PRODOMAX AUTOMATION www.prodomax.com

Prodomax Automation
www.prodomax.com
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MANUFACTURING • Prodomax Automation
Prodomax
Automation
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APRIL 2010 • The Canadian Business Journal
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Automated manufacturing solutions
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MANUFACTURING • Prodomax Automation
Located in Barrie, Ontario, Prodomax
Automation specialises in all areas of
automated manufacturing solutions. Every
part of the process—design, assembly,
welding, machining, materials handling,
and laser cutting—is handled in-house by
Prodomax’s highly skilled technicians and
engineers.
While Prodomax has built a solid reputation servicing the automotive industry, the company is
also capable and experienced in producing a wide
variety of manufacturing systems for other industries, such as telecommunications, agriculture,
electronics, solar energy, mining and consumer
products. It is this diversity that really sets Prodomax Automation apart from its competition.
APRIL 2010 • The Canadian Business Journal
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MANUFACTURING • Prodomax Automation
Becoming Prodomax
ness. Now, we have established our niche. There
Prodomax Automation began in 1971, at a time
are a lot of competitors who build custom ma-
when there were only a few manufacturing com-
chinery in North America, but we’re one of the
panies in the Barrie area—Northern Telecom
few who call ourselves an under-body specialist.
(Nortel) and West Bend. “There was a need for a
This also distinguishes us.”
small, special purpose machinery builder to ser-
Before 1995, Prodomax Automation was
vice mechanic needs of local companies,” says
doing well, but sales were certainly below $10
Don Leslie, Director of Sales & Marketing.
million. Only eight years after new ownership, the
Prodomax was founded by a former Nortel
company was seeing numbers increase by nearly
employee who was also a tool and die maker. He
ten-fold. How has Prodomax grown so significant-
saw an opportunity for a niche in the market and
ly? Besides offering a range of capabilities and
went for it. In the beginning, the company was
expertise, Leslie says success has come through
made up of only three people and won Nortel as
word of mouth.
its base customer. The company went on for sev-
“We don’t do a lot of marketing,” he boasts.
eral years, slowly building a name for itself and
“All of our business has come from our reputa-
experiencing moderate success. But it wasn’t
tion. We work with our customers that we con-
until 1995 that Prodomax really took off.
tinue to service with warranties and spare parts
“In 1995, new owners arrived,” recalls Leslie.
and training. Most of our projects are from repeat
“One owner was from the automotive industry
customers. We do have a business development
and the other came from the public accounting
side where we look to break into new markets
sector. It was a good complement to the busi-
and get new customers, but it’s not a primary
ness. They immediately restructured the com-
focus, because 90 per cent of our business is
pany by adding a lot of highly skilled people,
repeat business.”
including designers, project managers, and sales
and applications engineers. At that time, the
Turn-key solutions
company rebranded itself from a small, special
Since expanding its offerings, Prodomax is
machine builder to what we now call a ‘vehicle
among a small group of manufacturing compa-
under-body specialist’—that branding has been
nies that can provide a range of full in-house
the substantial factor in the growth of the busi-
capabilities. “We provide our customers with
APRIL 2010 • The Canadian Business Journal
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turn-key manufacturing solutions,” beams Leslie.
important is that Prodomax can and does process
“Customers come and say ‘here is our product,’
its customers’ requests from beginning to end.
and we go from a blank sheet of paper and come
Leslie explains that right up-front, Prodomax
up with what is the most efficient and cost-effec-
has a team of engineers with extensive process-
tive manufacturing solution.”
ing and manufacturing expertise who look after
“We have competitors that do the same type
sales and applications. When a new opportunity
of work, but with cost pressures, a lot of competi-
comes in, those engineers assist customers in
tors will outsource to design houses,” he contin-
defining their needs and sorting through a num-
ues. “Our engineers are in-house, so our custom-
ber of options that could work. Once the team
ers benefit from the depth of resources.” To be
books a job, the company leverages its 40 en-
clear, it’s not that Prodomax never outsources, but
gineers, fabrication shop and machine shop to
it only happens as a last resort, when the team
get the job done, and that includes onsite instal-
has reached maximum capacity and needs to
lation. “We’re there from the idea to full produc-
service its customers in a timely manner. What is
tion,” says Leslie.
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MANUFACTURING • Prodomax Automation
Surviving turbulent times
“The OEM part of our business is with the auto
For a business that deals mainly in the automo-
manufacturers, and we started seeing projects
tive sector, Prodomax was certainly affected by the
get pushed back. It challenged us to look at our
recession. Fortunately, the company predicted the
internal processes to try and identify inefficien-
tough times ahead and was able to act proactively.
cies. Activities that once were in series had to be
“Five years ago, we started seeing the pressure to reduce costs and schedules,” says Leslie.
in parallel, so we had to move things around. We
also had to create standardised products—we
APRIL 2010 • The Canadian Business Journal
still customise but we have various modules that
affect the company. People with money tied up
we use and reuse, particularly on the electrical or
in those companies stopped spending and the
control side of the equipment.”
industry took a hiatus. “We went through a pe-
As for the GM and Chrysler bankruptcies,
riod where things weren’t really happening,” says
Prodomax also saw those coming and started
Leslie, “which forced us not to rely so heavily on
making relationships with new domestics, such
the auto market.”
as Nissan, Toyota and Honda. “It used to be that
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After weathering the economic storm, the
80 per cent of our business was with ‘the Big
company has amped up its pursuit of non-auto-
Three,’ but now GM and Chrysler represent about
motive businesses, such as solar energy, agri-
10 per cent and Ford has 20 per cent,” Leslie
culture and mining. Today Prodomax Automation
explains. “The rest are new domestics.”
remains in good standing for success. CB
Even though Prodomax was able to escape
the bankruptcy fallout, its customers still had a
lot of business with GM and Chrysler, so it did
www.prodomax.com
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