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|Articles - October 2013|
|Monday, September 30, 2013|
Page 4 of 4
Following in the footsteps of his grandfather, who worked at a paper mill his entire life, Steve Beauchamp has operated the heading machine at Portland Bolt for 34 years. Wearing a T-shirt with the sleeves cut off one recent morning, the muscular 55-year-old transferred steel rods with red-hot tips one by one into a giant gray forge. The machine clamped down and, with a deep thumping sound, punched out a hex head.
Beauchamp realizes spending multiple decades with the same company is almost unheard of these days, but he likes the stability. “This is a really solid company that grows,” Beauchamp says. “I feel appreciated here, that my experience is valued.”
Like many small-business owners, Bolt’s Todd emphasizes the family-like atmosphere of his company. “I come out here all the time,” he says, walking across the floor as members of the day shift thread and galvanize bolts. “I know all their names. I’m invested in them, and they’re invested in us.”
In general, manufacturing jobs treat their holders well, according to the Value of Jobs Coalition report. They offer wages and salaries 8% higher and benefits 59% higher than their nonmanufacturing counterparts. Plus, nonwhite manufacturing workers earn 49% more than nonwhite workers in other sectors.
In addition to covering 90% of health insurance premiums and providing seven paid holidays and two weeks of paid vacation per year to start, Applied Plastics pays for a life coach to consult one-on-one with its employees every month. “With a small manufacturer, the company has personality,” Riddle says. “I’m not sure you’re going to get that in a large company.”
Though the long-term employee base of Oregon manufacturers is fairly stable, many have trouble recruiting new blood because the education system encourages students to attend college rather than enter the workforce or enter trade school and young people tend to job hop before settling down. Plus, the practical trades have the “cool” factor working against them. “Most people don’t raise their kids to go into manufacturing,” Scherer says, explaining that many think of production jobs as dirty and low paying. “We’d like to see that perception change,” he says.
Nevertheless, as the overall economy rebounds from the recession and an increasing number of companies reshore their production, the small manufacturers left standing are stabilizing and, in many cases, growing, Scherer says.
Columbia Forge & Machine Works, which produces everything from battleship door handles to pole-line transmission hardware for the Bonneville Power Administration, is in major expansion mode. Because so many other West Coast forging operations have closed down and the Portland manufacturer is successfully moving into new markets, it has seen revenue growth of about 15% each of the last four years, Leaptrott says. Scherer predicts the next decade will be a good one for U.S. manufacturers, especially those in Oregon, because the productivity of the Oregon workforce is higher than most.
To take advantage of the reviving economic climate, basic factory businesses across the state are looking for ways to adapt both what they produce and how they produce it. Many, including Best and AmFor Electronics, are streamlining their operations by incorporating lean manufacturing techniques, often with the guidance of OMEP. Others are adjusting their offerings to better correspond with demand. Layton Manufacturing in Salem, for example, has transitioned from making asphalt-paving equipment to mobile-home-moving equipment and food-processing equipment for companies like Bob’s Red Mill and Frito-Lay.
“When I saw the market was hard to sustain, I started looking for other products that could flow through the plant,” says president John Layton, who made the latest specialty switch in the early 2000s. So far the adjustment has paid off, he says. “We bottomed out in 2008 with the recession but have been enjoying 20% growth every year since then.”
AmFor Electronics, too, is adjusting its offerings to correspond with current economic circumstances. To make use of the capacity left over from a onetime, two-year contract it fulfilled for Advance Auto Parts in 2011, the company is trying to gain traction as a contractor that manufactures other people’s ideas.
“We have excess capacity space-wise and a pretty flexible workforce,” Oliver says.
Even though many of Oregon’s small manufacturers are extremely dynamic as they shake off the downturn and figure out how to grow amid the ever-changing forces around them, they go unnoticed by the mainstream. But it doesn’t bother them too much.
“I know we bring value,” says Todd at Portland Bolt. “I see it in the marketplace.”
Monday, August 03, 2015
BY JASON E. KAPLAN | STAFF PHOTOGRAPHER
You may have noticed the photos of our rural health innovators departed from the typical Oregon Business aesthetic.
Tuesday, June 23, 2015
Oregon’s new marijuana law is expected to lead to a bevy of new business opportunities for the state. And not just for growers. Law firms, HR consultants, energy efficiency companies and many others are expected to benefit from the decriminalization of pot, according to panelists at an Oregon Business breakfast meeting on Tuesday.
Friday, July 17, 2015
Photographer Jason Kaplan takes a look at Murray's Pharmacy in Heppner. The family owned business is run by John and Ann Murray, who were featured in our July/August cover story: 10 Innovators in Rural Health Care.
Friday, July 10, 2015
BY JOE CORTRIGHT
The false promise of economic impact statements.
Wednesday, July 15, 2015
Former Governor John Kitzhaber's resignation in February prompted some soul searching in this state about ethical behavior in industry and government.
Tuesday, July 14, 2015
The Big One serves as an allegory for Portland, a city that earns plaudits for lifestyle and amenities but whose infrastructure is, literally, crumbling.
Wednesday, July 15, 2015
We asked readers how Obamacare has impacted their business.
|10 Innovators in Rural Health|
|The Private 150: From Strength to Strength|
|Farm in a Box|
|Flattery with Numbers|
|Preserving the Legacy|
|Downtime with Debra Ringold|
|Washington to add 7 cents to gas tax|
|Wages, benefits grow at slowest pace in 33 years |
|Amazon earns $92M in profit|
|Under Armour bests Q2 earnings expectations|
|More than a hundred passengers forced to stay overnight at PDX|
|Immunization rates to be available to parents|
|CEO who pledged $70K minimum wage sued by brother|
One of the many reasons why businesses fail is due to the lack of attention to analytics. Sure, you can go on running your business, but mastering the science of analytics will translate into a business advantage.
Court experience helps legal firm anticipate potential problems for clients and prevent expensive litigation.
When Garmin AT needed to consolidate operations for its 550 employees, it scanned its entire corporate map for possible sites.
Professional and Continuing Education (PACE) and the College of Business at Oregon State University is offering “Business Analytics for Competitive Advantage”, a two-day intensive workshop.
A look back at the shifting sands of Portland’s growth and development.
Robert S. Wiggins has joined Lane Powell as a Shareholder in the Corporate/M&A Practice Group. Wiggins is a well-known lawyer, entrepreneur, and investor with more than 30 years of experience leading and advising established and emerging companies in the Pacific Northwest. Wiggins will focus his practice on offering outside general counsel services, including general corporate and board representation, business transactions and capital events.