DPA: Why have you made such a substantial investment?
AP: We always invested in software and networking to speed the flow of information from engineering to tooling, from incoming order to despatch. However, over the last two decades, our factory layout had evolved to meet shorter-term needs and was becoming inefficient, impacting profitability. Orders followed a convoluted path from raw material cutting through to final despatch and we knew we could do better. We added a new VMC machine to support the bigger presses we installed two years ago but further volume increases required more in our already overcrowded tool room. And increased volumes necessitated an expansion in our cryogenic cleaning capacity.
Then, at the end of 2006, we gained our largest ever order. The time had come to do something significant.
DPA: So, what have you done?
AP: Firstly, increased our floor space. Without that, nothing significant could happen. It was a bit like a child’s tile puzzle but without a free tile to allow movement.
An additional small factory unit was acquired, gutted and fitted out as a mini DP Seals. It has its own material preparation, tools store, presses and cleaning facilities – all integrated into its own local computer network that links back to the main plant. Just as importantly, it opened up more management opportunities, something previously sparse within the company.
In the main plant, a new mezzanine floor has been added to get a lot of stuff off the shop floor that isn’t needed every day. Similarly, the installation of two vertical Kardex carousels for material management and tool delivery helped release a lot of floor space. A job number drives everything we do: it identifies both tool and material. Now, simply keying the job number into the Kardex delivers the correct material and tool needed to start the job.
More bigger presses increases demand for cleaning. As well as adding more conventional cleaning equipment, we have doubled our cryogenic cleaning capacity and quadrupled the size of our liquid nitrogen tank. DP Seals is a world leader in cryogenic cleaning of product prior to despatch – basically we freeze the flash to make it brittle and easy to remove.
DPA: At a time when everybody is looking to cut staffing levels you increase yours - and establish your first formal apprenticeships, why?
AP: We are custom moulding specialists. This means frequent tool changes and lower volumes, making the human element a key factor in our quality control. There is some extra shop floor staff but most of the increase has been in support services, particularly for the new unit and in quality assurance and the tool room. It’s the tool room where we have our first apprentice, bringing on a new generation for DP Seals.
DPA: Now, how do you see the future?
AP: Our below-the-line costs are quite slim, but raw material prices are dependent on oil prices and our energy bill is substantial, making the control of job costs essential. Our investment in the factory should increase efficiency on a per job basis so I think the outlook for DP Seals is quite bright.