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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.
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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. |
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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.
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“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. |
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“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.
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Buhrke Industries: Collaboration Strategies that Work
Part II of
a two-part series |
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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. |
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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.
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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. |
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“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.
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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. |
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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.”
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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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