Volunteer to Speak at High School Career Day

High schools are starting to schedule annual Career Days. DJ Products encourages business owners and managers to call your local high school guidance department and volunteer to make a presentation. There’s been a lot of press over the past year about dwindling work forces in the material handling, manufacturing, fulfillment and warehousing industries. The need to educate young people about the career potential in our industries has been repeatedly stressed by industry leaders at national association conferences. We need to work now to encourage America’s youth to pursue careers that will benefit and ensure the future of material handling and the U.S. industries so vital to American commerce. High school Career Days give local business leaders a perfect opportunity to talk to America’s future workforce and encourage teens to seek careers in material handling, manufacturing, fulfillment and warehousing.

Partnering with high schools through Career Day, internships and technical training programs are among the nationwide efforts being made to draw future workers to material handling and other industrial careers. A unique partnership in Rock Hill, South Carolina could serve as a model for similar programs across the country. In sponsorship with the Material Handling Industry of America (MHIA) and the Material Handling Education Foundation Inc. (MHEFI), Rock Hill Schools are set to open the Don Frazier Supply Chain Training Center at the end of April. A new addition to its Applied Technology Center, Rock Hill’s new entry-level pilot program will allow high school students to learn by doing in a state-of-the-art, fully equipped, 4,000 square foot warehouse and distribution center, according to a MHIA press release.

Named for industry pioneer and program supporter Don Frazier, founder of Frazier Industrial Co. headquartered in New Jersey, the Don Frazier Material Handling Technical Training Program will provide hands-on learning in material handling and supply chain jobs to high school students in grades 9 through 12. Numerous local and national industry leaders and suppliers contributed to the start up of the Rock Hill program. Modeled after the prestigious Lehigh Career and Technical Institute program at Lehigh University near Allentown, Pennsylvania, it is hoped that the pilot program will serve as a model for the development of similar programs at high school technical centers across the country.

How Did U.S. Automakers Get Themselves into This Mess?

President-elect Obama yesterday asked President Bush to throw a lifeline to the battered U.S. auto industry. House Speaker Nancy Pelosi also called for “emergency and limited financial assistance” for auto makers and suppliers, introducing legislation to make the big three automakers eligible for help under the $700 billion Congressional bailout passed last month. The move followed disastrous third-quarter losses reported by Detroit’s Big Three: General Motors, Ford and Chrysler.

Prior to its election break, Congress passed legislation providing $25 billion in government-backed loans to automakers to help them retool for the production of more fuel-efficient vehicles. Since then, the Big Three and United Autoworkers officials have asked for an additional $25 billion to keep the automakers afloat and a further $25 billion to fund future healthcare payments to 780,000 retirees and their dependents. Legislation currently being written in the House and Senate is expected to severely limit executive compensation and demand vigorous federal review in exchange for bailout funds.

Critics say Detroit is suffering from decades of short-sightedness and poor decision-making. In iterating the missteps that have led automakers to the edge of bankruptcy, critics cite the auto industry’s failure to invest in new products, failure to aggressively pursue fuel-efficient cars, failure to meet the competitive challenge of Asian imports and failure to take on growing union demands.

“There’s been 30 years of denial,” said Noel Tichy, a University of Michigan business professor, author and auto industry consultant. “They did not make themselves competitive. They didn’t deal with the union issues, the cost structures long ago, everything that makes a successful company.”

Tichy says the auto industry’s problems started in 1980s when Toyota and Honda mastered the production of reliable, fuel-efficient cars. Detroit, unfortunately, failed to see this as an omen of future trends. Cheap gas and a strong U.S. economy made Detroit blasé about the public’s fledgling interest in ecology and “green” lifestyles. Driven by high profits and consumer demand, the Big Three automakers continued to invest in the traditional “bigger is better” model, flooding the American market with luxury vans, trucks, SUVs and the ultimate example of overindulgence, the Hummer.

By the 1990s, Detroit had effectively ceded the small and midsize car markets to Toyota and Honda. When fears of global warming, pollution and high oil prices began to gain affect public opinion and buying habits after the millennium, U.S. automakers were caught unprepared. Skyrocketing fuel prices over the past year sent sales plummeting and sealed their fate. Coupled with a recessive economy and tight credit, failure to address future trends has driven the U.S. auto industry to the brink of extinction.

Next time: Hope for the future: Changes that will redefine the U.S. auto industry

Lessons to be Learned from the Auto Industry Meltdown

The plight of the American automobile industry should serve as a cautionary tale for all U.S. manufacturers and businesses. To survive in today’s global marketplace, you must be flexible, embrace change, and constantly re-shape your business to meet future trends. Survival is as much about preparing your business for the future as it is about being competitive today.

Detroit’s problems are complex and have been exacerbated by a 15% sales drop as the economy has worsened, but at their core is the failure of U.S. auto executives to acknowledge the trend toward more fuel-efficient cars and to innovate. Rather than meeting the challenge posed by rising well-made, fuel-efficient Asian competition, Detroit continued business as usual, putting its efforts into advertising and Congressional lobbying to support bigger, better, fuel-guzzling cars. And until the rising cost of gas bit us in the wallet, the American public played along.

The sad thing is that back in 2000 Detroit did flirt with a program to push fuel-efficient vehicles but abandoned the effort as too expensive and unnecessary. It makes you wonder if the auto industry would be in cardiac arrest today if industry leaders had had the foresight to imagine the future and the courage to make the hard decisions necessary to prepare for it.

In the material handling industry, DJ Products faced this dilemma successfully. With the vision to spot new trends and the flexibility to act, DJ Products was one of the early responders to need for ergonomic material handling equipment. Well before the high price of repetitive stress injuries became a national cause, DJ Products saw a need to design material handling equipment that would reduce the potential for musculoskeletal injuries and improve the health and safety of workers.

DJ Products manufactures ergonomically-designed motorized carts and powered cart, equipment and vehicle movers that eliminate the pain and strain of manually pushing and pulling heavy carts and wheeled equipment. Our products are less costly, smaller, more maneuverable and more versatile than traditional material handling equipment used to move carts and equipment, such as forklift trucks, walkies and riding tugs. Forward-thinking business owners are revitalizing their operations and positioning themselves for the future by turning to ergonomic equipment to meet their material handling needs.

With an Obama administration expected to increase ergonomic standards and requirements in the next year, a proactive approach toward worker health and safety is a  smart business move. And it’s a decision that will have a positive impact on your bottom line. The cost of most ergonomic equipment purchases are recouped in the first year in savings on medical costs, insurance, workers’ compensation and lost work days. A move to ergonomic equipment also provides a substantial benefit in improved worker morale and increased productivity.

To find out how ergonomically-designed material handling equipment can help prepare your business to meet the challenges of the future, contact the ergonomic experts at DJ Products.

Use ETO Manufacturing to Differentiate Yourself from Competitors

Customer manufacturing may be a way for U.S. manufacturers to hold on to and even increase their marketshare and margin, Thomas Cutler wrote in a recent issue of Manufacturing & Technology eJournal. The ability to meet your customer’s engineer-to-order (ETO), build-to-order (BTO) and assemble-to-order (ATO) demands is one way to differentiate yourself from your competition. By building or redesigning products to meet customer specifications, you create a niche for yourself in today’s challenging industrial market and build customer relationships that can’t be easily transferred to competitors.

“Standard products are the easiest targets for competitors to attack,” Dennis Parass of Burlington, Ontario’s Questica told Cutler. “If the client feels that there are a number of alternatives, there is a devaluation of the supplier and profit margins fall.”

Clients value and are often willing to pay more for the problem-solving skills needed to redesign standard products to meet specific needs. “Successful ETO or customer manufacturing companies develop relationships with their clients who value the expertise they bring to a project,” Parass told Cutler. “They differentiate competitors and force the client to weigh more than just the ‘economics’ in making a choice. The margins are better. Reputations are built on successful projects with happy clients and the value of references cannot be overemphasized.”

Industry experts predict an increase in ETO manufacturing in coming months. DJ Products has long recognized the advantages and necessity of offering ETO services to our customers. We’re experienced at working with our customers to design solutions that meet their specific needs. Many of our ergonomically-designed carts, movers and tugs are adaptable to a variety of specific needs. Our innovative designs are engineered to help our customers get the greatest and most flexible use from their equipment. Recently, we came out with a motorized retrofit cart kit that allows you to instantly power all your carts with a simple, easy-to-install kit.

Our RaceCarCaddy, a redesign of our popular vehicle pusher, is manufactured to meet the specific needs of the race car industry. Our CartCaddyShorty Power Tugger features a spring hitch option and customized tugger attachment that eliminates the need to fabricate multiple attachments on each of your carts or equipment. We’ve created a variety of specialized attachments that allow instant customization of our standard products. But we also regularly design specific custom applications where our base products don’t match customer criteria. Call DJ Products’ sales engineer to discuss your ETO needs.

Failing Auto Industry a Warning to U.S. Manufacturers

The auto industry bailout is in peril and may be beyond saving. The demand by Senate Republicans that the UAW agree to slash auto workers’ salaries to compete with their Japanese counterparts may have put “paid” to the deal approved by the House. If any of the Big Three automakers fail, the fallout is expected to send our already troubled economy plummeting even further downward. The strain on unemployment and social resources, the trickle-down effect on the industry’s supply chain, irreparable erosion of America’s already diminished manufacturing base, a drastic decrease in consumer choices — we’re going to be paying for Detroit’s poor management and poor choices for years to come. There is no silver lining here, but there are important lessons to be learned.

While the issues are complex, experts have boiled the U.S. auto industry’s woes down to four basic problems: failure to embrace the future, lack of flexibility, failure to effectively manage labor, and failure to rein in expenses. These are the basic cornerstones for success in any business.

  • Embrace the future. Globalization of the economy, resource depletion, and the speed at which technology changes will continue to bring vast changes to industry and manufacturing. Companies with the vision to position themselves to meet future needs by taking advantage of these changes will prosper. Those like the U.S. auto industry who don’t will eventually fail.
  • Maintain flexibility. Rapid response will separate the men from the boys. Companies with the mental, financial and physical flexibility to react quickly to changing market needs and strictures will prosper most.
  • Manage labor. U.S. labor costs are the arena in which America is least competitive globally. An inability to manage labor demands is one of the core causes of Detroit’s failure. To remain competitive into the future, American businesses and the workers that depend on them for their livelihood will need to address this issue and both sides may need to moderate their expectations.
  • Rein in expenses. Maintaining tight control over expenses and instituting proactive accounting practices are essential for survival in a poor economy. But maintaining these practices as the economy improves will give you the financial flexibility to reach future goals.

DJ Products ergonomically-designed, powered carts and tugs can position you to meet the future successfully. On Monday, we’ll tell you how.

Will Cap-and-Trade Spell Disaster for U.S. Manufacturers?

“Clean Energy Act Could Force Nearly 20 Percent of Manufacturers to Close” screamed the breaking news headline in the July 2, 2009 Special Edition of Manufacturing & Technology eJournal. According to the results of an informal reader survey conducted by the magazine, President Obama’s proposed cap-and-trade energy conservation program “could cause energy costs to skyrocket and fuel more unemployment.”

“More than 17 percent of those who answered [the survey] said they would have to shut down their business because there is no way they could handle the kinds of increases being predicted,” the magazine said about reader comments received on environmental strictures proposed by the Waxman-Markey climate change bill recently passed by the U.S. House of Representatives. Nearly 1,000 readers responded to the Manufacturing & Technology survey, indicating the volatility of the cap-and-trade issue. Besides shuttering their businesses, readers warned that meeting currently proposed cap-and-trade requirements would cause them to raise prices by as much as 22%, institute layoffs or move to a 4-day work week. “Only nine percent [of survey respondents] said they would do their best to absorb the energy costs increases without making any changes,” the magazine said.

Many fear that cap-and-trade will have a disastrous effect on U.S. manufacturing. Senators in industrial states hard-hit by the recession like Michigan, Ohio, Indiana and Kentucky are being lobbied to fight the cap-and-trade bill, now under consideration by the U.S. Senate. In an interview with Manufacturing & Technology eJournal, Kentucky’s Republican Senator Jim Bunning criticized the bill, saying, “The legislation is essentially an energy tax hike on small businesses and will raise electricity costs in Kentucky 90% by the year 2035.”

Whatever your personal stance on cap-and-trade, it seems inevitable that growing environmental concerns will spur the eventual passage of this or some similar bill in the not too distant future. Change is ever-present and savvy businessmen will accept and prepare for change. Moving to environmentally-friendly, clean-energy, battery-operated powered carts and movers today will lessen the burden of compliance tomorrow. To find out how DJ Products’ energy-efficient, ergonomically-designed material handling equipment can positively affect your operations, contact a sales engineer today.

Auto Industry Retooling Should Include Ergonomics

The U.S. auto industry is starting to make its comeback. The U.S. Department of Energy has awarded the first loans from the $25-billion Advanced Technology Vehicles Manufacturing Loan Program authorized by Congress to support the U.S. manufacture of energy-efficient cars and automotive components: 

  • Ford Motor Co. was granted $5.9 billion to retool factories in Illinois, Kentucky, Michigan, Missouri and Ohio to manufacture fuel-efficient vehicles.  
  • Nissan North America received $1.6 billion to retool its Smyrna, Tennessee manufacturing plant to produce electric vehicles.
  • Tesla Motors got $465 million for production of advanced electric vehicles in California.

Other signs of industry recovery include Gestamp Corporation’s $90 million investment in a Chattanooga, Tennessee stamping operation to produce parts for Volkswagen’s new mid-sized sedan, and Ralco Industries’ $6.4 million expansion of its Pontiac, Michigan facility to increase production of welded assemblies  for the auto industry.

It’s a relief to finally see the first twitch of life in the U.S. auto industry. And it’s exciting to see the industry retooling for what promises to be a robust future. But along with forward-thinking changes in their product line, the auto industry should be implementing innovation changes in their production practices. Retooling initiatives should include ergonomic material handling equipment on the assembly line, on plant floors and in factory storage lots to ensure the protection of workers’ health and safety. The workers who made concessions in pay and health benefits to keep the auto companies alive deserve to work in an environment that promotes good health. The citizens who provided the cash that the government is using to fund the loans that are jump-starting new life into the auto industry deserve to know that every possible measure is being taken to create a financially lean manufacturing operation. Ergonomic material handling equipment accomplishes both goals.

Ergonomic equipment like DJ Products’ CarCaddy car and vehicle pusher pushes heavy equipment down an assembly. The CartCaddyLH electric tug can push a vehicle down a rail or be used to push/pull from station to station heavy carts of raw materials or parts weighing 10,000 to 50,000 pounds. The DealerCaddy car and truck pusher easily maneuvers cars and trucks around storage and dealer lots. All DJ Products’ material handling carts and movers are ergonomically designed to prevent expensive and debilitating musculoskeletal injuries. Ergonomic equipment and practices have been proven to cut production time and costs, protect workers’ health and safety, improve worker morale, and significantly reduce the musculoskeletal injury expenses that cost U.S. businesses more than $150 billion each year. Including ergonomics in auto industry retooling efforts just makes sense — for the auto industry, for workers, and for taxpayers.

Trailer Mover Is RV, Boat Storage Workhorse

Summer is winding down and we’ve already felt the first breath of fall in our neck of the woods. Still time for a few more weekends at the lake, but it won’t be long before folks are hauling their boats out of the water and cleaning out their RVs for winter storage. Getting these expensive mega toys tucked in for the winter used to be a herculean task. All decked out with the latest features, these babies are heavy. It required a couple of burly guys and a lot of muscle and straining to push and pull these vehicles around the storage lot or boat yard and maneuver them into their winter berths. Then the recreational industry discovered DJ Products’ versatile TrailerCaddy trailer mover

Originally designed to maneuver large, heavy cargo trailers and trailered equipment short distances around factory lots and storage facilities, DJ Products’ versatile TrailerCaddy trailer mover has found a new fan base in the recreational vehicle and boating industries. Using DJ Products’ motorized trailer mover, a single operator can easily move hefty RVs and boats into place in RV storage lots and boat yards. Tricky maneuvering in tight spaces is effortless with the compact, ergonomically-designed TrailerCaddy. Move forward or backward smoothly from a full stop to 3 mph with a turn of the handy twist-grip control handle. Maximum operator control and compact size minimize potential damage to surrounding vehicles, even in tightly confined areas like stacked storage facilities, dealer showrooms, repair bays and trade show displays. Ergonomic design minimizes the risk of potential muscle strain, making it possible for a single employee of any size, strength or gender to move vehicles with equal ease.

Click here for complete information about DJ Products’ versatile TrailerCaddy trailer mover and to watch a video of the trailer move in action.

Frugality Is New Business Reality

The nation’s economic gurus may have declared the recession over, but they’re warning businesses and consumers alike that recovery could continue for years. And we shouldn’t expect things to get back to the way they were — ever! The country is going through a major reset. After decades of inflated prices, inflated egos and inflated dreams, we’ve had to face the cold, harsh realities of life and — we hope — the experience has left us wiser and a little more wary of falling into the same pit again. The smaller employee pools, tighter resource management and lean production practices developed out of necessity during the recession are here to stay. Frugality is the new reality.

The frugal measures taken to keep American businesses from sinking will help us swim leaner, faster and farther in the post-recession marketplace. Having found that we can function and compete in a frugal environment, businesses are expected to use that new-found frugality to give themselves a competitive edge, using less to produce more. Sure it means that everyone will continue to work harder and do more; but that’s what it’s going to take to compete successfully in the new, tougher post-recession marketplace.

Smart business owners will seek out equipment that allows them to make more productive use of their more limited post-recession workforce. Material handling products like DJ Products ergonomically-designed CartCaddys allow a single worker to perform lifting and transporting tasks that it takes two or more workers to do manually. Because ergonomic design enables multiple workers of any size, shape or physical ability to perform the same task without risk of injury, DJ Products carts, tugs and movers allow employers to maximize use of their workforce. Eco-friendly, battery-operated motorized carts decrease fuel costs while cutting downtime and maintenance costs. And adoption of ergonomic equipment significantly reduces medical and workers compensation costs while letting your workers know you value their health and safety.

2009 Ends on Material Handling High Note

2009 seemed like the year that would never end. For manufacturers, the bad news just kept on coming. But hope seems to have finally struggled above the horizon. From the depths of last winter’s discontent, 2009 has risen to end on a high note for material handling manufacturers and, indeed, most U.S. manufacturers. Reports indicate that U.S. manufacturing has finally turned the corner, and we can expect 2010 to be a far more productive and more profitable year. Break out the champagne!

The fourth quarter of 2009 saw strong manufacturing growth. With the job market showing signs of stabilization and housing prices beginning to climb toward normal, November brought a cautious increase in consumer spending. Manufacturing benefitted from increased orders for durable goods during the fourth quarter as customers started restocking their shelves. While durable goods orders in November were less than robust, they were twice the amount forecast by economists. Overall, the U.S. economic picture looks hopefully optimistic for the first time since the recession hit.

“We are seeing progress in a number of areas, from increases in consumer spending and business spending to growth in exports,” Brian Bethune, an economist at IHS Global Economics told the Associated Press last week. “It all adds up to a recovery that is gaining some momentum.”

Bethune and other economists are predicting a 4% annual rate of economic growth (as measured by gross domestic product) for the final quarter of 2009. In addition to durable goods, particularly a growing increase in high ticket items, industrial growth into the new year is expected to come from increased equipment and software purchases. Ergonomic material handling equipment sales are expected to increase as manufacturers and business owners seek out ways to increase worker productivity and decrease healthcare costs. Expected new regulatory requirements aimed at protecting worker health and safety are also expected to drive up sales of ergonomic carts and tugs.