A World of Thanks to SMI on their 75th Spring Anniversary

Transcription

A World of
Thanks to
SMI on their
75th Spring
Anniversary
The Largest Wire
Distributor in the U.S.
Over $24 Million
in Inventory
8 Nationwide
Centers
Wired to meet your needs.
InterWireGroup.com
InterWire New York
355 Main Street
Armonk, NY 10504
(914) 273-6633
(914) 273-6848 (Fax)
InterWire Products
50 Broderick Road
Bristol, CT 06010
(860) 583-0491
(860) 582-7109 (Fax)
© 2008 creativesolution.com
NEW
LOCATION
InterWire California
6780 Katella Ave.
Cypress, CA 90630
(714) 379-0500
(714) 379-0505 (Fax)
InterWire Michigan
4700 Broadmoor Ave.SE,
Suite 300
Kentwood, MI 49512
(616) 554-9900
(616) 554-9982 (Fax)
InterWire Texas
1025 Ave. S, Suite 300
Grand Prairie, TX 75050
(972) 623-0620
(972) 623-0314 (Fax)
InterWire Midwest
937 Lombard Road
Lombard, IL 60148
(630) 620-6680
(630) 620-6926 (Fax)
InterWire N. Carolina
13935 South Pt Blvd.
Charlotte, NC 28273
(803) 802-0010
(803) 802-5755 (Fax)
InterWire Mexico
Av. Tepeyac 1420-D
Parque Industrial OdonnellAeropuerto, El Marques
Queretaro, C.P. 76250 Mexico
(800) 699-6633
011-52442-253-0031 (Fax)
President’s Message
From Reb Banas
Springmaking Costs and Costing Springs
teve, my CFO, came into the office last week and with a
sheepish grin said, “Here are the preliminary financials.” As I
read through the numbers, I saw why he was hesitant to share
them. Costs across the board exceeded our expectations.
Generally that’s a term we like to hear, “exceeding expectations,”
but not in this context. In the face of $100/barrel crude, the
omni-present Chinese giant, skyrocketing health care costs and
90-day terms from most large OEMs, it becomes increasingly
more challenging to end the year in the black. Pricing becomes
a critical tool for navigating the new global market.
The standard raw material, direct and indirect labor, factory overhead, etc.
determine our qualifying price to sell a spring, stamping or assembly. How aggressive
can we be? Can we accommodate 90-day terms? What are inventory turns going to
be with this and similar jobs? What is the competition doing? The material supplier
wants 45-day terms. We need to pay for that new CNC coiler. The quarterly health
insurance premium is due. When are the finished goods sitting in the shipping room
on a blanket purchase order going to ship? Yikes! Where to begin?
1.Team. This is a team effort. Everyone in the company has to be on the same
page. Pricing, quality, JIT and an open line of communication between involved parties are prerequisites to pricing products effectively. Lean and mean (but still nice to
family and friends) can take us a long way, but all elements of the operation must be
accounted for and quantified.
2. Experts Step Forward, Please. Outsourcing specific operations that are
not within our core competencies attaches a fixed cost to our pricing strategy. In
the end, having a trusted relationship with fellow SMI members makes more sense
today than it ever has before.
3. Measure Up. Track sales per employee from year to year for a measurement. Now track it against your profitability.
4. Doing more with less. Productivity per worker in America has increased
dramatically in the past few decades due to technology, improved management
models and education. Tap into this!
5. Flex-Pricing. Protect against fluctuating material costs with a flexible pricing
program that is acceptable to customers. How much can we “mark up” wire? What
is a competitive setup cost? Why are run rates not fast as estimated rates? Customers
want how many and when? Sit down and identify a niche advantage and work it. Go
that extra step. Do not settle for the bare minimum effort to get the quote package
to customers at the deadline.
Hopefully these suggestions make sense to you. Continue reading through this
issue of Springs. We’ve written it specifically to assist you with new ideas to deal with
costs and price products effectively for customers.
As SMI looks beyond its 75th Anniversary, I would sincerely like to thank Dan
Sebastian, SMI members and staff for their time and dedication to our organization.
Together with Scott Rankin, Steve Moreland and Russ Bryer on the Executive Committee, and the Board of Directors, I am excited about the things that lie ahead that
will continue to knit us together as a community.
S
Reb Banas, Stanley Spring
& Stamping, [email protected]
2 SPRINGS April 2008
SMI Board of Directors
President, Reb Banas, Stanley Spring & Stamping • Vice
President, Scott Rankin, Vulcan Spring & Manufacturing
• Secretary Treasurer, Steve Moreland, Automatic
Spring Products • Immediate Past President, Dan
Sebastian, MW Industries • Executive Committee
At-Large, Russ Bryer, Spring Team • Executive Vice
President, Shane Johnson, SMI • Tom Armstrong,
Duer/Carolina Coil • Dennis Backhaus, Spiros Industries
• Mike Betts, Betts Spring • Tim Bianco, Iowa Spring •
Dan Bishop, Automatic Spring Coiling/MW Industries •
Ron Curry, Gifford Spring • Ann Davey, John Evans’ Sons
• Gary Dickerhoof, The Yost Superior Company • Linda
Froehlich, Ace Wire Spring & Form • Bert Goering,
Precision Coil Spring • Mark Habicht, The Kirk-Habicht
Co • Bob Iorio, Gibbs Wire & Steel • Steve Kempf, Lee
Spring Co • Richard Rubenstein, Plymouth Spring •
Chris Wharin, Bohne Spring • Ted White, Hardware
Products • Chris Witham, Motion Dynamics • Tim Zwit,
American Coil Spring
Springs Magazine Staff
Lynne Carr, Advertising Sales, [email protected]
Sandie Green, Assistant Editor
Luke Zubek PE, Technical Advisor, [email protected]
Shane Johnson Esq., Publisher, [email protected]
Springs Magazine Committee
Chair, Richard Rubenstein, Plymouth Spring • Carol
Caldwell, Century Spring/MW Industries • Lynne Carr,
SMI • Randy Deford, Mid-West Spring & Stamping •
Pam Dix, All-Rite Spring • Ritchy Froehlich, Ace Wire
Spring & Form • Tressie Froehlich, Ace Wire Spring
& Form • LuAnn Lanke, Wisconsin Coil Spring • John
Schneider, O’Hare Spring • Europe Liaison: Richard
Schuitema, Dutch Spring Association • Technical
advisors: Loren Godfrey, Colonial Spring • Luke Zubek,
PE, SMI Technical Director
Advertising sales - Japan
Ken Myohdai, Sakura International Inc.
22-11 Harimacho
1-Chome, Abeno-ku
Osaka 545-0022 Japan
Phone: +81-6-6624-3601 • Fax: +81-6-6624-3602
E-mail: [email protected]
Advertising sales - Europe
Jennie Franks, Franks & Co.
63 St. Andrew's Road
Cambridge
United Kingdom CB41DH
Phone/Fax: +44-1223-360472
Advertising sales - Taiwan
Robert Yu, Worldwide Services Co. Ltd.
11F-B, No 540, Sec. 1, Wen Hsin Rd.
Taichung, Taiwan
Phone: +886-4-2325-1784 • Fax: +886-4-2325-2967
Springs (ISSN 0584-9667) is published quarterly by SMI Business
Corp., a subsidiary of the Spring Manufacturers Institute: 2001
Midwest Road, Suite 106, Oak Brook, IL 60523; Phone: (630) 4958588; Fax: (630) 495-8595;Web site www.smihq.org. Address all
correspondence and editorial materials to this address.
The editors and publishers of Springs disclaim all warranties, express
or implied, with respect to advertising and editorial content, and
with respect to all manufacturing errors, defects or omissions made
in connection with advertising or editorial material submitted for
publication.
The editors and publishers of Springs disclaim all liability for special
or consequential damages resulting from errors, defects or omissions
in the manufacturing of this publication, any submission of advertising,
editorial or other material for publication in Springs shall constitute an
agreement with and acceptance of such limited liability.
The editors and publishers of Springs assume no responsibility for the
opinions or facts in signed articles, except to the extent of expressing
the view, by the fact of publication, that the subject treated is one
which merits attention.
Do not reproduce without written permission.
Cover by Rachel Slick
Table of Contents
FEATURES
23
23
How Do Temperature Controllers Really Control Temperature?
There are several misconceptions on what these controllers really do
By Daniel Pierre III, JN Machinery Corp.
27
SMI President Reb Banas
President of Stanley Spring & Stamping
By Rita Kaufman, CAE
30
European Costing Acrobatics
How springmakers deal with variable costs, market demands and pricing pressure
By Wallie Dayal, Dayal Resources, Inc.
38
Value vs. Price
By Carol Caldwell, Century Spring/MW Industries
42
It Costs How Much?
By Mark E. Battersby
COLUMNS
14
Checkpoint: Business Tips From Phil Perry
Hiring Immigrants: Navigating a Changing Legal Landscape
18
Spotlight on the Shop Floor
Torsion Springs — A little primer
By Randy DeFord, Mid-West Spring & Stamping
20
Be Aware: Safety Tips
What is Your Safety Program Costing You?
By Jim Wood
51
IST Spring Technology
Cautionary Tale XXXVII: The Shape of Fractures in Compression Springs
By Mark Hayes
54
Technically Speaking
A Look Back at the Causes of Spring Failures
By Luke Zubek, PE
27
30
52
DEPARTMENTS
2
President’s Message
Springmaking Costs and Costing Springs
7
Global Highlights
49
Inside SMI
Sharks & Guns, Jumping in With Both Feet; Know Your Costs, Set Your Price
59
New Products
63
Advertisers’ Index
63
Sprung
64
Snapshot
Frank Mauro Jr., Baumann Springs North America
From appliances to art,
ISW runs smoother.
MEET YOUR MATCH FOR TECHNOLOGY.
Since 1935, Industrial Steel & Wire has helped technologically savvy businesses like yours
run smoothly. Now, as a nationwide leader in spring wire, manufacturers of everything
from art to blenders count on our quality and capabilities.
t Ferrous and non-ferrous wire and specialty strip at competitive prices
t More than 400,000 sq. ft. of warehousing, nationwide, for timely delivery
t Round and shaped wire, custom plating, torsion straightening and straighten & cut
RUN SMOOTHER TODAY WITH ISW.
www.industeel.com
New
HOUSTON
Location
800-767-0408
BRISTOL
800-767-4792
CLEVELAND
800-767-4434
CHARLOTTE
800-767-0089
LOS ANGELES
800-767-0485
CHICAGO HEADQUARTERS
800-767-0408
Global Highlights
Overseas
According to the “Confederation of Indian
Industry” (CII), in 2005 the business volume of
the world’s wire and cable industry reached an
estimated total of 20 billion US$ and is expected to
increase to 25 billion US$ by 2010. Due to the growing global economy, a further increase in demand
is expected in the next few years. Up-and-coming,
economically developing countries such as India and
China are both key sales markets for the wire and
cable machine manufacturers as well as producing
countries with great economic potential.
Another sector in the wire industry is that of
spring production. As the mechanical expenditure
involved with spring production is relatively small,
there are numerous manufacturers in India, mostly
family-run companies. Egon Reich, general sales
manager and member of the executive board of the
internationally operating Maschinenfabrik Wafios,
which, among others, manufactures machines for
the production of technical springs, flexible parts and
nails, sees attractive medium to long-term sales possibilities here. According to Reich, the manufacture
of such cable products is currently a predominantly
manual process. The procurement and operation
of semi-automatic or even fully automatic spring
winding machines are currently financially out of
reach for many Indian companies. But Maschinenfabrik Wafios, which assists and supports its Indian
clients in service and sales/marketing matters via
an agency, has already often been approached with
requests for low-cost second-hand machines.
It is to be assumed that companies in the Indian
wire and cable industry, which previously used
traditional methods mainly to service the domestic
market, will gradually modernize their production
machines and facilities in order to participate in the
world market. For many, this change is expected to
be tantamount to a gigantic technological leap.
The Wafios AG Group, with headquarters in
Reutlingen, Germany, announced the appointment
of Dr. Uwe-Peter Weigmann as its new managing director for engineering and development. Dr.
Weigmann served a technical apprenticeship before
studying mechanical engineering with a focus on
manufacturing processes. He has extensive experience in the machinery and tooling construction
fields and vast knowledge of controls and software.
Dr. Weigmann assumed his duties April 1, 2008.
He replaced Dr. Thomas Blum who left Wafios in
October 2007.
Overseas Events
April 3-5, 2008: Mec-Spe 2008, Parma, Italy,
Senaf, e-mail [email protected], www.senaf.it.
September 23-26, 2008: wire China, Shanghai,
China, Messe Dusseldorf China, (312) 781-5180,
www.messe-dusseldorf.de.
November 20-22, 2008: Wire & Cable India
2008, Mumbai, India, Cheryl Fernandes, Business Fairs, Confederation of Indian Industry,
91-22-24931790, ext. 470, www.ciionline.org.
North America
Interwire Products (IWP), Ar monk, NY,
announced the opening of a new facility in Mexico
to accommodate significant business growth and the
demand for high quality ferrous and non-ferrous wire
in this country. The new 30,000 square foot facility
will service the wire markets in the Mexican region.
It is located at Tepeyac 1420-D, Parque Industrial
Odonnell-Aeropuerto, El Marques, Queretaro, C.P.
76250 Mexico, telephone (800) 699-6633. Pete
Rosa has been appointed to general manager of IWP
Mexico. He has been with the company for over 15
years and has played an important role in managing
the growth of the IWP’s Connecticut division.
IWP recently expanded in North Carolina with
a 54,000 square foot facility and in Michigan with
an 80,000 square foot facility servicing the Western
Pennsylvania, Ohio, Indiana and Michigan markets.
The addition of these new locations to the existing
distribution centers now provides IWP with a total
of 500,000 square feet of warehousing throughout
the United States and Mexico.
SPRINGS April 2008 7
Link Engineering Co., Plymouth, MI, announced
the implementation of a new Web site, linkeng.com.
The Link site has been redesigned to provide easier
access to the wide variety of equipment and services
that Link offers. The new site integrates all the
equipment and services offered by the numerous
Link divisions and locations in one place. Much of
the information on the Web site has been updated
to reflect the current capabilities and test requirements. Over 50 product and service pages have been
added describing new or highly revised items. The
site also provides new technical papers and articles
on testing and measurement techniques related to
vehicle, brake, driveline and NVH evaluations.
Restructuring in the Link Engineering sales
department has brought about some changes. Tad
Wrobel manages the Link Spring Tester line and
handles sales of testers and tester upgrades. He
replaces Joe Burchill who now manages the Vehicle
Systems product line.
Gerald Jacques, president of Nimsco (Nichols
International Machinery) has announced that
they have moved to a new
location in Davenport IA.
Nimsco is presently in its
25th year as the exclusive
North American distributor
for the Bennett Mahler and
Simplex-Rapid quality
lines of spring machinery.
The new address is 5115B Tremont Avenue, Davenport, IA 52807, telephone and e-mail remain the
same, (563) 391-0400, [email protected]. The new
fax number is (563) 391-0403.
According to the American Metal Market
(AMM), “While the use of the term ‘allocation’
remains in dispute, the one clear signal in the wire
rod market is that supplies are getting hard to
come by. The market situation for scrap and alloys
has created a ‘dire situation’ for steel producers,”
according to a letter signed by Richard Webb, vice
president of Keystone Steel & Wire Co. in Peoria, IL.
Spurred by soaring scrap and alloy costs, Keystone
in January took the unusual move of rescinding a
planned $40-a-ton ($2 per cwt) wire rod price hike
and replaced it with a $90-a-ton increase.
“Supplies are tight largely because of low
imports, and some consumers have placed larger
orders than they traditionally have with domestic
mills,” said Tom Perlus, president of supply chain
at Heico Steel Processing Group. “People recently
have been asking for more than normal but you can’t
supply it because it’s not available,” he said.
Rod customers and other downstream consumers
are feeling the pinch of higher substrate prices in the
middle of a tepid economy in which it is difficult to
pass prices onto end buyers. Steep price increases
for a range of steel products have been driven not
by domestic demand but instead by increased costs
and tight supplies. The U.S. imported only 63,915
tonnes of wire rod in December, less than half the
158,047 tonnes in the same month a year earlier,
according to preliminary data from the U.S. Commerce Department. Imports from China have fallen
even more dramatically.
Industrial Steel and Wire Co., Chicago, IL,
announced the promotion of Dr. Brian Furlong
to president. He joined the company in 1996 after
receiving his PhD. in chemical engineering from Rice
University. Ralph Furlong, who led the company
for the last 40 years, will remain active within the
company as its new chairman. He founded the company in 1935. David Merrills has been appointed
director of sales and is responsible for worldwide
sales and marketing of all ISW products. He will
also manage the customer service team. He has
a master’s degree from Northwestern University
Kellogg School of Management.
Industrial Steel has opened a new warehouse
facility in the northwest section of Houston, TX. The
20,000 square foot warehouse stocks a full range
of spring and other wire types and is designed to
service the mid-south customer base and provide a
“springboard” for better distribution in Mexico. Don
Koshier is the new sales manager.
Jergens Inc., Cleveland, OH, announced the
appointment of Jeff Martin as product manager for
Kwik-Lok pins, inserts and spring loaded devices
in the company’s Tooling Components Division. He
holds a bachelor’s degree in Industrial Technology
from Ohio University. Martin is replacing Matthew
Schron who was appointed general manager of
Jergens Industrial Supply (JIS).
A.I. Technology Inc. is now located at 30503
Andersen Court, Wixom, MI 48393. The new e-mail
addresses are: [email protected]; techsupport@
aitechnology.us; and [email protected].
Both phone and fax numbers remain the same.
Aero Spring and Manufacturing Co. Inc.,
Phoenix, AZ, has announced its accreditation to
ISO9001:2000/AS9100B by Great Western Registrar. The Aero Spring Quality System had been
compliant to AS9100B for several years. It is an
integrated manufacturing company that supplies
fabricated parts, machined parts, and small assemblies built to customer specifications. The company
is also NADCAP accredited for heat-treating and
chemical processing.
Everett Industries
Inc., Warren, OH, is
celebrating 40 years of
manufacturing abrasive cut-off wheels. The
company was founded in
1962 by Chuck Everett
and has 28 employees.
Bill Everett, president,
Roy Williams, vice president and national sales
manager Michael Healey,
operates Everett Industries today. They produce abrasive cut-off machines
and wheels sold worldwide to industries that need
to cut metal or non-ferrous material.
The Grant Thornton International Business
Report on manufacturing reveals that privately
held manufacturers across the world are being
impacted greatest by the rising costs of raw materials
and energy. Globally, 61% of surveyed businesses
reported being most concerned about raw materials costs and 45% reported energy costs. Turkish
manufacturing businesses are the most concerned
about energy costs. Despite being a major oil producing country, 61% of manufacturing in Mexico cites
energy costs as a concern. Australia and Brazil, also
energy producing countries, are least concerned
about energy costs, with 20% and 23% expecting
them to have a major impact.
Globalization is being perceived as a threat to
some manufacturing businesses. According to the
report, manufacturers in Thailand, Australia and
New Zealand see globalization as a threat rather than
an opportunity. This indicates increasing concerns
about greater competition from Asian manufacturers.
Unsurprisingly, Asian manufacturers are among the
most positive in regards to globalization. Malaysia
and India head the list having responded forcefully to
the need to compete in the international manufacturing market. While mainland China has established
itself as a highly competitive manufacturing base, a
significant proportion of mainland Chinese manufacturers regard globalization as more of a threat.
Increased demand has lead to higher production in
the Australian resources sector, fueling the mining
boom and strong economic growth. However, Australian manufacturers are having difficulties competing
with China’s ability to produce low-cost goods and are
being constrained by shortages in skilled labor and
the lowest unemployment levels for decades.
Numamerica Inc., Davenport, IA, a wholly
owned U.S.A. subsidiary of Numalliance, St. Michel,
France, announced the promotion of John Griffin to
the position of technical services
supervisor. He has 10 years of
experience servicing the Latour
and Macsoft models of CNC wire
and tube forming machinery. He
will oversee the training of new
field service technicians, servicing of existing machines, startups
of new machinery, continued
improvements in Numamerica’s spare parts inventory, and
provide back-up support in all
machine related areas. Christian
Leon has joined Numamerica as
a field service technician.
Numalliance and Numamerica wish to announce
the retirement of Bill Shockey from their Davenport,
IA office. Bill has spent 27+ years in the wire, tube
and spring industry with the last two years holding positions of General Manager and Marketing &
Sales with Numamerica where he helped oversee
the start-up of the company in April 2006 and
participated in the ongoing marketing efforts of the
Latour, Macsoft and Satime models of wire and tube
forming machinery.
SEI Metaltek has a new address: 2315 Routh
St., Dallas, TX 75204, telephone (214) 953-1600,
fax (214) 953-1611. The corporate office direct dial
phone for Kevin Grace, CEO, is (214) 661-5743,
e-mail at [email protected].
GR Spring & Stamping Inc. (GRS&S), Grand
Rapids, MI, a metal stamping and value-added
assembly producer has increased its capabilities
with two new manufacturing sites. In Grand Rapids,
MI, an additional 125,000 square foot facility has been
procured on Alpine Ave. NW. The facility houses full
service assembly, slide forming and spring manufacturing operations as well as GRS&S’s logistics
department.
The other facility, located in Chihuahua, Mexico,
is 50,000 square feet with metal stamping and
assembly operations.
WireCo WorldGroup (WireCo), a producer and
marketer of wire rope and electromechanical cable,
announced that it has completed the acquisition of
US Reel Corporation (US Reel) based in Carrollton,
MO. US Reel produces wood reels serving customers in
the Midwestern U.S. The firm has been the primary
supplier of wood reels to WireCo for many years.
The Wire Association International Inc. (WAI)
has announced the appointment of Ronald W. Reed
as president of the association for a one-year term.
Reed will serve as the 54th president of the 78-year
old association, which is headquartered in Guilford,
CT, and has a subsidiary office in Pune, India. He
will lead the association’s growth initiatives, which
include further expansion into the Asian markets
and enhancements to Wire Journal International, the
industry’s publication, and Interwire, the association’s flagship trade show that is the largest of its
kind in the Americas.
A network of volunteers from around the world
governs the association. Joining Reed for the 2008 term
will be members of the association’s 2008 executive committee: first vice president, Antonio Ayala,
J.J. Lowe Associates; second vice president, Dane
G. Armendariz, Henkel Surface Technologies; and
executive committee member, Dominique Perroud,
Samp USA Inc.
The Larson Davis division of PCB Piezotronics, Depew, NY, has announced an exclusive
worldwide distribution agreement for the products
and services of hearing conversation pioneers
Bertrand-Johnson Acoustics (BJA) of Montreal,
Quebec, Canada. Products developed by BJA, to
be sold under the Larson Davis product umbrella,
include Corti and HPD Select Software for audiometric trend analysis and hearing conversation program
(HCP) qualifications, which provide safety ad health managers
with predictive analysis tools and
regulatory recordkeeping for management of company-wide HCPs
and proper selection of appropriate hearing protection devices
(HPDs) to meet various regulatory
standards.
Edward T. Ostrowski, P.E.,
an engineer at Fluor Enterprises,
Greenville, SC, will begin a term as
chair of the American Association
of Mechanical Engineers (ASME)
Committee on Ethical Standards
and Review (CESR). The committee is responsible for the activities
of ASME that relate to ethics in
engineering and engineering practice. The committee also sponsors
seminars and develops Web sites
on engineering ethics. Ostrowski
represents ASME on the executive
board of the National Institute
of Engineering Ethics where he
develops engineering ethics training materials among other key
activities.
Martin J. Simpson has been named president
and CEO and Roy Galman executive vice president
and COO of Daubert Cromwell, Alsip, IL, a manufacturer of anti-corrosion packaging for industry.
Simpson has held progressively responsible management roles since joining the company in 1998. He
holds a degree in civil engineering from the University of Dayton and an MBA from the Keller Graduate
School in Chicago.
THINK SMALL INVESTMENT
$THINK LARGE RETURN$
NARRO
W WIDTH
IONS
, LIGHT GAUGE, COIL PROCESSING SOLUT
SCRAP CHOPPERS
Cut your scrap collection
problems and easily
store your skeleton strip
for collection. Three
high-performance scrap
chopper models are
available – .062" – .125"
thickness, 6" and 12"
widths.
PAYOFF
Rugged stock reels —
1600 lb. to 8000 lb.
capacity — available as
plain or motorized, single
or double spindle for
problem-free payoff of
material.
COMBO
REEL/STRAIGHTENER
Model 12 CRS available with
compact, space-saving design
in a price-driven package.
Handles coils up to 12" wide
x .078" thick x 3,000 lbs.
and up to 52" O.D.
FEEDING
Shop-proven ServoMatic IV,
ServoMatic LT, ServoMax II,
ServoMax III and new
ServoMax SE models to
handle material from
.062" – .187" thick and from
4" – 36" wide. Pneumatic or
mechanical roll lift, increased
job memory, variety of
control options.
STRAIGHTENING
Wafios Machinery Corp.,
Branford, CT, announced the
appointment of Robert Tichauer
as president of the corporation.
Wafios Machinery Corp. is the
North American arm of the Wafios
AG Group, with headquarters in
Reutlingen, Germany. Mr. Tichauer
is fluent in German, English and
Russian, and has a degree in electrical engineering. He replaced
Götz Arndt, who retired after
38 years with Wafios, including
21 years as president of Wafios
Machinery Corp. in Branford.
Series B Straighteners
(6" – 30") and Economy
Flip-Top Straighteners
with 7-roll design to
remove coil set and
provide smooth payout
of material.
DECOILING
Take advantage of faster
setup and advanced safety
with CoilMate/Dickerman
Pallet Decoilers with material
capacities from 2,000 –
12,000 lbs.
COILMATE/DICKERMAN DOES IT ALL
CoilMate/Dickerman is your source for narrow width, light gauge coil processing and handling. Our
equipment is built to meet the rugged demands of the plant floor, while offering performance
features and value that other manufacturers simply can’t match. If you’re thinking small,
CoilMate/Dickerman does it all.
800-247-COIL / www.coilmate.com
2-YEAR WARRANTY
QUICK SHIPMENT
Galman has held various management positions
throughout his tenure with Daubert Cromwell. He
is a graduate of Bradley University.
Factivity Inc., a supplier of factory floor software, has entered into a partnership with RMS, a
reseller of Preactor software in the UK. The partnership allows enhanced coverage throughout North
America and Europe.
RMS will sell the Factivity Solution Suite of touch
screen based systems for better visibility of factory
floor activity with real-time operability with the Preactor Scheduling solution set. The Factivity suite
of products includes modules for data collection,
paperless document delivery, machine monitoring
and time and attendance.
Mark Campbell has joined MW Industries (MWI)
as New Product Development Manager, based at
MWI’s Corporate Headquarters in Logansport, IN.
Campbell was most recently Vice President of R&D at
Crane Cams, and also held the position of Vice President- New Product Development there. Previously,
Campbell also worked at the Holley Carburetor
Division of Colt Industries, where he received the
“President’s Award for Engineering Excellence”.
Campbell holds a BA in Physics from Washington
and Jefferson College and an MBA from Wayne State
University. Campbell and his family will be relocating
to the Logansport area from Daytona Beach, FL.
North American Events
June 4, 2008: CASMI Spring Golf Outing, Addison, IL, CASMI, (630) 369-3772, www.casmi.org.
June 7-11, 2008: Wire Expo 2008, Pittsburgh,
PA, WAI, (203) 453-2777, www.wirenet.org.
Oct. 15-17, 2008: Spring World 2008, Rosemont,
IL, CASMI, (630) 369-3772, www.springworld.org.◆
CASMI 2008 Membership
Calendar of Events
January 17, 2008
Speaker: Angie Blakeney
Colletti’s Restaurant
Workmen’s Comp Trust of Illinois
February 9, 2008
Valentine’s Dinner Dance
Twin Orchard CC
Members and Associates
March 27, 2008
Members & Suppliers Dinner
Rosewood Restaurant
April 17, 2008
Plant Tour to be arranged
May 21, 2008
Chicago White Sox Game
Cellular Field Chicago
June 4, 2008
Annual Spring Golf Outing
Oak Meadows G.C. Addison, IL.
July – August
Summer Hiatus
No Planned events
Late August
Fall Golf Outing
Site undetermined at this time.
October 15-17, 2008
SPRINGWORLD 2008
Rosemont, IL.
Rosemont Convention Center
November 20, 2008
Speaker ? Chicago Bull’s Game ?
December 11, 2008
Holiday Party
CASMI Membership
Report on JSSE 60th Anniversary International Symposium
By Mark P. Hayes
For the first time, the Japan Society of Spring Engineers
organized an international conference on advanced spring
technology on November 2, 2007. The concept of an
international forum in which researchers in the field of
spring technology can meet and exchange experiences was
most welcome.
To have an international conference of this type once
every two years somewhere in the world should be
encouraged in IST’s view. The papers given in JSSE’s
conference are listed below – not all were from results
generated in the very recent past, but nonetheless,
all papers were well received, and I look forward to
attending the next conference of this type. Since this
conference was in Japan, perhaps the next should be in
Europe, USA, China or India. It will be easier to attract
good papers and an audience if these conferences are in
a different continent every two years.
Title
Author
Country
Review on the Residual Stress in Through the Course of Manufacture
Technique for Cold Formed Coil Spring.
Prof. Renzhi Wang
(Institute of Aeronautical Materials)
China
On Estimation of Probability Distribution for Fatigue Crack Growth Life
(Data Selection considering Thickness and Stress Intensity Level).
Prof. Seon-Jin Kim, Sung-Hwan Yoon
(Pukyong National University)
Korea
Improvement of fatigue limit by shot peening for spring steel specimens
containing an artificial surface defect.
Associate Prof. Koji Takahashi et al
(Yokohama National University)
Japan
Simplified Stress Calculation Method for Helical Spring.
JSSE Research Committee
Japan
Suspension Coil Spring and Rubber Insulations:
Towards a Methodology of a Global Design.
Michel Langa
(Allevard Rejna Autosuspensions)
France
Reverse Engineering based Coil Spring design Method
Shinichi Nishizawa
(NHK International Corp).
US
Effect of Prestressing on the Fatigue Performance of Compression
Springs
Mark P Hayes
(Institute of Spring Technology)
UK
State of the Art Methodologies for Numerical Spring Design
Prof. Ulf Kletzin, Mathias Weiss
(Technical University Ilmenau)
Germany
Recent developments in stress peening of coil springs and practical
applications in Germany
Prof. Eckehard Mueller
(Bochum University of Applied Science)
Germany
Environmentally friendly coating material for the spring industry
Daniel F Pierre III
(JN Machinery Corporation)
US
Study on Predicting Formula for Torsional Fatigue Strength of Spring
Steel – Effect of Environment, Notch and Hardness
Masami Wakita, et. Al
(Chuo Spring Co Ltd)
Japan
Rapid Stress Relief and Tempering : process description
Mario Grenier (Pyromaitre Inc)
Canada
Vibration Isolation System Using Bellows-Type Actuator Stacked with
Permanent Magnet and Electromagnet under Disturbance Cancellation
Control
Prof. Kosuke Nagaya, et. Al
(Gunma University)
Japan
Recent Findings to the fatigue Properties of Helical Springs
Dr. –Ing. Bruno Kaiser, et al
(Darmstadt University of Technology)
Germany
Bellows-type Springs for Robotics
Prof. Emeritus, James F. Wilson (Duke University)
Prof. Norio Inou (Tokyo Institute of Technology)
US
Checkpoint
Business Tips
From Phil Perry
Hiring Immigrants:
Navigating a Changing
Legal Landscape
By Phillip M. Perry
mmigrants have long been important drivers for the
nation’s productivity, and the springmaking industry is a case in point. At Stanley Spring & Stamping,
for example, immigrants comprise some 60 percent
of the work force. “We are a melting pot, with our
employees representing all walks of life and coming
from Asia, Europe, Mexico and South America,” says
company president Reb Banas.
Today, though, employers need to tread more
carefully over what has become rougher legal terrain.
As the nation’s headlines attest, employers can be
hit with stiff penalties when errors are made hiring
workers from other nations who are in the United
States temporarily or permanently.
Federal regulations are tightening up in ways
that target employers of undocumented workers.
Furthermore, state and municipal governments are
creating a confusing patchwork of laws that penalize
employers who hire undocumented foreign nationals, following the failure of Congress last summer to
pass comprehensive immigration reform. In 2007,
state lawmakers considered more than 1,560 bills
related to immigration and enacted 244 of them in 46
states, according to the National Conference of State
Legislatures. That pace was triple the previous year
and the NCSL expects more such activity in 2008.
(The organization’s complete report is available at
www.ncsl.org).
I
Check and double check
No wonder employers are taking a new look at
their hiring procedures. “We are a lot more careful
today than we were five years ago,” says Mark Scarborough, vice president and manufacturing manager
Phillip M. Perry is an award-winning journalist specializing in the fields of business
management and law. Over the past 20
years, his byline has appeared more than
3,000 times in publications such as World
Trade, Business, Corporate Risk Management,
Human Resource Executive and The Legal
Times of Washington. Readers may contact
him by fax at (212) 226-5580 or e-mail at
[email protected].
Federal regulations are tightening up in ways that
target employers of undocumented workers.
Furthermore, state and municipal governments are
creating a confusing patchwork of laws that penalize
employers who hire undocumented foreign nationals
at Houston-based Suhm Spring Works, where first
generation immigrants make up some 25 percent
of the work force. “We are going out of our way to
assure that all the proper documents are in line. If
there is anything that is not matching up we start
asking questions.”
The paperwork effort is an extra burden on companies already strapped for time. Some wonder if the
government effort is not misdirected. “We feel like the
government is putting more of the responsibility on
us as employers than ever and we really don’t like
it,” says Scarborough. “It’s not really our job to keep
people from entering this country illegally. That’s
something the government should be doing.”
Immigration law attorneys say that discontent is
common. “Employers feel an unreasonable burden is
being placed on their shoulders to control undocumented employees,” says Carlina Tapia-Ruano,
partner at Chicago-based Tapia-Ruano & Gunn, an
immigration law firm (www.trgpc.com).
Tougher No-match Rules
The U.S. Social Security Administration (SSA)
has long been in the practice of sending “no match”
letters to employers when workers’ names and social
security numbers on W-2 forms do not match the
SSA records. In the past, employers had never been
sure what to do after receiving these letters. Should a
worker who cannot reconcile the discrepancy be fired?
“In many cases employers have kept the employees
on board, fearing that a termination decision based
Verify eligibility
Whatever your state, you are subject to federal regulations which require you to verify the
employment eligibility of anyone
you hire. “Every individual, once
hired, must be asked for documents that prove their identity and
their work authorization,” cautions
Tapia-Ruano. “The employer must
have each hired individual fill out
an I-9 form, titled “Employment
Eligibility Verification,” issued by
the U.S. Citizen and Immigration
Services (USCIS), a division of the
Department of Homeland Security
(DHS). (To avoid any appearance
of discrimination, the law requires
that you have individuals complete
this form only after being hired, not
during the recruitment process.)
One way to reduce the paperwork burden is to hire through
Wire Products:
temp agencies that are responsible
• Chrome Silicon
for assuring adequate documenta• Tempered
tion. That’s the approach at Stanley
• Music
Spring where nearly all new-hires
• Shaped
come from agencies that typically
• Hard Drawn
allow the company to permanently
• Plated
hire an individual after 60 to 90
• Rocket
Mount Joy Wire Corporation is a
days of work. While Stanley Spring
• Low Carbon
manufacturer of high quality spring wire
must also do its own employment
used in a variety of applications. Our proven
screening when it decides to hire an
Capabilities:
track record coupled with expert technical
employee full time, the task is much
• 100% Chemical Cleaning
support and manufacturing versatility
• Lead Patenting
easier since the temp agencies have
continues to make us invaluable to our
• Spheroidize Annealing
already laid the groundwork and
customers. Mount Joy Wire’s capabilities
• Oil Tempering
the individuals already know what
are unmatched in the industry, so contact us
• Electro Galvanizing
paperwork to provide.
and see how we can help with your next
• Tinning
On a related note, the challenge
spring wire application.
• Sizes down to .002”
of checking documentation is also
lessened because the average
tenure of Stanley’s employees is
over 20 years. The minimal personnel turnover means that the
company does not have to vet a large
You are never far from our wire.
number of new hires every year.
Mount Joy, PA 17552 • Tel. 717-653-1461 • Toll Free 800-321-2305 • Fax 717-653-6144
www.mjwire.com
ISO 9000 registered company
The employer who fails to carry out the defined
steps risks being charged with ‘constructive
knowledge’ of the employment of workers who
lack the right to work. This would put the employer
in violation of immigration laws.
on a no-match letter might lead to charges of discrimination,” notes Angelo A. Paparelli, managing
partner of Paparelli & Partners, an immigration law
firm with offices in New York City and Irvine, Calif.
(www.entertheusa.com). “After all, there can be
legitimate reasons why a no-match occurs. A female
employee might have gotten married, for example,
and changed her name to her husband’s without
notifying the social security administration. Or the
social security administration could have misspelled
the name.”
Indeed, the Web site of the U.S. Immigration and
Customs Enforcement division of the Department
of Homeland Security states that “an employer who
takes action against an employee based on nothing
more substantial than a mismatch letter may, in
fact, violate the law.”
Times, though, are changing. Today’s employers
face more severe fines for hiring illegal immigrants
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and there is a general national mood shift against
undocumented foreign nationals. Many observers,
therefore, are concerned that employers will opt to
risk discrimination lawsuits over the federal government’s civil and criminal penalties for employment
of undocumented workers. “The fear is that many
people will be terminated based on foreign appearance and name,” notes Paparelli.
As partial mitigation for this problem, in August
of 2007 the Department of Homeland Security issued
new regulations intended to clarify matters while providing a “safe harbor” for employers who hire foreign
nationals. The regulations define what steps employers must take within what time frames to avoid legal
liability for hiring undocumented workers.
While the safe harbor regulations were intended
to reduce ambiguity, they carry their own heightened
risk of financial penalty. “The procedures defined
in the rules are not really voluntary,” cautions
Paparelli. “The employer who fails to carry out the
defined steps risks being charged with ‘constructive
knowledge’ of the employment of workers who lack
the right to work. This would put the employer in
violation of immigration laws.”
Late in 2007, a federal court issued a preliminary injunction barring implementation of the safe
harbor regulations, citing among other reasons a
high incidence of errors in the government’s social
security database, a condition which would lead to
the required termination of many individuals who
were in fact in the country legally. However, the
reprieve is expected to be short lived. “We’re currently
seeing what we can do to address the concerns that
the judge entered in order to see whether we can get
the injunction lifted, and then go forward with this
regulation,” Homeland Security Secretary Michael
Chertoff recently told Congress.
Employers, then, must prepare for implementation. “Employers would be remiss to fall back on
their due diligence and security if they think the
injunction will cause the problem to be put on the
back burner,” says Paparelli. “Employers should
use this respite to adjust any employment-related
immigration policies that need correcting.”
Stay Informed
The bottom line is that employers have entered
a riskier legal terrain. The new system seems to put
employers in the unaccustomed role of FBI agents, a
position for which they feel unqualified. “It’s a little
scary because I think at some point they may try to
put all the blame on the employer if someone has not
provided valid documentation,” says Suhm Spring’s
Scarborough. Like other employers, he feels innocent
mistakes should be recognized as just that. “If you
knowingly hire illegal immigrants, that’s one thing.
But if you adhere to the guidelines and follow the
steps in the collection and processing of documentation and you don’t pick up on falsified documents or
conflicting records, you shouldn’t be penalized.”
If more is expected of the employer than ever
before, it only highlights the need to maintain vigilance in hiring procedures. As the face of America’s
work force changes employers can be sure there
will be additional changes in federal, state and local
regulations. To stay abreast of developments in this
area visit the Wweb site of the U.S. Immigration and
Custom Enforcement at www.ice.gov. ◆
Getting Help
Employers needing legal assistance on the topic of
immigration can find attorneys in resources such as these:
The Academy of Business Immigration Lawyers
(www.abil.org).
The American Immigration Lawyers Association
(www.aila.org).
FindLaw. Categorizes attorneys by legal issue, including
immigration law. (http://lawyers.findlaw.com).
Correction:
In the 75th Anniversary Edition, charter companies that
had formed the foundation for the inception of SMI were
profiled. Inadvertently, one company had been omitted
and for this we apologize and include the following.
MW Industries Inc. (Muehlhausen Spring),
Logansport, IN, headquarters
Daniel R. Sebastian, president
Founded in 1928, Muehlhausen Spring
started out serving the automotive, agriculture
and heavy equipment industries. In 1948, the
Muehlhausens sold the company to Rockwell
Standard. Then in 1990, it was sold to a private
equity investors group. By 1995, MW Industries,
together with its management team, made the
acquisition and invested in the business.
Today, the company employs 965 people
across 12 operating divisions in Logansport, IN;
Chicago, IL; Houston, TX; Wayne, PA; Columbus, OH; Baltimore, MD; Fairfield, NJ; Los
Angeles, CA; Elk Grove Village, IL; Flemington,
NJ; Plainville, CT; and Greer, SC. In addition to
automotive, agriculture and heavy equipment,
MW today also supplies parts to the electronic,
heavy truck, medical and aerospace industries.
Factors for success: Focus on quality, service
and continuous improvement, while employing
solid management fundamentals.
Succession planning tips: Stay focused on the
basic business fundamentals, and know when
to enter and exit the business.
What SMI means: The association has been an
integral part of our business growth. By networking with the other member companies and using
the technical information available, we have
become much stronger than a single, independent
company.
On a personal level, SMI has allowed me to
gain valuable business relationships. It has also
offered me the opportunity to give back to the
industry that has been good to me.
Advice for the next generation: Be part of SMI.
You will get a lot out of it, and it will help make
you a stronger company, which will help you
protect the jobs of your employees. ◆
Spotlight
Spring Essentials (for the rest of us) Part XV
Torsion Springs – a little primer
on the
Shop Floor
By Randy DeFord, Mid-West Spring & Stamping
n the world of springs, one type stands out as the
answer to many applications. As with any mechanical device, it has its uses — and its limits. I’m talking
about the one and only “torsion” spring.
The word “torsion” implies something that twists
or rotates — circular motion. Unlike a compression spring that is pushed, or an extension spring
that is pulled, a torsion spring rotates as forces are
applied.
Most torsion spring applications require the
spring to be preloaded in some sort of assembly,
and then rotate to create a torque that will provide
resistance (such as with an accelerator pedal) or
provide a return force (as with the deck guard on
your riding mower). They are also used to control and
curb the forces of gravity for things such as trailer
doors, dishwasher and oven doors, or to bring that
hinged door back in place after you grab the next to
last newspaper from the dispenser. Another popular
use for torsion springs is the constant force needed
to gently raise and lower garage- type doors of all
sizes and weights. Although extension springs can
be used for this use, torsion springs provide low
spring rates and do a better job of keeping heavy
doors from rocking back and forth during their travel
up and down.
Torsion springs consist of a coiled body with legs
extending from either end. The legs can be straight or
formed into any number of shapes to accommodate
the assembly. Torsion springs can be formed with
the coils either closed, or open. If the coils are closed,
there is the chance that initial tension (the force that
I
Randy DeFord is the engineering manager
at Mid-West Spring & Stamping in
Mentone, IN.
He has 30-plus years in the spring
industry, and believes that educating both
customers and associates is the key to
great customer service.
Readers may contact him by e-mail at
[email protected] or by phone at
(574) 353-7611.
holds coils together) may cause some binding and
rubbing. For this reason, torsion springs are many
times coiled with the coils open.
The typical application of torsion springs is for
one leg to be held in place and the other will move
to provide the force. But, when torsion springs are
engaged, they are changing their shape. As the
spring rotates, the body diameter decreases and
the free length increases. The farther the spring is
rotated, the I.D. continues to get smaller and the
free length continues to get longer. This means the
movement of the spring must be known completely
for an engineer to calculate what I.D. and free length
will result. If the free length grows too much, the
spring could bind and cause the assembly to fail,
or break other parts of the mechanism. The same
applies to the I.D. If the torsion spring has a long
free length, it may need to be guided over a shaft
or stud to keep it in line. If the I.D. decreases too
much, it will wrap around the shaft and lock up.
This can destroy the mechanism and total failure
of the product.
However, there are also applications where the
binding of a torsion spring is a good thing. This is the
case for “clutch” springs. Clutch springs are torsion
springs that purposely grab and hold a shaft to keep
it from moving. This is useful to engage drive shafts
and put machinery in motion. Another clutch application is for devices such as aircraft and automobile
seating that require precision torsion clutch springs
to allow seats to come forward or backward, and then
stay in place when the spring wraps its I.D. tightly
around the shaft. In many cases, the wire is square
instead of round on clutch springs to increase the
“gripping” area. If round wire is used, only a small
surface is touching the shaft, whereas square wire
greatly increases the gripping area and force. ◆
Be
Aware
What is Your Safety
Program Costing You?
Safety Tips
from Jim Wood
hat a good safety program cost a lot of money is
a misconception. With a good safety committee,
employee training and commitment, your safety
program can actually be a profit center for your
company.
Lost workday accidents can be very costly.
Workers’ compensation has become a major operating expense, and that is just the tip of the iceberg
when analyzing the cost of an accident. Hidden
costs, such as lost production, late deliveries, spoiled
product, schedule adjustments and lower work force
moral, can cost far more than the obvious fixed
costs. Studies have shown that the obvious fixed
cost of an accident can be more than doubled when
figuring the total cost. Did you know that a typical
carpal tunnel illness can cost over $30,000? Safety
programs can vary from company to company, but
they all have the same goal – to eliminate accidents.
The most successful programs are built around
employee training.
T
Why do you train?
The real goal of training is not training, the real
goal is learning. Unfortunately, this is what frequently happens: Trainers tell stories of training that
didn’t work, production workers making the same
mistakes, workers who refuse to wear the proper
personal protective equipment, and supervisors who
over-appraise and under-counsel the workers. Make
sure this doesn’t happen in your company. Instead,
train to the need.
Jim Wood is an independent regulations compliance consultant.
A certified instructor of the OSHA
Out-Reach Program, Wood conducts
seminars, plant Safety Audits and InHouse Safety Training. These programs
help companies create safer work
environments, limit OSHA/Canadian
Ministry of Labor violations and insurance costs, and prepare for VPP or
SHARP certification.
Training is needed when there is a lack of appropriate knowledge, skills and/or attitudes. Once it
is determined that a potential problem exists, the
training must be directed to the need.
Motivation/Incentive
Many companies tie an incentive program in
with a good safety program. There can be bonuses
or contest prizes. Awards programs are a way for
management to demonstrate to employees that they
are pleased with their performance. It also shows
management support and involvement with safe
work behavior.
Four Simple Rules for Creating an
Incentive Program
1. Keep it simple. Reward employees based
on injury-free days. Do not include minor first aid
where a doctor’s services are not required.
2. Make the reward desirable. Get some
input on this from your employees. Remember, it
is better if many people get a more modest prize
than one person getting a super prize.
3. Make the reward attainable. A large reward
at the end of an accident free year is nice, but
without incremental rewards along the way, the
reward seems so distant that day-to-day awareness is limited.
4. Tie the reward to something over which
employees have control. If you neglect to do this,
employees will become frustrated when they feel
that the incentive really is not a measure of their
performance.
The Bottom Line
An incentive program can actually save money.
The plan does not have to be expensive. Most well
thought out plans more than pay for themselves
after just a few months. Even a minor lost workday
accident can cost thousands of dollars.
Remember, an incentive program alone does not
make a good safety program; it is simply an aid.
A good safety program needs:
• Management commitment
• Employee involvement
• Worksite analysis
• Hazard prevention and control
• Safety and health training
Jim Wood recently set up his own independent
safety consulting firm. For years, Jim provided SMI
members with OSHA related guidance and we wish
him the best in his new endeavors. He remains
available for consulting so email him at jimwoodscs@
att.net or call him at 720/587-7731.
Regulatory Tip:
Springmakers should consider states’ OSHA
Consultation Programs.
All states have voluntary protection programs.
States’ programs may have different names such as:
VPP, SHARP, Star, etc., but they all have the same
benefits for the manufacturer. State consultation is
sponsored by OSHA but is not part of OSHA. They
are operated by a state’s Department of Labor, state
universities, the Department of Commerce or the
Department of Human Resources. Once you have
been certified in your state’s program, you will not
only have a safer more profitable company, but you
will be exempt from OSHA programmed inspections.
And, did we mention, the consultation is free?
Need assistance in the regulatory or safety
arena? Give SMI a call at 630/495-8588 to arrange
an on-site audit or training event. ◆
A COMPREHENSIVE PREMIUM RESOURCE
Our goal is to support your spring manufacturing business with the highest quality,
best performing strip in the industry. We have engineered our facility to far exceed
industry standards and to provide the best product and service possible. With our
mill facility in Dartmouth, Massachusetts, we offer a supply chain that sets us apart
and insures continuity of supply and quality to you. Our commitment to excellence
begins with our employees, our processing equipment and the materials we produce.
Our focus and customer service is what sets us apart.
Zapp Precision Strip, Inc.
East Coast Service Center, 100 Benton Street
Stratford, CT 06615, Phone 203 386-0038, Fax 203 502-6681
[email protected], www.zapp.com
zp222_193x263_rz.indd 1
14.02.2008 14:35:58 Uhr
How Do Temperature Controllers
Really Control Temperature?
There are several misconceptions on what these controllers actually do
By Daniel Pierre III, JN Machinery Corp.
very oven, whether it’s a lab oven, box oven, or
conveyor oven, uses at least one temperature
controller as a means to indicate the amount of heat
you want to transfer to an object. Most oven operators set them to a desired temperature and then
walk away, trusting the temperature controller to
do its job. They are really easy to operate and use.
Yet, this hard-working component remains one of
the most misunderstood--and sometimes misused—
electrical device.
The most basic temperature controller (TC)
requires five wire leads to function; two for electrical power, two for a thermocouple, and one output
signal. Electrical leads are obvious and need no
further mention. The two thermocouple leads terminate inside the heat chamber where the actual
temperature measurement takes place. Unlike general electrical wire, thermocouple wires are special
materials and must remain carefully shielded until
the very tip is exposed to heat. Most TCs have a
schematic that shows “+” and “-” to designate where
to attach the thermocouple wire. If you ever need
to install a TC, be careful not to attach the electrical leads here, or you will fry the controller and
E
Attach thermocouple leads to 4&5; electrical leads to 9&10.
perhaps any other components currently attached
to it. The final wire lead contains the output signal.
This signal tells the oven when to supply heat and
when to stop.
There are several types of TCs and oven makers
will use controllers that contain most of the functions they believe their ovens will be used for. (For
unique applications, any TC can be swapped in to
perform a special function.) TCs are factory programmed to general specifications, but individual
parameters can be changed by the user if needed.
For example, you can change the display to read “°F”
or “°C”, or you can choose between PID and On/Off
control. With PID control, the TC senses the direction and rate of change of temperature and activates
the elements to minimize the deviation from the set
temperature. The advantage of PID is the variation
from the set temperature is usually ½ that of On/
Off control. The disadvantage of PID is the start up
time to reach the set temperature is considerably
longer than when using On/Off.
An important, but unchangeable, parameter is
the type of thermocouple to be used in the oven.
There are half a dozen types of thermocouples, but
most common are “J” and “K” types. J-thermocouples
are more accurate and faster reacting in temperature
ranges up to about 1100°F. K-thermocouples are
generally used above 1100°F. Remember that most
TCs can not switch between J and K thermocouple
types, so if you are changing a TC, make sure you
know the correct type.
Here is the first misconception about TCs. What
does the temperature reading on the display really
mean? If you answer, “It’s the temperature of the oven
and my parts will heat to that temperature,” you will
be correct only part of the time. (In a small lab oven
you would mostly be correct.) The heat chamber in
larger box ovens and open-ended conveyor ovens will
be at several temperatures in
different parts of the chamber.
Since heat naturally rises, it
creates higher temperatures
in the upper portion of the
chamber. This is one reason
why these kinds of ovens use
forced air circulation; to help
equalize the temperature
inside the chamber. Specifically, the display reading is
the temperature ONLY at
the tip of the thermocouple.
This is an important point to
remember when accuracy of
oven temperatures and ISO
certification is required as you will see later.
Another misconception about TCs relates to the
alarm function. Alarms are an optional output from
a TC and would be considered the sixth wire lead.
If you set the alarm to “10”, then a signal will be
generated whenever the TC detects a temperature
10 degrees higher or 10 degrees lower than the
Set Temperature. (TC programming enables the
signal to be interpreted as “good” (green light) or
“bad” (red light)—and fancier signals can be further
programmed in). The misconception arises when
one thinks that by setting the alarm to 10, then
the oven will operate in a range of +/- 10 degrees.
Thus, if you set the alarm to a smaller value, then
the oven temperature range will be even smaller!
Unfortunately, this is not true. The alarm only signals when the temperature has deviated by your set
value; it does not do anything to actually regulate
the temperature any better. Since setting the alarm
to a smaller number doesn’t affect the oven, let me
caution you against setting the alarm to two, one or
zero. TCs can malfunction if set so low because the
value is used in internal calculations and the small
value can cause calculation errors.
We have now seen that the temperature displayed on the TC may not be the actual oven
temperature, and that setting the alarm to a low
number does not improve oven performance. If this
is the case, then how do you know if your oven is
functioning well at all? Can you really “certify an
oven”? ISO organizations seem to think so, but they
leave it to individual companies to determine their
own definition of “certification”. Technically, you
are certifying that the oven’s TC has been calibrated
to a known measurement instrument. The word
“calibration” leads to a third misconception about
TCs. Calibration refers to taking official note of the
difference in temperature readings of your TC vs a
known device (which, by the way, was also recently
calibrated against another known device). Calibra-
tion is not any sort of fine-tuning to get your TC
to function more accurately. Small differences are
normal, but big differences can indicate a problem
with the TC or the thermocouple. If you use a popout style TC you can quickly swap in a different TC
to see if there is a noticeable improvement. In some
cases, the cause lies with the thermocouple such
as if there is a build-up of carbon on its tip, thus
preventing an accurate temperature reading. More
likely, the cause is when parts jam-up in the oven
and the thermocouple gets knocked out of position
and perhaps the tip gets moved into the insulation.
Since thermocouples take a lot of abuse and must
operate at high temperatures, it is generally recommended to change them every 12 months.
Larger ovens, and especially those with high heat
output, will utilize a separate TC as a safety measure
against the oven becoming
too hot. While the “Over
Temperature” TC model may
be the exact same as the
regular TC, it must be programmed to only On/Off mode and requires a higher
Set Temperature of 50~100 degrees. If both the
regular TC and Over Temperature TCs are set to the
same temperature, then as soon as the oven reaches
the set temperature, the Over Temperature TC will
shut the oven down. The Over Temperature TC’s only
function is to cut power to the heating system in
case the over temperature setting has been reached.
If you try swapping in an Over Temperature TC to
check a questionable TC, make sure you reset the
parameters to those of the regular TC. Also, do not
forget to set the Over Temperature TC to at least 50
degrees higher than the other TCs.
Higher-end TCs will contain many additional
options and control functions that general stress
relief does not need. However, some increasingly
common features include Chart Recording and
sending temperature data directly to a computer. If
you need advanced or special functions, check first
if your current TC already has them. As for your
current TCs, the “set it and forget it” attitude is perfectly OK as long as you keep in mind what you are
actually measuring and understand the important
relationship it has with the thermocouple.
One final word about TCs. Although they do
their job to regulate temperature, a TC only knows
what is happening at the tip of the thermocouple.
In a lab or box oven, your further concerns are
minimal. However, in a conveyor oven, there are
external factors that also affect the stability of heat
in the chamber. In clamshell ovens, make sure the
entire seal between the top and bottom shells is
intact. More importantly, the curtains on each end
are what hold in much of the heat and this greatly
assists the TC to maintain stable temperatures. So,
if you really want to “set it and forget” your TC, help
it out by maintaining your oven curtains. ◆
Daniel Pierre III is president of JN Machinery
Corp. in Bensenville, IL. Readers may contact
him by e-mail at [email protected] or
phone at (630) 860-2646.
Ronald E. “Reb” Banas
President of Stanley Spring & Stamping, Chicago, IL
By Rita Kaufman, CAE
s SMI celebrates its 75th anniversary and we reminisce about the
“good old days” of the North American
spring industry’s development and
growth, we also look to the future. Technology has changed the way in which
we do business and will continue to do
so. It has simplified operations: information is transferred instantly among
companies worldwide; machinery runs
unattended; and people can communicate to anyone, anywhere at any time.
Today, customers aren’t only down the
street; they’re also across the globe.
However, even as we surround ourselves
with devices that streamline our businesses and our lives, time becomes an
increasingly precious commodity as we
do more with less in the race to remain
competitive.
For Reb Banas, president of StanReb Banas with his wife Megan, and children (from left): Blake (6 yrs), Reb Jr. (8),
ley Spring & Stamping in Chicago, IL,
Madison (10), and Ryan (2).
remaining competitive requires more
than leveraging technology, it also requires in-person to be all things. We can do what we do best, and call
interaction to form solid relationships. Sound on the people we’ve come to know and trust in the
old-fashioned? Quite the contrary, says Reb; rela- industry to capitalize on their niche or specialty.”
tionships — not only with customers but also with
Stanley Spring & Stamping serves a diverse
other springmakers — are more important today customer base, including domestic OEMs, consumer
than ever before.
appliances, lighting, electrical, outdoor power equip“Ten to 20 years ago, springmakers held each ment and leisure industries. The Company today
other at arm’s length,” says Reb. “But I don’t see manufactures more stampings than springs, but Reb
other springmakers as a threat; I see them as a takes the time to remain active in SMI because of
resource. My approach is, ‘We can’t do all things the relationships formed there. “The more I become
for all customers, so let’s get together and beat the involved, the more I learn about and use all of the
offshore competition and strengthen our domestic various resources SMI offers the spring industry.”
industry so we all have a future.’ ”
he says.
Through friendships formed through SMI meetFrom its beginnings, relationships have been
ings and industry events, Reb – and his father, Ron, the cornerstone of the Stanley Spring & Stampbefore him – has created a network of resources ing business. Founded by Stanley J. Banas, Reb’s
Stanley Spring uses to better serve customers. “Cus- grandfather, in February 1944 on Fulton St. in
tomers like it because they only have to deal with Chicago, Stanley Spring and Stamping purchased
one vendor; we like it because we don’t have to try its current facilities on Foster Ave. in Chicago from
A
Dow Chemical-Plastic Division
When he’s not busy leading
...remaining competitive requires
(which, ironically, shut down
Stanley Spring & Stamping or
more than leveraging technology,
just before the hula hoop craze
SMI, Reb is on the golf course
it also requires in-person interaction
hit). In the 1950s, the country’s
or with his wife, Megan, and
newfound love of television
children – whether it’s on the
to form solid relationships.
fueled the company’s busibeach, riding bikes or playing
Sound old-fashioned?
ness, accounting for roughly
in the backyard. The children
Quite the contrary, says Reb;
70 percent of its production.
— Madison, Reb Jr., Blake and
T rampolines were another
Ryan — are active in swimming,
relationships – not only with
trend the company capitalized
tennis, golf, soccer, baseball,
customers but also with other
on back then. “We couldn’t
softball, paddle tennis and basspringmakers – are more important
make the springs fast enough,”
ketball with their father serving
recalls Ron, Reb’s father.
on the coaching staff. Reb and
today than ever before.
Stanley Banas eventually
Reb Jr. attend every Bears
passed the business down to
game together with Adrienne,
his sons, Stan and Ron, who grew the business. Reb’s mother and other siblings. In addition, Reb
From the seed of an idea, and good relations with enjoys attending Cubs, Sox, Bulls and Notre Dame
some customers and a key employee, a second facil- games, plus he keeps in touch with his buddies from
ity, Stanron Steel Specialties in Ft. Lauderdale, FL, Southern Methodist University. “It’s rare when I’m
was born in 1975 by Ron Banas. Stanron initially home alone and nothing is scheduled,” says Reb. But
served a mimeograph machine manufacturer and when it happens, I get to appreciate the quiet time.”
a major electronics company. Today, Stanron speEven among his neighbors, Reb is the “go-to”
cializes in short runs and prototypes, and features guy. “I’m known as Schneider around the neigborstate-of-the-art automation.
hood because I help them fix things.” Jokingly,
Leveraging technology, the two operations have Reb says the nickname isn’t a reflection of his own
grown over the years and with fewer employees. handyman abilities, but rather an indication of his
The company has gone from over 200 employees in neighbors’ lack of skills. In actuality, it’s just another
Chicago alone to 130 employees between the two example of Reb’s generous nature and ability to
facilities.
connect with others. ◆
“Perhaps it’s precisely because we’re spread so
thin doing more with less, and time has become
so precious, that relationships have become more
important than ever,” says Reb.
“You’ve got to value your time and commit it
wisely. When you volunteer for something, whether
it’s at SMI or your kid’s school, you have to make
sure you have the time to do the job; it’s not just
about notoriety. It’s about investing in yourself,
your community or your business.”
For SMI, Reb explains he would “like to see us
provide more opportunities to interface with each
other.” This would consist of regional and national
events, supplemented by a greater level of electronic
interchange. “It’s important to do both in-person
and electronic activities to give members options
and opportunities,” says Reb. “Most work is done
electronically these days. It’s convenient for many
people, and it can facilitate exchange and interaction. However. it’s still not a substitute for meeting
face-to-face.”
Beyond springmakers and associate members,
Reb would like to see SMI reach out to wire forming and metal stamping companies. “We can work
with other ‘sister’ industries to our mutual benefit,”
says Reb.
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European Costing Acrobatics
How springmakers deal with variable costs, market demands and pricing pressures
By Wallie Dayal
I
n the not-too-distant past, Europeans often cringed when Americans abruptly ended a meeting
with the phrase, “time is money.” They preferred a slower, more personal pace of doing business
and were quite willing to sacrifice the cost factor of time. No longer. The global marketplace
demands a relentless tempo for every participant.
Springmakers who were slow in eliminating waste, automating and streamlining operations are no
longer in business. Sadly, the disappearance of the family farm, the family firm and the mom-and-pop
grocery store has shown springmakers the underlying trends and cost drivers of globalization. But the
brave remain undaunted, they focus on finding their niche, practice flexibility and continue to thrive,
as the following contributions from the United Kingdom, Denmark, Germany and Austria show.
Bruce Clark, managing director
protection costs. But these cost
Central Springs & Pressings Ltd.
advantages for springmakers are
“We cost out every ingredient
Redditch, Worcestershire, UK
temporary. Already, Chinese labor
and labor step required for
Central Springs & Pressings
costs are rising and pollution condesigns and manufactures diverse
trol, even if only in preparation
producing a customer’s order
high-quality, specialized springs,
of the Olympics, is beginning to
before we submit our quote.
rings, pins, washers, clips and flat
claim resources. Still, emerging
metal components primarily for
economies will soon attain compaThis includes overhead costs,
the aerospace, automotive, pharrable quality and productivity per
such as rising energy costs and
maceutical and marine industries.
man hour. Clark envisions that
It employs 22 people and genthe People’s Republic of China will
employee benefit costs, and a
erates $2.1 million in revenue,
evolve quality springmaking capasmall allowance for extraordisupplying springs to the UK, and
bilities for its home markets and
exporting to Africa, Central and
for some international markets
nary costs to ensure that each
Eastern Europe, North and South
in the foreseeable future. In open
job has a profit margin...” ~
America, and India.
world markets, this will intensify
“We cost out every ingredicompetition, and springmakers
Bruce Clark
ent and labor step required for
will have to compete to the best
producing a customer’s order
of their ability. For the present,
before we submit our quote. This
it might be best to concentrate
includes overhead costs, such as rising energy costs on the silver lining of the current world market:
and employee benefit costs, and a small allowance Chinese and other emerging nations may find it diffor extraordinary costs to ensure that each job has ficult to generate a profit on small or medium order
a profit margin, even if an occasional batch of raw quantities, as they tend to concentrate on mass
material or a faulty production batch has to be production. But within a few decades, this relative
rejected,” says Bruce Clark.
Western advantage may be history as well.
Rising material costs have forced Central Springs
to increase prices, and other UK springmakers
appear to have done likewise. Customers did not
like these additional costs, but most accepted small
price increases. Some reacted with full-scale evaluations of their supplier relationships and explored
PRODUCTS:
potential alternative spring suppliers. In a few
cases, Central Springs lost business because the
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batches, proximity or the ability to transact business
in local currency.
3051 Penn Ave.
As a rule, Central Springs buys its wire or strip
Hatfield, PA
as needed, because storing inventory is too expen19440
sive, and purchasing the minimum quantity required
215-721-9449
(phone)
for immediate production produces the best cost/
benefit relationship. Its cost-efficient shop floor oper215-721-4149
(fax)
ation is supported by a finely honed communication
system with its customers. The system interprets a
www.nelsonsteelprod.com
customer’s order information and communicates it
[email protected]
directly, promptly and correctly to the appropriate
Established in 1979,
employee. This speeds up processing time and keeps
ISO 9001:2000 Registered Co.
Nelson Steel Products, Inc.
organization and planning time at a minimum.
is a manufacturer of round,
flat and shaped wire. Top
By assuming relatively equal raw material costs
Highest priority is given to achieving
priority is given to the
customer satisfaction through excelaround the world, Clark stipulates that, at present,
fulfillment of the needs of
lence in Quality, On-Time Delivery
production costs in developed economies differ from
and Price while providing Optimum
our customers.
Customer Service.
those in emerging economies only by lower labor
costs, taxation and the absence of environmental
As participants in the global marketplace, all
springmakers are subject to the same market forces.
The need for efficiency is one of these forces, as is the
inevitable elimination of excess capacity in its wake.
This will express itself in even more consolidation
and contraction of springmakers in the United Kingdom, which may present expansion opportunities
for others. It is a tough market, but Central Springs
scrutinizes every business opportunity carefully. It
refuses work that will not generate a profit. “If we
contract within a shrinking home market, the handwriting is on the wall: We will go broke, be acquired
or have to change what we do, perhaps even buy one
of our competitors,” says Clark.
It is most likely that the UK spring industry
will gravitate to small operations with high use of
information technology and machine tools. Clark
believes that only a handful of companies with more
than 100 employees will be making make springs
in the UK. Most springmakers will have between
10 and 35 employees. If they use exacting costing
methodologies, these companies will be profitable
by supplying a customer base that is skewed away
from high-volume manufacturing, such as automotive and consumer goods.
“While costing must be dealt with by every business, the greatest threat to springmaking in the UK
is another matter: the lack of young people who
are attracted to skilled and semi-skilled work. In
general, manufacturing is associated with low pay,
poor conditions, shabby pension arrangements, low
status and lack of advancement; and the UK educational system is failing. It represents one of the
largest barriers to the improvement of productivity
and creation of wealth. Added to that is a social
security system that removes any incentive for
advancement. But I have personally experienced that
people are willing to work very hard and conscientiously if they can improve their lot. Unfortunately,
government policies have broken the link between
hard work, achievement and financial reward in the
UK,” laments Clark.
Henrik Hagens, owner
Hagens-Fjedre
Støvring, Denmark
Henrik Hagens learned the spring business at
his late father Peter’s side, but for the last two years,
the joys and burdens of proprietorship have rested
squarely on his shoulders at this Danish spring
company that employs 120 people.
Hagens Fjedre is close to its customers and manages its material procurement based on customer
agreements. As a consequence, some customers
take advantage of material price
opportunities for growth and
fluctuations by requesting larger
participation for Europe. Develop“...the Chinese market is
purchases when prices are favorments in China should not only
able. Others focus on their own
be seen as a threat; I believe they
growing. That means more
businesses and are uninformed
also represent more opportunity,”
products that require springs
about raw material prices. Autosays Hagens.
matic price increases reflecting
will be produced. This offers
the higher cost of materials would
Joachim Ahle, owner
opportunities for growth and
not be accepted by the customGebrüder Ahle GmbH & Co.
ers of this Danish springmaker.
Lindlar, Germany
participation for Europe.
However, those customers who
In 2004, Ahle celebrated its
Developments in China should
are aware of the market prices
centennial. The springmaker
of raw materials are more easily
provides 140 jobs and generates
not only be seen as a threat;
persuaded to accept a price
revenues of $38 million.
I believe they also represent
increase.
Mind-boggling advances have
T rue to traditional high
taken
place since the company
more opportunity...”
Scandinavian ethical principles,
was founded in a goat stable
~ Henrick Hagens
Hagens-Fjedre prefers open-book
by the Ahle brothers. They saw
agreements with customers. In
opportunity: the new iron horse
such cases, customer and supwould need springs. In recent
plier are aware of all cost factors, and changing years, however, automotive customers seized opporraw material prices should be a moot point. Ah, if it tunities to put pressure on suppliers, and as a
were a perfect world, costs would be pinned down supplier to this industry, Ahle has long been under
once and stay put for a reasonable amount of time. constant pressure to decrease prices. At first, the
Unfortunately, variations are frequent, and Hagens company responded with aggressive productivity
does not always succeed in finding the correct cost- improvements, but the dramatic increase in steel
ing structure for every job.
The pressure on margins is relentless. Market
prices drive the price of springs down, yet springmakers must acquire costly new machinery to adapt
to market demands. This poses the formidable
competitive challenge of structuring costs in such
a way that the capital investments pays off, especially in an environment where it is already difficult
if not impossible to load spring costs with ordinary
overhead costs, such as health care. “But we are
in business to earn a profit, and we have had to
terminate our relationships with some customers
because they demanded prices that were so low, we
would not have earned anything. It might even have
cost us money to continue to supply springs to these
customers. Still, ending long-standing relationships
was very difficult,” says Hagens.
Hagens-Fjedre operates in small markets with
relatively local customers. This deflects the pressure
of Chinese competition, and Hagens-Fjedre does not
feel it as strongly as those who compete directly with
Chinese springmakers. In fact, Hagens believes that
many European spring customers are circumventing the quality and toxicity problems that are often
associated with Chinese products by buying local.
Most likely, this trend will continue.
“At the same time it’s positive that the Chinese
market is growing. That means more products
that require springs will be produced. This offers
prices intensified the situation. “We found ourselves
sandwiched between the customer and the supplier,” says Joachim Ahle, grandson of one of the
founders.
Nowadays, customers accept some passedthrough material cost increases, but not 100
percent. The big players are particularly hard-nosed.
Ahle says that, regrettably, Jose Ignacio Lopez de
Arriortua of GM and later VW was right when he
told suppliers, “You have to bleed some as well. It
is not costs that determine price; it is the other way
around.”
Unfortunately, most cost-saving possibilities in
the area of variable costs have long been exhausted.
Fixed costs and others, such as energy costs, are
gaining increasing significance. It is amazing that
some customers pretend to be deaf when the topic
of price increases is broached.
Ahle’s customers want financially transparent supplier relationships. Some demand detailed
information about the company’s cost structure in
a quotation-analysis form. But even if Ahle were
willing to provide every last detail, costs would not
be “transparent,” unless springmaker and customer
used the same costing method. That is never the
case. Cost structure is unique to a springmaker,
and Ahle uses marginal costing plus overhead allocations.
Before Ahle starts any price negotiation, the
company carefully calculates the prices it must
demand to stay in business. If a customer refuses
to agree, the company has only one alternative: It
must walk away; sometimes from contracts it had
already been awarded. Perhaps these customers are
willing to sacrifice quality and get cheaper product
elsewhere or from China.
Ahle has mixed feelings about China. At present,
it is not a threat to the company. On the contrary,
one of its large customers has been buying Ahle
springs for the last two years for its Chinese operation. But change is constant, and it is uncertain for
how long Ahle will continue to send springs to China.
Its customer is already working on an alternative
and has set up a Chinese springmaking facility.
But if it were easy to replace Ahle’s springs, the
Chinese orders would have stopped already. “There
is no doubt in my mind that competition from China
will be one of the key challenges of the future,” says
Ahle, “but at this point, they have not yet been able
to achieve our quality.”
Dr. Heinz, owner
orders of 10,000 to 500,000 pieces
Gerhard Wenzl GmbH
primarily for customers in the
“Fortunately, our major
Vienna, Austria
electrical and machine-building
Like the country of 7 million
industry. Naturally, this requires
customers demand not only
people in which it is located, the
highly skilled employees, capable
superior quality but also
Austrian spring industry is relaof frequently switching productively small, but Dr. Heinz’ spring
tion. But this also encourages
continued support for new
company is Austria’s largest and
designers to seek advice, and Dr.
products.This has put us in the
he is the resident expert. He runs
Heinz seeks to maintain ongoing
several operations overseeing 102
dialogue with them.
fortunate position in which our
employees, who generate over $10
In typical European fashion,
physical proximity has shielded
million in revenue.
quality is first and foremost on
Trade journals, professional
Heinz’ mind, and it turns out to
us from Chinese competition...”
associations and shop talk have
be a lucrative business proposi~ Dr. Heinz
made customers of Austrian-made
tion as well. Whether the price of a
springs as aware of rising material
spring for a machine costing EUR
prices as their springmakers, he
200,000 is EUR .15 or EUR 1.5 is
says. This allows springmakers to use flexible pric- not the decisive factor. The customer’s trust in the
ing to accommodate raw material cost increases and quality of the springs, and the service relationship
decreases to flow-through to larger customers.
with its supplier influence purchasing decisions
Each time a new machine is installed, the pric- much more. These are made in the interest of proing structure is re-evaluated. The same process tecting, in turn, the customer’s own reputation with
applies if other cost factors, such as energy, health its customers.
care or general overhead, rise significantly. The new
“Fortunately, our major customers demand not
pricing structure is then presented to the customer only superior quality but also continual support for
in convincing, fact-based arguments in the hope of new products. This has put us in the fortunate posipersuading him to accept the newly loaded prices.
If a customer refuses to accept the new price structure, even a long-standing customer relationship
has to come to its end, as a springmaking business
has no future if it does not turn a profit. “We try
our best to be more flexible in our pricing with our
smaller customers. After all, costing is a science,
while pricing is an art that is driven by strategy,”
says Dr. Heinz.
It is often argued that springmakers can save
money by having springs produced in China. Dr.
Heinz believes that to be a simplistic view, and he has
been evaluating the pros and cons of Chinese production for a decade. Spring production certificates
are required to accompany each delivery, as a customer will instantly know that the springs originated
in China. He will therefore insist on comparably
lower prices. Thus, should the carmaker have been
able to obtain quality springs at a made-in-China
price that is, for example, 60 percent lower, this cost
advantage would not bolster the springmaker’s profit
margin at all. On the contrary; mandatory European
open-book calculations would then reduce the permissible profit percentage.
Rather than focusing his efforts on being an
exclusive supplier to the spring-intensive automotive industry, Heinz’ client portfolio is well diversified
and relatively large. But the added administrative burden pays off. He produces relatively small
tion in which our physical proximity has shielded
us from Chinese competition,” says Heinz.
The purported Chinese advantage must also
overcome local capital and know-how requirements. Even if millions of springs were produced
cost-effectively in China, the implications of using
them would not necessarily be positive. While Heinz
concedes that springs can be made at lower costs
by changing physical dimensions and type of material, for example, quality may well be affected. He
would never apply a target costing method in which
a spring supplier derives spring costs based on what
the customer can afford and the market will bear.
“That’s an American thing,” he muses. “In Europe,
we sometimes snicker about the troubles of American space shuttles. A little more quality would go
a long way.”
Dr. Heinz also supplies springs for truck brakes
and trains. Any failure could be disastrous. That is
why every primary spring is backed up by a reserve
spring that picks up 90 percent of the spring load,
should a failure ever occur. To date, that has never
happened. Dr. Heinz is proud of the millions of
springs he has supplied without receiving any complaints.
“In the end, costing is just a part of business
strategy, and we apply old-fashioned fully loaded
costing. In today’s environment, business conditions
are similar for all springmakers, but each has to find
the strategy that suits his operation,” says Heinz.
Time will test each springmaker’s success
strategy and sustainability. One thing is certain:
The global economy, as well as its Oriental growth
engines, depends on springs. And the gap between
quality and low-cost mass production spells opportunity for those who have the vision, resolve, energy
and flexibility, anchored in the fundamentals of a
sound cost structure suitable to their specialty. ◆
Wallie Dayal is president of Dayal Resources Inc., a Chicagobased firm that helps initiate and support American-European
business. Readers may contact Dayal by Web site at
www.dayalresources.com
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HaldexGarphytan-SpringsMagAd_2.indd 1
2/14/08 8:59:14 AM
Value vs. Price
By Carol Caldwell
Century Spring/MW Industries
o, I walk into Wal-Marty (real name has been
changed to protect the innocent), ready to purchase
a sweater at a low price. And, not just any sweater.
It’s that one my coworker has on today…it’s
beautiful and she won’t give it to me! It is the luscious deep red color of cranberry. It has exactly
what I want: a soft “hand,” draping nicely from the
shoulders, it’s finely woven, with roomy sleeves,
and the collar, cuffs, and bottom edges beautifully
compliment the rest of the garment!
I know I want the best, I’m specific about what
I want, but I don’t want to pay much. Also, I do not
want to shop in an environment where the salesperson follows me around, trying to “sell me.” In and
out fast; that’s my mission – hence: Wal-Marty.
But am I truly informed about all the benefits
this sweater offers me? Do I really care? Do we really
know what we want, and how can we make informed
decisions without the expertise of another? These
are the opportunities a well-informed salesman
can help the customer realize: perceived cost and
received value.
S
I can just hear you saying, “But how do I overcome my customer’s objection to cost and turn their
heads toward value?”
While there are many ways to promote value over
cost, I have found success in a three-step process:
• Know your company and product.
• Have passion for your company and product.
• Know your audience (customer).
Know Your Company and Product
If you don’t know why your company is in business, then why are you even there? Get on the ball
or on the bus!
Learn everything you can about
your company. Know how your
company got its origin. Study its
history, and why your company
was created.
Learn about your company affiliations with other organizations and
any achievements that have been
recognized in your industry. The
purpose of knowing this information isn’t to blab it to your customer,
but rather to instill in you the pride
that comes with the acknowledgement of success… that you’re a
significant part of something big
and wonderful.
Know your company’s mission…
is there value for your customer in
your mission statement? Or does it
just boast how great you are? Your
customer wants to know how doing
business with you will benefit them!
Do all your departments, such as
the quality system, customer service, accounting, shipping, and any
other areas dedicated to customer
service, deliver value according to
your mission statement? Visit every
department in your organization
and learn first-hand what makes it
tick. Study your company’s innerworkings. Ask questions! You are
your customers’ eyes: when you
make a promise to a customer,
you’d better know without a doubt
it will be fulfilled.
After you gather all this information, put yourself in your customer’s
position, and ask: “Would I buy
from this company? Am I being
treated as if I personally sign their
paycheck and that I am the reason
they exist?” (And if this isn’t happening in your
organization, take steps to educate your customerservice people, and help them along to becoming the
best. See Springs Vol. 43, page 341 “A Recipe for
Outstanding Customer Service”, by “yours truly.”)
Be Passionate About Your Company and Product
All the steps you have taken thus far to know
your company and your product should begin
instilling in you great passion for your product.
Believing in your company and your product creates
confidence and excitement. You are now armed with
the tools to tell anyone about your product. More
knowledge equals more confidence. When you talk
about a subject you have studied well, you speak
with confidence, you have answers, and your anxiety
level is lessened because you truly know what you’re
talking about.
Ever since I have worked for my company, I have
loved springs. They store energy and they release
energy. Engineering a spring design brings great
satisfaction in accomplishment! Even as I type on
my computer keyboard, I am reminded of the little
spring under each key popping the key back up so
I can tamp it down again and again. Those little
springs have a great, big purpose in this universe.
Yes, you know what I’m talking about. Springs are
truly the best!
Know Your Audience
How can you build a relationship with a
stranger? Aww, c’mon now, you learned this early
on at the park by playing in the sandbox with the
other kids …just be friendly! Look’em in the eye and
get to know them. Ask qualifying questions:
“What’s your name?”
In all conversation, puleeeez remember this: you
were born with one mouth and two ears, and it is
advisable to use them in that ratio. Establish rapport
with the customer by asking questions that uncover
buying motives, real needs and truth. By interacting
with the customer, you build confidence in knowing
what your customer needs.
Demonstrate value by showing the customer
how doing business with you will increase his sales
and profits, loyalty from his employees and his
customers, productivity, morale, and all without
problems. Challenge your customer to do what is
best for his company. Select your words carefully
(so you don’t just yammer on and on and on), using
words that move him along to a decision, chipping
away at the block of indecision…make it easy for
him to do business with you.
And for goodness sake, don’t be afraid to ask for
his order. When you walk into anyone’s business,
assume you already have the sale.
Finally, always remember this:
You work for the best company in the world, and
you are the world’s greatest salesman!
Everyone wins!
End of Story
Well, almost end of story…remember my quest to
buy the sweater? I ended up buying a sweater from
an independent retailer. Instead of paying $29.99 at
Wal-Marty for the cranberry sweater that I just had
to have, I paid $129.00!
How did this happen? Very cleverly, the salesperson met me at the door, and after asking what
type of garment I was in search of, she said, “I have
something that will look fabulous on you and it’s
easy to care for. Is this something that would appeal
to you?” Of course I was curious.
And, watch how simple the three-step process
was for her: While establishing rapport with me, she
asked qualifying questions, and demonstrated that
she knew her product for which she had passion!
Here are the details: she walked with me to a
rack of sweaters and engaged me in conversation
while I looked for the cranberry sweater I wanted
(friendly). She was excited about her selection, (passionate) and very naturally talked with me about
the benefits of purchasing from her store: I would
receive special sale coupons, I would get 50% off my
fifth purchase, and they offered free shipping to my
home (value).
Then she said, “I’ll just step over to our counter
and wrap up your sweater (she assumed she already
had the sale), but please feel free to look at the slacks
on the next rack over. They would truly compliment
your sweater, and also look very flattering on you.
Take your time!” (Up-selling will be covered in my
next article!)
If the truth be known, after I first walked into
her store, I hardly heard a word she said: you know
what I’m talking about, the stuff about me being
fabulous, younger, thinner, desirable and gorgeous…
oh sure, she didn’t say those very same words, but
I perceived it!
And by the way, I just love my new hooded
cable-knit, teal blue, sweater that matches the grey
and teal pin-striped slacks! Oh, you’ve seen me…
it’s the outfit that puts a glow in my face, makes my
figure years younger, and, check out that spring in
my step! ◆
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Carol Caldwell is the national hardware sales manager of Century
Spring Corp. in Los Angeles, CA., division of MW Industries.
Readers may contact her by phone at (800) 237-5225 or e-mail
at [email protected].
It Costs How Much?
Often wrongly thought of as boring, time
consuming and less than helpful to the owners
and managers of small spring businesses,
costing – and budgeting – can have a significant
impact on the business’ bottom line.
By Mark E. Battersby, tax/financial journalist
t is the rare spring manufacturer, distributor or
supplier, who does not know whether his or her
business is profitable. Accounting statements, or
even the spring operation’s tax returns, provide that
information. However, how many manufacturers,
distributors or suppliers know whether their bids,
jobs or even the types of services that they perform
are profitable? Few business owners or manager
are, in fact, aware whether their “best” customer or
customers are generating profits sufficient enough
to warrant the degree of services provided.
To answer these questions, and others, means
understanding what things actually cost. For
instance, do you have any idea what it costs to sell
a particular line of springs? For that matter, what
does it cost to open the doors to your spring business each day?
Often wrongly thought of as boring, time consuming and less than helpful to the owners and
managers of small spring businesses, costing – and
budgeting – can have a significant impact on the
business’ bottom line. At its most basic, costing asks
a number of questions: What does it cost to open
the doors of your business each day? What does one
sale cost? and so on. Costing makes the guesses of
the budget process, educated ones.
I
Cost Accounting
Cost accounting is best defined as a system for
recording and reporting the cost of manufacturing
goods, selling products and performing services. In
other words, cost accounting gathers figures from all
facets of the spring operation and allocates them
to a specific function of that operation.
The cost of having a salesperson on the
street involves more than the basic salary and
fringe benefits paid. There is also the cost of
the vehicle driven, the operating costs for that
vehicle, travel and entertainment expenses and,
of course, a portion of the cost of the staff needed
to support that salesperson and a portion of the
springs business’ overhead costs to provide the
salesperson with office space or a place to meet
customers. In this case, cost accounting involves
gathering and allocating expenses from all facets
of the business to the cost of sales.
A surprising number of business owners and
managers always pay bills on time, but never
before they are due. In reality, however, most
businesses would be better off paying a bill early
to take advantage of the trade discount.
In general, cost accounting includes methods
for reorganizing, classifying, allocating, aggregating
and reporting actual costs and, often, comparing
them with standard costs. It can mean determining unit cost to make a product or render a service.
Cost accounting is an integral part of establishing
a selling price or fees. Costing is indispensable for
any manufacturer, distributor or supplier planning
to reduce prices for a sale.
In financial accounting, the term “cost” is defined
as a measurement, in monetary terms, of the amount
of resources used for some purpose. In cost accounting, the term “cost” is used in many different ways.
That is, there are different types of costs, and they
are used for different purposes.
discount. Thus, if not taken advantage of by the
customer, that discount becomes a charge for the
use of the spring operation’s money. Of course,
these scenarios assume that the business owners
or managers are aware that money costs.
Discounts Pay, not Cost
On the other side of the coin is the discount.
Many spring businesses closely follow the old adage:
Always delay cash outflows. Few business owners
or managers seem aware how much those cash
outflows save or cost.
A surprising number of business owners and
managers always pay bills on time, but never before
they are due. In reality, however, most businesses
would be better off paying a bill early to take advantage of the trade discount.
The High Cost of Money
As is the case with many business expenses, the
cost of money is often misunderstood. Many business
owners believe, for instance, that using savings and
investments to finance needed purchases or to keep
the business going, is an economical strategy.
Unfortunately, there is even a “cost” to money.
Removing funds from savings incurs a so-called
“lost opportunity” cost. If those funds had remained
invested or kept in a savings account, they would
have earned interest or increased in value. Using
them in the business means that the business
should consider that “lost opportunity” cost as a
legitimate cost of doing business.
A business offering a “prompt payment” discount incurs a “cost.” The business must usually
pay workers and its bills before it receives payment
for the services rendered. Often, this means borrowing money. It is up to the operators of the spring
business to decide whether it is more economical to
borrow the money necessary to keep the operation
going or to offer their customers an incentive for
paying early.
As an alternative, a small spring operation —
or any size business — could increase the amount
it charges sufficiently to cover the amount of the
The spring business’ financial health has
its bearing on much more than the bottom
line or profits. It can also affect both the
cost and the availability of financing.
As a general rule, a spring operation should
always take advantage of discounts of one percent
or more when offered by suppliers that require full
payment within 30 days. If the supplier offers payment terms extending beyond 30 days, it may be
more advantageous to skip the trade discount and
delay payment until the full amount is due.
The decision to take or not to take a trade discount is based on comparing the cost of the discount
to what the spring business can earn by taking
the discount. If what can be earned by taking the
discount is greater than what it costs, the spring
operation should definitely take advantage of the
trade discount.
A spring manufacturer, distributor or supplier
taking advantage of a trade discount should consider
the early payment a loan to the supplier. Consider,
for instance, a supplier who offers a discount if
their invoice is paid within 10 days, or accepts full
payment within 30 days. When this supplier is paid
within 10 days, instead of waiting the full 30 days,
this supplier is actually borrowing money from you
for 20 days.
Allocate and Profit
Cost accounting can be as simple or as complex
as desired. However, just as with the cost of money,
it should never be ignored. How, after all, can profitable bids be prepared, discounts offered or prices
and fees be decided if the operation’s expenses are
not reflected accurately?
Transfer Pricing
Strategies
Begin at Home
Making big-ticket purchases in a lower tax
jurisdiction is a popular – if not always legal
– strategy employed by almost everyone. At
the other end of the spectrum, businesses
long ago began to develop strategies
designed specifically to minimize the tax bite
of the varying laws and rates of not only the
states but also the countries in which they
operate.
Inter-company transactions, whether
domestic or across borders, have become
an issue with the tax authorities in a wide
variety of jurisdictions. Compliance with the
transfer pricing regulations – and tax rates
– of multiple, overlapping tax jurisdictions
is the No. 1 issue facing businesses of all
sizes, and not merely those doing business
internationally.
It is easy to see where a multi-entity
company might be tempted to reduce the
profits and, therefore, the taxes, on its
operation in a high tax jurisdiction, while
increasing the profits of another, related
entity in another jurisdiction where the
tax on those profits might not be as high.
Welcome to the world of “transfer pricing.”
“Transfer pricing” is a term used to
describe all aspects of inter-company pricing
arrangements between related business
entities, including transfers of intellectual
property, tangible goods, services, and loans
and other financing transactions. At its
most basic, the so-called “transfer price” is
the price charged by individual entities in
a multi-entity corporation, on transactions
among themselves. Under both U.S. and
Cost accounting involves allocating all of the
spring operation’s costs (both direct and indirect)
associated with generating a sale, performing a service and so on. Direct costs include such things as
the total wages paid workers, supervisors’ salaries,
supplies expended and the like. Indirect costs are
all of the other expenses associated with keeping
the operation going.
Accounting for Costs, Reducing Costs
Obviously, there is more to cost accounting than
determining the cost of a job or service performed.
Every spring business owner should also carefully
analyze the costs of doing business to locate and
reduce those expenses that are out-of-line.
Many spring manufacturers, distributors and
suppliers begin by comparing this month’s expense
figures with last month’s, or with the same month
last year. Eventually, year-to-date expenses are
compared with last year-to-date figures. Then, an
attempt is usually made to determine the reason or
reasons for any discrepancies between the figures
in different accounting periods and, perhaps, fix the
blame for costs that have increased.
If, for example, supplies expenses represented
two percent of sales last year and shot up to 15 percent this year, you should want to know the reason.
Equally important, that analysis also provides a real
insight into the fiscal health of the spring operation.
The spring business’ financial health has its bearing
many international tax regulations, the
standard to be applied in determining
the true taxable income of a controlled
business is that of a business dealing at
arm’s length with an unrelated business.
Remember, however, there is more
to transfer pricing arrangements than
income taxes and tariffs. A major goal of
transfer pricing strategies is to enable
divisions that exchange goods or services
to act as independent businesses.
Since every country has different tax
rates, a company can increase its profits
with the help of a transfer pricing strategy.
By lowering prices in countries where
tax rates are high and raising them in
countries with a lower tax rate, the
multinational can reduce its overall tax
burden, thereby boosting its overall profits.
Given the growth of inter-company
transactions, it should come as no
surprise that local tax authorities are
taking a closer look at transfer pricing
arrangements while governments, local,
state as well as the federal government
both in this country and abroad are
imposing stricter penalties and requiring
increased information exchange.
Transfer prices can actually be useful in
many spring operations. They can help
a company identify those parts of the
enterprise that are performing well
and not so well. Of course, without a
transfer pricing strategy, a manufacturer
could suffer double taxation on the
same profits. A company can also work
out a pricing agreement with local tax
authorities beforehand.
It is the rare spring manufacturer,
distributor or supplier who will not
profit from a transfer pricing strategy.
Spring operations take advantage of
advance pricing agreements with state,
U.S. and foreign governments to ensure
that promised savings in taxes are not
eaten up when one taxing authority
attempts to claim precedence over
another. Lacking an advance pricing
agreement, every spring operation
should have an established transfer
pricing strategy in place – and be able to
document pricing decisions when asked
by the various governments involved.
From a planning and control standpoint,
one of the most important ways to classify
costs is by how they behave in accordance with
changes in increased sales, extended hours of
operation or another measure of activity
on much more than the bottom line or profits. It
can also affect both the cost and the availability of
financing.
Establish a System, Create a Goal
To set up an effective cost accounting system,
the help of an accountant or CPA might be advisable.
Cost accounting, after all, can get fairly complicated.
The money spent for professional guidance will be
well worth it.
Naturally, before owners or managers can
improve their spring operation’s efficiency, particularly in the area of its non-revenue-generating
services, they must first be able to identify what
specific support activities the operation is performing, describe in detail how it is performing those
activities and establish how much the operation is
spending on those activities.
Conventional cost accounting, such as that
employed by many software programs, usually
places support costs into a pool that is distributed
across the operation’s cost centers or service. This
can distort actual costs, as illustrated by a job that
requires 10 estimates and 10 sales calls before
finally winning the job. This job is usually assigned
the same support cost as a job that did not require
any estimate or sales calls.
Variable, Fixed and Mixed
From a planning and control standpoint, one of
the most important ways to classify costs is by how
they behave in accordance with changes in increased
sales, extended hours of operation or another measure of activity. Thus, most costs can be classified
as “variable,” ”fixed” or “mixed” costs.
Variable costs vary in direct proportion to
changes in activity. In other words, utility costs vary
depending upon the hours during which the business premises remain open. Other variable costs
are materials used by a factory or gasoline expenses
based on the mileage driven.
Fixed costs remain relatively consistent regardless of changes in activity. Examples here would
include rent, insurance and taxes.
Mixed (or semi-variable) costs vary with changes
in volume but, unlike variable costs, do not vary in
direct proportion to those changes. In other words,
these costs contain both a variable component and
a fixed component. Examples are the rental of a
delivery truck, when a fixed rental fee plus a variable
charge based on mileage is made and power costs,
where the expense consists of a fixed amount plus
a variable charge based on consumption.
Taking Control
Taking financial control of your spring business means knowing and understanding the cost
of money. It also means accounting for costs in
order to understand what each sale; product, service, contract, job — or customer — actually costs.
Every spring manufacturer, distributor and supplier
should carefully analyze the costs of doing business,
not only to locate and reduce expenses that are outof-line, but also in order to keep the operation on a
profitable path.
Accounting for costs means realistic pricing of
goods, products or services so that costs are passed
on to the customer. Cost accounting can also prove
invaluable when it comes to determining actual profits, finding out what a particular job actually costs
or, if detailed enough, cost accounting can reveal
what your “best customer” actually costs you and
your spring business. ◆
Mark E Battersby is a freelance writer, author and lecturer,
specializing in the fields of taxes and finance. For more than 25
years, his columns, features and reports have appeared in leading
trade journals and magazines, including Springs. Battersby is also
the author of four books. Readers may contact him by e-mail at
[email protected].
Be Proud that You are Part of an Industry
that Provides Vital Parts for All Sectors
of Manufactured Products.
Truth. . Almost nothing man-made moves without springs.
Truth. . It takes knowledge, skill and experience
to be a successful spring manufacturer.
Truth. .
A complete supplier support system of equipment,
materials, test equipment and services are required to
maintain the spring manufacturing and wire forming industry.
Be Proud. Because success in this industry, whether manufacturer
or supplier, demands championship performance.
Be Proud. We come together at SPRING WORLD® to share
remarkable achievements in applying the latest technologies to
create more productive machinery,
advancements in metallurgy and fabrication of production
materials, a higher level
of quality and consistency of product
and the means to measure it.
All these efforts enable improvements in products we all use and the
tools to make them.
Be Proud. Your work contributes to the improvement of
the quality of life for people from all corners of the globe!
CASMI is Proud to Cheer for All of the Champions
of the Spring Manufacturing Industry
Manufacturers and Suppliers. . .We’re Proud to Be on Your Team!
We Welcome You Back For SPRING WORLD 2008
Donald E. Stephens Convention Center • Rosemont, Illinois • October 15, 16 & 17, 2008
www.casmi.org • email: [email protected] • www.springworld.org
Inside SMI
with Shane Johnson
Sharks & Guns: Jumping In With Both Feet
n 1952, Florence Chadwick set out from Catalina
Island in an effort to swim 26 miles to the California
coast. Having the title of the first woman to swim
the English Channel both ways under her belt, she’d
trained for months for this undertaking. Many things
were different from her English-French swim. Here
the waters were swarming with shark and a heavy
fog more often than not obscured a clear view of the
coastline. Flo was undaunted.
Her support team covered her arms and legs with
Vaseline to guard against water burn and chafing.
Several too were at the ready, with rifles in hand, to
float along-side her in small boats to shoot at and
keep sharks at bay. She was ready and gave her
mom a kiss before jumping into the water.
For hours, Florence swam. The fog prevented
her from seeing how far she had to go and for the
first time in her life, she felt the desire to complete
the swim float away. Shortly after reaching the 15
hour mark, Florence had had enough and the support team hauled her out of the water. She wasn’t a
quitter, she explained to a reporter, but without the
shoreline in sight, it had just made it too difficult to
continue. Later she discovered she was only a mile
from the sandy beach finish.
As we look to the future of the spring industry
it would be easy to say, “there’s too much competition,” “the market has changed too much to remain
competitive,” or “China is just too big and health
costs are just too high.” Yet each decade we’ve faced
a different two-headed monster. In the 1970’s, computers threatened the work force, yet CNC is now
an industry standard. In the 1980’s, Japan was
viewed as a mighty undefeatable foe, but the Rising
Sun Empire no longer holds the central position in
manufacturing and instead has, in many instances,
become a partner in the industry.
I
Innovative, Focused, Resilient. These are the
words I choose to describe the 40+ SMI members I’ve
visited in the past few months in Michigan, Connecticut, Indiana, Pennsylvania, California and Illinois,
and listened to understand the SMI story. Members
have survived in large part because of innovation.
Innovation has been effective because we’ve been
focused—focused on a goal or a horizon—and ever
resilient.
The market will continue to change. China will
loom less threateningly in future decades and be
replaced by another. Yet if we remain focused we
will continue to succeed. Success may not involve
200 people at kick-presses on the factory floor, but
may instead involve 20 idea engineers and problem
solvers. Either way, success can be and will be sweet
for us. We just need to remember to keep focused
on the goal.
Several months after Chadwick’s failure, she
decided to give it another try. Greased up and guns
at the ready she jumped in, sharks and all. Again
the fog rolled in. This time, however, she completed
the swim. When asked what had made the difference, she responded, “While I couldn’t see the shore,
I envisioned it in my mind.” Thus she was able to
“see” her goal.
As our organization rounds the bend and heads
towards its 76th year, we’ve decided to do the same
thing. Working with a cross-section of SMI leaders,
we’re building a three-year strategic horizon that will
allow us to do what Florence Chadwick was able to
do—and our industry has been ever successful at
doing. Setting a goal, fixing a horizon and jumping
in with both feet!
Hint: Drove a 48 Belgian horse hitch.
Know Your Costs, Set Your Price
You must benchmark to be competitive
Shane T. Johnson, Esq., is EVP of the Spring
Manufacturer’s Institute, Inc. which is based
in the Chicago suburbs where members
are always welcomed with a cup of coffee.
He is an attorney and a certified leadership
instructor for Dale Carnegie Training with
15 years of management experience. Shane
also serves on the volunteer board of Path
of Success, Inc., a nonprofit that works with
parents, teachers and schools to “directionalize” high school students. Readers may contact him by phone
at (630) 495-8588 or e-mail at [email protected].
By: John Mackay, Mackay Research Group
There are two ways to make money in business.
One is to be the least-cost producer; the other is to
have something nobody else has. Unless you have
a proprietary product, you have to be prepared to
compete on price, and you can do that best if you
are the least-cost producer. If you have the lowest
costs in the market, you can undersell the competition and still earn a profit.
On the other hand, it is always nice to be in a
position to charge a little more. To do that, you must
have an edge that customers cannot get anywhere
else. Maybe it is quality, maybe it is a particular
service, maybe it is a unique product, or a brand
name. As long as you are the only one who has it,
and customers want it, you can charge a premium
for your product.
Few companies have a totally unique product.
The vast majority do not have the luxury of charging
what they want. Consequently, many companies
have to be a low-cost producer. It is essential to
keep costs down, and there is no individual, or
department, that can do that. People throughout
the company are constantly making decisions affecting costs.
Cost control happens (or doesn’t happen) on
an individual level. A company doesn’t become the
least-cost producer by issuing edicts from an office,
or by setting up elaborate systems and controls. The
best way to control costs is to enlist everyone in the
effort. That means providing people with the tools
that allow them to make the right decisions.
Those tools are the numbers that tell you whether
or not your costs are lower than your competitors’.
To know what your cost should be, you have to find
out what your competitors’ costs are; how much do
they spend on materials, labor and overhead. Only
SMI Safety Posters
then can you determine what you must do to be the
least-cost producer. The SMI Annual Market Report
provides you with those benchmarks. If you share
those benchmarks with the people in your company,
you get everyone involved in the effort to become the
least-cost producer.
The most successful companies, of course,
strive to have both the lowest costs and something
competitors do not have. Maybe it is a total quality
management system. Maybe it is additional marketing or sales support. The idea is to offer something
that allows you to charge a little more. Many companies manage to develop some combination of the two.
In most business, however, you are not going to
be able to charge a lot more. So, you can never stop
trying to be the least-cost producer. That means staying on top of industry benchmarks and then educating
your employees about your results versus the industry
norms, letting them suggest ways to get the costs down.
You will be surprised what they come up with. ◆
John Mackay is president of Mackay Research Group, a survey
research organization that specializes in profitability and
compensation research for manufacturing trade associations.
Mackay Research Group conducts the SMI Annual Market
Summary survey of spring manufacturer profitability each year.
He can be reached at [email protected] or by
calling 720-890-4255.
Want employees to take safety seriously?
... Make them laugh!
Take a fun approach to a serious subject,
safety, with this set of six 8½ × 11 in. posters.
Each cartoon poster carries an important
message about safety in a humorous way
that’s sure to evoke a few chuckles.
Set of Six Safety Posters
$25/ SMI member • $45/ SMI nonmember
Order online at www.
smihq.org
or call the Spring
Manufacturers Institute
phone (630) 495-8588
Cautionary Tale XXXVII
The Shape of Fractures in
Compression Springs
Spring
Technology
By Mark Hayes
uring training courses that the author gave in
2007, delegates requested that a description of
the shapes of fracture be presented for Compression Springs.
Whether fracture is due to fatigue or stress corrosion cracking, the position of maximum stress
ought to be at the inside surface of an active coil in
an axially loaded compression spring. Hence fracture
will generally initiate close to the inside coil position
where the applied stress will be torsional and maximum. The state of applied stress at this position is
illustrated theoretically by the following diagram.
D
Figure 1: Helicoidal shaped fatigue and overload fracture.
Torsional stress acts at 45° to the principle axis of the wire.
This stress may be resolved into a longitudinal and transverse shear
stress of equal magnitude.
Mark Hayes is the Senior Metallurgist at
the Institute of Spring Technology (IST) in
Sheffield, England. He manages IST’s spring
failure analysis service, and all metallurgical
aspects of advice given by the Institute. He
also gives the majority of the spring training
courses that the Institute offers globally.
Readers are encouraged to contact him
with comments about this Cautionary Tale,
and with subjects that they would like to be
addressed in future tales, by telephone at (011) 44 114 252 7984, fax at
(011) 44 114 2527997 or e-mail at [email protected].
The net stress on a loaded compression spring
is the sum of the applied stress and any residual
stress. The residual stress in compression springs
will be a relatively low tensile bending stress after
low temperature heat treatment. The subsequent
springmaking process of shot peening will impart
a surface residual compressive stress equal in all
directions and so this will not greatly influence the
shape of fractures, although the effect of the peening may be visible near the surface. Prestressing will
impart a residual torsional compressive stress and
so this will not alter the fracture shape either.
It might be expected that compression spring
fractures would be at 45° to the wire axis from initiation to final overload failure as a response to the
net torsional stress. This is sometimes the case, as
shown in Figure 1.
The position where the fatigue fracture stops
and the overload fracture starts is just visible in
this example at about one- third through the wire
section.
Sometimes the fatigue crack is at 45°, but the
final overload fracture is by “torsioning” an example
of which is shown in Figure 1b. (see next page)
final
Overload
fatigue
fracture
Figure 1b (x 25)
45 degree
tensile fatigue
crack
transverse
fatigue crack
wire surface
with paint
incompletely
cleaned off
Figure 2: Transverse shear crack at origin with the 45°
fatigue cracking initiated either side of the transverse
shear fatigue crack.
The higher the applied stress, the smaller the fatigue
fracture will be and the larger the overload fracture.
Sometimes the resolved shear stresses influence the
first part of the fracture as shown in Figures 2 and 3.
This shape of fracture is often observed in
springs made by hot or cold coiling when the material
has an equiaxed tempered martensite microstructure. It is almost never seen when the spring has a
drawn microstructure – this leads to a longitudinal
shear fatigue crack, as shown in Figure 3. This fracture shape is also seen in springs with a tempered
martensite microstructure – for which there is a 50%
chance that the initial fatigue crack will be longitudinal and 50% that it will be transverse.
Sometimes the final overload fracture is helicoidal in shape as shown in Figure 1, but it is equally
possible that this overload will happen by torsioning, as shown in Figure 1b. In nickel alloys and
occasionally in stainless steels both the fatigue and
overload fractures may be transverse in direction as
shown in Figure 4.
For all spring materials there is a history of
hot work on the steel, and so inclusions and any
segregation will be considerably elongated. This
often causes longitudinal splitting during the final
overload fracture, as shown in Figure 5. This type of
fracture is more likely in drawn carbon steel springs,
but is often seen in SiCr springs above about 7mm
wire surface
longitudinal
shear fatigue
crack
small fatigue crack at
45 degrees to wire axis
Figure 5: A longitudinal split is a consequence of the fatigue crack and
not its cause.
45 degree
tensile fatigue
crack initiated
either side of
shear crack
Figure 3: Longitudinal shear crack at origin.
Figure 4: Torsioning fatigue and overload (x 6.)
diameter and occasionally in 302 stainless steel
springs. It is important to recognize that the splitting
is a consequence of failure and is not its cause.
Pre-existing cracks will alter the fracture shape.
The most likely types of crack are coiling cracks,
which are always transverse in direction, quench
cracks, which are largely longitudinal, and stress
cracks (particularly in 17/7PH) which are always
longitudinal. Since these crack types will be present
prior to spring stress relieving or tempering they will
be covered in oxide, and this should still be clearly
visible unless post-fracture corrosion is extensive.
The moral of this cautionary tale is that much
can be learned from looking at the shape of fractures, but there is a wide range of possible shapes,
and it is intended that this tale will provide useful
and practical guidance to help readers to interpret
what they see. ◆
Technically
Speaking
A Look Back at the Causes
of Spring Failures
with Luke Zubek
By Luke Zubek, PE
ne of the most popular questions that I get from
springmakers is, “What’s the most common
spring problem you encounter?” And, my answer
is inevitably, “It depends.” In this article I would
like to explain exactly what it depends on. I plan on
doing this by taking a look at the broken springs
I’ve examined and present the information in a
statistical light.
Over the past four years I have been in the
position to personally examine over a thousand
failed springs. This position has enabled me to not
only diagnose the cause of the fracture, but also to
make meaningful recommendations that prevent
reoccurrence when relevant. My own professional
background supplemented with the large network
of springmakers has enabled me to obtain answers
to the most perplexing spring problems.
Where are the good springs? I have to keep telling
myself that I am in a position where I constantly see
the over-stressed, marginally aligned and poorest
surface quality springs in the industry. The majority
of the springs don’t break and never make it across
my desk.
For this study, I focused only on cold wound
springs with a round wire diameter less than 0.70”. I
also decided to report on only the three most popular
spring types; compression, torsion and extension
springs. Although I examined many other types of
springs, like spiral torsion and power springs, I’ve
decided to save these types for other article topics.
O
Luke Zubek PE is the technical director of
the Spring Manufacturer’s Institute, providing
failure analysis services, technical assistance
and educational seminars to the spring industry.
Prior to that, he was a metallurgical engineer for a major steel producer for 10 years.
He holds a masters of materials and metallurgical engineering degree from the Illinois
Institute of Technology and a bachelors in
metallurgical engineering from the University
of Illinois at Chicago. Readers may contact
Zubek by phone at (630) 495-8588 or e-mail
at [email protected]
Spring Type
Type
compression
torsion
extension
Examined
54%
29%
17%
The most numerous spring type examined was
compression followed by torsion and then extension
springs. In general, the causes for spring failures
were more related to grade than to type of spring with
the following exceptions on extension springs.
About 20% of the extension spring failures
occurred at the hooks, where the operating stresses
are the highest. In most of these cases, a simple
reduction of the hook diameter would help reduce
operating stresses.
Over 25% of the extension springs incurred
mechanical damage during operation that primarily
caused the spring to fatigue.
About 25% of the failed extension springs were
zinc plated; in about half of these cases the plating
operation was the primary cause of failure.
Virtually all cold wound compression springs
examined initiated failure near the ID, where the
operational stresses spike. The springs that didn’t
originate fracture at the ID always incurred some
type of extraordinary condition, like arcing, corrosion
or poor surface quality.
Part of this reason for this disparity may be related to
the cost and importance of the spring. I would think
that an investigation into the cause of a stainless
steel spring failure would be more important than a
hard drawn spring. Hard drawn springs aren’t used
in critical applications reflected by the low number
(2%) of investigations.
Grade Analysis
I eliminated some of the exotic alloys, as they
made a minor representation. By percent, here is
the breakdown of the grades I examined.
Cause by Grade
Grade
Examined
Music Wire
31%
Chrome Silicon
28%
302 SS
17%
17-7 PH
12%
Oil Tempered
10%
Hard Drawn
2%
It is interesting to note that the stainless steel
alloys, 302 SS and 17-7 PH, collectively make up
about 30% of all failures. This amount is probably
much greater than the actual percentage of total
stainless steel springs produced. The same could be
said with the percentage of chrome silicon springs.
Stainless Steels (17-7PH and 302 SS): Most
stainless steel springs failed from normal fatigue
that initiated at the wire surface. One of the most
common surface issues noted on stainless steel is
related to surface depressions caused by etched out
grain boundaries. This condition becomes worse as
the grain size increases. It appears that overheating
during the wire drawing operation may be causing
the grain size on the surface to increase. I’ve heard
this condition described as “turtle shell,” as the
grains on the wire look like islands similar in appearance to the surface on a turtle shell. I will point
out that these seams are fairly shallow and usually
within the applicable specification requirements.
Nickel coated stainless steel minimizes the heat
and friction commonly encountered during the drawing and coiling process. This increased lubrication
promotes spring dimensional stability, especially
during high speed coiling of low index springs.
Music Wire (ASTM A228): Most MW springs
failed from normal fatigue that initiated from the
surface. As evidenced by the small amount of Stage
II fatigue on the fracture surface, about 1/3 of these
failures were related to the magnitude of the operating stresses.
Chrome Silicon Steel: CrSi steel comes in two
types, ASTM A401and the seam restricted valve
quality version ASTM A877. By far, most failed CrSi
springs examined conformed to ASTM A401. Aside
from fatigue, the most common cause of failure
on this grade was related to embrittlement. From
a failure analysis perspective, there are some very
practical reasons to avoid using CrSi wire to make
springs. For example, I can think of many more
ways to break CrSi springs than springs made from
music wire.
• CrSi grades are very susceptible to hydrogen
embrittlement, which necessitates a prompt
stress relief after coiling to prevent delayed
transverse inner diameter embrittlement
cracking (TIDEC). Depending on the material
tensile strength and coil index, the “delay”
may be in minutes not hours. Consider this
fact before changing to high tensile CrSi wire.
76 Meeting
TH
Putting Leadership
Back into Strategy
SMI Annual
APRIL 5 – 7, 2009 • PHOENIX, AZ
JW Marriott Desert Ridge
Resort & Spa
A CEO or GM must steward a living strategy that
defines what a company is and what it becomes.
Gretchen Carlson (Fox National News Anchor) –
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Gretchen Carlson
Jerry Mathers (The Beaver) – It’s Black and White:
Striking the Right Balance at Home and at Work to
Withstand Life Tornados
Billie Bright – Can You Lead?
Transforming Yourself Into A Leadership Coach
Jerry Mathers
Gary Johnson – Storming the World Market:
Leading Family-owned Businesses by Employing
Trend Responsiveness
Billie Bright – Cracking That Nut:
Effective Solutions for Dealing with Difficult People
Dr. Alfred D. Watts
EARLY BIRD
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What will we get?
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Dr. Alfred D. Watts – The Future of our Families
and Businesses: Engaging the Next Generation
Register before October 1, 2008 for the 2009 SMI
76th Annual Meeting and save $100 off registration!
2009 Annual Meeting Registration Fee: $599 Members; $899 Non Members
Annual Meeting Early Bird Registration Fee: $499 (SMI members only)
TO EARLY BIRD REGISTER: Call Lynne at 1-630-495-8588 or email her at
[email protected] with “Early Bird” in the subject line.
NOTE: THE ANNUAL MEETING EARLY BIRD PRICING REPRESENTS SUBSTANTIAL SAVINGS, THEREFORE IT IS
NON REFUNDABLE AND PAYMENT MUST BE RECEIVED BY MIDNIGHT ON OCTOBER 1, 2008.
•
•
It isn’t recommended to electroplate CrSi
springs, but many people still try. CrSi
springs have a martensitic microstructure
that commonly results in delayed TIDEC when
plated. Music wire has a microstructure of
hard drawn pearlite that is more resistant to
hydrogen absorption.
Chrome silicon grades are oil tempered and
subjected to high austenitizing temperature
that could cause surface decarburization.
Music wire, on the other hand, is not subjected
to high temperature to attain its strength.
Yet, two good reasons to use CrSi over MW
immediately come to mind; 1) CrSi can be used at
higher operating temperatures like valve springs in
an engine, and 2) certain sizes of CrSi have a higher
tensile strength than MW.
OT grades also contain a martensitic microstructure but are less susceptible to hydrogen
embrittlement than CrSi due to the reduction in
alloy content. This grade category was noted to fail
in a similar manner as CrSi grades.
Electroplating: After molten steel has been
cast, there is little that can be done in processing
to improve the quality. Or, put another way, as the
number of processing steps increase, so does the
opportunity of negatively impacting the quality.
Therefore, I was not surprised to see that ~20% of
all failures examined were springs that were electroplated. The causes were equally divided between
hydrogen embrittlement from the plating process,
arcing during plating, or improper baking after
plating.
Most electroplaters understand the importance
of a timely post-plating bake for spring steels, a few
others need to be reminded. I suspect that some of
the failed springs were baked at room temperature.
If economically possible, you could eliminate the
electroplating (and baking) process by using stainless steel. But, with the daily rising costs of stainless
steel wire it seems likely that the number of electroplated springs will increase in the future.
Other Causes: Corrosion, tooling marks and
misalignment were also collectively responsible for
about 20% of all failures.
• Most corrosion was induced by the cleaning
of springs with a low PH acidic cleaner,
typically either before a painting process or
during service.
•
Tooling marks were most apparent on the
hooks of extension springs or on the bends of
torsion spring arms.
•
Misalignment during operation was more
common on compression and extension
springs. Misalignment in the form of
inadequate ID support was more common on
torsion spring failures.
By necessity, this article is a generalization of
some of the problems. Many springs failed as a
result of two or more causes. Sometimes the exact
source cause was elusive, like an overstressed spring
that was marginally shot peened; did it fail from
high operational stresses, inadequate peening, or
both? Documentation of the surface compressive
stresses on springs becomes time consuming and
very expensive.
Most investigations reviewed in this article
primarily utilized a scanning electron microscope
(SEM) to determine the most likely source cause
of fracture initiation. Often the SEM analysis was
supplemented with metallurgical examination of the
broken spring.
I hope that this review highlights some of the
more common causes of spring failures and provides
springmakers, wire drawers, electroplaters, etc. with
some insight into avoiding these issues. I plan on
focusing future articles on the examination of the
specific details into these problems and remedies. ◆
New Products
Microgage Transparent Receiver
Pinpoint Laser
Systems has introduced a transparent
Microgage 2D receiver
that will be used
for aligning production machinery and
equipment. A narrow
laser beam provides
a measuring reference line and the transparent
receiver determines the position of a machine or
sub-assembly relative to the laser beam. The receiver
can operate over distances of 100 feet and deliver
measuring precision of less than 0.0005 inch, ideal
for demanding industrial alignment applications.
The Microgage system and the transparent receiver
are well suited for lathe and spindle alignment,
checking machine tool runout, roll and web alignment, precision bore alignment and more.
The Microgage 2D combines a compact laser
transmitter with a receiver and digital display. As
the laser moves across the receiver in a vertical or
horizontal direction, the display provides a reading
of the motion, accurate to 0.0001 inch. It operates
on batteries and all components are machined of
solid aluminum with a hard anodized coating for
wear resistance. For information, contact Pinpoint
Laser Systems by phone at (800) 757-5383 or e-mail
Robomac Wire Former
Numamerica/
Numalliance has introduced the smallest and
fastest Robomac. The
Robomac 206NG 3D CNC
wire former has a wire
range from 0.078 inch
to 0.250 inch (2mm-6
.35mm) and features the
latest software and color touch screen controller.
Machine programming is the simplest possible. For
information, contact Numamerica Inc. by phone at
(563) 386-9590 or e-mail at [email protected].
Rust-Dipping Liquid
Daubert Cromwell, manufacturer of corrosion
preventive packaging for metalworking industries,
has introduced Evapo-Rust de-rusting liquid that
is a non-toxic, water-based solution that removes
surface rust without scrubbing. The odor-free,
non-acidic reusable liquid eliminates the need for
blasting, grinding or using harsh caustics and
chemicals. Evapo-Rust’s neutral pH formulation
bonds and removes rust, yet doesn’t affect metal
compositions, plating or even non-oxide paint coatings. It can work in as little as 30 minutes, but may
require 24 hours immersion for total rust removal.
For information, contact Daubert Cromwell by phone at
(800) 535-3535 or e-mail [email protected].
Mechanical Components Catalogs
Misumi USA Inc. announced the availability of
its metric and inch catalogs of mechanical components. The catalogs feature over 3,000 pages filled
with 500,000 fixed and configurable mechanical
components and
other products for
enhanced factory
automation. These
catalogs include
over 6,000 new
products, as well
over 3,000 products with additional
sizes and material compositions. Highlights of
Misumi products are standard length linear shafts
with many configurations, single axis actuators,
self-lubricating linear bushings, linear guides,
low-temp., black-chrome plating, locating pins and
urethane-coated rollers. For information, contact
Misumi USA Inc. by phone at (800) 681-7475 or
e-mail at [email protected].
Almen Strips
Electronics Inc. has announced the launch
of its own brand of Almen strips. Electronics Inc.
now oversees every aspect of the manufactur ing, grading and testing of
their Almen strips. Before
manufacturing the Almen
strips, the company purchased the strips from
other sources and then
graded and packaged the
strips for re-sale. Due to
increased sales, Electronics
required improved quality control and larger inventories than available
from suppliers. They can now provide strips to any
specification—from standard MIL specifications to
rigid aerospace specs—the strips conform to width,
height, thickness, flatness and hardness requirements. The Almen A, N. or C strips are available
in Grades 3,2,1 and 1-S and are pre-qualified and
ready to use. For information, contact Electronics
Inc. by phone at (574) 256-5001 or Web site at
www.electronics-inc.com.
Power Distribution System
Power requirements on industrial workbenches
and workstations often change as well as electrical
equipment used for different assembly and testing
projects change. IAC Industries has developed the
Power Distribution System (PDS) to allow users to
swap duplex outlet modules to provide access to
one of three separate 20 Amp circuits. Provided as
an option on the company’s Dimension 4 workstations, the PDS allows users to swap duplex outlet
modules to provide access to one of three separate
20 Amp circuits. Up to six separate duplex receptacle
module locations are provided on a single Dimension
4 upright. Dimension 4 Workstations are modular
designs that can be assembled as a standalone workstation or “strung” together in a chain to form any
type of cellular work area required. The PDS man-
ages the power distribution throughout the entire
string of workstations. For information, contact IAC
Industries by phone at (714) 990-8997 or at e-mail
[email protected].
Tapping Fluid
ITW Rocol North America has developed SafeTap
Plus, a water-based tapping fluid with a custom
blend of synthetic additives
that provides the cooling
properties of a water-based
coolant with the viscosity
of a straight oil. It gives
higher viscosity and lubricity while also providing the
level of rust protection that
is expected from a synthetic
fluid. SafeTap Plus not only
prolongs tool life and creates
better threads in tapped
holes, but it also creates a safer and cleaner work
environment for employees. Since it is water-based
and contains no mineral oils or solvents, there is no
oily residue left on the work pieces. It is available in
four and 16 ounce bottles as well as one, five and
55-gallon containers. For information, contact ITW
Rocol North America by phone at (847) 452-5823 or
fax at (847) 952-5823.
Brazing Handbook
The American Welding Society (AWS), announced
that the Brazing Handbook 5th Edition has been
published. This updated and expanded version of
the Brazing Handbook provides a comprehensive,
organized survey of the basics of brazing processes
and applications. This edition has been reorganized
into three main sections: Fundamentals, Processes
and Applications. It addresses several topics including the fundamentals of brazing, brazement design,
brazing filler metals and fluxes, inspection of brazed
joints, codes and standards, safety and health, and
many more. In addition, there are two new chapters
on induction brazing and diamond brazing. For
information, contact the American Welding Society
by phone at (888) 935-3464 or Web site at www.
awspubs.com.
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Spring Testing Web Site and
Spring Forming Machine Center
Forming Systems Inc. recently
launched a dedicated Web site for
spring testing solutions. The site,
www.spring-testers.com, provides
information regarding a variety of
spring testing applications including compression testing, tension
testing, torsion testing, fatigue
testing and automatic load testing
and sorting. As the exclusive North
American distributor for Spring
Analysis Systems Inc., FSI offers a
wide range of testing solutions for
springmakers and OEMS.
HTC, represented by Forming
Systems Inc., introduced a 16 axes,
six mm spring forming machine.
The HTC-60XU forming center
includes 16 computer controlled
servo motors providing total camless operation for fast and flexible
setup. The machine also includes
a special x-y-z axes tooling table
with programmable rotating automatic tool changer. Single radius
and multi-radii servo winders are
also included. Additionally, this
machine offers an advanced design
second hook clamping device for
easy setup and production for a
variety of extension springs. For the
larger wire sizes, hydraulic cutoff
is also included. For information,
contact Forming Systems Inc. by
phone at (269) 679-3557 or e-mail
®
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Record Crowd Celebrates 75th
“This was the best annual meeting I’ve attended!” said Bert
Barnes, The Yost Superior Co. “We saw a lot of friends, enjoyed the
activities, and even did a bit of business!” Bert’s response to SMI’s
75th Anniversary held at the JW Marriott in Palm Springs, CA is
echoed in numerous evaluations received post-meeting. Bill Krauss,
Vulcan Spring, wrote, “The tremendous turnout and seeing people
who have not attended recent meetings.” Christian Poleshek from
Zapp Precision Strip said he liked “everything!”
With 217 registrants, the meeting began on Saturday with the
Welcome Home Reception that was outside—definitely a treat
for many members that traveled from Canada, Ohio, NY and other
winter-blown states. With over 200 people in attendance it was a
great place to recognize first-timers aka “green-dotters” due to
the green dot on first-time attendee’s name tags.
The next day SMI’ers could be seen congregating at the Tennis
Lawn for a tournament. Grass, clay, you name it, the JW had any
surface a tennis connoisseur would want! “It was the first time I’ve
played grass courts,” said Steve Kempf, Lee Spring. “It was a new
challenge!” After the final volley, Chris Wharin, Bohne Spring and
Lisa Cardile, InterWire Products ended up winning the tournament!
That evening the Family Reunion Barbecue, in honor of
charter members that had begun SMI so many years ago, were presented with special silver commemorative trays by President Dan
Sebastian, MW Industries. “It was wonderful, having the chance to
say ‘thanks’ to these longtime loyal members,” he said.
The next morning at General Session 1, the group was brought
to attention by General Nick Halley. The General provided wonderful leadership training and insights to America’s current military
situation. “He was great,” said Reb Banas, Stanley Spring & Stamping. “Engaging and relevant, he kept our attention throughout the
session.” Then it was time for golf or a hike, depending on your
preference for enjoying the outdoors. Ron Banas, Stanley Spring &
Stamping chaired the golf event involving over 80 participants. When
the bags were put away, the foursome on top was: Chas Stevens,
Amstek Metal, Billy Hunsucker, Capital Spring/MW Industries, Daniel
Pierre III, JN Machinery, and Miko Kabeshita, Ark Technologies. The
Canyon Hike attracted the attention of 50 others. Loading up a tour
bus, the group left the JW and trekked to Indian Canyon for a onemile spectacular hike. “Can’t wait to go for another hike next year in
Phoenix,” said Stephanie Witham, Motion Dynamics.
Day two began with General Session 2. Up to bat was Jim
Abbott, major league pitcher. Jims story as an overcomer provided
the audience with sound advice and an inspiring example. As a
University of Michigan graduate, a number of UM alumni, including President Dan Sebastian enjoyed Jim’s home-run presentation.
After the Membership Meeting approved the new Board of Directors, the new directors elected the new officers: President Reb
Banas, Vice President Scott Rankin,Vulcan Spring, and Secretary/
Treasurer Steve Moreland, Automatic Spring Products.
As most attendees prepared for the evening black-tie-optional Installation Dinner, a bus load headed for the mountain-top
tram trek which ended up being a wonderful way to see the
entire valley before departing the next day. The evening’s festivities started with a group photo outside and featured an 11 minute
SMI History on DVD that wowed the audience. The night ended
with new President Reb Banas inviting everyone to make plans to
come back next year when we’ll be in Phoenix at the JW Marriott
Desert Ridge Resort & Spa from April 5-7, 2009. The program will
feature National Fox News Anchor Gretchen Carlson with the
focus “Putting Leadership back into Strategy.”
Advertiser’s Index
A
Admiral Steel
(800) 323-7055
/ 16
Alloy Wire International
(866) 482-5569
/ 52
Anchor Abrasives
(708) 444-4300
/ 39
Ank Inc.
++886-2-29076581
/ 53
B
Blue Blade Steel
(908) 272-2620
/ 25
C
Chicago Association of
Spring Manufacturers Inc.
(630) 369-3772
/ 48
Coilmate
(800) 247-COIL
/ 11
D
Diamond Wire Spring Co.
(800) 424-0500
/ 43
Dispense Works
(815) 363-3524
/ 24
Durant Tool
(800) 338-7268
/ 58
E
Elgiloy Specialty Metals
(847) 695-1900
/ 21
F
Forming Systems Inc.
(877) 727-3676
/ inside front cover, 55
G
Gibbs Wire & Steel Co. Inc.
(800) 800-4422
/ inside back cover
G
Gibraltar Corp.
(847) 769-2099
/ 9, 60
H
Haldex Garphyttan
(888) 947-3778
/ 37
I
Industrial Steel & Wire Co.
(800) 767-0408
/5
InterWire Products Inc.
(914) 273-6633
/1
K
Kiswire Trading Inc.
(201) 461-8895
/ 19
M
Maguire Machinery
(609) 266-0200
/6
The Mapes Piano String Co.
(423) 543-3195
/ outside back cover
Mount Joy Wire Corp.
(800) 321-2305
/ 15
N
NIMSCO
(563) 391-0400
/ 34, 41
Nelson Steel
(215) 721-9449
/ 31
Norwalk Innovation
(800) 688-2645
/ 32
P
Precision Steel Warehouse
(800) 323-0740
/ 61
Proto Manufacturing Ltd.
(800) 965-8378
/ 45
Pyromaître Inc.
(800) 231-7976
/ 36
R
Raajratna Stainless
(847) 485-8210
/ 40
Radcliff Wire
(860) 583-1305
/ 28
S
Shinko Machinery Co., Ltd.
++ 81 6 6794 6610
/3
Simplex Rapid
(563) 391-0400
/ 26
Spring Manufacturers Institute
(630) 495-8588 / 29, 50, 57
T
TAK Enterprises
(860) 583-0517
/ 35
Tool King
(800) 338-1318
/ 56
U
Ulbrich Stainless Steels &
Special Metals, Inc.
(800) 243-1676
/ 47
V
Vulcan Spring &
Manufacturing Co.
(215) 721-1721
/8
W
Wintime Machinery
++44 0086 773 5854057
/ 33
Witels Albert
(410) 228-8383
/ 41
Z
Zapp Precision Strip
(203) 386-0038
/ 22
Sprung
Snapshot
Frank Mauro Jr.
Baumann Springs North America
Occupation: President of North American Operations
BAUMANN FEDERN AG, based in Switzerland. I work for
Baumann Springs North America with locations in Pineville,
NC, Grand Prairie,TX (My office is here) and Leon, GTO, MX
Spring industry affiliations:
- SMI (on the board of directors)
- Member GWSID
(Great Southwest Industrial District Association)
Birthplace: Philadelphia, PA
Current home: Arlington, TX
Family: My patient wife Tracy, Son Frank III, Daughter
Christina and my 4 legged children, Potroast, Tiberius,
Maggie and Bubba (3 English Bulldogs and 1 Pitbull)
What I like most about being a springmaker:
By working for International Companies it gave me the
opportunity to travel around the world meeting many
interesting people along the way.
Favorite food: Italian, Italian and more Italian!
Favorite books/authors: Favorite Book – DaVinci Code,
Favorite author – Dean Koontz
Favorite song/musician:
Stairway to Heaven/Led Zeppelin
Hobbies: Saltwater Fish
Favorite places: San Diego, CA
Best times of my life: Enjoying parties and get togethers
with family and friends when I lived in Philadelphia.
A really great evening to me is: Sitting by a fire
watching movies with my family.
The one thing I can’t stand is: People who move too
slow!
My most outstanding qualities are: Patience and the
ability to juggle many things at one time.
People who knew me in school thought I was:
A bit of a nerd and very quiet.
I knew I was an “adult” when: My son was born.
If I weren’t working at BAUMANN FEDERN AG,
I would like to: be a Marine Biologist
The most difficult business decision I ever had to
make was: I had to layoff friends and family when times
were difficult.
I wonder what would have happened if: I joined the
army instead of going into springmaking.
Role models: My Parents
I would like to be remembered in the spring
industry for: Being a boss who can also be a friend.
But people will probably remember me for:
Being that darn Eagles fan living in Cowboy country!

A World of Thanks to SMI on their 75th Spring Anniversary

Transcription

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