Global Industries says it uses lean initiatives to streamline processes and organize its work force.

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Global Industries Inc., based in  Grand Island, Neb., has focused on and taken advantage of revenue opportunities overseas to help make up for the domestic economic downturn, President Doug Fargo points out. He estimates that 26 percent of its revenues stem from the international market, and 46 percent of the grain storage revenues are from overseas clients.    

“Grain storage is a mature market in the United States, but a lot of countries are in infancy and just getting started,” Fargo explains. “Countries like Russia and Australia just recently have been allowed to store their own grain. It’s really driven our international market to where it’s getting to be an increasing percentage of our business every year.”  

Russia has presented the most op­portunity for the company, Fargo says. Global Industries first expanded to Russia in 1997. “We have a good foothold in Russia and are positioned very well,” he says.    

He says that he also sees future growth potential in Asia, most notably, India. “India is a large grain-producing country with a large population and a grain storage deficit,” Fargo explains. For example, “It has been estimated that last year alone, India lost over 1 billion bushels of grain to spoilage.”   

To meet that need, “We have developed a strong dealer base there to help with that problem,” he adds. Global Industries’ base of knowledgeable employees – most notably International Sales Vice President John Haugh,  who has 20 years of ex­perience in international sales – has been a major factor in the company’s growth overseas, Fargo stresses.  

“Through the years, John has met people and networked very well,” Fargo explains. “Through his contacts, we have developed a good international network.”

Supportive Organization
Global Industries was founded in 1996, and the company consists of six different divisions:

• MFS/York/Stormor – It manufactures grain storage and material handling systems as well as bucket elevators and conveyors.
• Sentinel Building Systems – It specializes in all-steel buildings.
• Hutchinson/Mayrath – This division manufactures grain and material-handling equipment, and the Mayrath brand includes a range of portable augers and belt conveyors.
• Global Wastewater Treatment Systems – It designs and manufactures pre-engineered wastewater treatment systems for domestic, industrial and livestock waste.
• Brownie Systems – It makes support towers and catwalks to support grain and bulk handling needs.
• NECO – It makes grain drying, handling and conditioning equipment.  
  

The different divisions work well to­gether, Fargo says. “There are quite a few synergies,” he says. “The sales between each division support each other both domestically and  internationally. The products from all the divisions integrate well together.”

Lean Manufacturing
The product lines in each of the divisions stay pretty consistent, Fargo says. However, “There might be changes in which product lines might have more demand,” he notes. “We have a flexible work force. They can go from one job to another very easily. We also have a good outsourcing network to respond to increased demand in a timely manner.”   

However, the company constantly strives to improve its manufacturing processes. For example, it has implemented lean initiatives and tries to streamline processes. “We strive to create a good product flow,” he says. “We concentrate on housekeeping and [lean processes] like 5S to make our work force organized. We’re never finished improving and, every day, we try to get better.”

Family Atmosphere
Global Industries experienced three record-setting revenue years before the economy started slowing down this year, Fargo says. “It’s not all bad; I think we’re doing very well considering,” he says. “Right now, we’re at about the 2006 level, which is very good.”   

Fargo says one of the things the company is proud of is the way it approaches business. “It is family owned, and we treat our employees and dealers as a part of the family,” he says. “We have lots of things, like picnics, as a morale booster.    

“From a dealer standpoint, we in­vite the largest dealers to a conference,” he continues. “There are over 400 participants and we spend a week developing those relationships. We get on a first name basis and know about their families and kids. It’s very important to us.”
    
Community Organizations
Global Industries also emphasizes and encourages community involvement, Fargo says. The company’s employees participate in various organizations, such as:  

• Big Brothers Big Sisters
• United Way 
• YMCA 
• The Chamber of Commerce
  

Strong Product Lines
Global Industries will continue to look for growth opportunities, Fargo stresses, as well as prepare itself for future expansions. “We’re going to position ourselves for opportunities that might come up,” he explains. “We’re going to look for things that’ll have an impact and provide a complement to our products.”   

Although Global Industries is only 13 years old, the  company’s divisions have been around for many decades, Fargo notes. For example, Hutchinson/Mayrath is in its 51st year of business, NECO is celebrating its 50th anniversary, MFS/York/Stormor is 45 years old and Sentinel Building Systems has been in existence for 20 years. Global Industries has great pride in its divisions.    

“Our strength lies in the product lines we have,” Fargo explains. “When you have longevity, it speaks well of the quality.”