Reviewing the cap production and embroidery procedures of Texas-based American Made Cap Co
. In the March 2013 issue of Impressions (" Made in the USA: A Case Study, Part 1 of 2"), I discussed a set of close friends, Greg Bednarik and Rickey Eavenson, who chose to sustain their local west Texas economic situation by purchasing American Made Cap Co., a struggling cap supplier that had undergone numerous modifications in possession throughout the past 3 decades, with several workers persevering with the firm's rough times.
With the brand-new CUSTOM VELCRO PATCHES company owner came new expect the business, which I had actually done business with during the "gimmee-cap" boom of the 1970s. During my preliminary browse through previously this year, I recognized numerous locations for renovation, yet the greatest difficulty stayed finding sufficient consumers happy to pay a little more for a high-quality, American-made cap. Determining a complementary item the firm can manufacture or decorate to create additional earnings was a second challenge.
Bednarik disclosed that some vital workers adjustments essentially have actually changed the skin of their company. At the time of my previous check out to American Made Cap Co., new Production Manager David Stutts had actually just begun working with the business. Stutts was experienced with manufacturing in a different sector, and was familiarizing himself with the process of production and embellishing headwear.
I could distinguish his inquiries that Stutts is an extremely quick study and also, since press time, has acquired a strong grip of all phases of manufacturing. One of the discoveries he made is that throughout a previous owner's period, the needlework device thread trimmers had been turned off to enhance stitch outcome. This benefitted machine drivers, who got on an incentive program. Not familiar with the needlework process and device abilities, this concern was only exposed after the company paid thousands of hrs of overtime to staff members doing trimming duties.
Additionally, a couple of other new employees are really making an effect. One has graphic arts abilities as well as display printing experience, and also is being trained to give back up to digitizer Wanda Eavenson. One more brand-new staff member is making contributions in the area of information technology as well as additionally is being cross-trained for other obligations. Both brand-new employee likewise follow up on brand-new service leads.
Development at the top of the employees chain also assisted to make changes that boosted the staffing in other means. One of the lessons found out by the possession is that certain workers are not necessarily important. It's an usual anxiety amongst company owner as well as administration that everything will quit if one or more essential employees leave the firm. In my experience, nonetheless, this is rarely the case. American Made Cap Co. discovered that regardless of losing a couple of team members-- including a supervisor-- that production was sustained without missing a beat.
BRAND-NEW PROCEDURES, BUSINESS
By merely observing and making changes to organization practices, Eavenson and Bednarik have actually decreased their day-to-day operation expenses by $500-$ 600 daily. This has considerably enhanced cash flow and also can be credited to a number of key adjustments.
A large modification is streamlined paperwork, which was attained by taking a close check out paper flow within the firm and making changes that assisted enhance performance. Monitoring additionally put emphasis on credit card repayments for customers, which minimized the administration prices connected with invoicing as well as collection.
In the new organization sector, 4 intriguing as well as substantial cap manufacturing possibilities have actually been presented to American Made Cap Co. from business in Colorado, New York, California and Texas. At press time, some new accounts were still in the process of being expanded, however the new service is supplying the cash flow needed to develop a healthy company account. Among the new accounts sends its own patterns as well as products to American Made Cap Co., which provides cut-and-sew plus embroidery services. Maintaining the needlework makers humming contributes to paying the total expenses costs for the plant.
Another contribution to the company's success is its organization with the Go Texan program, where it has enjoyed significant benefits. Through affiliation with this program, funded by the Texas Department of Agriculture, a business's name is linked not only with American-made items, however likewise Texas-made items. It was a special day in July when Texas Department of Agriculture Commissioner Todd Staples checked out the company. He acknowledged American Made Cap Co. for its use of fabric made from American Cotton Growers (based in neighboring Littlefield, Texas) in the business's caps, aprons as well as tote bags.
The biggest and most appealing advancement the firm has actually experienced throughout the past couple of months is the enhancement of a complementary line of product. The product-- light-weight, flame-resistant clothing-- is used extensively by companies with workers in oil and gas fields. These business additionally use lots of headwear, making sales calls twice as effective.
" It's a perk that the United State federal government requires employees in certain markets, consisting of seismic employees, to use flame-resistant apparel," Bednarik states.
As part of the garments program, the business includes as much as 10,000 stitches of embroidery in its rates. The firm even makes headwear from the unique material. Stutts located that the team can stitch it using typical production approaches, giving even more orders to maintain the embroidery makers running continually. The business also began a new website, americanfrc.com, that features the product.
Reinvigorated by the incredible progress the firm has actually made in recent months, Bednarik as well as Eavenson expect implementing plans for further growth. Initially, they want to improve its online presence and also maybe launch a line of themed caps. American Made Cap Co. still takes part in a grant program that can assist supply funds to enhance its Internet visibility and also advertising and marketing as a whole. They likewise would like to create a program with a major account to generate caps for inventory during slow-moving times.
Bednarik wishes to fill the plant's production capacity as well as begin a new, improved motivation program for staff members. "I 'd instead pass more cash to the staff members if I can jam this location with quantity," he states.