California Manufacturing Technology Consulting®690 Knox Street, Suite 200Torrance, CA 90502P: 310.263.3060 www.cmtc.com

The Corporation for Manufacturing Excellence2010 Crow Canyon Place, Suite 320San Ramon, CA 94583P: 925.807.5100 www.manexconsulting.com

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H O L L I N G S M A N U F A C T U R I N G

E X T E N S I O N PA R T N E R S H I P ( M E P )

Partners Working Together to Support Manufacturing

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NBusiness Councils

Business Partnerships

Employer Associations

Community Banks

Community Colleges

Economic Development Agencies

Federal Government Agencies

Industry Associations

National Research Laboratories

Non-Profi t Associations

Professional Services Alliances

Public Agency Alliances

State and Local Government Agencies

State Colleges and Universities

Training and Development Groups

Workforce Investment Boards

New Programsfor Manufacturers

Made in CAThe Made in CA Program is a web based, online program celebrating the manufacturers that make products within the state. The success of the program is attributed to California’s manufacturers. It has created a community of manufacturers from Crescent City to San Diego. The best news is that it is a complimentary program offered by CMTC and MANEX to qualifying manufacturers in the State.

National Innovation Marketplace (NIM)The National Innovation Marketplace is a complimentary online service that connects manufacturers to technology and business opportunities resulting in new markets and new products necessary for success in the global marketplace.

This unique national online database is a tool for manufacturers to use when searching for new opportunities or to list their own expertise. One of the best features is the email alerts that manufacturers receive based on their areas of interest or expertise. MEP Regional Centers, CMTC and MANEX, will assist manufacturers with their company profi le.NE

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All impact metrics above are collected by an independent third party. All impact metrics above are collected by an independent third party.

2012

2012 proved to be a positive tipping point for manufacturing in California and the Nation. The recognition of the importance of manufacturing was noted in public and private forums throughout the year. In support of this manufacturing renaissance, the National network of MEP centers has long promoted the impact of manufacturing on innovation, economic growth, R&D spending, job growth and National Security. This is particularly true in California where there are 41,000 manufacturers, more than any other state in the nation, generating 11.6% of the state’s Gross State Product (GSP) and signifi cantly contributing to the State’s employment with 1.2 million workers.

Much needs to be done to maintain and grow our manufacturing base. For each new high-paying manufacturing job created, 3-to-5 additional non-manufacturing jobs are also created. Manufacturers must innovate new products, expand to foreign/domestic markets, build a skilled workforce for the future and add new customers through market diversifi cation to remain relevant. CMTC and MANEX, the Manufacturing Extension Partnership (MEP) Centers in California focus exclusively on the manufacturing sector. Our mission is to collaboratively assist manufacturers in problem solving so that manufacturing can thrive in the state. Collectively, in 2012, the California MEP centers assisted over 800 manufacturers leading to improved sales, increased productivity, and a higher skilled workforce.

We are very proud of the contribution the California MEP Program has made to the manufacturing sector, as noted in this impact brochure. However, we could not have accomplished this alone. We have listed the broad array of partners that join us in serving manufacturers. Success stories have also been included to explain the nature of our work and the benefi ts to our customers.

We invite all manufacturers to join our centers in the implementation of programs that focus on innovation, energy sustainability, supply chain, workforce development and continuous improvement. These are the “Next Generation of Manufacturing Strategies” that will increase the global competitiveness of the California manufacturing community.

Best regards,

James Watson Gene RussellPresident & CEO President & CEOCalifornia Manufacturing Technology Consulting® The Corporation for Manufacturing Excellence

Message from the Leadership Team of the California Manufacturing Extension Partnership (MEP) Centers

About CMTC and MANEX

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The MEP ProgramThe National Institute of Standards and Technology’s Hollings Manufacturing Extension Partnership (MEP), part of the Department of Commerce, works with small and mid-sized U.S. manufacturers to help them create and retain jobs, increase profi ts, and save time and money. The nationwide network positions companies for growth using fi ve key “Next Generation Strategies” – Continuous Improvement, Technology Acceleration, Supply Chain, Sustainability and Workforce Development. MEP also works with partners at the state and federal levels on programs that place manufacturers in position to develop new customers, expand into new markets and create new products.

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Our Mission Our mission is to create solutions for manufacturing growth and profi tability. As MEP affi liates, we provide services to manufacturers to reduce costs, increase revenue and develop a strong workforce. We accomplish these goals by creating solutions, value and advantages for each manufacturer.

Our Strategic Focus• Generating impact to exceed customers’ expectations

• Creating jobs through manufacturing growth

• Building public and private partnerships to increase customers served

James Watson Gene Russell

$144MTotal

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$49MCost

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$285MTotalSales3,229

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816Manufacturers

Served

California Manufacturers and Their Success CMTC and MANEX worked with over 800 manufacturers in 2012 to address their challenges and create solutions that would position them competitively in a global economy. In our current business climate, both at the state and national levels, it became vitally important for us to help manufacturers sustain their growth and position their business for the future. Here are just a few examples of manufacturers that received service from the California MEP Program and their documented outcomes.

American Graphic Board, Inc.Commerce, CA – 34 employees

American Graphic Board, Inc. converts and supplies paperboard and paper for printing, packaging and various other industrial applications. The organization specializes in quick turnaround and high volume.

Challenge

The company wanted to implement growth strategies to attract new customers and expand product offerings to better serve its current customers.

Solution

CMTC and American Graphic Board created a streamlined process for producing a variety of products that increased sales with new products, accommodating more demand and new customers.

Results

• $3 million in sales retained

• $200,000 in new sales

• 5 new jobs created

Jensen EnterprisesFontana, CA – 200 employees

Jensen Enterprises designs and manufactures standard and custom precast products to meet large-scale concrete infrastructure demands.

Challenge

Jensen desired to signifi cantly expand their plans to start a recycling program to reduce landfi ll costs and improve recycling.

Solution

Jensen participated in the Green Supplier Network (GSN) program. All plant departments developed a current state and the future state Value Stream Map, completed an energy audit and environmental assessment.

The project resulted in 14 recommended improvement projects to increase environmental performance.

Results

• $40,000 projected energy savings annually

• $60,000 cost savings in transport and land� ll annually

Ne-Mo’s Bakery, Inc.Escondido, CA – 200 employees

Established in 1975, Ne-Mo’s Bakery has set the standard for quality and innovation for baked goods in the marketplace. The full line bakery manufacturer offers cake products nationwide that can be purchased as snacks or desserts.

Challenge

Ne-Mo’s has successfully emerged from a single baker selling products locally into a full service commercial distributor. The company needed to increase plant capacity while reducing costs because of a major sales opportunity from a national coffee chain.

Solution

CMTC worked with plant management and provided recommendations to increase capacity while reducing production costs.

CMTC developed a solution to increase capacity by integrating the new production line into its existing plant layout and making modifi cations to meet the product requirements for the national coffee chain contract.

Results

• $8 million in increased sales

• 50 new jobs created

• 20 positions retained

• $120,000 in cost savings earned

“CMTC’s guidance resulted in cost savings which allowed us to further invest in innovation, employee development and equipment resources.”

– Mike Carmody Chief Financial Offi cer, Director of Operations

“The savings were easy – once we knew what to do – and provided amazing return on investment.”

– Fred Franks General Manager

“CMTC and the MEP system deliver results. Through their Lean Manufacturing initiatives, we were able to improve our processes which greatly reduced our costs.”

– Frank Kieffer Vice President of Operations

Corwil Technology CorporationMilpitas, CA – 160 employees

Corwil was founded in 1990 to provide high quality and responsive IC assembly and test services to the semiconductor, OEM electronics, military and aerospace, and medical industries.

Challenge

Corwil approached Manex to provide a solution that would address their needs of educating the workforce on data-driven problem solving, in the offi ce and the production fl oor. Items such as shorten the fi nancial closing cycle, reduce inventory variance and streamline order processing.

Solution

Manex developed a solution combining the Six Sigma Problem Solving Methodology to promote steady, incremental learning throughout the project. The format involved training in a classroom environment and then applying the methodology to achieve improvements.

Results

• 57% reduction in monthly � nancial closing cycle

• 99.5% reduction in inventory variance errors

• 75% reduction in order processing time with a pilot program.

“Manex Consulting has made tremendous contributions towards helping Corwil Technology Corporation become a high-performance organization.”

– Todd Rinella Vice President and General Manager

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James Watson, President & CEOJack Van Buren, Chief Financial Offi cerDoug Garnee, Director of Human ResourcesJohn Anderson, Director of ProgramsCheryl Slobodian, Director of Operations

Board of Directors - CMTC

Dr. Thomas M. Fallo, ChairmanSuperintendent/PresidentEl Camino Community College DistrictTorrance, CA

Paul Sunde, Vice ChairmanPresidentRadcal CorporationMonrovia, CA

Jack Van Buren, TreasurerChief Financial Offi cerCMTCTorrance, CA

Tom LightnerVice President, OperationsDelta DesignPoway, CA

Gene Russell, CEO & Executive DirectorBill Browne, Director of Client Services

Board of Directors - MANEX

Steve Tessler - Chairman of the BoardExecutive Vice President and Director of Sales for California Bank of Commerce

Gene RussellPresident & CEO and former CEO ofPilgrim Home and Hearth

Kevin KellyCEO, Emerald Packaging

Bruce KernExecutive Director of the Economic Development Alliance for Business

George LottiChief Financial Offi cer and Corporate Secretary of Heat and Control, Inc.

John NelsonChief Manufacturing Offi cer, American Licorice Company

Bruce (Tab) Wilkins, Jr.Federal Liaison, NIST Manufacturing Extension Partnership

Leadership Team - CMTC Leadership Team - MANEX

Jim MacLellanDirector of Trade DevelopmentPort of Los AngelesSan Pedro, CA

Gary SmithVice President, West Coast Operations D’Addario & Company, Inc.Sun Valley, CA

Robert TuckerPresident The Innovation ResourceSanta Barbara, CA

James WatsonPresident & CEOCMTC Torrance, CA

PlastikonHayward, CA – 328 employees

Plastikon has been a world-leading plastic and contract manufacturer for over 30 years. Harnessing state-of-the-art technology and dedicated employees, Plastikon has built a global reputation of exceeding customer’s expectations.

Challenge

New United Motor Manufacturing Inc. (NUMMI) was a unique joint venture between Toyota and General Motors in Fremont, and the end of this partnership resulted in the plant closure. This had signifi cant impact on Plastikon, and required them to revisit their business model for the California operation.

Solution

With the assistance from the Alameda County Workforce Investment Board (ACWIB), Plastikon received funds from ACWIB for employee training through Manex. The purpose was to support and enhance their capabilities as a plastic injection molding contract manufacturer. Through training in a variety of processes and improvements, Plastikon was able to achieve increased sales and job growth.

Results

• 20% increase in sales for consumer products

• 23% increase in new employees due to new business

Architectural Glassand Aluminum (AGA)Alameda, CA – 200 employees

Architectural Glass and Aluminum (AGA) is a custom manufacturer of structural and decorative building components. The company specializes in the design, manufacturing and installation of curtain wall systems.

Challenge

AGA approached Manex to perform a strategic risk assessment and payoff analysis for different manufacturing and site location scenarios, involving the relocation of the manufacturing facility.

Solution

AGA was considering options that included local relocation, out-of-state relocation and outsourcing production to a plant in Mexico. Manex’s approach was to look at the total “Cost of Ownership” of each plant location.

Results

Manex’s risk modeling gave them enough visibility to make two key decisions: set a date for moving the plant and choose a location that kept the manufacturing jobs within Alameda County.

• $120M in sales revenues by adding a second shift

• Retention of 200 jobs

“The staff at Manex was very supportive throughout this process and provided their professional knowledge in a well presented format for all areas.”

– Mark Petri, Vice President Sales and Purchasing

“Manex Consulting was invaluable in assisting AGA in making its decision to relocate its operations to Livermore from Alameda. Manex was able to quantify many of the “soft” variables in a manner that was useful and understandable.”

– John Buckley, President, Architectural Glass and Aluminum

SUCCESS STORIES

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