CITEC Manufacturing & Technology Solutions

 

News Notes

September/October 2002

Project Funding Available

"The Development Authority of the North Country was awarded $350,000 toward a $1.36 million project to help gasket paper manufacturer Interface Solutions, of Beaver Falls, in the purchase of a Sequencing Batch Reactor (SBR) system and a heat exchanger, which will reduce discharges to the Beaver River, facilitate reuse of water and energy at its Beaver Falls facility and increase its production capabilities."

"The success of this project will yield energy waste reduction savings of over $350,000 per year, allow for the reuse of 37.6 million gallons of process water per year, retain 1,030 tons per year of recycled paper capacity and allow for a 35 percent increase in production. The project will greatly improve the competitiveness of the mill and help retain 87 jobs."

February 2002 Press Release
GEORGE E. PATAKI, GOVERNOR

If you are planning projects at your facility that will result in environmental improvements, you may be eligible for funding under the Environmental Investment Program (EIP).

EIP is administered by Empire State Development's Environmental Services Unit (ESU), which invests funding from the Environmental Protection Fund (EPF) as part of the State's ongoing effort to improve environmental quality. Matching funds under the EIP are awarded for capital projects; research, development and demonstration of new products and technologies; and technical assistance to help companies prevent pollution and boost recycling.

Applications are now being accepted for funding in 2003 to help qualified businesses improve their environmental performance.

EIP awards funds to qualified New York businesses, non-profit organizations and municipalities on behalf of businesses. The program invests in projects that produce measurable and verifiable economic development and environmental results, including increased productivity and competitiveness, job creation, job retention, recycling capacity, and pollution prevention.

Three categories of funding under the EIP include:

Capital Projects: physical assets (land, buildings, machinery & equipment, etc.); improvements, alterations, or repair to real property owned by the applicant (site prep, demolition, infrastructure); and consulting engineering costs related directly to the project.

RD&D Projects: projects that have high promise for leading directly to commercialization or use. Typically R&D funds are used for consulting services, analytical expenses, and leasing equipment (to determine if it is appropriate) are eligible.

Technical Assistance Projects: those projects in which NYS non-profit organizations or municipalities directly assist New York State businesses and institutions to achieve pollution prevention, reuse or recycling results.

For details on this and other funding opportunities, follow the "Hot Topics" link, or contact CITEC's Financial Analyst Anne Simmons for assistance today:
simmons@citec.org or 315-268-3778 x25

Top 10 Commandments
of Customer Service

It's a fact of business life. To keep your competitive edge, you must constantly upgrade the quality of the service you offer. There's no getting to a certain point and then stopping. If you do that, your competition will quickly pass you by. But how do you continuously achieve service improvement? If you follow this list of the Top 10 Commandments of Customer Service, you can achieve a level of service that will help you outdistance the competition:

  1. Care about your employees and treat them well: Employee relations mirror your customer relations. If your employees do not feel that they are treated well, they will not treat your customers well. And of course the opposite is true.
  2. Praise and recognize your employees often: The more, the better. You need to have both formal and informal programs in place. Don't just leave it to "employee of the month" programs; have lots of awards that are achievable by anyone who wants to try. Train your managers in praising techniques and reward them when they implement them.
  3. Know and listen to your customers: If you don't really know your customers, how can you know what they value? And if you don't give them what they value, they will soon take their business elsewhere. Develop several methods for listening to your customers, like focus groups, questionnaires, customer panels and just plain one-on-one listening.
  4. Believe that customer service drives profit: Truly believe. There are many statistics and case studies that support this fact. Your bottom line can be positively impacted if your service is good enough.
  5. Train and empower your people: How can you expect your employees to handle irate customers very well if you've never taught them how to do it? If they constantly have to turn to their manager for every little decision, how can you ever expect to have customers believe that your service is exceptional?
  6. Clarify your service strategy: What level of service do you want to offer and how are you going to accomplish it? Are you going to be a Ritz Carlton or a McDonald's as far as service is concerned? How far are you willing to go in achieving the level of service you want? All of this must be clarified from the very start.
  7. Ruthlessly weed out all policies and procedures that are customer unfriendly: Many companies put up numerous barriers to good customer service. For instance, is your return policy easy to understand and implement? Get rid of all your "rupoles" (rules, policies and procedures) that stand between you and your customer.
  8. The company culture must be totally fanatical about customer service: Everything must be focused on serving the customer. Be like Home Depot: "If you're not serving the customer, you'd better be serving someone who is."
  9. Continually improve your service levels: Be perpetually dissatisfied with your level of service. Everyone in your organization needs to continually look for ways to improve your service. Develop systems to capture everyone's ideas in this area and then implement the best of them.
  10. Remember that everyone has customers: Internal customer service is just as important as service to the external customer. Do not allow different departments, divisions or organizations to deliver poor service to each other.

Source: Inc Magazine, "Top 10 Commandments of Customer Service,"
Peggy Morrow: March 21, 2002

Training Programs Available

Training for training's sake is certainly not your intention, but often companies feel limited to sending their personnel to what is being offered. CITEC will work with you to identify the training your employees need to have the impact on improvements you seek. We'll assist you in uncovering the root cause of the challenges you face, and help find the training to address them. And, because we are familiar with a variety of State and regional sources, we can help you with costs, too.

In addition, CITEC offers a variety of training opportunities that are conducted with the schedule constraints of North Country companies in mind. Training courses are scheduled at the convenience of the company... on site or off, over multiple shifts, etc. Training courses are available in such areas as Lean Manufacturing, Safety, Human Resources and Training Within Industries (see related story below). For a list of available courses, visit the Training page.

Registrations of interest are now being requested for the following special events, designed specifically for top decision-makers...

Lean Manufacturing "Taste Test" Workshop
If you want to learn about Lean Manufacturing and whether it is right for your company, you should plan on joining us for dinner and a workshop on "Lean Manufacturing Basics: Eliminating the 8 Kinds of Waste."

Training Within Industry "Taste Test" Workshop
This dinner and workshop will provide you with information on the Training Within Industry program and address how we can bring it to your region (see related story below).

Succession Planning "Taste Test" Workshop
Join us for dinner and a workshop to discuss the steps you need to take now to ease into retirement, such as improving the value of your company and choosing and training the right individuals to replace you.

Schedule and location for these workshops will be based on the availability of attendees, so please register your interest and best evening to attend.

Lean Line for 757s

According to an August 16th report from Manufacturing News Daily, BOEING has started producing its 757s on a moving assembly line at its factory in Renton, Washington. The line moves an airplane 24 feet a day through the final assembly stage. The 100-ton jetliners are pulled by an automatic self-guided tug. The production method is expected to reduce flow time and inventory to 30%.

If Boeing can implement lean for 757 production, your company can too. Call one of our experts for your no obligation lean meeting today...

Eric Myers 518-563-7565, myers@citec.org
Jeff Vincent 315-782-3444, vincent@citec.org
Jim Myers 315-268-3778 x30, jmyers@citec.org

Proposed IRS Changes Could Impact Your Costs

Companies in the construction, timber, oil drilling, water drilling, utilities, tower erectors, equipment leasing or mining industries should be aware that a proposed IRS rule change would mean an end to the tax exemption for all mobile machinery vehicles.

On June 6th, the IRS proposed a rule that would end the mobile machinery vehicle exemption for any non-farm equipment that can be used on the roads. Thus, equipment like mobile drilling units, digger derricks, concrete pumpers, mobile cranes, and aerial lift trucks would be taxed at purchase, at the fuel pump, at the tire dealer and annually on weight. Under the proposed rule, non-licensed equipment will not be subject to these taxes under the proposed rule change.

Theoretically, motor vehicles that use highways are taxed to build and maintain the roads. As such, taxes are assessed and funneled into the federal Highway Trust Fund from the sale of motor fuels, the first retail sale of certain heavy vehicles, and the sale of tires used on highway vehicles, among other sources.

The original tax regulations exempted certain licensed off-road machinery under the assumption that those vehicles make minimal use of the highways. The IRS recently concluded, however, that the "minimal use" assumption was incorrect.

In the June 6th memorandum, IRS officials state, "Mobile machinery vehicles carry their load -- typically heavy job site machinery -- from job site to job site over the public highway, and their ability to use the public highway is in no way limited or impaired. Therefore, they derive the same benefit from -- and cause the same damage to -- the public highway as other highway vehicles, and for tax purposes should be treated the same as other highway vehicles."

Trailers that are used as enclosed, stationary shelters would still be excluded from the tax, according to the IRS. Exclusions would also apply to vehicles specifically designed for transporting a load over areas other than a public highway.

The deadline for comments to the IRS is 12/4/02. For more information on the proposed changes and comment submission, go to www.irs.gov/pub/irs-regs/10382999.pdf.

Training Within Industry - TWI

Training Within Industry is emerging as the answer to North Country companies that are still searching for a way to strengthen the role of their supervisors. With proven success in manufacturing, construction, medical services and the hospitality industry, this specialized training program leverages the role of supervisors and team leaders.

Developed to support U.S. industry during World War II, the TWI program follows a proven four-step process: (1) preparation, (2) presentation, (3) application, and (4) testing (or inspection).

The "J" Programs...
As true today as it was in the 1940's, five critical needs of all supervisors were identified: Knowledge of the Work, Knowledge of Responsibility, Skill in Instructing, Skill in Improving Methods, and Skill in Leading. While the company is responsible for the first two, TWI training addresses the remaining three.

Job Methods teaches supervisors how to improve the way jobs are done.

Job Instructions teaches them how to quickly train employees to do the job correctly, safely and conscientiously.

Job Relations teaches supervisors how to build positive employee relations, increase cooperation and motivation, and effectively resolve conflicts.

Companies using TWI report dramatic improvement in the role of their supervisors and in their subsequent performance on the job. Using TWI, they claim at least a 10-fold return vs. the cost of the training. By the end of the one-week Job Methods training, it usually pays for itself through process improvements using only the people, equipment, and materials currently available.

If your company wants to improve the role of your supervisors, or if you are searching for the missing link to implementing Lean Manufacturing, contact CITEC's Lean Manufacturing Analyst Jim Myers -- Northern New York's only TWI Master Trainer.

315-268-3778 x34
jmyers@citec.org

More information on TWI can be found here.

 
 
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