Presented by MAGNET and Cleveland Engineering Society, this for-manufacturers-by-manufacturers event takes place on Friday, September 29th and features a valuable keynote from Ben Marker (General Manager, Riddell). Also available are several best-practice sessions on essential topics for today’s companies, including cybersecurity, talent development, market diversification, product development, and operations excellence.
Attendees will also have the opportunity to…
• Meet former Cleveland Browns defensive back Felix Wright
• Win an official Cleveland Browns football helmet
• Talk to peers from companies like Bettcher Industries, Sauder, M-7 Technologies, LEFCO Worthington, and more
• Tour the new, state-of-the-art Riddell facility in North Ridgeville
• And more!
Kick off Manufacturing Month by joining us for the best manufacturing event the region has to offer!
During the early 1930s, IBM developed the first modern accounting machine designed for the financial sector. However, the banks weren’t buying the IBM machines; in fact, they were just trying to stay in business, and no one was investing in new equipment. The accounting technology was new, and people didn’t understand its potential yet (thus a reluctance to invest in it). Even with this dismal outlook, IBM found an unexpected solution: libraries. Unlike the banks, libraries during the early days of the New Deal era had money to invest. After the famed New York Public Library bought an accounting machine, others followed suit, leading to more than 100 purchases by libraries across the country. Once the economy regained momentum after World War II, the business community once again had the money to invest and recognized the sheer importance of computing technology. IBM redesigned their machines to help companies complete their payroll, and within a few years, IBM became a leader in the computer industry. Have you ever experienced an unexpected occurrence similar to IBM? Was in how the product was made or how the product was sold to the market? This story covers one source of innovation known as “unexpected
The market for plastics and resins continues to be somewhat confusing, operating under very different market conditions as compared to other raw material commodities. Though resin producers have learned the value of managing capacity to stabilize (and potentially to increase margins), the way they’ve been building up inventories is puzzling, even in the face of steady and increasing demand. The fact that producers were pushing for price increases as of August indicates that they anticipate increasing demand, decreasing capacity, or a combination of both, and have some confidence of realizing higher prices for their products. After Hurricane Harvey, demands for increased pricing have only strengthened as stockpiles are drawn down and infrastructure restarts are slower than hoped for. What can you do to keep up with these continually changing trends? Be responsible for your own defense. The best defense for a small manufacturer is to have multiple sources of resin pre-validated in your manufacturing process and pre-approved by your customers. This allows you to seamlessly shift from one supplier to another if faced with an unpalatable pricing demand. Be prepared to play suppliers against each other to ensure they remain in a reasonable margin band as market conditions vary, and
For the past few years, manufacturers have enjoyed declining and advantageous input costs on most commodity industrial metals – copper, zinc, aluminum, iron, tin, steel, etc. The party has most definitely come to an end. As the global economy heats up, demand for industrial metals to supply the manufacturing sector in all markets likewise increases, resulting in a steady upward pressure on raw material input costs. Barring another major economic or geopolitical crisis, we have likely seen the last of a softening commodity market for quite a while, and must prepare for a period of increasing cost pressures. Manufacturers in the USA, particularly small manufacturing enterprises, need to be aware and be taking proactive steps to prevent margin erosion due to negative purchase price variance resulting from these commodity pressures. Know what your metal purchases should cost - be better informed than the salesman across the table from you. Hopefully as a manufacturer you haven’t been a passive, price-taking buyer, or a seller allowing larger customers to dictate how material cost inputs are to be dealt with. Hopefully, you already have indexing agreements in place with both suppliers and customers. Most importantly with suppliers, because without such agreements you have