Tough competition can hit our business like a ton of bricks. When faced with adversity, and even bankruptcy what would you do to keep your company afloat?
Join me discovering the story of a US based manufacturer facing stiff competition and bankruptcy and how they solved their woes with a massive leap of faith and investment in automation.
Why should you consider introducing or expanding automation in your business?
Today I’ll share the importance of investing in automation and robotics and how it helps you to out compete other players in the market.
Marlin Steel, a US based company was producing Bagel Baskets in 1998. When other businesses began to import baskets from China cheaper than Marlin could by the materials, their business vanished.
They were left with a choice. Go bankrupt or pivot. And they chose to pivot.
They chose to invest in automation and robotics to improve margins and profitability.
The investment increased the speed of production. According to one of Marlin’s employees, jobs that used to take 3-4 days could be completed in less than a day.
Most importantly, the investment in automation equipment increased the adaptability and quality of products that Marlin could provide to the marketplace. Because of higher quality and better tolerances, they could target customers in Pharmaceuticals, Aerospace, and other industries outside “the bagel business”. They could charge more for these higher quality products and deliver them faster than foreign manufacturers (due to shipping lead times)
In 2013, this made them 6x more profitable (post-automation investment) and they were recognized by Inc magazine as one of the fastest growing companies in the US.
Well, I hope this has got you thinking about how automation might increase productivity in your business…
or perhaps, deliver higher margin products, or serve other industries.
If you have process in mind that could be automated and you’re ready to take the next step, reach out to us.
Stephen
stephen@automationexperts.ca
403-616-9316
