Precast Inc. - March/April 2008 - (Page 27)

crazy,” he said. “Cement is the one exception. But I’ve had price increases on cement every year, and it’s 5 to 10 percent a ton every time they do it. Precasters who bank on public works jobs are often bidding work that won’t take place for one to two years, which makes quoting difficult, Rodgers said. Several years ago, Contractors Precast bid a multi-year project for the Woodrow Wilson Memorial Bridge in the Washington, D.C., area. “We bid that project before rebar and wire mesh started going up, and that’s a four-year contract. When the cost of steel started rising, we could not get any increases. I’m almost through with that job, thank goodness.” Residential work is easier to bid, Rodgers said, because the timeframe is shorter. “In a subdivision, you’re in and out pretty quickly. In 60 days you’ve got the stuff made and delivered and you’re through with it. But these state projects are long-term. It’s hard to predict. You never know the way things are going.” While the picture is mixed in the D.C. area, the overall trend is down, so Rodgers has taken measures to find efficiencies in his operation, including cutting back production to four days per week. “If you’re in a slowdown and you can do it in four days, you can save a lot by not pouring that fifth day. You save on electricity and everything else. It’s one of the things you’ve got to look at.” ARROW CONCRETE PRODUCTS IN GRANBY, CONN. Keeping close to customers Located about 350 miles south of Rodgers’ plant, Permatile Concrete Products serves Southwest Virginia and the eastern region of Tennessee, an area that has not experienced the economic boom that other regions have. That, coupled with transportation funding shortfalls, has meant fewer new roads, less commercial construction and less of an increase in tax receipts that could potentially fund public works construction. That hasn’t necessarily meant lean times for Permatile, due to its longtime strategy of diversification, good product quality and providing good customer service, according to Mimi RaineroColes, one of Permatile’s sales man- agers. “We started manufacturing concrete pipe in the mid 1960s and expanded our product line to include drainage structures, bridges, box culverts and retaining walls,” she said. “Our product line also includes pump stations, housing foundations and commercial wall panels. Diversification has helped to keep us busy. We’ve been pretty steady.” Permatile has always kept a close watch on business operations and expenses and has survived more than one economic slowdown in its 40-plus years in business. “We’re always looking for better efficiencies, but as a family-owned independent company, we operate pretty lean as it is,” Rainero Coles said. “We don’t have a great big staff. We’ve invested in good equipment, buildings with room for growth, and good employees. We keep our forms in good condition. We try to keep our employees happy. Everyone just hustles and gets the job done.” And while diversification has been a big part of Permatile’s success, it is just one part of the formula. “We pay a lot of attention to quality, customer service and on-time delivery,” Rainero-Coles said. “Being an NPCA-certified plant has helped us maintain excellent quality and operate most efficiently, and we believe very strongly in it.” Quality and personal service are two of the value-added components that are part of the Permatile culture, she said. “We try to keep our customer happy, because happy customers tend to come back! When we first started manufacturing bridges, we were saying, ‘we’ve got to sell more bridges.’ But you don’t just knock on somebody’s door and say, ‘Hey, do you want a bridge?’ It’s not like selling Krispy Kreme donuts – there has to be a need for the products we manufacture,” she said. “We work with departments of transportation and with engineers and contractors to help with design and installation,” added Rainero-Coles. “We offer on-site technical assistance during installation, if they want help. We continue to listen to our customers and listen to the industry and see how we can fit our products and service into the industry needs.” Vernon Wehrung, CEO of Modern Precast Concrete in Ottsville, Pa., echoes those basic principles of good business. “It’s back to the basics,” Wehrung said in describing his advice to precasters who are fighting through leaner times. “Treat the customer with the attention and respect he or she deserves. Communicate constantly to every stakeholder in your business. Watch expenses, but don’t be ‘penny wise and dollar foolish.’” Like Permatile, the focus at Modern MARCH/APRIL 2008 | 27 WWW.PRECAST.ORG NPCA photo http://www.precast.org

Table of Contents Feed for the Digital Edition of Precast Inc. - March/April 2008

Precast Inc. - March/April 2008 Contents Technically Speaking Concrete Repairs Return-to-Work Programs Marketing in a New World Building Confidence Risk Management Culture Bloquea La Energia – Es Tu Vida! Lock It Out – It’s Your Life! Fiber Optics in Countertops MCPX Wrap-Up Product Profile People & Products Advertisers Index NPCA Calendar

Precast Inc. - March/April 2008

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