Computers Prove Mettle of Calgary Firm's Parts
From The National Post - Entrepreneur
July 12, 1999
By Monica Andreeff
"People at the annual general meeting just couldn't believe it," says
David Grant.
After-tax profit per employee at Calgary-based Omni-Lite Industries'
California plant amounted to $300,000 last year, on gross sales of $2.8
million
Every second, Omni-Lite manufactures a couple of small, precise parts
- used in cars, running shoes and weapons - from ultra-strong, lightweight
metals. It does this with machines networked to a single computer.
"The parts are made so fast that no human being can do the quality control,"
says Grant, president and chief executive officer.
Omni-Lite's output is skewing manufacturing productivity statistics.
In Canada and the United States, says Mr. Grant, the annual average output
is $100,000 per worker. At omni-Lite, it is $650,000.
A computer on each machine manages the equipment, doing its own quality
control. One operator can run a few machines, which all "talk" to a central
computer that measures manufacturing performance.
"Having machines do the checks from the start is a way to establish
precision," says Mr. Grant, who started Omni-Lite in 1992 in his home with
$1,500.
A University of Calgary engineering graduate with experience in the
aerospace industry, he became familiar with composite metals, blended to
maximize strength and minimize weight. "I had the feeling these might have
some use commercially," he says.
The company's first big break came with ultra-light ceramic running
shoe spikes that boast the strength of steel, but are one-third the weight.
Michael Johnson won the 200 and 400 metre races at the 1996 Altanta Olympics
in them. The spikes are now used in 90% of all track shoes on the market.
The products are fabricated under intense, cold-forming pressure. When
the manufacturing is complete, the composite is almost impossible to cut.
When he bought the first of the computerized machines that drill the
material to make the parts, it cost him $450,000. Today, Mr. Grant has
10 of the machines working for him, and has tripled the plant to 8,000
square feet.
Here, his eight employees pump out 500,000 parts a day.
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