Ingenium Technologies

Printed from:

Engineering Services

Abrasive Machining, Inc.

During the deep economic slow down between 2000 and 2004, Abrasive Machining Inc. was experiencing extremely tough financial times and approached Ingenium to lead a turnaround effort.    Through negotiation a joint-venture business was established to create a synergy potential between the manufacturing capabilities of Abrasive Machining and the engineering and consulting services of Ingenium Technologies. 

At the start of this engagement, Abrasive Machining was a 16-person machine shop specializing in custom grinding, milling, drilling, and turning of operational off-load. The shop operated in a number of industries:

  • Aerospace
  • Construction Equipment
  • Firearms
  • Food Processing
  • Machine Tool
  • Assembly Automation


Abrasive Machining's Equipment

For a period of two years, Ingenium supplied an acting General Manager to provide both strategic and tactical direction. While longer-term strategic decisions were being developed, evaluated, and implemented, focused, tactical actions were being taken to keep the business healthy.    

Tactical Measures

  • Attract any new quick-turn contract machining that might be available
  • Turn the work quickly through the shop
  • Create the receivable and get it into the pipeline for payment 

Strategic Measures

  • Modern accounting and quality systems were identified and implemented.
  • Shop discipline and procedures were established to identify and reduce sources of high scrap and rework.
  • Delivery performance was improved so existing customers felt they could increase their business with Abrasive.
  • New customers were identified and developed to help fill shop capacity.  

At the end of the two year engagement, Abrasive's business had been turned-around and was well on its way to a full recovery.  

Ingenium accomplishments include:

  • AS9100 self-certification was achieved.
  • A new general ledger was implemented which allowed improved financial reporting and job order costing.
  • Delivery performance was improved by reducing scrap and rework activity and continually reinforcing the procedural recommendations in the new AS9100 quality system.
  • New business was aggressively sought and won which helped fill in the eroding business base due to the economic slowdown.