Featured November 19,  2004

Case Study Archives

Mike Armbrust, General Manager of Mako Mold Corp. in St. Charles, IL

1) What is your company niche and what does your company do that is notable,
unique or different?   

While it may not be different, we do an excellent job of paying attention to detail.  We put a tremendous amount of resources into making sure our customers are satisfied with the product we deliver.  When business was good, some shops forgot about this aspect of the customer/supplier relationship.  We haven’t forgotten.  Communication is the key to making sure the customer is getting what they want and we are delivering.  We manufacture molds for the automotive, appliance, agricultural, and medical industries, which include building single cavity prototype molds, multi-cavity hot runner molds and insert/over molds, are a specialty for us.

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 When and how did you get into the industry, what attracted you to it?

My father-in-law, Phil Denemark, introduced me to it.  I spent my childhood working for my family’s business, plumbing and heating.  It was then I realized working with my hands and being able to create something was important to me.  After completing college with a business degree and spending 5 years in the medical industry, Phil approached me about a career change.  The decision process took some time, but I’ve been in the industry now for 8 years.  Phil has made me earn my stripes using both conventional training and a “baptism by fire” approach.  One of the most interesting aspects of this industry is that with every new project there are unique challenges.



Relate a notable "best time" for your company.   

The mid to late 90’s, when we made the commitment to move ahead technologically.  It has allowed us to remain a viable business.  There’s definitely a trade-off.  Some shops chose not to invest in new technology and now they’re out of business.  Others made the commitment to innovate and have the very latest technology/machinery.  Some of these shops are out of business because the work didn’t follow and they couldn’t afford to make their payments.  We’ve made a commitment to continue to innovate at a steady pace.  We’ve had to decide when the best time to implement new processes and/or equipment is and time those decisions with market conditions.  So far, it has worked out for us.

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Similarly, relate notable challenges that your company has overcome.   

The blanket challenge of having to compete globally has been tough.  Competing against companies who aren’t operating under the same rules, not on a level playing field, is challenging.  We’ve had to look closely in the mirror to find what we can be doing differently to remain competitive.  We’ve had one customer go bankrupt on us, leaving us unable to collect on their debt.  That was hard, too. Another significant challenge in this business is managing cash flow.  We’ve had to adapt to those types of conditions.

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When you are working on projects with your customers, what aspects would you like them to better recognize?

Customers need to recognize the need for better electronic files, and the ability to update those to the latest rev levels in a timely fashion.  It is difficult to understand that, while we’re in the age of information, it is such a challenge to get updated, corrected files.  This is critical, and controls the outcome of a successful project.  Also, we are always of the opinion that the sooner the toolmaker can be involved in the design process the better.  We can often shed some light that can give the customer the ability to mold a better part with faster cycle times and prolong the life of the tool, etc.

List newly acquired technology, machinery or key  personnel (in last year).   

We have a new machining center arriving this month that we’re dedicating to graphite.  It’s one area we’ve wanted to address and improve on.

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8)   

Has your company recently expanded? Plans to  expand or form partnerships/alliances? 

No. Not at this time.


Are you involved in any industry organizations or educational programs related to the trade?   


I serve on the national board of the American Mold Builders Association (AMBA) and am also a Chicago AMBA Chapter board member.  We are also members of the TMA, NTMA, NAM, NFIB and SPE.

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10) 

 What do you think about changes occurring in the industry due to globalization?
 How has it  affected the way you do business?  


I am a big proponent of fighting the fight of global challenges, but we only have direct control of what goes on within our shop.  We have to do the best we can to look at our processes and assess whether we’re doing them in the best, most efficient manner.  Without a doubt, competing globally is a struggle; and I think you’ll hear that from a lot of people.  Times have changed.  But I think the reduction of capacity in the industry is a positive thing.  I’m not happy so many mold shops have closed, but it has caused those of us who are still in business to take a look at how we can better compete. 


What will the industry look like in 3 to 5 years?  

There will always be a need for this trade.  People are going to continue to improve their processes and find better ways to compete.  There may be more consolidation and partnerships, and we will continue to compete globally, but you’ll still be able to buy tooling in the United States.  We have some of the finest shops in the world manufacturing molds here.   

Additional Background Information

Number of years in business:  35 

Current number of employees:  5

Current square footage (each location):  3,000

Additional locations:  None at this time.

Website: None 

Types of tools built and/or run: Injection molds, specializing in insert molding

Industries served:  Automotive, Appliance, Industrial and Agricultural; some Medical

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