Texas Workforce Conference 2015 Local Employer of Excellence

Texas Workforce Conference
2015 Local Employer of Excellence
Nomination Form
The Local Employer of Excellence Award honors one private-sector employer in each local workforce development area (workforce
area) whose efforts and initiatives—in relationship with the Texas workforce system—had a positive effect on other employers,
workers, and the community. Your nomination should recognize one employer that, as a customer of and collaborator with the Local
Workforce Development Board (Board), created or used innovative approaches to support the Texas workforce system’s goal of
ensuring that both employers and workers have the resources and skills Texas needs to remain competitive. Describe your honoree’s
involvement with the Texas workforce system and how this partnership benefited your workforce area.
Nomination Form Instructions:
•
•
•
Download, complete, and save the nomination form.
E-mail nomination to [email protected].
Nomination e-mail must show a courtesy copy to the Board Chair and Executive Director.
If you have questions or need additional information, please contact:
Joel Mullins
(512) 475-0230
[email protected]
SUBMISSION DEADLINE is Thursday, June 25, 2015.
BOARD INFORMATION
WDB Name: Concho Valley Workforce Development Board
WDB Contact Name: Mr. Mike Buck, Executive Director
WDB Contact Phone Number: (325) 655-2005
WDB Contact Mailing Address: 36 East Twohig Avenue, Suite 805
San Angelo, TX 76903
WDB Contact E-mail Address: [email protected]
EMPLOYER INFORMATION
Employer Name: Terrill Manufacturing Company, Inc.
Employer Contact Name: Mr. Bill Hunter, Chief Operating Officer
Employer Contact Phone Number: (325) 655-7133, ext. 236
Employer Mailing Address: 2816 Martin Luther King Blvd.
San Angelo, TX 76903
Employer Contact E-mail Address: [email protected]
All Federal Employer Identification Numbers (FEIN): 750801839
All Employer UI Tax IDs: 750801839
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2015 Local Employer of Excellence
WDB Name: Concho Valley Workforce Development Board (CVWDB)
Each Board sets its own criteria. Overall eligibility requirements are that the employer operates a business within the
workforce area, has one or more employees, and is in good standing overall and with the Texas Workforce Commission Tax
Department.
Describe in no more than 350 words why your Board is nominating this employer, and how the employer’s efforts support the
Texas workforce system’s goal of ensuring that both employers and workers have the resources and skills Texas needs to
remain competitive.
Concho Valley Workforce Development Board (CVWDB) proudly offers Terrill Manufacturing Company,
Inc. as its 2015 nomination for the TWC Local Employer of Excellence Award. Terrill Manufacturing, a
nationally known supplier of architecture woodwork and casework products, provides custom designed
turnkey solutions supporting projects across Texas and the nation including schools, hospitals, office
buildings, hospitality buildings, churches, banks, municipal buildings, and other commercial constructions.
They are a certified member of the Architectural Woodwork Institute (AWI) since 1954, a member of the
National Minority Supplier Development Council, the Scientific Equipment and Furniture Association
(SEFA). Two years ago, Terrill Manufacturing began struggling with a high turnover rate, reduced business,
and low profits – then, they came to CVWDB and its Workforce Solutions a little over 18-months ago. The
rest was history. Their close partnership with CVWDB and the city’s economic partners produced tremendous
results over a short time that allowed them to double employees, more than double net sales and submit
applications to San Angelo (City of San Angelo Development Corporation [COSADC]) for economic
incentives to hire more employees, revitalize their facility, expand production, and further increase their
market presence. The key to their success was well-founded workforce development support and an engaged,
cohesive economic partners’ team. After a thorough tour of its 69-year-old, 100,000 square foot facility by
CVWDB and San Angelo’s Economic Partners (COSADC, Chamber of Commerce, Howard College, and
Small Business Development Center), the team began its work. First, CVWDB programs were instituted to
find quality employees, train them, and consequently reduce turnover. As Terrill Manufacturing embraced
workforce initiatives the company’s turnover rate essentially stopped; employees grew from 38 to 59 full-time
and 20 temporary workers with wages 20% above the local average pay while more than doubling production.
Resulting business (sales and production) grew 120 percent, even as the burgeoning oil boom pulled workers
away from the regions businesses into the high paying oil fields and relatively low unemployment rates (as
low as 2.8%) made workers scarce. The future challenge is to continue to train a growing workforce of skilled
millworkers, machine operators, finishers, and assemblers utilizing modern manufacturing processes.
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Texas Workforce Conference
2015 Employer of the Year
Nomination Form
The Employer of the Year Award honors a private-sector employer whose efforts and initiatives have had an extraordinary effect on
the state of Texas, other employers, workers, and the communities in which the employer does business. Your nomination should
recognize an employer that is a customer of the Texas workforce system and has created or used innovative approaches to best support
the Texas workforce system’s goal of ensuring that both employers and workers have the resources and skills Texas needs to remain
competitive. Nominations should focus on employer initiatives that have had a positive effect on current workers, future workers,
and/or workers with challenges that may make transitioning into the workforce difficult (e.g., unemployment insurance claimants,
Temporary Assistance for Needy Families recipients, previously incarcerated individuals, returning military personnel, and individuals
with disabilities).
The nomination may highlight employer initiatives in areas such as:
• training and retaining employees;
• upgrading worker skills;
• job creation or redesign;
• child care solutions;
• job sharing and telecommuting;
• activities with students, schools, colleges, training providers, and workforce education or development programs; and
• community involvement and collaboration.
Nominations, documented by endorsements or letters of support, that highlight connections to one or more of the following will be
given additional points:
• economic development or business organizations;
• educational entities (secondary and/or postsecondary); and
• local unions.
Each Local Workforce Development Board (Board) may nominate up to two employers. Complete a separate form for each
nomination.
Nomination Form Instructions:
• Download, complete, and save the nomination form.
• E-mail nomination to [email protected].
• Nomination e-mail must show a courtesy copy to the Board Chair and Executive Director.
If you have questions or need additional information, please contact:
Joel Mullins
(512) 475-0230
[email protected]
SUBMISSION DEADLINE is Thursday, June 25, 2015.
BOARD INFORMATION
WDB Name: Concho Valley Workforce Development Board
WDB Contact Name: Mike Buck
WDB Contact Phone Number: (325) 655-2005
WDB Contact Mailing Address: 36 E Twohig, Suite 805
San Angelo, TX 76903
WDB Contact E-mail Address: [email protected]
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EMPLOYER INFORMATION
Employer Name: Terrill Manufacturing Company, Inc.
Employer Mailing Address: 2816 Martin Luther King Blvd
San Angelo, TX 76903
Employer Contact Name: Mr. Bill Hunter, Chief Operating Officer
Employer Contact Phone Number: (325) 655-7133, ext. 236
Employer Contact E-mail Address: [email protected]
All Federal Employer Identification Numbers (FEIN): 750801839
All Employer UI Tax IDs: 750801839
PLEASE NOTE – AT THE REQUEST OF THE COMPANY, SPECIFIC NUMBERS AND CURRENT INCENTIVE WORK
WITH THE CITY OF SAN ANGELO DEVELOPMENT CORPORATION AND ANGELO STATE SMALL BUSINESS
DEVELOPMENT CENTER SHOULD BE TREATED AS CONFIDENTIAL AND WERE REMOVED FROM THE AWARD
PACKAGE. IF THE AWARD COMMITTEE WOULD LIKE SPECIFIC NUMBERS ON NET SALES
GROWTH/FORECASTS AND WAGES, PLEASE CONTACT CONCHO VALLEY WORKFORCE DEVELOPMENT
BOARD AND WE WILL PROVIDE THEM.
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2015 Employer of the Year
WDB Name: Concho Valley Workforce Development Board (CVWDB)
1.
Provide an overview of no more than 350 words describing the employer’s contribution to the Texas workforce
system. Identify Texas workforce system needs and describe innovation, partnership, and collaboration the
employer used to build capacity to meet economic and workforce objectives for the local community and the state.
25 Points
Concho Valley Workforce Development Board (CVWDB) proudly offers Terrill Manufacturing Company, Inc.
as its 2015 nomination for the TWC Employer of the Year award. Terrill Manufacturing, a nationally known
supplier of architecture woodwork and casework products, provides custom designed turnkey solutions
supporting projects across Texas and the nation including schools, hospitals, office buildings, hospitality
buildings, churches, banks, municipal buildings, and other commercial constructions. They are a certified
member of the Architectural Woodwork Institute (AWI) since 1954, the National Minority Supplier
Development Council, and the Scientific Equipment and Furniture Association (SEFA). Two years ago, Terrill
Manufacturing began struggling with a high turnover rate, reduced business, and low profits – then, they came
to CVWDB and its Workforce Solutions a little over 18-months ago. The rest was history. Their close
partnership with CVWDB and the city’s economic partners produced tremendous results over a short time that
allowed them to double employees, more than double net sales and submit applications to San Angelo (City of
San Angelo Development Corporation [COSADC]) for economic incentives to hire more employees, revitalize
their facility, expand production, and further increase their market presence. The key to their success was wellfounded workforce development support and an engaged, cohesive economic partners’ team. After a thorough
tour of its 69-year-old, 100,000 square foot facility by CVWDB and San Angelo’s Economic Partners
(COSADC, Chamber of Commerce, Howard College, and Small Business Development Center), the team
began its work. First, CVWDB programs were instituted to find quality employees, train them, and
consequently reduce turnover. As Terrill Manufacturing embraced workforce initiatives the company’s
turnover rate essentially stopped; employees grew from 38 to 59 full-time and 20 temporary workers with
wages 20% above the local average pay while more than doubling production. Resulting business (sales and
production) grew 120 percent, even as the burgeoning oil boom pulled workers away from the regions
businesses into the high paying oil fields and relatively low unemployment rates (as low as 2.8%) made workers
scarce. The future challenge is to continue to train a growing workforce of skilled millworkers, machine
operators, finishers, and assemblers utilizing modern manufacturing processes.
2.
Describe the employer’s involvement with the Texas workforce system and successful support of Texas’ workforce
needs.
10 Points
Terrill Manufacturing’s successful transition cannot be measured just on its partnership with the workforce
board – the CVWDB applied the initial impetus that enabled the San Angelo’s Economic Partner team to
solidify and build a growing business for the future. However, the CVWDB’s effort was not an easy one – an
undermanned, older workforce operating a mix of 30-year old legacy manual cutting/fabricating machines
alongside modern-day computer controlled mills, saws, and assembly machines.
Initially, CVWDB determined that hires, most under the On-the-Job Training (OJT) program, would provide
the best initial employee hire resulting in reduced initial employee costs to the company plus guaranteeing a
more stable employee. Six of seven OJT hires were successful. The one unsuccessful OJT was due to an outof-workplace injury and the company would re-hire him once he is fully rehabilitated.
From there, the company’s office administrator, WFS WIA program manager, and WFS career specialist
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continued routine meetings over the past 18 months to fill open positions – identifying potential hires,
conducting on-site orientations, and screening potential employees to rebuild the company’s workforce with
solid, dedicated workers, while also using available training resources to improve its workforce quality. The
result has doubled Terrill Manufacturing’s workforce 38 to 79 employees.
To further augment Terrill Manufacturing’s workforce, CVWDB, working with Howard College-San Angelo,
helped Terrill Manufacturing set up an intern program with students from Angelo State University and Howard
College-San Angelo. Howard College is in discussion for developing additional training requirements and
opportunities for Terrill Manufacturing’s employees.
COSADC economic incentives are still being negotiated at the time of the award nomination and when
approved, will help Terrill Manufacturing expand production, grow its national marketplace, and strengthen the
foundation for a major local San Angelo employee for years to come. Angelo State University’s Small
Business Development Center played a key role in aiding Terrill Manufacturing in developing financing options
for its planned expansion.
Finally, as a result of their efforts, in the coming months, the San Angelo Chamber of Commerce will invite
Terrill Manufacturing as a member of the San Angelo Regional Manufacturers Alliance (SARMA) – a newly
formed, Chamber-sponsored consortium of manufacturers and fabricators focused on branding and promoting
the San Angelo manufacturing community, educating the national marketplace of the products manufactured in
San Angelo, and publicize the region’s manufacturing and fabrication-trained workforce capabilities.
THE RESULTS DELIVERED: Business is booming and the employees are benefitting. Starting June 2015,
Terrill Manufacturing employees are able to work up to 12-hour days and 60-hour workweeks plus the option to
work an additional 8 hours on the weekends due to high volume of school district-related projects now on the
books (with overtime pay as appropriate.) As a side note, one worker attained his GED and plans are in the
works to establish Adult Literacy and Education and other training programs on site.
3. What were the results? Identify the economic impact or other measurable results relating to employers, workers,
the local community, and the state of Texas within the past 12 months or most recent reporting period (e.g., new
business, new jobs, upgraded worker skills, improved new-hire retention).
10 Points
The company has grown tremendously over the past 18 months and is now pursuing incentives with the City of
San Angelo to further enlarge its operations. Net sales increased 120 percent and employees doubled. With
potential economic incentives applied for, Terrill Manufacturing is looking even to further expand its operations
and employees in the next three years.
Based on the tremendous improvement in its workforce and productivity, Terrill Manufacturing removed
outdated manual equipment to free floor space; purchased a $300,000 high technology laminating machine;
developed the means to connect its drafting tools to machines using computer automation; and, implemented
lean manufacturing following the Toyota model. Its reformed assembly lines have reduced production times by
half, and Terrill Manufacturing now plans for an expected 45% increase in production in projects ranging from
$50,000 to over $1 Million. The average job size has increased by 30 percent as well as the number of projects
through production and the work backlog has more than doubled. After several unprofitable years caused by
the 2008 downturn in the economy, Terrill Manufacturing became profitable again in 2014 and project
profitability in 2015 and in the future. Terrill Manufacturing follows just-in-time manufacturing to keep
minimum inventory and finished goods in stock. For these reasons, the warehouse did not need expansion and
work areas were further consolidated.
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Total OJT costs are estimated to be $18,882. For an example, for one of the seven OJT employees, total man
hours were 272.57 for a total of $2,416.88 in addition to the $1,385 in support services ($810 for clothing and
gas assistance plus $575 for one-month rental assistance.) Full-time childcare for two children was also
provided.
4. Explain how the Texas workforce system gained leverage, capacity, and advantage from these 10 Points
A small manufacturer, once stagnant in growth, is now a growing, thriving business with even bigger
aspirations for the future. It is not only providing well-paying jobs in an area prime for economic
revitalization, its initiative with CVWDB has enabled Terrill Manufacturing to grow its local workforce from
38 to 79 employees with more growth forecast. Their now active intern program will support student learning
into the future; potentially teaching the foundations of a trade, business, and manufacturing principles. This
future workforce will be available to return to Terrill Manufacturing as they graduate. In 2015, Terrill
Manufacturing had three interns, all in the financial area: one designed their website; one worked on their
marketing and business development; and, one worked in their accounting area. Finally, Terrill
Manufacturing’s impressive turn around has allowed them to begin negotiations with the city of San Angelo
for growth initiatives (still confidential) that will establish it as a major business force within the community.
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2015 Employer of the Year
WDB Name: Concho Valley Workforce Development Board
5.
Identify those involved, including collaborators, both inside and beyond your local workforce development area.
Collaborators may include local economic development and business organizations, educational partners, and labor
organizations. Describe the benefits each collaborator received.
10 Points
Terrill Manufacturing Company, Inc.
The Economic Partners:
Concho Valley Workforce Development Board & Workforce Solutions of the Concho Valley
City of San Angelo Development Corporation (COSADC)
San Angelo Chamber of Commerce
Angelo State University Small Business Development Center
Howard College-San Angelo
Angelo State University
Downtown San Angelo
6.
Describe the scope of this initiative, including the budget, human resource requirements, time invested, and time
frame. In terms of any or all of the elements identified above, what was the approximate cost of this endeavor?
10 Points
This 1.5 year initiative, previously described in more detail in Section 3, included: stabilizing Terrill
Manufacturing’s workforce turnover, finding key employees to fill key positions, hiring additional employees
to grow to expected (and achieved demands) while training employees, new & old, to build a higher quality,
higher paid workforce. This was a relatively low-cost endeavor with high pay-off results. The Workforce
Board spent approximately 40-50 man hours on-site over 18 months to establish the programs. Terrill
Manufacturing’s close working partnership with the City of San Angelo Economic Partners demonstrates a
most productive initiative that enabled them to benefit from the full variety of workforce and business tools to
produce a turnaround that far exceeded expectations.
5 Points
Terrill Manufacturing has fully integrated its business growth efforts with CVWDB benefits, and it is the first
to take full advantage of the local San Angelo Economic Partnership: a team comprised of CVWDB, City of
San Angelo Development Corporation, Chamber of Commerce, Angelo State University Small Business
Development Center, Howard College-San Angelo, Angelo State University and Downtown San Angelo.
This is an important step in the development of workforce support available to the local region – Terrill
Manufacturing has helped the Economic Partners demonstrate the responsiveness and effectiveness of the
Economic Partnership team show its wide-range of benefits and incentives available, and highlight the
benefits in working with the team. In sum, the City has now been able to demonstrate the maturation of the
Economic Partnership team and the workforce programs available to businesses.
7.
Describe innovative methods or essential ideas that make the employer’s efforts unique.
8.
Explain how others are using or might replicate these efforts.
5 Points
Developing a viable, thriving business under the umbrella of the city’s Economic Partnership is a key
demonstrator to other businesses that there is valuable resource for growing their businesses, and thus
workforce. To date, the response of the partnership -- in the way it collaborates, coordinates, supports each
other -- has favorably influenced ten out-of-region business’ decisions to move into the area into the next 3
years. The team led by COSADC has also developed a Business Retention and Expansion Program to help
strengthen and grow local businesses using Terrill Manufacturing and other successful responses to now
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formalize the program within the City’s government structure. To date, this young, 8-month old program aided
eight local businesses, including one Trade-Affected Act manufacturer, to rally their slow sales into growing,
thriving business. The collaborative efforts of all economic development partners including regular meetings,
lead sharing and rapid response to site visit requests, has proven to be of great value to prospective clients.
10 Points
Terrill Manufacturing was able to certify as a Texas Historically Underutilized Business (HUB) Program on
April 1, 2014. As a HUB-qualified business with a minority (African-American) owner thus strengthening its
ability to garner contracts with the government. Also, throughout its innovation and restructuring efforts, it held
fast to keeping its anchors within its current community, becoming a key contributor to helping an economically
challenged area. The company’s commitment to its employees and community was further recognized during
the week of June 15, 2015 – Terrill Manufacturing Company, Inc. was awarded Minority Manufacturer of the
Year by the Minority Business Development Agency at the U.S. Department of Commerce.
9.
Describe how the employer contributes to the community.
The company is seeking FSC designation 7 by the Green Building Council for its support of Leadership in
Energy and Environmental Design (LEED) sustainable materials. Terrill Manufacturing has committed
intensive time and effort to achieve this superior designation achieved by supplying all its raw materials from
sustainable forests. This further cements its ability as a long-term business since it opens markets for customers
seeking LEED points for their projects required by most governmental agencies that require or reward LEED
rated projects.
5 Points
Through its efforts with the Workforce Development Board, Terrill Manufacturing has been able to take full
advantage of workforce programs. Of primary concern to the employee is his/her ability to now have a wellpaying career with a caring employer. Starting wages are 20% above local area averages, but it is the nontangibles that make Terrill Manufacturing a quality workplace and desired by job seekers--restructured floor
space, equipment modernization, expert training--enables workers to better support Terrill Manufacturing’s
advanced manufacturing plus gain the critical high-skilled training in computerized machinery. This training
offers them long-term employment with Terrill Manufacturing, a chance of progression through the ranks,
and/or opportunities to compete for more technical jobs.
10. Describe why job seekers would choose this employer over other employers.
SUPPORTING DOCUMENTATION
Scan supporting documentation, such as letters of endorsement or support for the employer nomination or newspaper articles,
and attach them to your e-mail nomination.
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