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http://www.omniture.com --> Sections Home Page Local News AP News Blogs Archives Business Classifieds Event Calendar Forums Life Opinion Obituaries Multimedia Photo Gallery Readers Photo Gallery Sports Tempo Weather Road Cams Special Coverage 2006 Britt Festivals --> Shop Our Valley AutoFinder HomeFinder JobFinder Search Our Valley Special Sections Distinctly Northwest Readers' Choice Homelife Magazine Joy Magazine Oregon Golf Info Oregon Wine Info Other Publications Local Links Ashland News eSouthernOregon Newspapers In Education Personals Moving Here Movie Listings TV Listings Volunteer Customer Service Advertise With Us Media Kit Place Classified Ad Contact Us FAQ's Home Delivery Site Map --> Email Story to a Friend February 21, 2007 In this March 2004 file photo, Erickson Air-Crane mechanics Tito Thornton, right, and James Vandertuuk blast parts for an S-64 aircraft at the Central Point facility. The company works with the Southern Oregon High Performance Enterprise Consortium. (Mail Tribune / Roy Musitelli) Better manufacturing Grant to promote training in manufacturing techniques By Greg Stiles Mail Tribune Southern Oregon High Performance Enterprise Consortium has received a $25,000 grant from the state to promote its high-performance practices. The nonprofit organization, with 20 members in Jackson, Josephine, Coos, Douglas and Klamath counties, operates lean manufacturing practices training programs primarily on quarterly membership dues. "The $25,000 will allow us to expand membership, market our consortium and do more training," says Executive Director David Matthews of Jacksonville. "We've been dependent on membership dues to sponsor events and hire trainers." Oregon Manufacturing Extension Partnership started taking an active role in the region 10 years ago with SOHPEC emerging as a separate entity in 2005. SOHPEC claims 14 manufacturers on its rolls as well as public institutions such as Southern Oregon University and Rogue Community College. High-performance manufacturing practices — such as lean manufacturing, lean accounting and value stream mapping — are said to improve productivity and financial performance and increase wages. They also lead to reduced inventory, space requirements and labor costs. Advertisement "Our goal is to make local companies more competitive and more profitable," Matthews says. "Some had a really good head start and already had full-time lean practitioners on their staffs. Others, frankly, didn't have a clue when we started." In addition to the grant money, SOHPEC will get technical assistance from Northwest High Performance Enterprise Consortium. Industry figures show Oregon's manufacturing economy comprises 6,000 small- to medium-sized companies competing in the global market. It's estimated those manufacturers will need 53,000 skilled workers to replace retiring workers and fill new jobs during the next decade. State figures indicate the average annual $53,350 wage of manufacturing employees is 46 percent higher than the average wage. SOHPEC President Lowell Gibson of Recognition Specialties in Grants Pass says an efficient, profitable company can pay its workers more and narrow the gap between income and housing costs. "If we can pay our people more, it in turn attracts higher-skilled, higher-educated people who will help keep the company more lean and efficient," Gibson says. "It creates its own cycle. We want to help the manufacturers and companies in general in our region to become more productive." Matthews says larger companies, such as Eastman Kodak's White City plant, pay dues of $350 each quarter. Smaller businesses pay $200 and public entities pay $100. The payback comes on several levels, including tours of member plants that take anywhere from a half day to a full day. "When I'm touring I'm going to pick up one or two good ideas I can take back to my company and implement," Gibson says. "When we visit a facility we talk about areas where they've got bottlenecks or problems and then we spend a couple hours brainstorming and then we have a follow-up with a smaller number of people." The consortium also brings in consultants for training. One recent event attracted 60 participants. "We feel we know how to run businesses as well as anybody," Gibson says. "But sharing ideas and outside training is a great help." Companies interested in SOHPEC membership should contact Matthews via e-mail at [email protected] or call 941-0433. Reach reporter Greg Stiles at 776-4463 or at [email protected] Lean definitions Lean manufacturing — An operational strategy oriented toward achieving the shortest possible cycle time by eliminating waste. Derived from the Toyota Production System, its key thrust is to increase value-added work by eliminating waste and reducing incidental work. It often decreases the time between a customer order and shipment and is designed to radically improve profitability, customer satisfaction, throughput time and employee morale. Value stream map — A value stream includes all actions, both value-adding and non-value-adding, required to manufacture a product or provide a service. By mapping this process, a company can analyze material and information flow from a new perspective. Would you like to respond to this story? If so Click Here to visit our forums. Advertisement Copyright © 1997-2007 Mail Tribune, Inc. All rights reserved. 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