Pop Goes the Bubble
by Art Raymond, araymond@raymondnet.com

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Look at August housing performance:

• New home sales were up 4.1 percent versus the prior month but down 17.4 percent from a year ago.  The August increase was largely due to downward revisions in sales for the prior three months.
• The median price of an existing home fell by 1.7 percent to $225,000, down 10.5 percent since April 2006.
• Sales of existing homes have fallen by 12.6 percent versus August 2005.
• Total housing inventory rose 1.5 percent to 3.92 million, a 7.5 month supply at current rate of sales, the highest level since April 1993.

The Federal Reserve Board provided further worry with their data on the average amount of owner’s equity in real estate.  This year, homeowners’ average equity is running at 56 percent of the value of his/her home.  This metric has fallen drastically from 81 percent in 1951 to 69 percent in 1981 and 58 percent in 2001.  On the bright side, the high level of cash-out mortgage refinancing that was reported over the last five years apparently eroded homeowners’ equity less than expected.  

The importance of the housing market to the wood products industry goes without saying.  Cabinet and flooring sales have fallen steeply in the last three months.  Furniture at retail is flat at best.  Keep your eye on just how far the housing market drops. 

In spite of the struggling housing market, middle class America is doing well.  Compared to 25 years ago, 13 percent more families are earning over $100,000 annually and the number of households making less than $75,000 has fallen by 14 percent.  Both numbers are adjusted for inflation.  In 1960, the average family spent a full one-quarter of their income on food versus only one-eighth today (and half of that amount is spent on dining out).  Median net worth has risen to $90,000 in 2004 from $70,000 in 1989. 

Inventories of steel are piling up in warehouses around the U.S. putting downward pressure on prices. 

Steel service centers, who account for about 30 percent of steel sold in the U.S., say that inventories are at their highest level since early 2005.  Imports are up 40 percent from a year ago and on pace to pass the 1998 record.  Add to that supply the 9.4 percent rise in domestic steel production

Automakers Ford, Chrysler and others are cutting domestic production.  With the housing market cooling, appliance producers may add to that manufacturing decline.

Good news for machinery makers and industrial builders may be bad news for U.S. industry overall.

The Importance of Knowledge Creation

Intuitively, research and development is an important contributor to the wellness of the U.S. economy.  Now, statisticians can measure that contribution and see its relative importance.

Heretofore, R&D has been considered an intermediate expense like labor rather than a capital investment.  Using the new method, knowledge creation contributed 7 percent of the growth experienced between 1995 and 2002.

Also treating R&D as an investment makes the U.S. economy about 3 percent larger and, importantly, the national savings rate about 2 percentage points higher.

China apparently has long recognized the importance of R&D.  Spending on knowledge creation has been growing at 17 percent over the past 12 years versus 4-5 percent in the U.S., Europe, and Japan.  As a result China’s share of global R&D is projected at 14.8 percent in 2007 versus 12.7 percent in 2005.  America’s share will slip to 31.9 percent from 32.7 percent last year.

Roughly 60 percent of U.S. R&D spending comes from the private sector.  Of the world’s top five R&D spenders, four are American – Pfizer, Ford, Microsoft and General Motors. 

As management guru Peter Drucker said, “Production is not the application of tools to materials but logic to work.”  Developing and honing that logic for commercial purposes is what industrial R&D is all about.  The continuing health of our manufacturing sector depends on it.    

Economic Factoid
The health of the global economy is inexorably linked to the economies of China and the U.S.  Half of all global economic growth in the last five years has occurred in these two countries.  As they go, so goes Europe, South America, and the rest of Asia. 

Sector Report

Kitchen Cabinets
Cabinet sales rose 8.3 percent in August versus the same month in 2005 according to the KCMA’s Trend of Business Survey.  For the year to date, sales were up 10.4 percent.   While remaining positive, the Survey is revealing an inexorable slowing of cabinet sales since early 2006, when monthly growth year-on-year was in double digits.  Anecdotal evidence of a slowdown is also piling up. Shorter work weeks, postponed expansion projects, and slashed capital budgets are reported by numerous industry participants.  Plus, market researcher Freedonia is now forecasting a 3.2 percent industry growth rate through 2010 versus their 2005 prediction of 6.5 percent through 2008.  

At the cabinetmakers…

• Masco released lower 2006 earnings guidance as a result of weaker expectations for housing starts.  The company, that had previously forecasted an 8 percent decline in housing starts for the full year 2006, is now predicting a 20 percent drop for the remaining four months with the full year 2006 falling by 12 percent.  Management also indicated that 2007 starts will likely fall a further 12 percent with the sharpest drop in 1Q2007. 
  
  
• American Woodmark 1Q2007 sales rose 3.3 percent to $222.4 million.  The company’s earlier decision to exit production of lower-priced cabinetry combined with delays in price increases for raw materials resulted in an improved gross margin.  Gross margin jumped to 22 percent from 17.1 percent a year ago.  Operating profit also increased from 5.6 percent to 9.5 percent from the same period last year.  Analysts are concerned about the company’s reliance on new home construction given the recent downturn in housing.    

Home Furniture

Domestic producers are experiencing a very weak retail demand for their products…

• Ethan Allen is forecasting that its 1Q2007 sales will fall below the same period last year.  The company is closing its 280,000 square foot Spruce Pine, NC, casegoods plant and 159,000 square foot Atoka, OK, upholstery facility.  Atoka will be converted into a regional distribution center.  About 465 jobs will be eliminated.  Following the closures Ethan Allen will have nine remaining domestic plants – four producing casegoods, four upholstery, and one accessory – employing 2,300 people.
  
  
• Stanley Furniture lowered revenue guidance for its 3Q2006.  Sales are expected to decline between 8 and 10 percent versus the same period last year.   As a result, its full year 2006 sales are now forecasted to drop by 4 to 7 percent.
  
  
• Bassett reported a 6.3 percent drop in its 3Q2006 sales and an operating loss of $893,000.  For the first nine months, sales remain positive at 2.1 percent above the same period last year.  The company now ships 72 percent of its products to its Bassett Furniture Direct retail stores.
  
  
• Hooker reported flat 3Q2006 sales due to the challenging retail environment.  Nine-month revenues rose by 2.9 percent versus last year.
  


• The Rowe Companies, a leading upholstery maker, has filed for Chapter 11 bankruptcy protection and plans to sell or liquidate its Storehouse retail division.  Total sales of the company in its FY2005 were nearly $300 million.  As a result the company will close its Poplar Bluff, MO, plant that employs about 400 workers.

Meanwhile more plant closures and restructurings were announced by other U.S. producers…

• Broyhill Furniture has sold its Lenoir, NC, particleboard plant to North State Property Holdings, who will continue to operate the facility.
  
  
• Ready-to-assemble specialist Bush Industries is ceasing production at its 220,000 square foot Tijuana, Mexico, plant.
  
  
• Unfinished furniture maker Whittier Wood Products has purchased a 150,000 square foot plant in Vietnam and shift production of its alder line from its Oregon plant in early 2007.  The shift will idle about 100 workers.
  
  
• Masco announced the closure of its D-Scan plant located in South Boston, VA.  The plant, purchased in 2001, employed 110 workers and will be converted to a distribution center for imported products sold through the Tvilium-Scanbark division, a supplier to retail giant Ikea.
  
  
• Hekman Furniture is ceasing production at its Grand Rapids, MI, plant and will lay off 60 workers.
  
  
• Chromcraft-Revington is closing its Sumter Cabinet casegoods plant in Sumter, SC.  About 200 jobs will be lost.  The Sumter brand products will be purchased from Asian factories.
  
• SLF (Samuel Lawrence Furniture) and Pulaski Furniture merged to form a new company, Home Meridian International.  The combined sales will total around $270 million in casegoods, occasional, home office and entertainment furniture.  Pulaski operates two plants in Virginia.  SLF closed its  Phoenix, AZ, plant in March 2004 and now imports all of its products.

Office Furniture

BIFMA reported that August orders grew by 3 percent and shipments by 12 percent.  This relatively weak showing versus late 2005/early 2006 has analysts concerned that growth in this sector may be moderating or, at worst, stalling.

In spite of this inconsistent recent performance, analysts are encouraged by the strength of the primary drivers of demand – corporate profits, service employment, and non-residential construction.

At the company level…

• Herman Miller announced 1Q2007 sales of $450 million, up 4.4 percent year-on-year.  Gross margin improved to 33.9percent from 32.9percent in the same period last year.  In spite of higher SG&A expenses, operating margin also increased from 9.1percent to 10.2percent.  Management is forecasting a 7.5percent increase in 2Q revenues.
  
  
• Steelcase reported 2Q2007 sales of $790 million, a 12.3 percent increase year-on-year.  North American sales rose to $463 million, a 15.5percent increase.  Gross margin came in at 31.5percent, even with that measure a year ago.  Operating margin also improved versus a year ago to 5.9percent.  Management issued 3Q guidance on revenue growth at five to nine percent.  Analysts are concerned about the company’s ability to earn its cost of capital but noted reduced losses in the company’s wood products division.

Wood Flooring

August 2006 shipments of strip flooring declined to 41.6 million square feet, down 11 percent compared with the same month in 2005.  Year to date the industry has shipped 340.8 million square feet, a 1 percent decrease for the first seven months of 2006.

Hardwood Sawmilling

With domestic sales of hardwood lumber steady at best, export markets have become a key to profitability for U.S. hardwood mills.  Thankfully, according to Hardwood Review hardwood exports are on track to a record year of 1.36 billion board feet.  Primary markets include China, Southeast Asia, Europe, Saudi Arabia, and Canada.

Softwood Sawmilling

Following the downturn in home building, softwood lumber prices have fallen to their lowest level in five years.  The price of framing lumber is now $274 per thousand board feet versus $401 a year ago.  In response, many of the larger producers have ceased production at some mills.  Weyerhaeuser has indefinitely suspended production at two mills in Saskatchewan, Canada, and is forecasting an 8 percent decline in lumber sales.  Louisiana-Pacific has shut down a mill in Quebec.

Let me start this month with a commercial message: On November 7th, please vote and encourage your employees to vote.   It is an election year for Congress.  The entire House of Representatives is up for election, as well as one-third of the Senate.

We urge you to consider educating your employees about the impact on your workplace of various issues and motivating them to vote.  I know this is not a simple task, but anything we can do to help employees understand "we are in this together" can only help.  Your tax responsibilities are a logical place to start, but also legal costs, such as those created by product liability claims, environmental requirements and, these days, health care costs, are probably concerns you worry about every day.  However, your employees may not connect these issues to the success of the company or to the future viability of their jobs.  Anything you can do to educate them and to get them out to vote can help.

If you are ambitious, there is time to organize a "get-out-the-vote" drive among your employees.  In general, businesses are allowed, under federal law, to support or conduct federal voter registration drives (yes, in some states, you can register right up to Election Day!) and "get-out-the-vote" drives aimed at their employees under the following guidelines:

• The business may not make any communication expressly advocating the election or defeat of any candidate or candidates of a political party as part of the voter registration or "get-out-the-vote" drive.
  
  
• The voter registration efforts cannot be coordinated with any candidate or political party.
  
  
• The voter registration drive cannot be directed primarily to individuals previously registered with or intending to register with a particular party.


• The "get-out-the-vote" and voter registration services provided by the business must be made available without regard to the employees’ political preferences.


• Employees conducting voter registration or "get-out-the-vote" drives must not be paid on the basis of the number of individuals registered to support one particular candidate or a political party.
  
  
• The business must notify in writing those receiving information or assistance that these services are being made available without regard to voters’ political preferences.

At the end of this article is a sample letter to your employees that the National Association of Manufacturers has provided.
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Some are predicting changes in Congress this time around.  I am not suggesting you need to vote Republican or Democrat, but certainly we need public policy leaders who at least understand the challenges facing American manufacturers today.  Everybody wants to talk about the issues, so this is a good time for us to be asking candidates what they would do to help American manufacturers.

I am always amazed that members of Congress can get away with sending you a form letter when you write them to support or oppose legislation.  Don't let them get away with it.  Campaign promises are a dime a dozen.  They have no currency because no one ever holds a candidate to their promises.  There is no more telling example to me than the fact that you hardly hear any talk of anybody retiring because of their pledge to support term limits.  When the campaign trail brings candidates to your neighborhood, ask the candidates where they stand on the issues of concern to you.

There is no reason to settle for mediocrity.  As a nation, we can do better and we should do better.  Whatever your political persuasion, look the candidate in the eye and ask yourself if this is the person you want in Washington to represent you.

SAMPLE LETTER

Dear Fellow Employee:

It's been said that if you want a job done right, you have to do it yourself.  When it comes to voting, nothing could be more true.  If we want to make sure our elected leaders do as we expect them to, it's up to each of us to go to the polls and exercise our civic responsibility.

We believe in the democratic process and encourage our employees to vote in the upcoming election on November 7th.

Voting is one of the most important rights and responsibilities we have as U.S. citizens.  It is also our best chance to say how we want to be governed.  I urge you to do your part on Election Day, Tuesday, November 7, 2006.

Sincerely,
Your Name
Title

[Insert any information on special leave that your company plans to offer on Election Day, or information on rides to polling places offered by non-partisan, non-profit organizations.]

International Business Development

Ligna Space Sales Going Quickly

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With eight months remaining until the next LIGNA May 14-18, 2007 in Hannover, Germany, the organizers have received firm commitments for approximately 1.2 million square feet of net display area.  This amounts to 88 percent of the 1.39 million square feet of total net space used for the event in 2005. 

Germany's furniture sector recently reported its best quarterly profit in eight years, with sales up roughly eight percent to EUR 4.4 billion. According to Dr. Bernhard Dirr, Managing Director of the German Woodworking Machinery Manufacturers' Association (VDMA), "The mood is now markedly upbeat, with orders over the first two quarters surging ahead at a surprising rate."

As a reminder: Ligna is the world’s largest woodworking equipment fair held every odd year in Hanover, Germany. It is not just a European show, but a global platform for your company. If you are developing your international marketing plans Ligna is the ideal place to access the world market by attending or, as described below, taking advantage of the WMMA booth. If you are implementing your global marketing strategy, Ligna should be on your exhibition calendar.

Please consider the following WMMA marketing programs.

A. The WMMA has requested 30 square meters of exhibit space in Hall 12.  By the end of October, we should be receiving a space offer. Like in 2005, members can share the booth for $200 plus co-exhibitor fees charged by the organizers (co-exhibitor charge: euros 370.00 plus media charge: euros 75.00 = euros 445.00 plus VAT). The fees cover:

1. Space for members to work out of the stand, exhibit product catalogs, show product DVD’s and hang relevant product and corporate posters.;
   
   
2. Use of  the lounge area stocked with non-alcoholic refreshments and snacks;


3. Translators/booth assistants during fair hours.

ACTION:
If you would like to share the WMMA stand, please advise Harold Zassenhaus, WMMA’s Export Director, tel: 301 652 0693, email: hzassenhaus@fernley.com.

B. In the past, Hannover Messe has accommodated the WMMA and members’ location requests, even to the extent of locating members next to one another if the exhibitors so chose. For 2007, we are asking the organizers to be located next to or at least proximate to other WMMA exhibitors in Hall 12, specifically, JL Taylor, Mereen-Johnson, Newman Machine or Wisconsin Knife Works. By locating proximate to other members, we would be in a position to, in effect create a “WMMA member area”. If as a group we can agree on a “theme” (for example red carpeting in all the booths, WMMA logo banners, buttons, badges, etc.), we may be able to enhance our group’s participation. If not, we still should be able to reap the benefits of being close to one another.  This concept can be replicated in other halls if members choose.

Go to www.ligna.de to learn more about Ligna 2007. If you have questions concerning the fair or the above you can contact Harold Zassenhaus or the organizer’s USA offices:

Rita Dommermuth
Director - Intl. Events
Hannover Fairs USA
212 Carnegie Center
Princeton NJ 08540
Tel: +609-987-1202 x 206
Mobile: +609-540-1475
Fax: +609-987-0092
E-mail: rita@hfusa.com

Europe’s Energy-Using Product (EuP) Directive

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Now that WEEE and RoHS have been incorporated into to the European Union’s (EU) product conformance regime, i.e., the CE Mark, the EU is embarking on an additional directive, to be incorporated into the CE Mark, “to reduce the environmental impact of energy using products (EuP’s) contributing to sustainable development and security of energy supply within the EU while ensuring the free movement of products.”  The EuP will set technical standards and eco-design requirements for all electrical, electronic and other energy-using devices, except transportation vehicles and cover all energy sources.

In theory, the directive could have a wide ranging impact as it could cover any energy using product and parts used or intended to be used in EuP’s. However, the directive’s scope is narrowed (so far) to include only those products which represent a significant volume of sales and trade – more than 200,000 units per year within the EU and have a significant environmental impact and present a significant potential for improvement without entailing excessive costs.

The EU Commission expects to ratify implementing measures by September 2008, at which time it will be up to member states to ratify national legislation.

By next July, the EU Commission will establish a 3-year list of priority product groups. In the interim, the Commission will begin working on a set of 14 product categories to include personal computers and monitors, imaging equipment, battery chargers and external power supplies, motors, pumps, fans and circulators. Members that incorporate these type products in their equipment exported to the EU should become acquainted with the regulatory requirements and the time-line for implementation.

For more information, go to the EuP web page on the European Commissions website:  http://ec.europa.eu/enterprise/eco_design/index_en.htm. After reading the introduction, click on “related activities” found on the left hand side of the page to learn more about the EUP framework for developing implementing legislation.

Final Reminder: The WMMA Providing Free Subscription to US and Foreign Country Trade Statistics

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This service, tailored to your specific needs, is available to you directly - FREE! This member benefit will enable you to easily track custom developed equipment and/or wood product trade flows so you can better market and sell abroad and be aware of trends that are impacting your activity in the US. However, the offer expires at the end of this year.  So, act now to access customized trade data.

See the February 06 Cutting Edge for details.

Manufacturing Strategies

The Case for Metalworking Skill Standards

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American industry will only be competitive if we all work smarter and we employ individuals with more highly developed skills.

What Are Metalworking Skill Standards? They are defined common skills and competencies that the metalworking industry has determined a worker needs to perform well on the job. As benchmarks for performance, these standards are continuously updated using industry feedback by employers, workers, and educators in the metalworking industry. There are over 20 specific sets of skill standards designed to fit into four broad industry areas. The four areas are:

• Machine Building, Maintenance, Repair, and Servicing


• Machining


• Metal forming


• Tool, Die and Mold making

These four areas are each divided into three levels of expertise:

• Level I - Foundation Skills


• Level II - Intermediate Skills


• Level III - Advanced Skills

Why Do It?  Globally and locally, industry is changing. High-tech skills are increasingly necessary for even the most basic jobs. To keep pace, employers and educators need to explore new training strategies. An evolving effort to ensure a highly skilled and adaptable labor force is succeeding in many parts of the country due to the growing use of industry-defined skill standards.

As today’s marketplace ratchets toward higher quality requirements, skill standards work as:

• A precision tool that keeps the metalworking industry current and competitive.
  
  
• An employer’s gauge for measuring performance, both before and after hiring.
  
  
• A powerful opportunity for partnerships among industry leaders and trainers, educators and community training programs.
  
  
• A dynamic process to keep workers on top of industry expectations, preparing them for every changing and increasing performance demand. In a growing and complicated marketplace, skill standards pave the road to future growth and a better bottom-line. 

Everyone in our industry can benefit from using the Metalworking Skill Standards. In fact, rewards for participation only multiply as more employers, educators, and workers join in the system.  The following are just a few of the tangible payoffs:

• Production and profitability boosted by employees who are properly matched to their jobs.
  
  
• Job search costs reduced by utilizing efficient screening procedures that are accurate, objective, and meaningful.
  
  
• Employee relations improved by better retraining, reassignment, and promotion of workers.
  
  
• Worker motivation increased by opportunity to expand skills and earn certificates.
  
  
• Product quality raised as the result of a highly trained and well-positioned workforce.
  
  
• Provides a more flexible and adaptive workforce by allowing employers to know exactly what skills they have and how to deploy them better.
  
  
• Assures worker competency in specific jobs.

For Information, contact: Mr. Steve Mandes, Executive Director, NIMS, 3251 Old Lee Highway Fairfax, VA, 22030 PH: 703-352-4971 FX: 703-352-4997 or visit the NIMS – National Institute for Metalworking Skills Web site at www.nims-skills.org.

Association Benefits

EcoChats from ITR – Another WMMA Member Benefit

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What if you could stay current with what is really happening in the US economy by listening to a CD?  Even better, what about multi-tasking, listening while driving to and from work? 

The Institute for Trend Research (ITR), publishers of WMMA’s Quarterly Economic Outlook Report, has launched a new report format – EcoChat. EcoChats is produced quarterly in CD format. Subscribers to EcoChat can listen in on an informal meeting of the ITR economists as they talk about important issues relating to the economy and business.  This new format allows ITR to respond to many questions that arise from what is reported in the news. 

To listen to samples of EcoChats, click here.

These forty-five minute conversations cover a wide range of timely economic topics on issues that directly impact your business.  Each edition provided an overview of the US economy and a view of what is coming over the next 3-4 quarters.  In addition there are specific discussion about topics such as energy costs, the impact of China's growing economy on the US, the truth about the housing 'bubble', what industries have potential in the future and what does the rest of this decade look like for US businesses? An audio sample of EcoChats is available on the WMMA website for your convenience.

These quarterly CD's are available in the months of March, June, September and December.

Sign up today!
Call ITR at 603-226-9331 and identify yourself as a WMMA Member to receive a special, discounted rate.

Association News

James L. Taylor Manufacturing Co. Website Awarded Standard of Excellence by Web Marketing Association

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The James L. Taylor Manufacturing Company website has been awarded a Standard of Excellence award by the Web Marketing Associations 2006 WebAward program.  JLT Manufacturing Co. recently worked with SVM E-business Solutions to redesign their website.  This WebAward recognizes the standard of excellence for which all Web sites should strive. To learn more about SVM and what they are doing for WMMA, click here.
The Web Marketing Association was founded in 1997 to help set a high standard for Internet marketing and web development on the World Wide Web. Staffed by volunteers, this organization is made up of Internet marketing, online advertising, PR, and web site design professionals who share an interest in improving the quality of online advertising, internet marketing, and website promotion.  The Web Marketing Association is the producer of the WebAward Competition. Now in its 10th year, the WebAwards is the premier annual web site award competition that names the best Web sites in 96 industries while setting the standard of excellence for all website development.

New Version of NFPA Standard

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The NFPA 79 Committee (Electrical Equipment of Industrial Machinery) announces a new version of the NFPA 79 Standard.  The 2007 edition of NFPA 79 has two changes that may be of interest to WMMA members.

1. Chapter 11, Electronic Equipment, was deleted and all subsequent chapters renumbered accordingly.
2. A new Chapter 19, Servo Drives and Motors, was added.

The standard is also available as an American National Standard.

Summer Internship with Safety Speed Cut

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The following article was written by Ian Johnson, an undergraduate M.E. student at the University of Wisconsin.  Ian is a recipient of a WMMA scholarship and recently completed a summer internship with WMMA member company Safety Speed Cut.  Several other WMMA members have benefited from the scholarship program by hosting interns this summer.  If you are interested in utilizing this unique program, contact Molly Pappas at mpappas@fernley.com.

Over the last three months, working for Safety Speed Cut has been a great experience and opportunity for me. I have been able to work on a few different projects during the summer, such as: process documentation, trouble shooting documenting, exploded views of products, and sales.

The majority of my work was doing process documentation for all the equipment made by Safety Speed Cut. Process documentation included spending time in the shop to learn how a specific machine was manufactured and assembled, making sure to take notes and pictures of all the steps. After I knew how a machine or part was made, I would write a process for it. All the processes were written in a way that could be used as a means for new employees to learn a process; pictures were linked to steps that were important or complicated. Writing these processes was advantageous for me because it gave me an idea of what goes into a manufacturing process, also reinforcing the fact that every detail is important. I was also able to give some of my input on the manufacturing processes used by Safety Speed Cut. This all will be beneficial for me going into manufacturing engineering because it gave me experience writing a process in a professional format and working with manufacturing processes.

I also worked with building troubleshooting documents to help customers that may be having issues. In doing this, I worked with the technical person that helped most customers who were having problems with machines. As I worked with him, I found out the most common questions that customers had with machines and how these problems were resolved. After learning how to solve the problems, I wrote a troubleshooting instruction manual. This could be sent out to a customer, or used by a Safety Speed Cut employee as a set of guidelines to begin assisting a customer with these kinds of needs.

One of the last things that I worked on was making an exploded parts list of a couple of the machines. Making these lists included: taking pictures of the entire machine, pointing out every part used on the machine, and linking it to a part description and number. From this, I learned how to create a parts diagram that is fast and easy to make, yet very effective and efficient in showing all the parts in the product.

Lastly, I assisted in some sales and customer service, which included taking phone calls from customers while in the office. Most of the calls that I answered were support calls or technical questions about the machines. In doing this, I learned how to explain technical information to a consumer over the phone, and how to work with people that need help with adjusting or changing some part of their machine.

Safety Speed Cut also gave me the opportunity to go to the IWF trade show with them, which was a wonderful experience for me. While I was at IWF I looked at some other companies’ exhibits, which gave me a chance to see some of the other products that are used in the woodworking industry. This opened my eyes to how large the woodworking industry really is in the U.S.  This experience has sparked my interest in the woodworking industry much more then it ever had in the past.  I was very interested and excited to see how all the new technology is being utilized in such an old trade.  Most of my time at the exhibit was spent working the Safety Speed Cut booth; I spoke with customers, dealers, and potential customers. This was a good experience for me, because I learned how to talk to customers and how to show someone the ways a cretin product would fit their needs and increase their productivity. As a manufacturing engineer, I think that talking to people about how productivity could be increased is a very good skill.  It also teaches me to see how to increase productivity in things that I will do.

I have been talking with Safety Speed Cut about doing some work over the course of this winter. Safety Speed Cut has talked to me about doing some product testing and development, as well as some technical drawings for them. I am very excited to possibly be continuing my work with Safety Speed Cut. Testing the products will be a good experience for me because it will give me a chance to set up an experiment and run all my own tests. Doing some technical drawing will also really help me.   I have taken classes on working with CAD drafting but this will let me put some of the knowledge I have gained into real use. Putting the things that I have learned in school into a real world setting is a great way for me to see how to use the information I have learned and apply it to different projects and situations.

My internship with Safety Speed Cut has been a wonderful and exciting learning experience for me. It has taught me how things in the real world are manufactured, and some of the issues that arise during manufacturing, which are not mentioned in textbooks. I gained experience in working with people in an office setting and working with people in a shop setting. This will help me relate the two different areas in the future. Working this summer has also taught me how to write a process in a way that is accurate, efficient, and able to be understood by all people that are going to read it. I am very happy with how people were willing to work with me and teach me about the woodworking industry. All the Safety Speed Cut employees were very nice and helpful with anything that I needed. This has been an experience that will be very important in the rest of my academic career and professional career. The experience that I gained while working for Safety Speed Cut is irreplaceable and will always be appreciated and never forgotten. My thanks to Safety Speed Cut for giving me this opportunity it was a wonderful experience as a student.

16th Annual Woodworking Industry Conference

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The woodworking industry and your business face new challenges every day. WIC offers thought-provoking discussions, workshops and other educational forums to better prepare you for today's ever-changing business environment.

The 16th Annual Woodworking Industry Conference will be held April 25-28, 2007 and is the premier forum for education and networking.  Attending the WIC '07 at the Renaissance Vinoy Hotel in St. Petersburg, FL, is the right choice for your business.

To read about this year’s exciting program, visit http://wmma.org/events/wic.cfm.

WMMA's Public Policy Fly-In: Save the Date!

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WMMA will hold its annual Public Policy Fly-In on February 14, 2007 in Washington, D.C.
The Fly-In will be preceded by two days of WMMA Board and Committee meetings on February 12th & 13th. Make your voice heard on Capitol Hill as you lobby for the positive future of U.S. manufacturing. Mark your calendar today to attend one of WMMA's most influential events!