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Made in the USA: A Case Study, Part 2 of 2 not for CUSTOM VELCRO PATCHES

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diegoliottz
Made in the USA: A Case Study, Part 2 of 2 not for CUSTOM VELCRO PATCHES

Reviewing the cap production and needlework operations of Texas-based American Made Cap Co
. In the March 2013 concern of Impressions (" Made in the USA: A Case Study, Part 1 of 2"), I wrote about a set of buddies, Greg Bednarik and also Rickey Eavenson, who determined to support their regional west Texas economy by buying American Made Cap Co., a battling cap manufacturer that had gone through numerous adjustments in possession throughout the past 3 years, with numerous workers being determined via the company's stormy times.
With the new CUSTOM VELCRO PATCHES entrepreneur came new hope for the business, which I had done business with during the "gimmee-cap" boom of the 1970s. Throughout my first browse through earlier this year, I recognized a number of areas for improvement, but the largest obstacle stayed discovering adequate clients going to pay a little a lot more for a top notch, American-made cap. Recognizing a complementary product the firm could produce or decorate to produce additional earnings was an additional obstacle.
Bednarik disclosed that some key personnel changes literally have changed the complexion of their business. At the time of my previous visit to American Made Cap Co., brand-new Production Manager David Stutts had actually simply begun working with the company. Stutts was experienced with manufacturing in a different sector, and also was familiarizing himself with the procedure of production and decorating headwear.
I might tell from his concerns that Stutts is a really quick study and also, since press time, has actually obtained a firm grip of all phases of manufacturing. Among the discoveries he made is that during a previous owner's tenure, the needlework equipment thread trimmers had been switched off to improve stitch outcome. This benefitted equipment drivers, who got on a motivation program. Unfamiliar with the needlework process as well as device capabilities, this problem was just uncovered after the company paid numerous hours of overtime to workers performing cutting tasks.
Additionally, a number of various other brand-new workers are really making an influence. One has graphic arts skills as well as screen printing experience, and is being educated to supply back up to digitizer Wanda Eavenson. One more new worker is making payments in the area of information technology as well as likewise is being cross-trained for various other obligations. Both brand-new staff member likewise act on new business leads.
Development at the top of the workers chain additionally aided to make changes that improved the staffing in various other ways. One of the lessons discovered by the possession is that certain staff members are not necessarily crucial. It's a common concern amongst entrepreneur as well as management that everything will certainly stop if several vital workers leave the firm. In my experience, nevertheless, this is hardly ever the instance. American Made Cap Co. discovered that in spite of losing a number of staff member-- including a manager-- that manufacturing was sustained without skipping a beat.
BRAND-NEW PROCEDURES, BUSINESS
By simply observing and also making changes to company methods, Eavenson and Bednarik have actually reduced their daily operation prices by $500-$ 600 per day. This has substantially enhanced capital and can be credited to several crucial adjustments.
A huge change is streamlined paperwork, which was attained by taking a close take a look at paper circulation within the company and also making changes that helped boost effectiveness. Monitoring likewise placed emphasis on credit card payments for clients, which minimized the management costs connected with invoicing and also collection.
In the new company arena, 4 interesting and also significant cap production possibilities have been introduced to American Made Cap Co. from companies in Colorado, New York, California and also Texas. At press time, some new accounts were still in the process of being fleshed out, but the brand-new company is supplying the cash flow needed to create a healthy and balanced organization account. One of the brand-new accounts sends its very own patterns as well as products to American Made Cap Co., which supplies cut-and-sew plus needlework services. Keeping the needlework devices humming contributes to paying the overall expenses for the plant.
One more contribution to the business's success is its organization with the Go Texan program, from which it has enjoyed significant benefits. Through affiliation with this program, funded by the Texas Department of Agriculture, a firm's name is associated not only with American-made items, but additionally Texas-made products. It was a special day in July when Texas Department of Agriculture Commissioner Todd Staples visited the company. He acknowledged American Made Cap Co. for its use material made from American Cotton Growers (based in nearby Littlefield, Texas) in the company's caps, aprons and shoulder bag.
The most significant as well as most promising development the company has actually experienced during the past couple of months is the addition of a corresponding line of product. The product-- lightweight, flame-resistant clothing-- is used thoroughly by firms with personnel in oil and also gas areas. These firms likewise make use of lots of headwear, making sales calls two times as effective.
" It's a benefit that the United State government calls for workers in particular sectors, including seismic workers, to use flame-resistant clothing," Bednarik says.
As part of the garments program, the company includes as much as 10,000 stitches of needlework in its pricing. The company even makes headwear from the special material. Stutts located that the team can embroider it making use of regular manufacturing approaches, supplying more orders to maintain the embroidery devices running constantly. The company also started a brand-new website, americanfrc.com, that includes the product.
WHAT'S NEXT
Reinvigorated by the remarkable development the company has made in current months, Bednarik as well as Eavenson look forward to carrying out prepare for additional development. Initially, they intend to boost its on the internet existence and also maybe launch a line of themed caps. American Made Cap Co. still participates in a give program that can help supply funds to raise its Internet existence as well as marketing as a whole. They additionally want to develop a program with a major account to create caps for stock throughout slow times.
Bednarik intends to fill up the plant's production ability and also start a new, improved motivation program for workers. "I 'd rather pass even more money to the employees if I can jam this location with volume," he says.

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