The Company
Founded in 1989, Smart Machines is a world-class designer, fabricator,
manufacturer and installer of custom-made machinery and build-to-print
applications. They utilize the latest technology to conceptualize,
design, engineer, and manufacture solutions from their 85,000 square
foot facility in Ridgeway near Martinsville, Virginia. With approximately
90 employees and between $10 M and $15 M in annual sales, they serve
a variety of industries worldwide. They have successfully diversified
from their origins in textiles and film into industries that include
food and beverage, tobacco, aggregate and others.
The Problem
Company strengths include world-class capabilities in stainless
and carbon steel fabrication, a 35-ton overhead crane, full machine
shop capabilities and a modern wet paint booth with a flexible work
force. A new management team has a vision for growth and a commitment
to capital investment. In 2007, they had achieved almost 15% annual
growth over the past four years and about 35% for 2007. Challenges
included quality issues with some existing customers not completely
satisfied with product quality. The company hired new employees
to meet the needs of its expanding customer base; however, some
of them lacked the appropriate level of experience and skill. They
requested a proposal from GENEDGE ALLIANCE, a NIST MEP network affiliate,
to identify opportunities for improvement to their current Quality
Management System and the professional development of their Quality
Manager and other key employees.
The Response
GENEDGE ALLIANCE Sales Manager Jim Simons made Smart Machines aware
of Virginia’s Small Manufacturing Assistance Program (VSMAP),
collaboration with Virginia Tech that provided financial assistance
to help co-fund projects that retain and create manufacturing jobs
for companies like Smart Machines. Mr. Simons arranged for GENEDGE
ALLIANCE Project Manager John Hudson to meet with their Quality
Manager and others to develop an approach that would:
- Review the company’s quality manual for
content, organization and procedures;
- Analyze data collection methods & documentation;
- Examine documentation for movement and traceability
of shop orders through manufacturing;
- Evaluate procedures that determine material rework
needs and assist in implementation of root cause analysis tools;
- Assess staffing levels for proper quality function
support;
- Provide ongoing mentoring to support the Quality
Manager’s professional development.
The Results
- Improved Non-Conformance reporting and action
- Use of Root Cause Analysis tools, such as Ishikawa
diagrams
- Developed skill matrices for focused employee
training investments
- Off-loaded non-critical tasks from Quality Manager
- Sales retention of about $800,000
- Sales increased $300,000/year from former customer
after evidence of quality improvement
- Developed full-time inspector position for incoming,
in-process and final inspection
- Hired over 25 additional employees since project
start
Management's Comment
"This project had significant positive effect for our firm
and assisted with my professional development. Other projects with
GENEDGE ALLIANCE have been helpful and we are eager to continue
the relationship." - Todd Peters, Quality Manager
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