I have written in the past that I am coming across more and more smaller niche oriented manufacturers that are doing quite well despite the current economic challenges.  I recently caught up with one of my old manufacturing clients who are a provider of deep drawn extrusions and was pleased to hear some great news.

Aside from learning that they are still religiously adhering to the planning processes we implemented over 2 years ago, more significantly they have seen significant revenue and net income growth!  Their quoting activities have increased significantly and they are no longer losing bids to lower cost overseas providers.  More importantly they have experienced a return of customers that had previously moved their work to China.  Though many of these returning customers are not readily admitting it, they are returning to domestic providers because in many instances the off shore companies are becoming more costly and difficult to work with. 

My client and other niche manufacturers like them that faced the challenge of their customer running to low cost producers and worked tirelessly to bring their costs down to survive are now reaping the benefits of their efforts.  Now armed with re engineered lean manufacturing operations they are able to quote opportunities competively and with healthy margins and in turn are experiencing profits that they have not seen in over 5 years!  It is a wonderful story that I expect will provide a small economic boost in the coming year.