Accurate Screw Machine Products Co. Inc. (ASM) is an ISO 9001: 2000 & AS 9100 certified manufacturer of electronic hardware and fasteners specializing in JIT delivery to the electronics, aerospace, medical, telecommunications and metal fabricating industries. ASM was founded in 1967 and in 1998 was acquired by MW Industries, the second largest manufacturer of springs and specialty fasteners in North America. MW operates eleven manufacturing plants throughout the US.
Downward price pressure as a result of international competition was impacting ASM’s cost profile. As a division of a larger company, ASM had the option of moving its operations to the much lower cost state of Indiana where it’s corporate headquarters are located. Resisting this option through loyalty to its NJ workforce, the company had to find ways to make the Fairfield plant more cost competitive. Other than the few employees that would be transferred to Indiana all others were at risk. ASM needed a competitive advantage and to improve profitability to be able to remain in the State.
ASM looked to NJMEP to assist the company with implementing Lean Manufacturing in its facility. The Lean systems would speed throughput and quicken deliveries providing a significant competitive advantage. In addition, streamlining its operations and increasing profitability would allow ASM to secure business it cannot currently compete for at a profitable level.
NJMEP worked with Scott Solomon, V.P. of ASM to design a workforce training program that would educate its frontline employees on the principles, processes and benefits of Lean. To help bear the cost of the training, NJMEP helped ASM apply for a New Jersey Department of Labor Customized Workforce Training Grant. Funded through the grant, the program, which was implemented over a seven-month period, included technical training (AutoCad) and soft skills (Excel) as well as Lean specific training: Quick Changeover, Pull Kanban, Admin Lean, Quality Control Technology and Value Stream Mapping.
Through the implementation of Lean processes, technical and soft skills training, ASM was able to remain in New Jersey, keeping over ninety jobs in the State. Working with NJMEP to develop the program rather than with a for-profit consulting firm helped contribute to a $250,000 cost savings—$90,000 more than originally projected. The company also attributes the retention of $500,000 in sales to implementing Lean in both its manufacturing and office functions, helping ASM to maintain a solid position in its market.
“We continue to improve our operations with the expert guidance of NJMEP. Lean manufacturing techniques give us a competitive advantage in the marketplace as we drive down costs and deliver at a faster rate to our customers,” Scott Solomon, V.P., Accurate Screw Machine (ASM.)
Accurate Screw Machine Corp is a participant in NJMEP’s Made in New Jersey program. Click here to view their profile!