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Buhrke Industries: Stamping a Success Story Out of Innovation, Collaboration

Using innovation to stay ahead of the competition isn’t new to Buhrke Industries, since decades ago the company developed the first stamping die to blank, form and curl aluminum foil trays in one stroke, revolutionizing the container industry. 

Fred Buhrke founded Buhrke Industries in 1949, running it in the back of his father’s harness business on Milwaukee Ave. in Chicago.  Trained as an engineer, not a die maker, he taught himself to be a die maker. 

It wasn’t originally Buhrke’s intention to develop dies for foil but a customer, Ekco Products, hired his three-person company to design a lighter weight version of a die used in the same manner for tinplate.  The design was so successful it launched Buhrke into the realm of recognition and success in the stamping industry that it enjoys today.  But it wasn’t smooth sailing the whole 50 years. 

Mike Chester, Buhrke’s current president and CEO, joined the Buhrke team 18 years ago as a die maker.  He worked his way up through the company ranks to become a manager and really liked working at Buhrke.   

Due to a series of unforeseen circumstances, Buhrke Industries filed for bankruptcy protection in 1994 and sold off its can tooling division.  Chester worked in that division but when it was being sold Fred Buhrke offered him a chance to move over into the stamping division, which Mike did.  Through a formal reorganization in which the company paid all of its debts back, with interest, over three years, Buhrke Industries came back strong with its reputation intact.  Buhrke saw a need to implement operations differently from that time forward. 

“By 1995 we were going through QS 9000 certification and we realized what we needed was a strategic plan,” says Chester.   

In 1996 the company earned the QS 9000 certification and Chester enrolled in a management course through the University of Illinois’ Chicago campus.  As part of the class, he had to write a strategic plan for the company.   

“Fred liked the plan I wrote so much that he decided to replace himself with me,” explains Mike.  “He was 76 at the time and was ready to pass the reigns on to a successor.” 

Ken Wesseln, who has been at Buhrke 14 years, also stepped up into ownership of Buhrke.  Both he and Chester became minority owners in 1999, then, via a buyout of Buhrke’s children who owned 54% of the company, they became majority owners in 2001 with Fred still maintaining a minor ownership in the company.   

Car radio brackets that Burke manufactures.

Chester’s strategic plan was a turning point for Buhrke Industries.  The QS certification also helped boost the company’s standing with key customers.  Later, in October 2003, one of the first moves the company made was to obtain automotive quality TS16949 certification, an international quality standard for tier one auto suppliers that replaced the company’s QS 9000 certification.  Buhrke sought to stay ahead of the curve in being TS16949 compliant.  Doing so ensured the company’s place as a tier one supplier to a major automotive customer that also happened to set a July 31, 2004, deadline for compliance at that level. 

All the way around, Chester is confident that all the time and hard work involved in obtaining the specialized certifications – both QS and TS – has been well worth it. 

“What that did was it forced the discipline of using documentation, using metrics, measuring everything and actually setting goals for the company,” says Chester.  “It changed our cultural philosophy and we’ve really grown from that point.” 

Innovation Continues at Buhrke 

While in the process of implementing processes to earn the new TS16949 certification, another very unique thing happened at Buhrke. 

“It was written up in MetalForm Magazine,” Chester says.  “We developed a predictive and preventive maintenance program with a documentation system.  Like most stamping operations at the time, we used to do maintenance by a calendar.  In 1995, I decided we had to have a second shift because we were running out of machine time and our budget didn’t allow for expansion at the time.  With a second shift, the calendar method didn’t work anymore, so we had to come up with an effective maintenance system that worked based on usage. 

“We hard-lined all of our machinery back to a central monitoring board, which is wired into a Programmable Logic Control board (PLC), and that eventually got linked to our computer systems,” Chester continues.  “Every time the clutch is engaged with the press it measures up time and sends a signal back to the PLC board and the board captures that time.” 

Buhrke’s maintenance department created a prototype for this innovative system and what Chester realized he had was the ultimate metric for machinery utilization. 

“There’s no room for fudging numbers,” he says.  “Everyone has to log in their time on a work center every day.  I know how many times that work center went up and down by looking at that PLC.” 

Chester says that system became the ultimate metric that drove a lot of improvement projects at Buhrke.  The goal was to continually improve the company’s up time and all of their punch presses were upgraded over the next five years so they each had servo feeds and the hardware necessary to implement electronic interfaces between the tooling and the presses.  It cost about $60,000 per press to accomplish, but Chester says it was well worth it. 

Buhrke's preventative maintenance and production management system was developed and built by Buhrke employees.

“Every time we upgraded a press we could see our uptime getting better,” he says.  “That board becomes the basis for so many different things: job progress, efficiencies, increasing uptimes, material handling processes, and more.  The minute you put a measure to anything, it automatically improves.  I’m a firm believer in that.” 

In 1998, Buhrke set yet another milestone when it designed and developed a new machine they call a Bow Inducer.  This patented machine is designed to bow laminated materials, and it can do it in either a “bridge” fashion or an inverted fashion.  As with the aluminum trays from Buhrke’s earlier days, this machine was created out of the desire to service a customer (in this case automotive) so that the stamped product was produced more efficiently and at less cost. 

“The Bow Inducer literally married us to the customers,” says Chester.  “We found a way to eliminate extra steps in the manufacturing process that no one else can do.  In the process, we also helped lower tooling costs and save time.  The customer loves it and that’s what it’s all about.” 

END PART I 

In Part II, find out how collaboration strategies have furthered its goal to be among the leading stamping operations in the country. 

 

Buhrke Industries: Collaboration Strategies that Work 

Part II of a two-part series 

Last week in the TPR we introduced readers to Buhrke Industries and company president Mike Chester.  Through the implementation of innovative processes and strategic restructuring, Chester, along with partner Ken Wesseln, Buhrke founder Fred Buhrke and the Buhrke team, pulled the company out of bankruptcy and rebuilt it to be a premiere metal stamping company.  But the success story doesn’t stop there.  Read Part II to find out how collaborations have helped to really grow this company. 

The Buhrke Team outside their Arlington Heights facility.

In 2000, Buhrke Industries President Mike Chester, was approached by industry peer Marty Weigel of Weigel Tool Works, and asked if he would be interested in creating a formal group whose focus would be on die safety and sensors. 

“We started the Greater Chicagoland Sensors Group,” explains Chester.  “About six companies got together and started it.  We [Buhrke Industries] partner, in a way, with these companies by the sharing of our knowledge.  Every six weeks, we meet at one of our plants and the host company shares with everyone what it is doing with electronics in tooling.”  

Chester adds that electronics can also include vision systems – a new technology that has emerged in recent years.  Chicagoland Sensors Group members have determined that there’s not a lot of track record yet on vision systems, so rather than trying to learn it on their own, the group entertains best- and worst-case scenarios that help them figure out the best use of the technology. 

Tool room managers and company owners both participate in the Chicagoland Sensors Group and it’s evolved to where vendors in the industry are invited to showcase their wares.  Formally incorporated, other member companies include Aro Metal, Ramcel Engineering Co., Sko-Die, HFK Precision Metal, and Pylon Tool.  Chester notes that the Tooling & Manufacturing Association (TMA) also helped get the group off the ground. 

“The Chicagoland Sensors Group goes along with my whole theme of collaboration,” says Chester.  “We’re huge on collaboration at Buhrke – what’s good for the industry is good for us.  Fred Buhrke also believed in this. 

“We’re all competitors, but we don’t look at each other as direct competition as much as we look at the rest of the world as such,” he continues.  “The spirit of cooperation is wonderful among us.  There is so much knowledge that still needs to be gained.” 

Collaboration in Education 

Buhrke Industries embarked on yet another strategic collaboration in 1999 that has been what Chester defines as a total win-win situation for parties involved in it. 

Chester once again joined his peers and fellow TMA members in creating the Metalforming & Education Committee.  It was established in answer to a survey of needs the TMA sent out to its membership.   

“A lot of feedback centered on the emerging technologies coming into the press room,” says Chester.  “Businesses needed some avenue of education to learn how to use new technologies and optimize on them and asked the TMA what they might be able to do to help.  About 40 companies came together originally; but it boiled down to about 10 that stuck together, established the committee and wrote curriculum for classes on die setting and press room operations.” 

Buhrke houses the Training Lab that boasts three full press lines, each with the latest stamping technology possible, and all on consignment from companies that supply the stamping industry. 


Buhrke's in-house training facility has the
very latest in stamping technology
.

“The training lab is both a classroom and showroom,” says Chester.  “In exchange for the equipment the vendors gave us for hands-on, live facility training, they can show potential customers their equipment in action.” 

In fact, Buhrke just took the training lab arrangement to another level.  Wintress Controls, a major donor in the lab, recently closed its Carol Stream, IL, facility at which they held classes once a month.  Wintress put their controls on all three lines in the lab, free of charge.  They also gave the lab several tables and chairs to use in the training lab classroom.  Chester talked to the people at Wintress and asked where they were going to do their training. 

“I invited them to use our facility, gratis,” says Chester.  “It’s a nice partnership and everyone wins because I have this training facility in my plant and I can utilize it for myself and hold my own training classes there, ensuring I have the best trained workforce.  So every time Wintress holds a class, two seats are held for Buhrke employees to further train as well. 

“Again, it’s a collaborative effort,” he adds.  “We’re truly helping the industry and companies are helping each other.” 

Buhrke Industries owns three buildings and occupies about 90,000 square feet on 10 acres of land in Arlington Heights, IL.  The company rents out the remaining 30,000 square feet of space to a printing business.  There are 135 employees and about 95% of the customers served hail from the automotive industry. 

The company went from $8 million in sales to just over $25 million in 2003.  Asked what has been key to this leap in sales margin, Chester credits Buhrke’s quality systems and their role in the company’s quest for continuous improvement, plus the collaborative involvements. 

Buhrke is not shy about marketing itself either.  Partner Ken Wesseln is vice president of sales and marketing.  Trade shows and first quality collateral materials, plus an impressive website help the company get its name in front of customers. 

“One of the things that have helped us grow is giving great customer support,” Chester explains.  “We have somebody on the ground with the customer – right there with our big customers locally to provide whatever they need.  If they have an issue or a quality concern, you have to have somebody right there to be at their beck and call.  We use local people and reps to accomplish this.” 

Buhrke's website home page.

Buhrke has also formed strategic alliances with other companies in order to offer subassembly work for customers.  To ensure continuity of quality and service, these companies must be like-minded from a quality standpoint so that the customer knows they’re getting what they expect.  Once such alliance is in Huntsville, AL, with Mtronics, Chester says.  Mtronics does all of Buhrke’s warehousing and distribution, plus electronics testing and thermal management. 

The latest strategic alliance is in the works, says Chester.  Buhrke is preparing to launch a third-party warehouse and distribution facility in order to more efficiently serve a customer in Monclova, Mexico.  The alliance is being formed with a local machine shop, Cobra Metalworks out of Elgin, IL, that does high-volume machining for Buhrke.  Buhrke and Cobra are looking for opportunities to take their core competencies and combine them to bring optimum value added services to their customers, Chester says, and that makes for another good collaborative effort in Mexico. 

“We’re serving the same customers, we have the same needs and we match up very well with each other at less cost,” he explains.  “The customer reaps the benefit of that.” 

This straight-side Minster press at Buhrke
can handle up to 400 tons.

The Monclova facility should be open by end of this summer. 

Buhrke services mainly the automotive industry as a tier one supplier of up to 400 ton stamping services.  The company specializes in high volume complex parts and assemblies.  Other industries served include telecommunications, computer and white goods (appliances). 

“We continue to find ways to reduce lead times on die manufacturing and reduce costs,” Chester emphasizes.  “We offer a full-range of prototypes and soft tooling in addition to stamped products and assemblies.” 

To find out more about Buhrke Industries, please visit the company’s website at www.Buhrke.com.  

 

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