FAIP North America manufactures high-pressure washers for cold- and hot-water applications.

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This past year, FAIP North America – an Elk Grove Village, Ill.-based company – decided it needed to diversify and enter new markets, so it began to manufacture hydraulic hoses. “We’re using the similar technology and the same type of equipment that we were using before, except now it’s for different markets such as automotive,” Vice President of Operations John Pianetto explains.    

“We want to be diversified and be more vertically integrated,” he says. “We saw a need out there, and we had the capability to fill that. Now, we are seasonal, running five days a week, 24 hours a day. We have the ability to increase capacity to run 24/7.”   

Founded in 1990, FAIP North America manufactures high-pressure washers for both cold and hot water applications. The new hydraulic hoses can carry fluids, such as oil, and can be used to transfer fluids among different applications, such as automobiles and refrigerators.   

“We hope to get 30 to 40 different SKUs,” he says.    

Also last year, the company introduced a patent-pending hose called the MONSTER HOSE. It has a clear jacket, which enables users to see the brass-coated wire. It is highly abrasive resistant and still very flexible, he adds. “The new offering gives a vibrant visual,” Pianetto adds. “It’s more then your basic black hose. It’s very visually appealing.”   

The company will also offer hoses with platinum colors, as well as custom colors. “[This option] is very favorable,” he says. “This flexibility puts us in a unique position in the market. This hasn’t been offered before.”

Industry Challenges
The increased cost of raw materials has made it difficult on all manufacturers, Pianetto acknowledges. “We are locked in a selling price for a whole year, but when the price increased, we’ve had our margins squeezed,” he says. “We have had to make sure we reviewed our processes in order to control costs and make ourselves a viable supplier.”   

Since raw materials are all tied to petroleum products, costs have escalated, he says. “The prices are monitored daily with the vendor and their sub-suppliers,” he explains. “A lot of the specialty products have increased – like our brass-coated wire – and they will probably hold through the end of the year.”   

High costs are felt by many manufacturing companies, he adds. “Until we see how quickly the economy can recover, it will continue to be a critical time for the manufacturer,” he says. “As it appears, prices on some petroleum products are starting to relax so we have to continue to look to provide high quality products and reduce overall costs.”  

The company also has experienced pressure from overseas competition, although products produced there are not always what they appear to be. “Consumers need to beware,” Pianetto says. “Just because they sometimes have a more aggressive price, it doesn’t mean they’re getting a better quality and safe product. We conduct quality checks and inspections and continuously strive for improvements with our products.”  

Quality Manager Sam Viana runs an intense inspection operation, Pianetto says. Each product goes through a complete incoming inspection process. “We have a portable x-ray spectrum analyzer that even determines the fitting metal composition so we know what percentage of lead, copper, iron and zinc it has,” he explains. “We check them and make sure they are compliant.   

“However, no matter what the state of the economy is, our customers demand cost controls,” he says. “Through our continuous im­provements and lean manufacturing principles, we are able help make them profitable.”

Automated Equipment
FAIP has invested in more automated manufacturing equipment over the past year, Pianetto says, from POP packaging equipment to automatic o-ring assembly machines. “It will help us control our quality costs,” he says. “We will be able to produce at a faster speed with lower costs to meet demand and requirements.”   

The company recently designed and built a machine that automatically cuts, coils, assembles and crimps finished hose assemblies. The repeatability and quality will improve, he says. “Currently, this is a manual operation using multiple employees,” he explains. “With this machine, we can increase our throughput and use our employees more efficiently.”  

The company attends trade shows and visits other manufacturing facilities to keep itself knowledgeable on the latest equipment. “We always review our processes to have continuous improvement,” he says.

Continuous Training
FAIP North America provides training for all its 500 employees on a daily, weekly and monthly basis, depending on their position and skill requirement. “We provide continuous training for all employees,” Pianetto says.