Seaberg Industries: World-Class Service
Raw Materials/Parts
By Fernie Grace Tiflis   
Tuesday, 30 October 2007
smc Seaberg Industries, brackets, engine supports, plates, adapters, braces and step assemblies, Illinois
Seaberg Industries’ products include brackets, engine supports, plates, adapters, braces and step assemblies.

Considering itself a world-class manufacturer of high-precision machine components for the agricultural, construction and industrial markets, Rock Island, Ill.-based Seaberg Industries says its strength lies in its combined expertise in metals manufacturing.

“The complexity of the parts we do is what sets us apart,” President Craig Kinzer says. “We’re very flexible and very competitive in price range [and] in the type of work we do.”

The company’s products include brackets, engine supports, plates, adapters, braces and step assemblies.

Seaberg Industries has been a certified Caterpillar suppler since 1986. The company distributes to 11 U.S. Caterpillar plants, making it its largest customer. Seaberg’s quality, Kinzer notes, is what attracts big-name companies. To keep focused, it conducts weekly continuous improvement meetings with members from engineering, quality, team leaders and production members.

In addition, Seaberg also offers a defect-elimination program, where employees who recognize a problem at the facility are encouraged to suggest a solution. “There is a point system attached to it,” Kinzer says. “If they identify a problem, solve it and implement it, there is a point for each.”

The company gives out $500 a month divided among the point earners. “It gives credit to what [employees] are doing, and at the same time, they help eliminate a problem,” Kinzer continues. “In some cases, the employee follows the solution through implementation, [while]  other issues require a team effort.”

Staying Exceptional

With larger companies located in Rock Island such as John Deere, Alcoa and the Rock Island Arsenal, Seaberg Industries is continuously challenged with finding and retaining skilled labor. “There isn’t a large pool of people to draw from,” Kinzer notes. “John Deere has higher employee benefits, so there’s a draw off of skilled people.”

Seaberg Industries retains its 120 employees by offering ongoing training. “A lot of training gives them the opportunity to learn, grow and progress in the company,” Kinzer states. He adds that the company offers an apprenticeship program and recruits from local high schools and junior colleges.

“Our experience level continues to grow,” Kinzer continues. “Once [employees] have been in the company for one to two years, they stay. It’s the people below who leave because [usually] they are still deciding if this job is for them.”

Another challenge is outsourcing. “Some parts we still ship to India, Mexico and Asia,” Kinzer says, “but at some point, they will look for a local distributor to lower their cost.” He notes that Seaberg Industries has no plans to move its manufacturing services overseas. “All we can do is to remain exceptional,” he stresses.

Following the Golden Rule
The company was founded in 1973 by George Seaberg at his family home in Bettendorkf, Iowa. Its current 45,000-square-foot facility in Rock Island is undergoing its fourth expansion, and will add 30,000 square feet before the end of the year.

George Seaberg sold his stock to five of his long-term employees before he retired last year. Kinzer, who started in the company 33 years ago as a fabricator, assumed leadership in September 2006.

One of the many things he learned from the founder, Kinzer says, is  the Golden Rule. “[George] is a Christian,” he states. “He believes in treating everybody the way you want to be treated, and out of that, everything comes into place.”

Satisfaction Guaranteed
Part of the company’s ongoing plan is to renovate its manufacturing processes to improve quality. “We’re in the building we grew up in,” Kinzer says. “We’ve added space but it’s not designed for [better] work flow. It’s a crisscrossing, spaghetti path. We want to streamline the path of materials so [products] can flow better and reduce material handling.”

In the long run, however, customer satisfaction comes first. “We want to do well in a way that makes our customers happy, and us profitable while retaining our employees,” Kinzer continues. “It’s not fancy, but that is what we’re hoping for.”

 
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