| Sapa Profiles: Fabrication Station |
| Manufacturing | |||
| Written by John Zorabedian | |||
| Thursday, 01 May 2008 | |||
 John Noordwijk, President “The way to differentiate ourselves from the others is being active in value-added activities,” said John Noordwijk, president of Sapa Profiles. “We work with customers to become an integrated part of their supply system. That’s where I know for sure we have been doing a lot better job than many other extrusion companies.” While remaining close to its customer base in Oregon, Washington, British Columbia, and Northern California, Sapa’s Swedish operations provide technology solutions that help its US business service customer needs. “The good thing about the way Sapa works as a larger global entity is that we try to become better using synergies between all the different plants,” Noordwijk said. “We do a lot of benchmarking to make sure we are remaining competitive.” The parent company promotes a decentralized, entrepreneurial management style, of which the Portland fabricated components shop is a strong example. Aaron Bruce, Sapa Profiles’ VP of operations, runs the fabricated components business. “We try to make use of the expertise we know we have throughout the world,” Bruce said. “We created the Portland operation by bringing together four basic smaller businesses into one operation.” All of the engineering and manufacturing capabilities located in one central shop allows for greater efficiencies through automation, and provides engineering and project management capabilities as well. “We have a lot to offer our customers trying to develop something with lighter weight, better maintainability, or more flexibility,” Bruce said. “We can do a lot of innovative things with all these capabilities, things that have not been thought of before.” Aluminum continuum Sapa’s success in Europe comes from a high consumption of aluminum in European products—particularly smaller, lighter-weight automobiles—about twice as much as consumption in the US. But Noordwijk said the company sees a lot of opportunity to develop aluminum demand in the US, based on its unique properties as a metal, and the capabilities of Sapa’s Portland extrusion and fabrication operations. Yet as consumption grows in the US, the number of aluminum smelters and extruders in the US is falling. Sapa’s Portland operation buys 50% of its aluminum from a smelter in upstate Washington, but a growing proportion of aluminum will come from abroad in the future. Smelters are cropping up in areas with the energy capacity to operate these energy-intensive plants, including in Iceland and the Middle East. Commodity prices have been rapidly rising in recent years on market speculation and due to Chinese demand. Aluminum is produced from the mining of bauxite in South America, Australia, and elsewhere. Processors turn the bauxite into a powder called alumina, which is then turned into aluminum during the smelting process. Despite the high-energy requirements for smelting aluminum, it is still much cheaper than copper or steel, Noordwijk said. When the smelted aluminum bars reach Sapa Profiles, they are molded or extruded into the various shapes for different products and industries. And with its technical knowledge base and engineering capabilities, the company intends to grow demand for its products by finding new ways to integrate aluminum products into the supply-chains of customers. The demand for aluminum should continue to grow as more cost-conscious and green-conscious buyers seek to use the lightweight material in construction and products such as automobiles. “That’s where we see a lot of opportunities to help develop aluminum consumption in the US,” Noordwijk said. Aluminum alloys can exhibit the same strength as many structural steels, but at a third of the weight. As a lightweight material, aluminum reduces transportation costs, installation labor costs, and reduces the risk of injury. Aluminum is a durable material with consistent and predictable properties—it does not absorb moisture and is saltwater-resistant, so it will not rust, rot, swell, warp, twist, split, or crack. “In a variety of forms, aluminum is one of the most plentiful elements on earth making up a full 8% of the Earth’s crust,” Noorwijk said. “It is one of the most recyclable building materials with maintained quality and high yield. The demand and usage of aluminum will continue to rise as reduced energy consumption becomes more and more vital to our environment.” The company has grown throughout its 40-year history through acquisitions. Now, Sapa Profiles is hatching plans to upgrade and integrate its Portland operations under a single roof. Noordwijk said the company will establish a long-term plan by the end of the year regarding plant relocation, but noted the company intends to remain in the Portland area. In the meantime, the company’s capital investments in its fabricated components division focus on new processes, capabilities, and automation for improved efficiency. “We have a lot of automated equipment and made a recent robotic welding investment,” Bruce said. “Plus we’ve expanded our CNC capabilities.” |
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American Executive is a RedCoat Publishing publication.
American Executive is a RedCoat Publishing publication.
