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IMPORTANT: As of July 1st, 2011, functions once performed by the Wisconsin Department of Commerce have been moved to other state agencies and the Wisconsin Economic Development Corporation. The former Commerce web site will continue to exist for the next several months as resources are moved to new web site locations. We will make every attempt possible to direct our users to the new locations as web resources are moved.
WMEP Assistance Generates $164 Million in Economic Impact for State Firms Despite the recession, many Wisconsin manufacturers are benefiting from efforts to modernize and improve their operations. The Wisconsin Manufacturing Extension Partnership (WMEP) said recently that it projects it completed with state manufacturers generated an economic impact of $164 million – most of it from increased and retained sales. The FY 2009 economic impact is based on data provided by 176 WMEP-assisted companies and compiled by an independent firm. "These are solid results during a very difficult economy," said Michael Klonsinski, executive director of WMEP, a non-profit consulting organization that helps manufacturers grow and succeed. "These numbers underscore the gains that can be achieved with proactive measures to improve business performance. The manufacturers represented in this data are better positioned to survive the recession and take advantage of business opportunities once the recovery begins," he said. WMEP-assisted companies reported:
In addition, an analysis of the data projects an $8 million tax revenue benefit to the State of Wisconsin as a result of increased/retained sales. Kurt Wollenberg, vice president of Freedom-based Performance Welding, Inc., said WMEP has been a valuable resource in helping the firm on its lean journey. "We're not working any harder but we are working smarter," said Wollenberg, who estimates the company has saved nearly $250,000 from lean improvements. The firm also has expanded its capacity to handle new business as a result of better space utilization and increased efficiency, he said. Other firms reporting notable positive impact as a result of WMEP services include: American Laser Products, Inc., Middleton; Centerline Machine, Inc., Waupaca; Dalco Metals, Inc., Walworth; Design Specialties, Inc., Milwaukee; G&G Machine, Inc., Kaukauna; Lindquist Machine Corporation, Green Bay; Mid-States Aluminum Corp., Fond du Lac; Reliable Plating Works, Inc., Milwaukee; Terso Solutions, Inc., Fitchburg; and Trilary, Inc., Waunakee. During the past five years, WMEP-assisted manufacturers reported impact of nearly $1 billion – $977 million – with 7,965 jobs created/retained. WMEP provided services to 676 state manufacturers last year. WMEP's impact data is compiled by an independent firm for the National Institute of Standards and Technology's (NIST) Manufacturing Extension Partnership (MEP). Manufacturers are surveyed six months after the completion of a project facilitated by WMEP. WMEP is an affiliate of NIST MEP, a national network of 59 centers that provide assistance to small and midsize manufacturers. Manufacturing contributes $48.8 billion to Wisconsin's economy and employs 442,000 workers. Looking ahead, Klonsinski said this is a pivotal time for state manufacturers. "We're seeing some signs that the economy is recovering, and when that occurs manufacturers will need to be ready for it," he said. "Firms with outdated processes and poor operational performance could be left behind when the economic recovery begins." WMEP consultants bring best practices and business resources to help Wisconsin's small and midsize manufacturers improve competitiveness and profitability. In December 2008, WMEP released the results of the state's first-ever Next Generation Manufacturing Study, which revealed that many Wisconsin manufacturers, especially smaller firms, do not have the necessary strategies in place to compete effectively over the next five years.
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-- Linda Abbott |
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