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NEWS PAGE INDEX
Reprinted
with permission from The
Manufacturer, October 2001
Continuous improvement is a simple
philosophy but a difficult task, as Colin Browning found
out when he talked to the top team at the Alinabal Group.
Manufacturing as a business is under pressure across
all the countries of the industrialized world. High
domestic labor costs and stiff competition, both locally
and from the emerging economies, have combined to make
the operating environment interesting to
say the least. This is not to say that there is not
money to be made and success to be had, it just requires
a little more hard work than it used to. One of those
that enjoy this challenge is the Alinabal Group, based
in Milford, Connecticut.
Alinabal, a diversified manufacturer of precision stampings
and assemblies, spherical rod end bearings and linkages
as well as specialty printers, can draw its lineage
back to 1913 when it supplied laminated materials for
the Henry Ford Model T. The automotive industry remains
a major destination for Alinabal products but over the
years the company has expanded its horizons to become
a player in the aerospace, defense, industrial, recreational
and medical sectors. Alinabals CEO, Sam Bergami
described the business as being: "A broadly diversified
manufacturing group of companies. We may only have 325
staff but we are more like a mini conglomerate with
three autonomous business units." Mini
may be the term chosen by Sam, but between them these
units still generate revenues in excess of $40 million
a year.
In many respects, Alinabal occupies a unique position
in the market in that it is capable of handling a huge
variation in production run requirements. As Kevin Conlisk,
the chief financial officer explained: "For example
our precision stamping business parts catalog runs to
tens of thousands of separate items, which are produced
in any number of lot sizes. Our short run department
is capable of making single items while our long run
section has orders that can be of a magnitude of tens
of millions. We have been in the low volume business
since the very beginning and have been doing it for
so long that we have become very good at it. The high
volume side of the business evolved over time."
"When we are looking at such big numbers,"
added Conlisk, "we are getting into the parts management
business. As well as investing in the necessary high
speed tools to enable us to complete the actual tasks,
we have put in place the sophisticated systems needed
to service to the customer."
However simply being good, or indeed in the case of
Alinabal, excellent at what you do today is no guarantee
that the customer will be back tomorrow. Considering
that Alinabals customers include names such as
IBM, United Technologies, Harley Davidson, John Deere
and Polaris Industries, as a company it needs to offer
something beyond mere price competitiveness and it has
chosen to focus on continuous improvement. The company
logo even includes the phrase "Achieving Excellence
Worldwide" and the common aim of the entire
workforce is to find ways of doing things better.
Alinabal has changed from a labor force to a brain force.
Since Alinabal embarked on its unique TQM Process known
as "ATIP" (Alinabal Total Improvement Process),
the company has documented a dramatic increase in productivity
and product quality as well as a decrease in employee
turnover, absenteeism and workmans compensation
claims.
The
push for continuous improvement began in January of
1991 when a new team of managers took the helm at Alinabal.
The question put forth by Management was "How do
we make our employees care about quality and service?"
They knew that the companys success would ultimately
depend on the development of a comprehensive quality
system one that would be ongoing.
What is ATIP really all about? At the cornerstone of
Alinabals quality infrastructure is their quality
policy: To continuously improve our products, processes,
and services in order to meet or exceed our customers
needs and expectations". ATIP is the vehicle by
which all employees can apply their individual and collective
efforts and resources to support the process of continuous
improvement in every aspect of their business.
ATIP has many components. Heading it all is the ATIP
Steering Committee, a diversified employee group that
meets weekly and is chaired by the company president.
This group basically forms quality improvement policy
and maintains and active directional guidance for the
overall process.
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