On April 19th the fastener industry was addressed in Milwaukee, WI by Larry Gaynor/Wrought Washer Mfg. Inc., Don Westby/Production Components Inc. and Wayne Wishnew/XL Screw Corp. The audience was reminded not to expect quotes to be valid for a long period of time due to the fluctuating costs of raw materials. Selling is more of a challenge than ever due to the higher expectations of customers and less flexibility on pricing.

It is more crucial, now, that more analysis go into everyday planning, With suppliers unable to make long term commitments, customer vendor relationships are very important.

In answer to the increasing concerns and demands of quality, the MWFA conducted a Quality Inspection Seminar on March 15th. The day began with Henry Chernow of MAE Specialties,
discussing quality and quality inspections. He explained that defective allowance has gone to zero defects. He advised that random sampling should increase samplings to catch potential defects. Overseas manufacturers are becoming more sophisticated and certified to quality management systems than they were in the past.

The group then was taken to tour the Quality Lab at Big Bolt. The plant tour provided an excellent tour for understanding quality as Tom Partridge, Casey McIlhon and staff explained the instruments and procedures used followed by demonstrations of bolt testing. As Casey stated, “The participants were very engaged in the tour and offered some great questions. It was nice to see such genuine interest.”

On February 22nd, the MWFA was fortunate enough to have two industry specialists, Bruce Darling/Porteous Fastener and Bruce Wheeler/Star Stainless Screw address the group. Their Material Market Update report warned of the volatility of our market.

Between the two of them the “Bruce Team” has traveled overseas over 1,000 times and visited over 400 factories. This allows their expertise to come first hand rather than just from research. They warned of the rising costs of nickel, stainless steel, low carbon steel, bronze, brass and other materials.

Mr. Wheeler reminded the audience a low supply and high demand will drive prices up. Prices may change daily; therefore, it is wiser to buy more often rather than retain a high inventory at a high price in the event prices decline. Quotes are normally only valid for three days allowing the seller to maintain selling price in conjunction with their fluctuating buying price. What we are seeing is a typical cycle which occurs every five to seven years.