Protomatic Featured in MMTC
In the Fall of 2009 edition of Michigan Manufacturing Technology Center (MMTC) ran a feature article on Protomatic. MMTC provides Michigan’s small and medium sized manufacturers with operational assessment, process improvement training, mentoring services, website technical assistance and market diversification tactics.
Here is the article that was featured:
Protomatic, Inc., a leading manufacturer of prototype and short-run production machining, was founded by William Wetzel in February 1971. The company relocated to a modern and climate controlled 30,500 square foot facility in Dexter, Michigan 10 years ago. Protomatic provides contract manufacturing for all industries utilizing specialized machining such as CNC Multi-Axis Vertical Machining Centers, C-Axis CNC Lathes for precision turning plus welding and plasma cutting. Customers take advantage of CAD / CAM electronic interaction and CMM data collection for high quality ¬ fixture, tool and die fabrication.
Protomatic employs 24 people who have in-depth technical knowledge and experience working with billet plastic, rubber, aluminum, steels, super alloys, titanium & refractory metals and castings. Protomatic offers in-house design services, prototype manufacturing, production and assembly of custom parts and systems for a variety of industries including aerospace, defense, automotive, electronic, alternative energy, medical and optical OEMs. For Protomatic Inc., the downturn began in 2000. The contract machining company had focused on supplying parts for the automotive industry and auto companies were looking to cut back on the kind of prototype component work Protomatic did, recalls Doug Wetzel, VP and General Manager.
“We saw the writing on the wall and transitioned,” Wetzel said. “We are one of the lucky ones.” Transition for Protomatic meant a shift from making products like alternators or instrument panels, to making chambers to grow nerve cells for the medical industry or safety critical flight components for F-16 and F-18 military jet planes. It was a move that ultimately, Wetzel said, “saved the company in light of the worldwide downturn in the auto industry.”In spring 2007, Karen Lee, Business Development Manager from the Michigan Economic Development Corporation (MEDC) referred Protomatic to the MMTC for consulting and training. MMTC staff met with members of the Protomatic management team to discuss strategic opportunities. Protomatic was seeking information about AS 9100 and ISO.
Protomatic’s work with the MMTC Market Diversi¬fication team is also clearly yielding dividends. The Protomatic sales team learned new methods to reach potential new customers in emerging markets. The company is working with battery and fuel-cell groups and looking to work with other high-tech startups.
“We have confirmed a 5.2% increase in machine utilization between May of 2008 and March of 2009…Total business impacts are over $1 million and include creating and retaining 14 jobs over the last 15 months.” Doug Wetzel, VP and General Manager, Protomatic, Inc.
Protomatic, Inc. 13485 compliance, the quality management system (QMS) standards for Aerospace and Medical Devices – two industries they were currently serving. MMTC assisted Protomatic by securing Incumbent Worker Training (IWT) funding to help supplement the cost for training workers to secure compliance to these standards. Going beyond the initial QMS training, MMTC and Protomatic collaborated on several other improvement projects including: LEAN Business Solutions, Activity-Based Costing model creation, Scrap Cost Reduction and Prevention (SCRAP) program, and Market Diversification. Additional funding grants were secured to assist Protomatic in offsetting the initial costs.
Protomatic ultimately was able to reduce its automotive business from 85% to 15%, while ¬ filling capacity with new products in new markets. With MMTC’s help in becoming compliant to the relevant industry standards, utilizing LEAN initiatives and market diversifi¬cation assistance, they were able to increase and sustain their initial outreach into those sectors. The resulting product mix resulted in a 40% increase in sales from 2005 to 2009 or an average growth of 10% a year.
Protomatic is very pleased with the results. As with any improvement project, it is often difficult to see immediate benefits. “All the employees needed to be trained so we shared a common vision and goal for the improvements,” Doug Wetzel stated, “MMTC created a positive learning environment that was very e¬ffective – MMTC moved from theory to practice with hands-on teaching to help simulate our own improvements on the shop floor.” Doug went on to say, “A LEAN program must start at the top and be supported from the employee foundation to be successful. Employees support an idea only if they can directly see the benefit. LEAN- is a little di¬fferent way of thinking, in that employees are empowered. The first step was to educate management in the expectation and overview of the process.”
Upon completion of the LEAN training, Protomatic employees assembled a kaizen team and conducted a continuous improvement event to improve manufacturing processes and optimize their work environment. Employees implemented 5S – an organization wide focus on establishing a standardized approach to providing “a place for everything and making sure everything is in its place.” Each workstation was included and the before and after photos reveal the pride employees have at each workstation. “Even this relatively simple concept of 5S led to great improvements.” Doug said, “We have confirmed a 5.2% increase in machine utilization between May of 2008 and March of 2009”. This is just one of many quanti¬fied improvements that Protomatic has realized since initiating their ¬ first improvement project with MMTC. Total business impacts are over $1 million and include creating and retaining 14 jobs over the last 15 months.
“During down economic times, there are a lot of people unemployed, and they start thinking. That’s when the truly creative and business-changing ideas occur,” stated Wetzel. Wetzel thinks businesses with stories like theirs should create hope in our region, despite the difficult conditions.
