The company says its policy of openness and integrity helps it foster long-term relationships with its clients.

Don Schneider Sr. says his company is “in the middle of nowhere,” but that doesn't stop big-name OEMs from doing business with the Cambridge, N.Y.-based Cambridge Valley Machining (CVM). The company provides CNC machining, fabrication, and prototype and production machine-building services, along with design, engineering and welding.

“We're in a farming area,” says Schneider, president and CEO. “We have to rely on outside industry [for our customer base].” Those industries include pharmaceutical, automotive, food packaging, firearms and defense products, he adds.

With a staff of 75, the company remains family run. Schneider's son, Don Schneider Jr., serves as vice president, quality manager and customer liaison, while his son-in-law, Jim Moore, works as vice president of finances and IT. Schneider's daughter, Allison Moore, works in the company's finance department, along with daughter-in-law Tracy Schneider, who works in purchasing and serves as a community liaison.

Since its founding in 1988, CVM says it has become a leader in its market by treating clients as partners. “One of the things I'm really proud of is that we have customers come from all over the United States and from outside the United States to use our services and purchase our products,” Schneider says. “For a customer to come from California to a manufacturer in upstate New York, that must say a lot.”

The ISO 9001:2001-certified company also fosters honesty and openness with clients – even if that means turning down work. “We try to learn all we can about a customer – its goals, its cost structures,” he notes.

“If, after meeting with them and working with them, we cannot give what we feel is a good value for them, we will [refer] them [to another manufacturer],” Schneider says. Often, those same customers came back to CVM the next time there is a project more tailored to the company's capabilities. “It's built a lot of respect and loyalty in the business,” he adds.

Niche Market
Although CVM's core business is precision machining, the company also offers contract manufacturing, as well as engineering and design. “A lot of our customers come to us because we offer a complete solution,” Schneider says. That includes tooling, design, prototyping and even finished-product manufacturing. CVM will also use a client's packaging to pack and ship products.

“We can handle the entire supply chain,” Schneider says. “Another thing that makes us unique is that we basically service a niche market,” he adds, explaining the company fills a gap in manufacturing between prototyping and mass production. “A lot of companies are looking for someone to get a product off the ground for them,” Schneider says. Some manufacturers are not willing to do that. “Some say, 'There's nothing in it for us. We are able to fill that gap, and we do it willingly.”

Pricing Pressure
With many manufacturers outsourcing to low-cost countries, Schneider says CVM has to work harder to stay competitive. “We see a tremendous amount of pricing pressure, especially from the Far East,” he notes.

CVM is combating that by trying to get the optimum efficiency from its equipment. “We try to optimize the machine tools that we have in-house without purchasing new and expensive equipment,” he says.

The company practices lean and cellular manufacturing by grouping machines performing similar tasks together. “We've been doing it by default probably ever since we started the business,” Schneider says, adding that early on, the company struggled with limited floor space.

But even after expanding the facility, now at 50,000 square feet, CVM continues to focus on getting the most from its equipment. “What we try to do is match machine cycle times with available operators,” Schneider notes.

But that doesn't mean CVM isn't willing to add new equipment. “We're always exploring new tooling and new fixture methods,” he says. “If customers' needs increase and we feel we need to put up a new building or invest in a new machine, we'll do that.”

The company also strives to reduce the number of operators needed to run machinery. “We look at the workflow to reduce unnecessary steps,” Schneider says. “We've been doing [lean manufacturing] for a long time, and I think that's what makes us competitive.”