Page 45 - MetalForming May 2009

Case Profile
Company
Imperial Metal Products Co.
Founded
1914
Location
Grand Rapids, MI
Employees
33
Production
8 million parts annually
Floor space
110,000/sq. ft.
Quality marks
ISO 9001:2001 and
(AS 91000 by April 2009)
for automotive tooling suppliers, or the AS 9100 standardized quality manage- ment system for the aerospace industry.
A broader consideration includes taking stock of your company’s identi- ty as it pertains to your new prospective sales targets. As you continue to narrow the field, consider everything, even your company’s name or your product’s names with regard to your new prospect’s frame of reference. Is your company name so specific to what you do or with whom you do it for that it will confuse potential customers in unrelated industries? If so, consider set- ting up a division with a name and identity that fits. You can represent the new entity as a division or subsidiary of your company.
Don’t Over Promise; Over Perform
When approaching new prospects, don’t over-promise, but
do over-perform. If you stumble, react quickly to address and resolve issues and be sure that the customer is completely satisfied
with the outcome. If you’re fol- lowing a quality operating sys-
tem as a part of your QC, then project performance reviews should be a part of your normal course of business. If not, then don’t assume and don’t burden your cus- tomers with a lengthy survey. Along the way, simply visit or call and ask if your company is meeting their expectations and if there are areas for improvement.
As you gain experience, complete projects and receive new work, point to your achievements as references to other prospective customers. With your cus- tomer’s permission, promote your efforts and mutual successes by con- tacting a trade publication or a PR agent to have a story produced. Taking advan- tage to showcase your successes does not need to be a costly exercise. Something as simple as sending out brief monthly or quarterly e-newsletters with an opt- in mail service can keep customers
aware of your efforts and prompt word- of-mouth endorsements through e-mail forwards.
Plan on spending one to two years working to establish your company in new industries and be prepared for dis- appointments and rejections. Learn from these experiences, refine your efforts and find the right people to help
at that time showed significant signs of growth. Fifteen months ago IMP ini- tiated its entry into the aerospace and defense markets.
When IMP made its decision to diversify into aerospace, 35 percent of its revenue, the largest share, came from automotive customers. Initially it faced some challenges as it did not have direct contacts within the aerospace industry, nor did it have the required AS 9100 quality operating system in place to become a Tier One supplier.
Several months into the effort, it was introduced to the Michigan Aerospace Manufacturers Association (MAMA), an organization started in 2007 focused on bringing aerospace companies together with Michigan manufactur- ers. MAMA helped IMP management understand the nature of the industry
and its quality requirements, and introduced it to prospective cus- tomers.
The investment has paid off, since only 12 months after joining MAMA aerospace now represents 5 percent of IMP’s revenue, and its additional diversification efforts have balanced its customer portfolio. Automotive now rep- resents 15 percent of IMP rev-
enues, placing it in a considerably stronger position as this industry con- tinues its contraction. Additionally, while growing its stake in the heavy- truck market, IMP also is trying to determine which types of components used within wind-turbine nacelles best match its skills.
According to Erik J. Denslow, IMP vice president and general manager, its experience in entering the aerospace industry required significant dedica- tion of resources in engineering and quality. Digesting new specifications and determining how to meet the spe- cific project-bid specifications is time- intensive. Today, its cost of sales, com- pared to auto sales, is low due to reliance on MAMA. MF
Resilience and consistent dedication to the process
will result in success. Remember, it is possible. You can do this and it’s never too late to start.
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METALFORMING / MAY 2009 43
you along the way. Resilience and con- sistent dedication to the process will result in success. Remember, it is possi- ble. You can do this and it’s never too late to start.
Case Study: Aerospace Success
Imperial Metal Products Co. (IMP), Grand Rapids, MI is a precision com- ponent manufacturer producing more than eight million parts annually. As a normal part of its business-planning process, IMP’s management team tasks itself with market diversity. It compared parts that make up aircraft landing gear to parts that IMP produced for its heavy-truck customers. Ultimately, it determined it had the core competen- cies in place to go after aerospace, which