, and more. The glove is equally well suited in other industries requiring protection from large, fragile or bulky materials, including assembly, manufacturing, construction, automotive or recycling.

Easily identifiable by the Brass Knuckle logo on the back of the hand, the BKCR4300 is available in five different sizes,

each color-coded to simplify re-issuance. For more information call Safety Today at 800-837-5900 or visit www.safetytoday.ca.

PCF Series Oven-Part Collector Combination HSI and FSI introduce the newest models of the PCF series of combination part collector and oven for automated stress relieving of small components. By combining part collection and stress relieving, the PCF oven is an ideal solution for automated production or lot control situations. With a maximum temperature capability of 500°C (930°F), a wide variety of materials can be processed. Features include DSM digital speed meter to display time in heat, PLC control for direct connection to production machine, parts bin timing by count or quantity, SS belt and bins, and casters for mobile operations. These ovens are a welcome addition to the complete line of HSI high

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Model

Conveyor Width

Inlet Height

Heating Area Length

Conveyor Speed

Available Wire Dia.

Power Capacity

PCF50

150mm (5.9”)

70mm (2.8”)

450mm (17.7”)

2.5-25 minute

MAX. 1mm ( .04”)

3.6 kW

PCF150

300mm (11.8”)

110mm (4.3”)

1200mm (47.2”)

4-40 minute

MAX. 2.5mm ( .10”)

16 kW

Bin

Number Setup (Per Bin)

Time Setup (Per Bin)

Total Max. Load

Outside Dimension (LxWxH)

Weight

0.9 liter x 16 pcs

MAX. 9,999 pcs

MAX. 999.9 minute

50 kgs (110 lbs)

1250 x 500 x 960mm (49”x 20”x 38”)

200 kgs (440 lbs)

4.8 liter x 12 pcs

MAX. 9,999 pcs

MAX. 999.9 minute

150 kgs (330 lbs)

2530 x 880 x 1180mm (100”x35”x46”)

650 kgs (1430 lbs)

performance ovens including HCF mesh belt conveyor ovens (over 30 sizes), HSF link belt conveyor ovens, HB box ovens, and HC high temperature box ovens.

For additional information, please contact FORMING SYSTEMS Inc. at info@formingsystemsinc.com or 269-679-3557.


New Products

Rolled Metal Products Expands Capabilities with High Speed Precision Slitting Line ©iStockphoto.com/hüseyin harmandaglı, morkeman, PeskyMonkey

The commissioning of a world class light gauge slitter capable of slitting at high speed and precision tolerances is broadening Rolled Metal Products’ specialty coil product line. Rolled Metal Products’ Bensalem, Pa. facility is adding a new specialty slitting line to its already formidable coil processing line up. The new slitting line puts RMP on the leading edge of light gauge slitting from .002” through .020”. One of the outstanding features is the ability to hold tight width tolerances with minimal burr while winding large O.D. coils. Customers will benefit from longer run time with the larger coils and better edge condition resulting from less burr and more consistent slit edge. Along with these benefits the new slitting line is designed to provide smooth wall coils that are tightly wound. All of these improved coil characteristics will benefit manufacturers in the stamping, drawing and forming business.

Upgraded Manufacturing Day Site Promises More Features and Ease of Use The partners responsible for producing Manufacturing Day at the national level announced the refresh of its website, MFGDAY. com. The upgraded site boasts more resources for sponsors, companies, supporters and volunteers, making it easier than ever to participate in this year’s annual celebration of manufacturing, which is scheduled for Friday, October 2, 2015. Users can now sign up to host events, find MFG DAY® events in their areas, and learn more about sponsorship opportunities through the newly updated interactive site. With user-friendly links to social media channels, scholarships, and success stories, potential participants, manufacturers, educators and students can better collaborate and access important industry resources.

For three years, Manufacturing Day has celebrated the world of modern manufacturing. The annual event is meant to inspire the next generation of manufacturers across the North American continent. In 2014, more than 1,650 companies, educational institutions and associations in all 50 states, Canada and Puerto Rico participated by holding Manufacturing Day events attended by 360,000 people. With the launch of this new site, MFG DAY is hoping to increase participation and further educate the public about the benefits of manufacturing. For more information on the site, please visit www.MFGDAY.com and sign up to receive updates about future resources and news. n

Advertiser's Index A & D Trading (440) 563-5227. . . . . . . . . . . . . . 54 Admiral Steel (800) 323-7055. . . . . . . . . . . . . . 11 Alex Industries (847) 298-1860. . . . . . . . . . . . . . 36 Alloy Wire International (866) 482-5569. . . . . . . . . . . . . . 20 CASMI (630) 369-3466. . . . . . . . . . . . . . 58 Century Spring, Division of MW Industries (800) 237-5225. . . . . . . . . . . . . . 34 Diamond Wire Spring Co. (800) 424-0500. . . . . . . . . . . . . . 26 Dispense Works (815) 363-3524. . . . . . . . . . . . . . 10 Elgiloy Specialty Metals (847) 695-1900. . . . . . . . . . . . . . 15 Fenn/Torin (860) 594-4300. . . . . . . . . . . . . . 28 Forming Systems Inc. (877) 594-4300. . inside front cover, back cover Gibbs Wire & Steel Co. Inc. (800) 800-4422. . . inside back cover

Gibraltar Corporation (847) 769-2099. . . . . . . . . . . . . . 70 Industrial Steel & Wire (800) 767-0408. . . . . . . . . . . . . . 68 InterWire Products Inc. (914) 273-6633. . . . . . . . . . . . . . . 1 JN Machinery (224) 699-9161. . . . . . . . . . . . . . 51 Kiswire (201) 461-8895. . . . . . . . . . . . . . . 6 Larson Systems (763)780-2131. . . . . . . . . . . . . . 49 Link Engineering (734) 453-0800. . . . . . . . . . . . . . 38 Mapes Piano String Co. (423) 543-3195. . . . . . . . . . . . . . 14 Mount Joy Wire (800) 321-2305. . . . . . . . . . . . . . 13 NIMSCO (563) 391-0400 . . . . . . . . . . . . . . 8 North American Spring Tool (860) 583-1693 . . . . . . . . . . . . . 48 Proto Manufacturing (800) 965-8378. . . . . . . . . . . . . . 16 Radcliff Wire (860) 583-1305. . . . . . . . . . . . . . 66

RK Trading (847) 640-9371. . . . . . . . . . . . . . . 3 Rolled Metal Products (800) 638-3544. . . . . . . . . . . . . . 45 Simplex Rapid (563) 391-0400. . . . . . . . . . . . . . 73 Spring Manufacturers Institute (630) 495-8588 . . . . . . . . . . . . . . 60 Starrett www.starrett.com. . . . . . . . . . . . . 26 Suzuki Garphyttan (574) 232-8800. . . . . . . . . . . . . . 23 Tool King (800) 338-1318. . . . . . . . . . . . . . 62 Ulbrich Stainless Steels (203) 239-4481. . . . . . . . . . . . . . 24 United Wire Co. (800) 840-9481. . . . . . . . . . . . . . 17 Vinston (847) 972-1098. . . . . . . . . . . . . . . 9 Vulcan Spring & Manufacturing Co. (215) 721-1721. . . . . . . . . . . . . . 72 WAFIOS (203) 481-5555. . . . . . . . . . . . . . . 5 Zapp Precision Strip (203) 386-0038. . . . . . . . . . . . . . 27

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Snapshot ©iStockphoto.com/Tryfonov Ievgenii, nicholas belton

Ed Hall

Spring Team Inc. Name: Elwyn E. Hall Nickname: Ed or Eddie. Company name and city: Spring Team Inc., Austinburg, Ohio. Brief history of your company: Spring Team was formerly Schultz Mechanical Wire and was founded by Bob Schultz in 1968. He sold the company in 1984. The company was then sold again in 1990 to an investment group. Current ownership bought it 1996 and we changed our name to the Spring Team in 1997. Job title: General Manager. Birthplace: Rock Creek, Ohio. Current home: Jefferson, Ohio. Family: Wife; Laura, son Keith, daughter in-law, Lindsey, and granddaughters, Addison and Alexis. I can’t leave out Boedy (Big ‘ole Ed’s doggy, a yellow lab). What I like most about being a springmaker: You meet lots of people from all walks of life! I also like the fact that every day is different, each having its own set of challenges and problem solving that goes along with it. Favorite food: Meatloaf, mashed potatoes and just about anything else that you can add Cajun seasoning to! Favorite song/musician: 70’s and 80’s classic rock. Hobbies: Travel; especially those onetank trips! Cruising the back roads (they have to be paved!) in our ’78 Jeep CJ-7. Tinkering around at home. Favorite place: There’s no place like home!

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Best times of my life: Hopefully ahead of me! A really great evening to me is: We have a number of “seating areas” around our property, so to me a great evening is being with Laura, having family and friends over to enjoy an adult beverage or two at any one of those locations! The one thing I can’t stand is: People that don’t respect or care about others.

I wonder what would have happened if: I don’t go there......

My most outstanding qualities are: I try to live by the golden rule. “Do unto others as you’d have them do unto you.”

Role models: My Dad (deceased); I would always ask Laura if she liked my Dad and before she could answer I’d immediately follow up with: “I’m going to be just like him!” Fortunately for me she did like him. He had a strong work ethic. I also followed in his footsteps and got into the spring business, and I hope I’ve done him proud! Bob Schultz and Vernon Rodgers were both very influential in helping me become a springmaker, and Russ Bryer who has helped in my understanding of the business side of the industry.

People who knew me in school thought I was: A sports guy who got along with everybody, unless you were the band teacher. Band activities always clashed with sports! I knew I was an “adult” when: 1) Bought my first new car. 2) Became a dad. 3) Bought a house. If I weren’t working at Spring Team, I would like to: WOW, good question! I was fortunate enough to get involved in the spring industry early on (high school) and I haven’t looked back. I guess the only answer then is that I would like to retire someday. The most difficult business decision I ever had to make was: If a decision affects our people in a negative way then it falls into that category.

I would like to be remembered in the spring industry for: Being a nice guy; someone that’s been fair and consistent with his actions and the decisions. But people will probably remember me for: Being a beer guy. Wherever I travel to I enjoy sampling the microbrews, especially IPA’s. The rest has to be left up to them!




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