Situation: As a specialty machine shop, D&E Machine Company had numerous customers in the automotive and steel industries that were hit especially hard by the economic downturn. Knowing that they needed to enter new markets and attract new customers to stay in business, the company sought assistance for growth opportunities from their local Manufacturing Extension Partnership (MEP) at TechSolve.
Project: TechSolve worked with D&E Machine Company following a Profit 101 workshop to develop a growth process. TechSolve also helped connect the company with The Edrington Group, the parent company of Macallan scotch whiskey, who needed assistance in prototyping and manufacturing a new product. To secure this new business opportunity, D&E Machine Company was challenged with creating a product that maintained functionality at lower cost than The Edrington Group’s current supplier in Asia.
D&E Machine Company designed and prototyped an ice molder that uses heat transfer to turn ice cubes into globes (the best shape for use with scotch according to many experts and enthusiasts). D&E Machine Company was also able to reduce the cost by more than 50%, all while not infringing on any patents. The Edrington Group awarded the supplier contract to D&E Machine Company, increasing sales for D&E Machine Company and bringing a manufacturing job back to the United States.
Results:
- Awarded supplier contract from the Edrington Group.
- Expected increase of sales of more than $4.5 million over two years, almost tripling their current sales.
- Continued expansion of business, including a new facility, new machines and additional employees.
TESTIMONIAL: We are a small manufacturer, and TechSolve has helped us remain competitive by assisting us with everything from writing a successful business plan to assisting us in securing a sales opportunity with a new customer. Their expertise and assistance have been invaluable.”
— Kim Coomer, Vice-President and Co-Owner