Home
Global Supplier Directory
APPLIANCE Engineer
Supplier Solutions
APPLIANCE Line
Whitepaper Library
Calendar of Events
Association Locator
Contents Pages
Market Research
Subscription Center


 
   
issue: March 2007 APPLIANCE Magazine

Manufacturing
Manufacturing Comes Full Circle


 Printable format
 Email this Article
 Search

by Steve Wichelecki, Assistant Editor

Advanced Dynamics is reducing costs and improving quality while bringing manufacturing from Mexico to Wisconsin, U.S.

Equipment being loaded at the Stanley Works facility in Puebla, Mexico, to be brought to Advanced Dynamics in Eau Claire, Wisconsin, U.S.

On the day APPLIANCE spoke with Wayne Kaiser, president of Advanced Dynamics, the company’s first shipment of motorized oven latches had left that morning from Eau Claire, Wisconsin, U.S., for its destination in Mexico, a manufacturing facility of appliance OEM Mabe. There was detectable excitement in Kaiser’s voice as he related a story of what is now commonly called insourcing, a story that promises benefits for his company, as well as its customers.
This tale of insourcing began 9 years ago, when Connecticut, U.S.-based Stanley Works, a tools and hardware manufacturing company, opened a factory in Puebla, Mexico, for the manufacturing of motorized oven latches.  Last year Stanley Works decided to shed its appliance division, and Advanced Dynamics, goaded a bit by its customers, decided to purchase the equipment and bring it to the U.S., a move made to gain more business for Advanced Dynamics with the effect of lower manufacturing costs for the oven latches.

Before the U.S. consolidation of the latch manufacturing, the electric motors used in the latches were made by one company, purchased by another and then sold to the Stanley Works facility in Mexico, where the latch component was assembled and sold to OEMs.
Since the purchase of Stanley Works’ equipment, the motors now come from Pacific Electronics (sister company to Advanced Dynamics based in Woodstock, Illinois, U.S.) to Advanced Dynamics in Wisconsin, where the product is assembled. The stamping is done by PMI of Bloomer, Wisconsin and Mankato, Minnesota-based AmeriStar. Kaiser justifies the inclusion of these third parties, saying that the amount of use his company would get out of owning stamping equipment does not warrant the cost of the initial investment. He goes on to say that the decision also results in improved product quality. “By having the stamping done off-site, we’re working with companies whose expertise is stamping—that’s what they do all the time. They do what they’re best at, and then we do what we’re best at.”

The 2-year-old supplier of appliance components hopes to add 20 to 50 new employees over the next 3 years, and even expects financial support from the local Eau Claire government, as success for Advanced Dynamics is seen as success for the local economy. “We are a growing company and we are going places,” affirms Kaiser. “We are going to grow quite a bit in the next year or so. John Tessendorf, who has ownership in both Advanced Dynamics and Pacific Electronics, has the goal of being one of the major OEM suppliers for the appliance industry.” Besides Mabe, the company will be producing latches for Whirlpool, BSH and Heartland. And on the day that APPLIANCE spoke with Kaiser, he reported an upcoming meeting with Electrolux Italy. “I hadn’t anticipated Italy being a part of it, but we’ll take it wherever it goes.”

Suppliers mentioned in this article:
Advanced Dynamics
 

Daily News

...........................................................

Nov 21, 2014: Electrolux: new U.S. fridge efficiency requirements are more complex than anticipated

Nov 21, 2014: Whirlpool brand launches Perceptions of Care video

Nov 21, 2014: Hon Hai 3Q profit $1 billion

Nov 21, 2014: Environmental Product Declarations for aluminum product types released

Nov 20, 2014: Report: Drop in affluents' consumer confidence may foretell signal trouble ahead for some retailers

More Daily News>>

RSS Feeds
.........................................................
Appliance Industry
Market Research

...........................................................

November 2014: U.S. Appliance Industry: Market Value, Life Expectancy & Replacement Picture 2014
October 2014: Portrait of the European Appliance Industry
September 2014: Appliance Industry Focus: HVAC
June 2014: Appliance Magazine Market Insight: April 2014




 
Contact Us | About Us | Subscriptions | Advertising | Home
UBM Canon © 2014  

Please visit these other UBM Canon sites

UBM Canon Corporate | Design News | Test & Measurement World | Packaging Digest | EDN | Qmed | Plastics Today | Powder Bulk Solids | Canon Trade Shows