DELFAB, INC: Company Rebounds With Training, Financial Coaching and Website Dev.
Delfab’s rebound can be credited to the training support from Michigan Manufacturing Technology Center/Northern Initiatives, and to production of a modernized DF703 Phoenix feller buncher. Their support has been excellent, and I have nothing but positive things to say.
-- Craig Westlund, President/Owner
Established in 2003, Delfab, Inc. (www.delfab.com) is a fully equipped fabrication facility located in Gladstone, MI with 14 employees. Delfab’s in-house capabilities include precision machining, welding, burning, shearing, forming, braking, punching, painting, abrasive blasting and more. They also perform a full range of industrial machine shop operations.
Challenge
Delfab struggled to weather the U.S. economic recession and has experienced a resurgence in recent years. From 2009 to 2013, Craig Westlund, President/Owner of Delfab, said the company was “barely surviving” with a negative cash flow. Only six employees remained in a facility that features 138,000 sq. ft. of manufacturing space and a warehouse/loading dock with three receiving bays. Delfab had stopped making their signature feller buncher in response to decreased demand but managed to turn out other products to avoid a complete shutdown.
Solution
The Michigan Manufacturing Technology Center (The Center) partnered with Delfab to keep them afloat and launch their revitalization. The Center helped Delfab to identify and secure training required to produce a modernized DF703 Phoenix feller buncher, which is the company’s number one product. The Center offered financial and business coaching, website development consulting, and training programs related to cash flow, break even, purchasing power and strategic planning for seasons of higher demand.
Delfab modernized the machinery to meet market demand and needs. Since 2008, no other manufacturer has offered a three-wheeled design with “zero-turn” maneuverability. The machine cuts trees at ground level while simultaneously grasping the trunks to transport the full trees to the desired location. It is a firmly entrenched favorite of plantation thinning operations in the southern United States.
Results
- Increased Workforce: Went from 6 employees to 14
- Increased Sales: Tripled company sales from $400,000 to $1.5 million this year
- New Markets: Extended sales to Canada and South America
- New Products: Continued to diversify custom design/fabrication services including containers used to transport debris from devastating hurricanes