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PLUSNTMA Update: Access

to Credit SolutionsEducation Update:Training Top Talent

arizonatooling.org THE RIGHT TOOLS. THE RIGHT TEAM. THE RIGHT TIME.

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The NTMA Southwest Regional Precision MagazineFeaturing Arizona, San Diego and North Texas

JANUARY/FEBRUARY 2011 Issue

WORKINGTOGETHERNTMA ARIZONA, NORTH TEXAS AND SAN DIEGO JOIN FORCES FOR MUTUAL SUCCESS!

MAXIMIZINGMACHINE

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MAKE LOCALLY, THINK GLOBALLYGrow Your Bottom Line by Making New Sales Abroad

MAKING THE MOST OF YOURBIGGEST INVESTMENT

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Insurance protection beyond the nuts & bolts.As a contract manufacturer, your work product may be in various stages of completion or may be at one of your subcontractors for processing. Is your current insurance coverage designed to adequately meet these and other scenarios? The National Tooling and Machining Association has a countrywide insurance program that will meet your specific requirements, designed by experts who really know your business. The NTMA Insurance Program writes Property, Equipment Breakdown, Inland Marine, Crime, General Liability, Commercial Automobile, Umbrella, and Workers Compensation.

Coverage Highlights:

An extensive property endorsement tailored to meet the coverage needs of NTMA members. Coverage considers the following exposures:

– What happens if your work product is damaged while being processed by a subcontractor?

– Do you have coverage for your work product while it is away from your shop?

– Do you have coverage while the work product is in transport?

– What happens if the work product is damaged prior to delivery?

– What happens if there is a loss to the stock and the price of materials has changed?

– Are you covered for all of the losses that may happen? Temperature change?

Ability to waive Aviation Exclusion on General Liability Coverage for NTMA Members

General Liability Coverage Enhancement available to help minimize exposures when working with multiple customers.

Auto Liability Coverage Enhancement also available to broaden your Commercial Automobile coverage

AIX Group | A Member of The Hanover Insurance Group

Did you know that Employee Practices Liability lawsuits are on the rise? Your standard General Liability policy doesn’t offer protection against these losses. The NTMA Insurance Program has access to Employee Practices Liability Insurance through its association with The Hanover Insurance Group. Employment Practices Liability policy protects businesses from these types of losses:

of employment

relating to employment

Get the right coverage today! Contact an NTMA representative, your insurance agent, or an AIX Group Program Manager.

AIX Group Program Manager

The NTMA Insurance Program is a guarantee cost program. Coverage is written by Nova Casualty Company, AM Best Rated A XIV. Nova Casualty Company is a member of The Hanover Insurance Group. Underwriting is provided by AIX Group, Inc. Employment Practices Liability Policies are underwritten by The Hanover Insurance Company and its affiliated companies.

LC 11-34

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AT M A M E M B E R


CONTENTS JANUARY/FEBRUARY 2011

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M A G A Z I N E

PUBLISHER MiNO Media, LLC

EXECUTIVE DIRECTOR & EDITOR Chris Mignella

CREATIVE DIRECTOR Neal McDaniel

ONLINE SERVICES DIRECTOR Theo Tigno

CONTRIBUTING WRITERSAnna Flaaten, Davis Hopkins, Alesa Lightbourne Ph.D,Omar Nashashibi, Brett Reynolds, Brent Terhaar

ADVISORY BOARDChris Mignella, Lisa Ellard,Glenn VanNoy, Gail Houser

EDITORIAL AND ADVERTISINGChris Mignella

Phone: 602.242.8826 • Fax: 480.970.8501Email: [email protected]

PLEASE SEND ADDRESS CHANGES TOChris Mignella

Phone: 602.242.8826 • Fax: 480.970.8501Email: [email protected]

VOLUME2, ISSUE1JANUARY/FEBRUARY 2011

Precision Magazine is published six times per yearby MiNO Media, LLC. Opinions expressed are those

of the authors or persons quoted and notnecessarily those of MiNO Media, LLC. While efforts

to ensure accuracy are exercised, the publisherassumes no liability for the information contained in

either editorial or advertising content. Publisherassumes no responsibility or liability for unsolicitedmanuscripts or artwork. Reproduction in whole or

part without the expressed written consent from thepublisher is prohibited. Precision Magazine is the

registered trade name of this publication.

Copyright ©2011 by MiNO Media, LLC. All rights reserved.

ACHIEVE BUSINESS SUCCESS THROUGH ADVOCACY, ADVICE, NETWORKING, INFORMATION, PROGRAMS AND SERVICES.

arizonatooling.org

The NTMA Southwest Regional Precision Magazine

DEPARTMENTS in this issue

03 President’s Letter

04 News Roundup

06 Legislative Update

07 Education Update

14 Arizona Chapter Info

25 San Diego Chapter Info

28 North Texas Chapter Info

30 Safety Corner

FEATURES

08 Make Locally, Think GloballyNational Export Initiative

10 Making the Most of YourBiggest InvestmentDiscover “The Value Triangle”

12 Maximizing Machine EfficienciesUltra-High Performance Toolpath(UHPT) Technology Can TransformU.S. Manufacturing

22 SPECIAL ADVERTISING FEATUREConcentrate on the ConcentrationThe Oil Barron Bulletin



arizonatooling.org

PRESIDENT’S letter

MANUFACTURING:LEADING THE RECOVERYJanuary, 2011

As another year begins I would like to take a moment to reflect on where our Arizona chapter stands. e last few years have beenchallenging for us as they have been for most organizations. As always there are both favorable and unfavorable forces at work.

ere are some very positive economic signs that signal recovery for our member businesses, in fact most indicators other than housingprices are encouraging. Many shops are getting busy and our problems are quickly shifting from finding enough work to finding enoughworkers, and working capital. Still a huge challenge but a better problem to have. Even lower housing prices are a blessing in disguise as thelower cost of living afforded by plentiful real estate returns our state to pre-bubble competitiveness. Banks are truly looking to lend, and atleast for now the Arizona Job Training fund is funded. Some favorable key national legislation has been moved forward by the NTMA andthe current administration in Washington is gradually shifting away from its business-unfriendly posture. It gives me great satisfaction tosee the repeated headlines documenting that manufacturing is leading the recovery, especially to see reports of re-shoring from the likes ofGE and others.

Locally, our manufacturing sector seems to lag the rest of the county somewhat and we face the ongoing threat of Honeywell’s drive tomove production outside of the US. For those that used the recession as an impetus to develop new customers and offerings, this yearshould be a good one regardless. I urge busy members to use Members First to keep overload work within the ATMA and NTMA family, andI urge the others to advertize your specialties in the new Southwestern region digital Precision News and to attend dinner meetings tonetwork…the tried and true method for generating business.

Our chapter has been very active in 2010 with successes in our political connections, expansion of our magazine, a national victory for Statechampion National Robotics League team and our designation as a Star Chapter. We have decided for 2011 to have a Back-To-Basics focus,to make sure we are providing what our members need. We will concentrate on great content and raising our membership level to pre-recession levels. At our January meeting we conducted a live survey during dinner and got some great new ideas. Our funding for ATMAactivities has become a challenge, as major revenue sources such as our SCF partnership have undergone permanent structural changes thatgreatly affect our income. We are cutting costs in many areas, just as our businesses have, and are looking for new ways to generate revenue.Our next live survey will be on this topic so get your thinking caps on.

We have two new major activities for 2011. e first is to launch our Apprentice Program in Arizona, in order to provide a structured, cost-effective and marketable career path to the best students and young workers. Workforce development remains a critical task to ensure ourlong term competitiveness and a formal, state-supported program will provide quality workers to our business so that we can CompeteWith Talent, not compete for talent. e second is to begin our re-shoring campaign using the support of Harry Moser and his organization.

I believe 2011 will be a great year, but not an easy one. I urge all members to participate fully, as you only get out of this organization whatyou put into it. Specifically, I strongly recommend you attend the NTMA Convention being held March 3-6 right here in Chandler AZ. Everyyear the Board urges people to attend and reap the benefits of the conferences, this time there is no excuse not to attend. ere will be closeto 1000 attendees as the NTMA, PMA, AMTA and ATMDA converge for a manufacturing extravaganza. With per diem registration ratesthis is the most cost-effective way to attend a conference you will ever have.

See you at the NTMA conference in March!

MARK WEATHERSPRESIDENT,ARIZONA TOOLING AND MACHINING ASSOCIATION

OUR MISSION: “WE JOIN TOGETHER AS MEMBERS OF THE SW REGION PRECISION CUSTOM MANUFACTURING COMMUNITY TO ACHIEVE BUSINESS SUCCESS IN A GLOBAL ECONOMY THROUGH ADVOCACY, ADVICE, NETWORKING, INFORMATION, PROGRAMS AND SERVICES.”


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Eligible Small Businesses: Loans up to $10 million to companies with lessthan $50m annual revenue.

Eligible Banks: Community banks and community development loanfunds are eligible to apply allowing them access to Tier 1 capital at ratesas low as 1%; the program carries no compensation restrictions anddoes not require the issuance of any warrants. Banks with total assetsof $1 billion or less as of Dec. 31, 2009, it may apply for funding thatequals up to 5% of its risk-weighted assets. Institutions with more than$1 billion in assets, but less than $10 billion may apply for fundingequal up to 3% of its risk-weighted assets. More about the SmallBusiness Lending Fund including applications for community banksdue March 31st, visit www.treasury.gov/SBLF. For general inquiries andquestions, call the Small Business Lending Fund information line at888-832-1147 (Monday-Friday, 9:00 AM-7:00 PM ET).

State Small Business Credit InitiativeBackground: The SSBCI allows states to build upon existing, successfulstate-level small business lending programs, including examples such ascollateral support programs, Capital Access Programs (already up andrunning in over 20 states), and loan guarantee programs. If a state doesnot have an existing small business lending program, officials canestablish one in order to access this funding. States must provide plansfor utilizing their funding allocations to Treasury for review and approval.

Timeline: Some states such as Michigan already have very activeprograms to assist small manufacturers. Final application deadline forstates to establish new programs is June 27, 2011.

State Participation: A full listing of allocations available to states underthe State Small Business Credit Initiative is below. Some states alreadyhad qualifying programs in place, while others are at various stagesin the process putting in place a program to meet their small businesslending needs.

More information on the State Small Business Credit Initiative, visit,http://www.treasury.gov/resource-center/sbprograms/Pages/ssbci.aspx n

UPDATE ON ACCESS TO CREDIT SOLUTIONSIN THE SMALL BUSINESS JOBS ACT

The Association worked on behalf of its members to pass a lawsupporting small businesses access timely and sufficient credit.Association members testified on Capitol Hill, met with seniorAdministration officials and others to secure passage of the SmallBusiness Jobs Act that the President signed on Sept. 27, 2010. Smallmanufacturers in some states are starting to see this hard work pay off.

As Leonard MacEachern, CEO of United Metal Products, recently toldthe Detroit Free Press, “We were financially sound, but no banks werewilling to listen to us. The banks had redlined Detroit, southeast Michiganand the state.” After passage of the law, United Metal Products receiveda $2 million loan under one of the programs allowing them to purchasea military contractor, retain 35 jobs, and diversify their business whileadding six new employees. Below is more information on some of theprograms supported by the Association in the Small Business Jobs Act,their status, and what to expect in the coming months.

Small Business Lending Fund Update and GuideBackground: After working closely with small manufacturing groups andother small business interests, Congress authorized the Small BusinessLending Fund as part of the Small Business Jobs Act of 2010, withthe objective of increasing the availability of credit to small businesses.The program allows for commercial and industrial loans by communitybanks of up to $10 million to companies with less than $50 million inannual revenue. The Department of Treasury is currently acceptingapplications and a two page small business lending plan fromcommunity banks through March 31, 2011.

Timeline: The Department of Treasury is currently acceptingapplications from community banks through March 31, 2011. Sourcesindicate the Department will begin announcing the list of banksenrolled in the program possibly in late February or early March andwill not wait for the March 31st deadline. Treasury will make the fulllist of community banks participating in the program public to allowsmall businesses to identify lending opportunities in their areas.

NEWS roundup

NTMANEWS

OUR MISSION: “HELP MEMBERS OF THE U.S. PRECISION CUSTOM MANUFACTURING INDUSTRYACHIEVE BUSINESS SUCCESS IN A GLOBAL ECONOMY THROUGH ADVOCACY, ADVICE, NETWORKING, INFORMATION, PROGRAMS, AND SERVICES. ”

OUR VISION: BECOME THE PREMIER CENTER OF KNOWLEDGE TO LEAD THE U.S. PRECISION CUSTOM MANUFACTURING INDUSTRY IN CONTINUING WORLD LEADERSHIP.

ONEVOICE



BENEFITS OF JOINING THE NTMAEDUCATION Our Education Team is devoted to increasing the availability andskill level of human resources for the US precision custommanufacturing industry. With membership you will have accessto a number of resources designed to inform and educate.

BUSINESS DEVELOPMENTNTMA offers members a wide variety of tools to help build andeffectively manage their businesses.

• Legal Advice & Assistance • Operational Cost & Executive Compensation Reports • Wage and Fringe Reports • Networking Events • Software Evaluation

DISCOUNT PROGRAMSThe NTMA uses group buying power to help save membersmoney in many different areas of their business. The programsoffered have proven cost savings benefits for members whohave taken advantage of them. See what they can do for yourorganization.

ONLINE RESOURCESNTMA has developed a wide range of online programs to assistmembers with various business-related issues.

• Business Management Advisories • Chapter Management • HR | Enviro | Safety Resource Centers • Job Board • Marketplace • Publications • Software Evaluation Center

NTMA INSURANCEThe NTMA has created a comprehensive insurance programfor US precision metalworkers that provides protection for theirbusiness insurance needs.

MARKET RESEARCH AND REPORTSThe NTMA keeps members informed on where different marketsectors are heading in order to allow members a chance to goafter new business or to help make better informed businessdecisions.

GOVERNMENT AFFAIRSStay Informed, Take Action, Make a Difference.

MARK YOUR CALENDAR WITH THESE

UPCOMING NTMA EVENTS!NTMA/PMA Legislative ConferenceDate: April 5-6, 2011Venue: The Westin Washington, DC City Center

NTMA 2011 Fall ConferenceDate: October 13-16, 2011Venue: The Broadmoor, Colorado Springs, CO

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Among the President’s directives to agency bureaucrats around thecountry, include:

• An agency should only propose or adopt a regulation if its benefits justify its costs;

• Agencies must change their enforcement approach to achieving policy objectives, rather than specifying what actions a company must adopt to reach the goal; and

• Agencies must identify and assess available alternatives to direct regulation, including providing economic incentives to encourage the desired behavior.

The President also directed the Administration to cooperate andcoordinate efforts more closely with the business community. Previouspractice for many agencies included issuing “interim final rules” whichare new regulations that essentially go into effect immediately – evenbefore the public has a full chance to view and comment on theagency’s proposed action. To increase government transparency, thenew Executive Order directs agencies to allow businesses and thegeneral public at least sixty days to review a new regulation before itgoes into effect.

Is there really a new regulatory regime in Washington? Does thisExecutive Order reflect a new chapter in the Obama-businesscommunity relationship? Is the President serious about reformingregulations and will bureaucrats heed his call? As usual in politics,actions speak louder than words. But the President’s words in theExecutive Order are clear - before issuing a notice of proposedrulemaking, each agency shall seek the views of those who are likely tobe affected – this means small businesses and groups like NTMA.

We may have already begun to see our efforts and the President’s newcourse making a difference. The day after the President’s directive to

federal agencies, on January 19, 2011, the Occupational Safety andHealth Administration (OSHA) withdrew a proposed change in theinterpretation of its noise standard that would have imposedsignificant costs on U.S. manufacturers.

Under the proposal, OSHA would require employers to useadministrative or engineering controls to reduce noise exposures thatare above acceptable levels when such controls are “feasible.” OSHA hadproposed to “clarify” that feasible means “capable of being done,” whichwould have hit NTMA members and other small manufacturers thehardest. However, the President’s Executive Order spoke directly to thisproposed rule – the Agency was trying to force manufacturers to takespecific actions just because they were “feasible” rather than workingwith employers to achieve the ultimate goal of a safe workenvironment.

In another sign agency bureaucrats are immediately reacting to thePresident’s proposal, OSHA also withdrew a proposed rule that wouldreignite ergonomics regulation and require employers to make medicaldeterminations regarding the nature of potential work-relatedsymptoms.

Regardless of whether these changes are here to stay, the calls forcaution from manufacturers have reached the top echelons ofgovernment – the President. The decision in January by the WhiteHouse to order a review of overlapping, ineffective, and costlyregulations is a significant step in the right direction. Manufacturerscan only hope this represents a “regime” change in the way regulatorsview their relationship with the nation’s largest employers – smallbusinesses. n

Omar Nashashibi is a founding partner at The Franklin Partnership,LLP, a bi-partisan government relations firm retained by the NationalTooling and Machining Association in Washington, D.C.

A NEW REGULATORY “REGIME” IN WASHINGTON?by OMAR NASHASHIBI

For years, manufacturing groups such as the National Toolingand Machining Association argued to federal regulators inWashington that many of their rules covering the industry areoutdated, duplicative, ineffective, and costly to employers. Itseems the cries of manufacturers have reached the mountaintop.On January 18, 2011, President Obama issued an ExecutiveOrder mandating all federal agencies change the way theyregulate American businesses and begin reviewing within 120days which regulations they should repeal.

LEGISLATIVE update

CONTINUING INOUR EFFORTSto bring you the highest level of currentinformation regarding all things “legislative,” we present to you the remarks of OmarNashashibi The FranklinPartnership, LLP



EDUCATION update

The NTMA’s National Robotics League (NRL) is on a fast track to be thepremier organization to drive students to our industry by creating aninteractive, fun, and challenging program that interlaces studenteducation with real manufacturing experience. This program has theflexibility and the support to educate and inspire Parents, Students,and Educators to the opportunity that exists within the world ofprecision manufacturing. The NRL is getting young people to learnmore about the skills and training needed to be productive, supportivecitizens that can earn a very good living and support their families,communities and country.

By aligning manufacturing companies and schools with the program,the NRL plays an instrumental role in changing the negativeperceptions that manufacturing has been made to endure for years andprovides opportunities for students to advance their skills and talentswith an ends to a career in manufacturing. Young people are “teamed”with mentoring U.S. manufacturing companies and learning centers(trade schools, community colleges, technical centers, high schools andothers) to form a tight bond that teaches the young people to designand build their own robots. They learn team building, problem-solvingand other key skills needed for the market today and in to the future.Teams have been forming all over the country with some of the earliestcities now having over 50 teams each. The first NRL national contestdrew an estimated 5000 spectators just to watch the exciting action.This isn’t just a program for boys or young kids. A recent regionalcontest was won by a group of high school girls. The first nationalwinner is working in a bright, clean medical supply manufacturingcompany in Minnesota. The majority of U.S. manufacturing companiestoday are owned by men and women that started out working forothers, learned a craft and thought they could do a better job forthemselves. This puts young people on a path to real earning potential.

The nice part about NRL is that it doesn’t matter if the kids become amachinist, tool and die maker or other Precision CustomManufacturing employee. People from the program have gone on to

engineering school, drafting school or other skilled technical careers.Some earned scholarships because they showed their potential in theprogram. It opens doors to an exciting potential career.

A goal of NRL is to teach young people, their families and friends thatmanufacturing isn’t dead in the U.S., it is just evolving. The skills setsare changing. Those companies that are competing on a global basismust do things differently than they did 10 years ago. The world is atour door knocking it down and we had better be prepared to answer itwith the best trained, most highly skilled employees to build partsbetter, faster and more competitively. If we can do that, then the U.S.Precision Custom Manufacturing Industry will remain at the top of thefood chain. Our national security, economy and our futures depend on it!

A demonstration of this program and more information regarding onhow to become involved will be made available during the NTMAAnnual Convention in Chandler Arizona on March 4. Please contact[Local Chapter Contact] for information on this event or for anopportunity to stop by and witness this in action.

The 2011 National Robotics Competition will be held in Indianapolis,Indiana May 20-22 and will be in cooperation with the Indiana Chapterof the NTMA and IVY Tech Community College. Here we expect over 100teams to battle it out for their spot as National Champions: what a greatopportunity to scout for your next generation of skilled workers. n

The National Robotics League is a trademarked program of theNational Tooling & Machining Association; a 501(c)6 organizationwhose goal is to help precision manufacturing companies achievebusiness success.

INFOLINK: For more information on the National Robotics League visitwww.GoNRL.org

All of U.S. manufacturing has a problem! It deals with how the industry is recognized. The media does story after story about U.S.manufacturing being dead. Young people are told, “don’t go in to manufacturing, your job won’t last.” We see the empty plants sittingby the sides of the road as more big name manufacturing companies close their doors. Still, according to the latest figures, the U.S.Astill is the top manufacturing country in the world. We account for over 20% of the world’s GNP. How will the U.S.A. remain on top ifwe don’t fill the pipeline with young, top trained talent that has the aptitude and skills needed for our future? The people that do thesejobs build parts for planes, cars, the Depart of Defense, agriculture, medicine, transportation and all other consumer-related products.There is nothing used by every American today that is not touched by this industry in some shape.

TRAINING TOP TALENTDO WE HAVE THE APTITUDE ANDSKILLS NEEDED FOR OUR FUTURE?from the NTMA


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Make Locally, ink Globallyby ANNA FLAATEN

FEATURE story

There’s never been a better time for area companies to grow their bottom lineby making new sales abroad, says Anna Flaaten of the U.S. Commercial Servicein Scottsdale, Arizona. Flaaten says businesses should know there’s help rightaround the corner. In this article, she discusses opportunities for localbusinesses to sell internationally.



In today's global economy, businesses can’tafford to miss out on internationalopportunities. ink about it: about 70percent of the world's purchasing power isoutside of the U.S. If you're not exporting, it’shighly likely that your competitors are or willbe selling internationally. For many of ourclients, free trade agreements, ease oftransportation, and the Internet have reallyhelped to simplify the export process.

One of the most important things aboutexporting is that it enables firms to diversifytheir portfolios and help weather changes inthe domestic and world economies. So, byspreading the risk, it helps them boost theircompetitiveness and bottom line.

Contrary to what many people think, it’s notjust the big companies that export. By far, thevast majority of exporters are small andmedium-sized businesses (with fewer than 500employees), yet we know that only a very smallshare of businesses export. For example, 58percent of all exporters only sell to one foreignmarket, so many of these firms could boostexports by expanding the number of countriesthey sell to.

Ensuring Successe most important keys to export success arethat companies must have a long-termperspective and top managementcommitment. Exporting can be rewarding, butchallenging, and companies need to be in it forthe "long haul." A track record of successfulselling in our domestic market is very helpful.Companies should also assess their internalresources for doing business abroad.

Avoiding the PitfallsTo take advantage of the opportunities thatexporting presents it is imperative that you doyour homework first. It happens all toooften—smaller companies will assign theinternational sales or shipping to one or twopeople, yet the sale impacts the entirecompany. For example, the accountingdepartment may not understand how thecompany could be more competitive if theyonly gained an understanding of financeoptions for export sales. Additionally, sales

people can be limited on what they offer aforeign buyer because they may not understandinternational terms of sale, or Incoterms, orwhat the seller and buyer responsibilities reallyare once they've agreed to a sale.

Other areas that cause confusion or expose thecompany to risk may include not knowing thebuyer, agreeing to an exclusive distributorshipfor an entire region, or not knowing enoughabout U.S. export laws. e CommercialService works frequently with companies onthese issues. Many times, it’s a simple matterof internal and external communication and alearning process for the entire company.

Opportunities for ManufacturersCurrently, there are excellent exportopportunities for those in the manufacturingsector. U.S. manufactured goods are in highdemand and have an excellent reputationaround the world, and our firms are particularlystrong in after-the-sale service. rough thefirst 11 months of 2010, U.S. exports of goodsand services grew by 17 percent, reaching $1.7trillion. Manufactured exports were $932billion, or 80 percent of total goods exports.

Top markets for U.S. exports in 2010 were Canada, Mexico, China, Japan, UnitedKingdom, Germany, and the Netherlands.

Support and adviceWhether you’re a new-to-export company orlooking to boost your existing internationalsales the U.S. Commercial Service can help.With our network of 109 U.S. ExportAssistance Centers across the U.S. and locationsin American embassies and consulates in nearly80 countries, the U.S. Commercial Serviceutilizes its global presence and internationalmarketing expertise to help U.S. companies selltheir products and services worldwide. n

Anna Flaaten is a trade specialist with the

Commercial Service in Scottsdale, Arizona. She

can be reached at [email protected]

INFOLINK: www.trade.govOR CALL: 1.800.USA.TRADe

In January 2010, PresidentObama announced the NationalExport Initiative (NEI). e NEIis an unprecedented,comprehensive strategy aimed atdoubling U.S. exports by 2014,while supporting millions of newjobs. e NEI is the first time theUnited States has a government-wide export-promotion strategywith focused attention from thePresident and his Cabinet. eNEI leverages the resources of allU.S. Government departmentsand agencies that support trade tobetter assist American businessesthat want to sell their goods andservices abroad. e NEI focuseson five key areas: improving tradeadvocacy and export promotionefforts; increasing access to credit,especially for small and midsizebusinesses; removing barriers tothe sale of U.S. goods and servicesabroad; enforcing trade rules; andpursuing policies at the globallevel to promote strong,sustainable, and balanced growth.

INFOLINK: www.trade.gov

Consider exporting or expanding your international sales, if you aren’t already.

NATIONAL EXPORT INITIATIVE WORKING WITH THE WORLD COMMUNITY TO PROMOTE STRONG BALANCED GROWTHWORLDWIDE THAT WILL BENEFITEVERYBODY.


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FEATURE story

Last year, we worked with a $6 million manufacturingcompany that was able to drive another $500,000 of profitability intheir business using a few relatively simple techniques. While simple,those techniques required the involvement and leadership of theemployees. e owner smiled as we discussed the outcome and said“$500,000 is a lot of money.” Agreed, but think about the $2,000,000of business value he had just created.

As entrepreneurs and business owners, we focus heavily on day to dayprofitability and business metrics. Make no mistake – those are criticalto any business. But how often do you step back to understand whatvalue you have in your business, and more importantly, how do youincrease and protect that value?

You never buy a publicly traded stock, corporate bond, or otherinvestment without first understanding 1) how that business willincrease in value, 2) how you will redeem / cash out that investment,and 3) how risky is this investment. Should it be any different for yourclosely held business?

You may be thinking, “I have an estate plan, and I know my companywill either go to my family if I die, or I will sell it before that happens.”at’s great – you’ve addressed some of the mechanics of how that

transfer could happen and both are viable options. e better questionto ask is, “will there be any value to transfer?”

One common blind spot of many entrepreneurs we work with is thatthey don’t realize how unique their talents really are and the challengesassociated in transferring those talents to others in their organization.e irony of it is, strong business performance doesn’t necessarilytranslate into increased business value. Why? Simply said, it is thedifference between Individual vs. Enterprise value. Individual valueleaves the business when that individual (the entrepreneur) leaves.Enterprise value is something an outside buyer will gladly pay forbecause it will continue when the entrepreneur walks out the door.

Academics, authors, and others have filled libraries with the philosophyand techniques of building enterprise value. Although the execution ofbuilding enterprise value can be difficult, the core concept of building itis really pretty simple. e first step is the ability to look at yourbusiness differently than you do today, not through the eyes of anentrepreneur, but through the eyes of those outside of your business.

A picture is worth a thousand words, so here is a picture to illustrate theconcept that we call “e Value Triangle”.

Making the Mostof Your Biggest Investment

by BRENT TERHAAR and DAVID HOPKINS



Improving profitability | Accelerating growth Reducing risk | Planning for succession

Noticeably Different.

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What can business owners do now to influence the value of theircompany? First and foremost, be willing to step back and look at yourbusiness in a different light. Seeking counsel from external resources(like your fellow ATMA/NTMA members, industry advisors and yourCPA advisor) helps provide the perspective to do this.

It is never too soon or too late to begin building each of the points of thevalue triangle. Additionally, it is important to engage others in yourown organization to accomplish this. at way, when the work is done,you can reap the financial rewards, and your people will have anopportunity in a company that lasts beyond your involvement. n

Brent Terhaar and David Hopkins are Principals in the Manufacturing and

Distribution group of LarsonAllen. They can be reached at 800.525.2826.

Financial Performance

Markets & Customers Leadership/Infrastructure

e key to the Value Triangle is balance. e goal is to maximize thearea of the triangle. Experience shows that companies with a healthybalance in each point of the value triangle create the most long-termvalue for their organizations. Here are a few examples of how the valuetriangle could be viewed by someone outside of your business:

Strong financial performance, but thebusiness relies heavily on an owner who is the primary contact with two majorcustomers. They run efficiently, but if the owner is gone, so is the business.

Good operating flexibility and managementhelped this business achieve very goodfinancial results in any economy. They servemultiple industries.Their engineeringcapabilities are a key part of their customer’s development process.

Profitability suffered during the last couple ofyears, but there is good functional leadership

(e.g., engineering, shop floor, sales). TheCompany’s revenue is concentrated in

one industry (e.g., aerospace).


ULTRA-HIGH PERFORMANCETOOLPATH (UHPT) TECHNOLOGY CANTRANSFORM U.S. MANUFACTURING

by ALESA LIGHTBOURNE, Ph.D

12 /

FEATURE story

MAXIMIZING MACHINE

EFFICIENCIESSince the dawn of machining, the manufacturing

industry has looked for ways to squeeze greaterefficiencies out of existing equipment, materials and labor.

Computer-aided manufacturing (CAM) and computernumerical controlled (CNC) machining were huge steps in

the right direction several decades ago. But in recentyears, we have seen only small, incremental

improvements in machining productivity. This is becauseresearch focused primarily on computerization to

streamline toolpath generation, and on expensive toolpath“optimizer” software, slowing feedrates at corners to

reduce stress on tools. Nearly all innovations assumed aparallel-offset toolpath used for roughing out parts – not

realizing that this was the real bottleneck.



A breakthrough technology changes all this.Ultra-high performance toolpath (UHPT)software improves the way that tools cut theirway through material, using high-speedcontinuous tangent motion rather than sharp,interrupted movements. Field applicationsprove that UHPT tecnnology can safely doublemachine output, extend tool life, and create amuch more productive competitive manu-facturing enterprise in the global marketplace.

Avoiding the Corners and Stop SignsImagine driving through a neighborhoodwithout arterial streets. At each corner, youmust slow down or stop at a stop sign, make aturn, and proceed for another block, alwaysencountering changing traffic conditions. Orthink of a rural road that skirts the perimetersof various farmers’ fields, filled with tractorsand trucks. Slow down, pass stop, turn, go,sharp turn, go. Slow down. It’s maddeninglyinefficient.

at’s how basic toolpaths drive today’s CNCmachines. Modeled on manual methodology,existing toolpaths are derived from thegeometry being machined. ey start withthe material boundary and keep stepping in,following the shape of the material, regardlessof efficiencies, until the path collapses onitself. In other words, the tools follow a pathregardless of the amount of material theyencounter. ey slow down, sometimes stop,change direction, and cut again, sometimesencountering excessive material, other timeslittle material. is is very hard on bothmachines and tools.

Now return to the neighborhood, and imagineit redesigned on a circuitous route, with

carefully banked roundabouts and smoothcurves instead of corners and stop signs. eamount of traffic is steady; it almost neverslows down and never comes to a halt. Youdrive at a high average speed until you reachyour destination. Yes, you might travel a bitfurther in distance. But the time you save, thefuel efficiency, and the reduced wear and tearon your car make the circuitous design wellworthwhile. is is the underlying conceptbehind UHPT technology.

How it WorksUHPT technology works on any shape, openor closed, with any number of features, andintegrates with any CAM system. It plans thetoolpath based on abilities designed into themachine and cutting tools. By takingadvantage of the capabilities of modernmachining hardware and avoiding sharpdirectional changes, it generates toolpaths thatassure the machines and cutting tools are usedat peak efficiency given existing conditions.

Currently a 2.5-axis product, UHPT software isideal for prismatic parts. It easily cuts pockets,steps, slots, channels and other shapes, andcan handle an unlimited number of materialand part boundaries and islands. It can beused with any cutting style and material,including the hardest metals.

Traditional toolpath technology forcesmachinists to accommodate worstcasemachining conditions to prevent damagingthe spindle and wearing out the cutting tool.Abrupt changes in the amount of materialbeing encountered put excessive force on the part and machine. So programmers andmachinists select slower feeds and speeds, or

make shallower cuts. e unfortunate resultis longer cycle times, higher tool costs and lostproductivity.

UHPT technology, on the other hand, allowsprogrammers to use the most appropriatecutting styles and optimum feeds and speeds.is is possible because UHPT softwaredesigns toolpaths with no abrupt changes indirection or to the volume of materialencountered; the load on the cutting toolsand spindle never exceeds user-programmedlimits. Consequently, machines run smoothlyand tools run cooler, even at much higherspeeds and feeds, extending tool andmachine life.

Optimized Cutting CapabilitiesAnother major difference over existingtechnologies lies in flexibility. UHPT softwareactually compares the speed between slottingor side milling an area under given conditionsand selects the fastest or most efficientapproach. In general, UHPT technologyminimizes the amount of slot milling becauseof the excessive amount of materialencountered. But when slot milling is theoptimum solution, UHPT technology reducesthe axial depth of the cut and slows downthe feedrate, reducing the amount of materialencountered and maintaining a consistentload on the tool and spindle. If desired, theprogrammer can specify only side milling,andeliminate any slot milling to avoidburying the tool. is is especially useful invery hard metals.

e “Sweet Zone”For every unique combination of machine,cutting tool and material, a “sweet zone”exists, where an ideal combination of feedrate,spindle speed, cut depth and cut widthmaximizes material removal while obtainingacceptable tool life. Just as cars get bettermileage on the freeway compared with stop-and-go traffic, so do CNC machines andcutting tools function better, last longer andrequire less maintenance when they run intheir sweet zone. Typical toolpaths frequently

continued on page 24

A standard toolpath (left) makes parallelcuts through material, requiring numerousstops and starts. UHPT technology (right)designs toolpath cuts in continuous motion,doubling machine efficiency.


14 /

ATMAP R E C I S I O N

2011 ATMA Board of Directors

PresidentMark Weathers

Excaliber Precision Machining

Vice PresidentDante FierrosNichols Precision

Executive DirectorChris Mignella

TreasurerJoe SirochmanJPS Manufacturing

SecretaryDavid Lair

Dynamic Machine & Fabricating

TrusteeJohn Lewis

Lewis Aerospace

Board MembersMaxine JonesAimco Precision

Bob MarusiakMicro-Tronics, Inc.

John RaycraftArizona Precision Industrial

Greg ChambersPPG-Jet Division

Jeremy LutringerUnique Machine & Tool

Gary WatkinsMarZee

Associate Member LiaisonMickey Gartman

Gartman Technical Services

Arizona Tooling & Machining AssociationA Chapter of the National Tooling

& Machining Association

P.O. Box 3518 Scottsdale, AZ 85271 Office: 602.242.8826 Fax: 480.970.8501

[email protected]

TM

M A G A Z I N E

“The Right Tools. The Right Team. The Right Time.”

arizonatooling.org

MEETING THE GROWING CHANGES OF INDUSTRY

Accurate Thermal Spray TechnologiesAccuwright Industries, Inc.

Contact: David Wright 480.892.9595 (toll free 877.247.9108)www.accuwright.com

Accuwright Industries, Inc. is a full service Metal Spray facility utilizing State of Art Robotics and Controls for precision Flame Spray applications. Featuring Plasma Flame Spray, Twin Wire Arc Spray, Combustion Powder/Wire Spray, and HVOF (High Velocity Oxygen Fuel) Spray.

With Quality programs and certifications such as ISO 9001-2008 and FAA Repair Certificates we can meet the growing changes of your industry. Recently combined

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Hein Tran 3D Machine & Tools 480-329-8254

Dave Wright Accuwright 480-892-4595

Brandon McDermott Aerostar / Aerospace Mfg. 602-861-1145

Chuck Eriksen Allied Tool & Die Company, LLC 602-276-2439

John Raycraft Arizona Precision Industrial, LLC 480-785-7474

Charles A. Van Horssen Axian Technology, Inc. 623-580-0800

John Cain Az Industries for the Blind 602-269-5131

Kevin Burbas B&B Tool, Inc 520-397-0436

Tim Smith Bar S-Machinery, Inc 928-636-2115

Jeff Buntin Barnes Aerospace - Apex Mfg. Div. 602-305-8080

Tony Miglio Bartino Tooling & Machine, LLC 602-248-7880

Norela Harrington Bent River Machine, Inc. 928-634-7568

Pat DeLanie BID Machine 480-892-7304

Mike Sniegowski Blue Streak Grinding, Inc. 602-353-8088

Keith Adams C.G. Tech, Inc. 623-492-9400

Greg Gaudet CAD Tools Company, LLC 480-753-4290

Joe Cassavant, Jr. Cassavant Machining 602-437-4005

Steve Schwartzkopf Chips, Inc. 602-233-1335

Kim Rice Cling's Manufacturing 480.968.1778

Ron Gilmore Continental Precision, Inc. 602-278-4725

Allen Kiesel Creative Precision West 623-587-9400

Daniel Krings Deck Machine & Tool, Inc. 602-253-1080

John Maris D-Velco Mfg. Of Arizona 602-275-4406

David Lair Dynamic Machine & Fabricating 602-437-0339

Frank Eckert Eckert Enterprises, Ltd. 480-820-0380

Grant Evans Evans Precision Machining, Inc. 623-581-6200

Mark Weathers Excaliber Precision Machining 623-878-6800

Jeff Hull Foresight Technologies 480-967-0080

Alex Curtis Hamilton Industries 480-967-9339

Joe Koenig Hawkeye Precision, Inc. 480-926-8642

Tim Malin Helm Precision, Ltd. 602-275-2122

Jeremy Schaulk Hi-Tech Machning & Engineering 520-889-8325

Don eriault Industrial Tool Die & Engineering 520-745-8771

Sam Ehret Inline, Inc. 602-278-9553

Jim Bowen Joined Alloys 602-870-5600

Joseph Sirochman JPS Manufacturing 480-367-9540

Jeff Barth JWB Manufacturing 480-967-4600

Jim Carpenter Kimberly Gear & Spline, Inc. 602-437-3085

Don Kammerzell K-zell Metals, Iinc. 602-232-5882

Lee & Colleen Adams L2 Manufacturing 480-829-9047

Matt Kalina LAI International, Inc 480-348-5942

Ernest Apodaca Layke, Inc. 602-272-2654

John Lewis Lewis Aerospace 623-581-0764

Wayne Craig Lynch Brothers Mfg.Co. 602-265-7575

Michael C. Majercak, Jr. Majer Precision 480-777-8222

Edward Wenz MarZee, Inc. 602-269-5801

Arle Rawlings Mastercraft Mold, Inc. 602-484-4520

Paul Clark Metal Spinning Solutions, Inc. 480-899-0939

Jeff Meade Metalcraft 480-967-4889

Regular Members

MEMBER LISTINGSARIZONA TOOLING & MACHINING ASSOCIATION

Joe Tripi Micropulse West 602-438-9770

Robert Marusiak Micro-Tronics, Inc. 602-437-8995

Mark Lashinske Modern Industries, Inc. 602-267-7248

John Anglin Nelson Engineering 602-273-7114

Dante Fierros Nichols Precision 480-804-0593

Tom Osborn Osborn Products, Inc. 623-587-0335

Steve Macias Pivot Manufacturing 602-306-2923

Loyal Clausen Plastic Engineering, Inc. 480-491-8100

James Buchanan Powill Manufacturing & Eng, Inc. 623-780-4100

Maxine Jones PPG - 'Aimco Facility 602-254-2187

Greg Chambers PPG -'Jet Facility' 623-869-6749

Patrick Stewart, II PPG- Stewart Facility 623-582-2261

Ilene Price Precise Metal Products Co. 602-272-2625

Tony Costabile Precision Die & Stamping, Inc. 480-967-2038

Shaun Schilling Premier Tool Grinding 602-442-0698

Michael Dailey Prescott Aerospace, Inc. 928-772-7605

Tyler Crouse Pro Precision 602-353-0022

John Bloom R & D Specialty/Manco 602-278-7700

Susan Scarla Rae Tech, Inc. 602-272-4223

Paul Shelton Shelton Industries 520-408-8026

Mark Willmering Sonic Aerospace, Inc. 480-777-1789

Jeff Gaffney Southwest Swiss Precision 602-438-4670

Steven Yeary Southwest Turbine, Inc. 602-278-7442

Mike Gudin Southwest Water Jet 480-306-7748

Ruben Cadena State Industrial Products, Inc. 602-275-0990

Dennis Miller Summit Precision, Inc. 602-268-3550

Scott Higginbotham Sun Grinding LLC 602-238-9595

Craig Berland Systems 3, Inc. 480-894-2581

Todd Aaronson T.A. Custom Designs, Inc. 623-221-4922

Bill Brooks Time Machine & Stamping 602-437-2394

Jacque Cowin Tram-Tek, Inc. 602-305-8100

Jeremy Lutringer Unique Machine & Tool Co. 602-470-1911

Bill Ankrom Vitron Manufacturing, Inc. 602-548-9661

Robert L.Wagner Wagner Engineering, Inc. 480-926-1761

Rick Erickson Wire-Tech 480-966-1591

Geno Forman X-5 Manufacturing, LLC 602-454-7385

Bruce Treichler Zircon Precision Products 480-967-8688

TM

PLUSEducation Update • Tax Tips

Latest Local and National News

Red Flags Rule • Tax Reform

ON TH

E LEADING ED

GE:

2010 ATM

A Board of D

irectors�Upcom

ing ATM

A Events

�Cause for H

ope�Building D

iverse Partnerships

�Helpful W

ebsites You Should K

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ut

The Premier Publication of the Arizona To

oling & Machining Association

MARCH/APRIL 2010 Issue

ATMA

CHANGINGGEARSWill STRATEGIC REFORMS

Make Arizona Manufacturers

More Competitive?

BULLET-PROOF

YOUR BUSINESS7 Strategies to

Help Keep Your

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arizonatooling.org THE RIGHT TOOLS. THE RIGHT

TEAM. THE RIGHT TIME.

P R E C I S I O N GET IT RIGHT.Precision Magazine’s readers are key decision makers that you as advertisers and sponsors, want to target. ey want an edge in a constantly evolving industry, and they find it in Precision Magazine.

arizonatooling.org


Associate MembersLinda Daly A 2 Z Metalworker 602-412-7696

Richard Short Adams Machinery 480-968-3711

Dave Biggar Arizona Bank & Trust 602-381-2079

Greg Whelan Arizona CNC Equipment 480-615-6353

John Anderson ATS Industrial 602-276-7707

Isaac Bunney Bank of America 602-523-2044

Howie Basuk Barry Metals 602-484-7186

Stan Watkins Canyon State Oil Co. 602-271-9888

Steve Blok ChemResearch Co., Inc. 602-253-4175

Kerry Vance Consolidated Resources 623-931-5009

Cindy Stewart Creative Promotions 480-839-9511

Lou Gallo D D i - Solidworks 602-241-0900

Randy Flores D&R Machinery 480-775-6462

Steve Warner EMJ Metals 602-272-0461

Mickey Gartman Gartman Technical Services, Inc. 602-788-8121

Sherry SentGeorge Gold Canyon Bank 623-594-7351

Jackie Bergman HUB International 602-749-4190

David Cohen Industrial Metal Supply 602-454-1500

Tim Kloenne Klontech Industrial Sales 480-948-1871

Barry Armstrong L.A. Specialties 602-269-7612

Doug Berg LarsonAllen, LLP 480-615-2300

Bob Von Fleckinger Leavitt Group 602-264-0566

Jeff Trimble Magnum Precision Machines 602-431-8300

David Gundersen Makino, Inc. 602-228-0347

Michael Biesk Marshall Tool & Supply 602-269-6295

Ray Limon Metco Metal Finishing 602-276-4120

omas Moore Moore Tool & Equipment 602-455-8904

Glen Zachman North-South Machinery 602-466-2556

Pete Hushek Phoenix Heat Treating 602-258-7751

Steve Montgomery Phoenix Metal Trading 602-257-4660

Arlene Helt Ryerson-Phoenix 602-455-3386

Ron Swartzbaugh S&S Machinery 602-714-0116

Jane Rousculp Samuel Aerospace Metals 602-721-0176

Frank Encinas Semiray 602-275-1917

Russ Kurzawski Star Metal Fluids LLC 602-256-2092

Lisa Barnes TDS/HDS Marketing 602-635-6404

John Drain Tornquist Machinery Co. 602-470-0334

Greg Burke TW Metals 602-864-0014

Joseph Velez Law Office of Velez 480-710-5079

Daniel Franks Wells Fargo Bank 602-522-7805

16 /

MEMBER LISTINGSARIZONA TOOLING & MACHINING ASSOCIATION

GET CONNECTEDTO THE ATMA!For more information contact: CHRIS MIGNELLA, [email protected]

Nelson EngineeringJohn [email protected] E. Air LanePhoenix, AZ 85034www.nelsonengineering.com

Precise Metal Products Co.Ilene [email protected] N. 39th AvenuePhoenix, AZ 85019602.272.2625

WELCOMENEW REGULAR MEMBERS

RYERSONArlene [email protected] S. 51st Ave Phoenix, AZ 85226602.455.3386 www.ryerson.com

Velez, Attorney at LawJoseph [email protected] E. Indian School #111Scottsdale, AZ 85251480.710.5079www.realestateloaw.net

Samuel Aerospace MetalsJane [email protected] East Corvette StLos Angeles, CA 90040 602.721.0176

TDS/HDS MarketingLisa [email protected] E. Washington St.Phoenix, AZ 85034602.635.6404

Semiray, Inc.Stephanie [email protected] E. Washington St.Phoenix, AZ 85034602-275-1917www.semirayinc.com

WELCOMENEW ASSOCIATE MEMBERS

ADP offers pre-employment, payroll, tax & compliance,human resource, insurances, benefits administration and retirement services - to help you run your businesses moreefficiently. See Brad Berg - at the display table for detailsand take advantage of discounts offered to ATMA members! Contact [email protected]

ANNOUNCINGOUR NEWEST PARTNER

OUR VISION: ARIZONA’S PREFERRED PROFESSIONAL ASSOCIATION, DEDICATED TO THE GROWTH, HEALTH AND PROSPERITY OF OUR TOOLING & MACHINING MEMBERS.



Hard Alloy Precision MachiningStainless Steels • Titanium • Maraging • High Temp

Milling • Turning • Cylindrical Grinding

Serving the Aerospace, Defense, Medicaland Alternative Energy IndustriesBoeing (Silver Supplier) • ATKSargent • Lockheed Martin

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[email protected] • www.excalpm.com

RIGHT. ON TIME.WEBSITES YOUSHOULD KNOWArizona Chapter Websitewww.arizonatooling.org

Arizona Department of Commerce – Job Training Grant applicationwww.azcommerce.com/workforce

Arizona Department of Educationwww.azed.gov

Arizona Manufacturers Councilwww.azchamber.com/amc

Arizona MEPwww.arizonamep.org

Arizona State UniversityMechanical & Manufacturing Engineering Technologywww.poly.asu.edu/technology/mmet/

City of Phoenix – Community & Economic Development Programwww.phoenix.gov/ECONDEV/index.html

EVIT (East Valley Institute of Technology)www.evit.com

GateWay Community Collegewww.gatewaycc.edu

Greater Phoenix Chamber of Commercewww.phoenixchamber.com

Human Resources, Safety & Environmental topics of interest (Also see a link on the NTMA website, www.ntma.org)www.blr.com

Maricopa Skill Centerwww.maricopaskillcenter.com

Maricopa Community Collegeswww.maricopa.edu

Maricopa Workforce Connectionwww.maricopaworkforceconnection.com

Mesa Community Collegewww.mc.maricopa.edu

Mesa High Schoolwww.mpsaz.org

National Institute for Metalworking Standardswww.nims-skills.org

National Tooling & Machining Associationwww.ntma.org

One Voice Advocacywww.metalworkingadvocate.org

SCF Arizonawww.scfaz.com

U.S. Department of Laborwww.dol.gov


18 /

MANY THANKSTO OUR 2011 ATMA VALUED SPONSORS!

MARK YOUR CALENDAR WITH THESE

UPCOMING ATMA EVENTS!MARCH3/2-6 NTMA MANUFACTURING CONFERENCE

Wildhorse Pass, Chandler, AZ

3/10 Combined Membership, Marketing & Program Meeting 11:30 at JPS Manufacturing, 15651 N. 83rd Way, Scottsdale, 85260

3/22 Board of Directors Meeting 11:30 atMicro-Tronics, 2905 S. Potter, Tempe, 85282

APRIL4/13 Safety Meeting (General Safety Standards) 11:30

at Phoenix Heat Treat

4/14 Combined Membership, Marketing & Program Meeting 11:30 at JPS Manufacturing, 15651 N. 83rd Way, Scottsdale, 85260

4/19 Board of Directors Meeting 11:30 atMicro-Tronics, 2905 S. Potter, Tempe, 85282

4/20 NRL Competition - Phoenix Convention Center

4/29 GOLF - EAGLE MOUNTAIN

STARCHAPTERAWARD2010

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Sun Grinding, formerly known as BK Grinding, has been in the Phoenix fabrication industry for over 14 years. We are the leading surface grinding shop in Arizona. Family owned and operated.

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TECHNOLOGY update

CONCENTRATEON THECONCENTRATIONTHE OIL BARON BULLETIN©

by BRETT “THE COOLANT GUY” REYNOLDS, CMFS

I have seen many coolant related problems over the years thatI’ve been dealing with metalworking fluids, smell (bad odors), rust, poor toollife along with others, but they all have one thing in common, low coolantconcentration. Whoever would have thought that such a simple thing as lowcoolant concentration could lead to so many problems? I am here to tell youthat in many of these instances; this turns out to be just the case. So manycoolant issues could easily be avoided by just doing a simple concentrationmeasurement check once a week, using a refractometer. You wouldn’t believeit, but concentration plays into so many factors regarding coolantperformance. Cutter life, corrosion protection (ferrous corrosion), surfacefinish and coolant bio-stability are all controlled by coolant concentration.Now, if low coolant concentration can be such a problem, then high coolantconcentration shouldn’t be a problem at all, right? Wrong.

When coolant concentration exceeds the manufacturer’s maximumrecommendations, a whole host of other problems can develop. Higher foampotential, excessive drag out on chips (higher usage), staining on Aluminumdue to a higher pH and unjustifiable coolant costs. The goal is to keep theconcentration within the recommended range; your metalworking fluidmanufacturer can provide you with this information. n

Just remember, concentrate on the concentration, baby!

Stay tuned for more useful coolant tips, from The Coolant Guy!

BLASER SWISSLUBE

MILESTONES1936 Foundation of the Company by

Willy Blaser

1974 Peter Blaser expands with the Coolants and configuration of a distribution network in Europe and Overseas

1981 Foundation of Blaser Swisslube Inc. in Goshen, NY, the first subsidiary with own production plant

1993 Foundation of Blaser Swisslube Czech Republic

1995 Foundation of Blaser Swisslube Germany

1996 Foundation of Blaser Swisslube Japan

1999 Foundation of Blaser Swisslube France

2001 Foundation of Blaser Swisslube Brazil, China and India

2002 Foundation of Blaser Swisslube Singapore

2006 Foundation of Blaser Swisslube Turkey and Korea

2010 Foundation of Blaser Swisslube Taiwan.

Today, the Coolants have been produced inHasle-Rüegsau, in USA, in China and in India

SPECIAL ADVERTISING FEATURE

Brett Reynolds, “The Coolant Guy” works for Blaser Swisslube Inc. If you would like more useful information regarding metalworking fluids, or would like to find outmore information about Blaser metalworking fluid products, Please contact Brett at 801.722.4095 or via E-mail at [email protected]. The Oil Baron Bulletinis not affiliated with Blaser Swisslube Inc. or its subsidiaries.



24 /

FEATURE storycontinued from page 13

encounter “not-so-sweet zones,” since theamount of material exposed to the cutting toolfluctuates. NC programmers compensate forthe instances where the tool load is excessiveby using less aggressive cutting parameters(feedrate, spindle speed, cut depth and cutwidth) throughout the toolpath. While thereare typically hundreds of instances where thecutting tool encounters excess amounts ofmaterial in a typical toolpath, the duration ofeach is brief, and together they comprise justa small percentage of the overall toolpathlength. e unfortunate fallout of this is thatthe parameters in use are far too conservativefor the majority of the toolpath; the tail iswagging the dog. erefore, machine tools andcutting tools never get to run as they aredesigned and engineered, namely in theirsweet zones. ey are either being abused orunderutilized. is results in machine toolsand cutting tools being utilized to only afraction of their capability.

Conversely, UHPT software designs toolpathsthat are free of the instances of excessive toolload, regardless of the shape of the geometry,so parameter compromises are not necessary.is enables machine tools and cutting toolsto operate under near ideal conditions, and toperform up to their true capabilities.

Advantages over HSMSeveral advances in machining technologyclaimed to resolve speed and output issues,but have fallen short. For instance, high-speedmachining (HSM) has been touted as asolution for maximizing machine efficiency.HSM uses shallow axial cut depths andtangential motions, which can reduce cycletimes in some cases. But HSM techniquescannot be used efficiently for all kinds ofparts. Also, it requires CNC machines withvery high spindle speeds and feedratecapability, along with sophisticated controllercapabilities such as look-ahead for hundreds orthousands of blocks of code, an unaffordableproposition for most shops. So high speedmachining represents only a partial solutionto the industry’s needs.

Part applicability and cost are not issues forUHPT software, which works on any partgeometry and with any machine. UHP

technology therefore makes every machine a“high-speed machine.”

Mathematical Ingenuitye UHPT concept was developed by GlennColeman and Evan Sherbrooke, Ph.D. Colemanis a toolpath scientist and inventor of severaltoolpath generation methods and toolpathalgorithms that significantly reduce bothprogramming time and machining time. Two patents have been awarded to theseinventions, and patents are pending onothers. Dr. Sherbrooke is an internationallyrecognized expert in engineering,computational geometry, solid modeling andhigh-level algorithms, including the MedialAxis, e Medial Axis Transform, shaperecognition, and graph theory.

Coleman and Sherbrooke realized that existingtoolpath strategies were flawed and did notoptimize the capabilities of modern CNCmachines. Together, they constructed asophisticated mathematical formula thatresulted in the UHP toolpath technologybreakthrough. eir firm, CeleritiveTechnologies, Inc. of Cave Creek, AZ, iscurrently the only provider of UHP toolpathtechnology, offered under the brand name ofVoluMill™. Celeritive has applied for a patenton this technology.

Efficiency Doubled in Field TestPTD Manufacturing, a metal stamping andfabricating facility in Detroit Lakes, MN,recently adopted UHP toolpath software inits tooling department. e software isconfigured as an add-on module, workingseamlessly within GibbsCAM. PTD now usesthe technology to program 3- and 5-axisvertical mills. After just a month in operation,PTD confirmed significant improvements intool life, scrap and total efficiencies.

Before switching to UHP toolpath technology,PTD Manufacturing roughed out pocketsusing a large inserted tool taking 0.1 to 0.2axial steps. en pockets were finished with asolid-carbide endmill. Today, PTD uses a muchsmaller solid carbide tool, taking full-depthaxial cuts, with a 0.02” to 0.05” peripheralcut at approximately five to ten times thefeedrate and RPM.

In PTD’s toolroom, every block is differentfrom the last, so fixturing and workholdingtended to be a problem, especially with its5-axis mill. UHP toolpaths exert a smalleramount of cutting pressure than previousmethods. PTD has therefore been able toreduce the rigidity of its set-ups, also reducingthe number of set-ups per block, permittinga move to more universal fixturing.

e most dramatic improvement to datehas come from PTD using UHP toolpathtechnology to mill a large pedestal punch fromA2 toolsteel. Previously, it took 22:36 minutesto run the punch with a 3” inserted shell mill.Now it takes just 7:20 minutes with a ½”carbide ball endmill – a 208 percent increasein efficiency. roughout the shop, PTDestimates that total machining time hasbeen reduced by about 40 percent, withcommensurate reductions in material costs.Jake Kopveiler, CNC programmer at PTDManufacturing, is a firm believer in the newtechnology. “ere’s no comparison betweenour old and new systems. UHPT technologycreates toolpath cuts much more intelligently,with more aggressive parameters. It hasoptimized our machine and cutting toolcapabilities like nothing I’ve ever seen. eimproved cycle time speaks for itself.”

Industry Implicationse potential impact of UHPT engineeringis staggering. Consider the very real possibilitythat every manufacturing facility in the UnitedStates could double its machining outputusing existing hardware and CAD/CAMtechnology, merely by adopting an inexpensiveplatform-neutral software program. eresulting cost efficiencies could more thanoffset current pressures to movemanufacturing overseas, helping to improvenational employment and economicconditions. Furthermore, by reducing bothmaterial and utility requirements, UHPTtechnology represents a truly “green” solutionfor the industry as a whole. n

Alesa Lightbourne, Ph.D., teaches communications

at Chapman University College, and is a well-

published freelance writer on engineering and high-

tech topics: [email protected].

UHPT SOFTWARE ACTUALLY COMPARES THE SPEED BETWEEN SLOTTING OR SIDE MILLING AN AREA UNDER GIVEN CONDITIONS AND SELECTS THE FASTEST OR MOST EFFICIENT APPROACH.



Todd C. Lawson Academy Machine Products 760-439-0109

Dennis Cope Alphatec Spine 760-494-6774

Sean Tillett Alphatec Spine 760-494-6894

Peter Neville B & H Tool Company Inc. 800-272-8878

Lyle Anderson C & H Machine and EDM Services 760-746-6459

Michael J. Brown Computer Integrated 619-596-9246

Machining, Inc.

Melinda Coldwell Cornerstone Machining, Inc. 760-727-5228

Alex Fima Directed MFG / Rapid 512-355-1360

Manufacturing

Erich Wilms Diversified Tool & Die 760-598-9100

Donovan Weber Forecast 3D 760-929-9380

Gabor Paulovits, Jr- G & S Tool Inc. 510-633-9632

Andrew Allen Henry Machine, Inc. 760-744-8482

Nhan Vo Young Henry Machine, Inc. 760-744-8482

David Tuza I-Source Technical Services, Inc. 949-453-1500

Dora E. Tuza I-Source Technical Services, Inc. 949-453-1500

Jim Piel J I Machine Company, Inc. 858-695-1787

Heather Russell K-Tech Machine, Inc. 760-471-9262

Stuart Russell K-Tech Machine, Inc. 760-471-9262

Cliff Manzke Manzke Machine, Inc. 760-504-6875

Russell Wells Sr. MarLee Manufacturing, Inc. 909-390-3222

Tony Martindale Martindale Manufacturing Co. 760-744-3078

Todd Cuffaro Miller Machine Works, LLC 619-501-9866

Mark Rottele Roettele Industries 909-606-8252

Scott Cormony Waterjet West, Inc. 760-471-2600

Regular Members

Associate MembersGlenn Van Noy Champion Risk and 760-419-1393

Insurance Services

Dave Stanton Digital Dimensions, Inc. 858-279-2557

Jeff Schwen East County Internet Marketing 619-315-5604

Gail Houser National Tooling & 602-758-6912

Machining Assoc.

Mark Selway Selway Machine Tool Company 888-735-9290

MEMBERLISTINGS

NTMA - SAN DIEGO CHAPTER

NTMAP R E C I S I O N

2011 Board of Directors

PresidentMelinda Coldwell

Cornerstone Machining, Inc.

Vice PresidentTony Martindale

Martindale Manufacturing

Recruitment DirectorMike Brown

Computer Integrated Machining

Member at LargePeter Neville

B&H Tool

Member at LargeTodd CuffaroMiller Machine

Member at LargeHeather Russell

K-Tech Machine

Member at LargeJohn Riego de Dios

Construction Tech Academy

Associate MemberGlenn Van Noy

Champion Risk Insurance

Associate MemberMark SelwaySelway Machine

Associate MemberDave Stanton

Digital Dimensions

“To form an alliance within the San Diego region of the local machining and tool industry and to foster mutual successthrough education, technology, opportunity sharing, and act as

one voice with the government and the community.”

NTMA - San Diego Chapterphone: 760.419.1393

www.ntmasandiegochapter.org

348 Saratoga GlenEscondido, CA 92025

S A N D I E G OC H A P T E R

TM

CALENDER OF EVENTSMonday, February 21, 2011 (5:30pm) - Scott Schmidt -Black Line Group (R&D Tax Credit) at Bruno’s ItalianRestaurant in San MarcosWednesday, March 23, 2011 (5:30pm) - Congressman Bob Filner at Solar Turbines Pacific Highway Location Wednesday, April 27, 2011 (5:30pm) - Mr. Greg Koehler, Attorney, discussing current legal issues pertinent to smallbusiness at Bruno’s Italian Restaurant in San Marcos


26 /



Manufactured with Pride in America!Since 1988

Industries Served:• Automotive • Aerospace

• Medical • Firearms• Dept of Defense • Electronics

2440 Cades Way, Vista, California 92081phone: 760.727.5228 fax: 760.727.0799

www.cornerstonecnc.com

THE NEWTOOL OFTHE TRADE.LET YOUR AD BE A CALL TO ACTION!Call Precision Magazine today for more details at 602.242.8826or email: [email protected]

[ ]NTMA MembersRECEIVE15% OFF!


28 /

NTMAP R E C I S I O N

2011 Board of Directors

PresidentTodd Ellard

Manda Machine Company

Vice PresidentJeff SpencerClay Precision

TreasurerBarron Smith

R.W. Smith Company

Chapter ExecutiveLisa Ellard

TrusteeWayne Applegate

Applegate EDM

Board Members

Mike BerdanBE Technologies

Frank BurchHartwig, Inc.

Stephen DraperHartwig, Inc.

Micah EmbreyCNC Precision/Shamrock-Bolt

Don HalseyHalsey Manufacturing

Ray JonesMWI, Inc.

Pat McCurleyMidlothian Insurance

Karla ChandlerEducation Liason

“The Power of Connections”

NTMA - North Texas Chapter

[email protected]: 214.536.4970

www.ntmanorthtexas.org

P.O. Box 541236Dallas, TX 75354-1236

N O R T HT E X A SC H A P T E R

JOIN THEPOWER TEAMAND GET CONNECTEDTODAYFor more information visitwww.ntmanorthtexas.org or contact:Lisa Ellard, [email protected]

N O R T HT E X A SC H A P T E R



TM

UPCOMING MEETINGS & EVENTSThanks to our January & February 2011 General Meeting hosts:January 2011 – Manda Machine CompanyFebruary 2011 – Ellison Technologies

UPCOMING EVENTS:March 25, 2011 – Lunch & Learn, Larson Allen LLPApril 21, 2011 – General Meeting, Midlothian Ins. AgencyMay 19, 2011 – General Meeting, Commerce Grinding, Inc.June 16, 2011 – General Meeting, Rapid Tooling, Inc.

MEMBER LISTINGSNTMA - NORTH TEXAS CHAPTER

Vincente Chan Aeroweld Technologies, Inc. 972-247-1189

Wade Whistler A.C.T. Precision Sheet Metal, Inc. 214-678-9114

George Gregory ABL Services, Inc. 903-509-2256

Wayne Applegate Applegate EDM, Inc. 972-488-8997

Steve Ingersoll Bailey Tool & Manufacturing 972-974-8892

Michael Berdan BE-Technologies, Ltd. 972-242-1853

Kevin Snyder Billor Machine Tool Service 972-465-3608

Christi Cameron Cameron Machine Shop, Inc. 972-235-8876

Jeff R. Spencer Clay Precision, Ltd. 903-891-9022

Gary Embrey CNC Precision Manufacturing, Inc. 972-241-3931

Joseph Lodor Commerce Grinding Company, Inc. 214-651-1977

Robert McNamara Davis Machine & Manufacturing 817-261-7362

Charles Gilbert DNS Tool Cutter Grinding, LLC 972-241-5271

David Ellis Ellis Tool & Machine, Inc. 903-546-6540

Rudy D. Kobus Expert Tool & Machine, Inc. 972-241-5353

Gary Fore Fore Machine Company, Inc. 817-834-6251

David L. Hodgdon H. H. Mercer, Inc. 972-289-1911

Don Halsey, Jr. Halsey Engineering & Mfg., Inc. 940-566-3306

Keith Hutchinson Lancaster Machine Shop 972-227-2868

Brent Terhaar Larson Allen LLP 214-570-7558

Sammy Maddox Maddox Metal Works, Inc. 214-333-2311

Todd Ellard Manda Machine Company, Inc. 214-352-5946

Rodie Wooodard Maximum Industries, Inc. 972-501-9990

Woodrow W. ompson Metal Detail, Inc. 214-330-7757

Allen Meyer Meyer Enterprises 972-353-9791

Eddie Steiner, Jr. O E M Industries, Inc. 214-330-7271

Morris Padgett Padgett Machine Tools, Inc. 254-865-9772

Troy Paulus Paulus Precision Machine, Inc. 940-566-5600

Joe O'Dell Plano Machine & Instrument, Inc. 940-665-2814

Matt Harrell Quickturn Technology, Inc. 469-643-5010

Barron Smith R. W. Smith Company, Inc. 214-748-1699

Dion Casto Rapid Tooling, Inc. 972-633-8872

Frank Burch Southern Machine Works 580-255-6525

John Anselmi Sunbelt Plastics Inc. 972-335-4100

Marshall B. Taylor T & K Machine, Inc. 903-785-5574

Regular Members Associate MembersLarry Ellison AJR Metalworks, Inc. 214-352-3766

Tommy ompson Bodic Industries 972-840-1015

Lewis Lance Bodycote Heat Treat 817-265-5878

Rick Blair Brook Anco Corporation 585-475-9570

Craig van Hamersveld Campat Machine Tool, Inc. 972-424-4095

Jack Barger Castle Metals 972-339-5000

Chris Simms Champion Cutting Tool 516-536-8200

Fraser Marshall Ellison Technologies 972-812-5500

Frank Vance Frank J Vance 972-255-3925

Brad Gross Gross Publications, Inc. 800-375-8488

Norm Williamson H & O Die Supply, Inc. 214-630-6660

Mike Johns Haas Factory Outlet 972-231-2802

Greg Kinney Hartwig, Inc. -- Texas 972-790-8200

Matt Curtis Hillary Machinery, Inc. 972-578-1515

Rod Zimmerman Iscar Metals, Inc. 817-258-3200

Randy Joyce Joyce Engraving Company, Inc. 214-638-1262

Curtis Dahmen Kaeser Compressors, Inc. 972-245-9611

Mark S. Holly Machinists Tools & Supplies 214-631-9390

Leland McDowell McDowell Machinery & Supply Co. 214-353-0410

Pat McCurley Midlothian Insurance Agency 972-723-5171

Ray Jones MWI Inc. / Southwest Division 972-247-3083

Mike Chadick North Texas Precision Instrument 817-589-0011

Reed Hunt Reed Hunt Services, Inc. 817-261-4432

Brian Fleming Richland College 214-232-1604

Bob Severance Severance Brothers 972-660-7000

Alan VanHoozer Top Tooling of Dallas, Inc. 972-278-8300

Glenn Wise Wise Machinery, LLC 817-905-9473

GET CONNECTEDTO PRECISION!For more information contact: CHRIS MIGNELLA, [email protected]

THANK YOU TOOUR 2011 SPONSORS!

BILLOR MACHINE TOOL SERVICELarson Allen LLPCPAs, CONSULTANTS & ADVISORS


30 /

SAFETY corner

Thousands of people are blinded each year from work-related eyeinjuries that could have been prevented with the proper selection anduse of eye and face protection.

Eye injuries alone cost more than $300 million per year in lostproduction time, medical expenses, and worker compensation,according to the U.S. Department of Labor.

The Occupational Safety and Health Administration requires employersto ensure the safety of all employees in the work environment, whichmeans eye and face protection must be provided whenever necessary toprotect against chemical, environmental, radiological or mechanicalirritants and hazards.

Each year, SCF receives scores of workers’ compensation claims fromworkers who have been injured by debris that has injured their eyes orstruck them in the face.

In general, OSHA standards require that employers provide the kinds ofprotection, whether it is safety goggles or complete face shield, toensure safety from flying particles, molten metal, liquid chemicals, acidsor caustic liquids, chemical gases or vapors, or potentially injurious lightradiation.

OSHA also requires that all eye and face personal protection equipmentbe marked in a manner that the manufacturer can be identified easily.For full-face protection, face shields are the best choice. They protect the

worker from splashes, heat, flying particles and other hazards, whileallowing for plenty of ventilation.

Face shields are recommended especially for welding, riveting andactivities that involve extreme heat. Face shields won’t protect the eyes,so they must be used in combination with safety glasses or goggles.Some face shields are designed specially to be fitted with hard hats.

Workers in areas where there is a lot of airborne dust or grit, flyingparticles or splashing chemicals, need to choose protective eyewear bestsuited for the job. Never rely on regular glasses as a way to protect them.

Here are some tips from the American National Standards Institute:

• Glasses with impact resistant lenses that have side shields provide adequate protection for most types of work.

• Flexible-fitting or cushion-fitting goggles fit easily over prescription glasses and provide front and side protection.

• Special purpose eyewear, such as chemical or chipping goggles, provides maximum protection from fumes and flying debris.

• Full face shields may be worn in addition to protective eyewear for maximum facial protection.

INFOLINK: www.scfaz.com

THE EYES HAVE ITarticle provided by SCF ARIZONA image: Gateway Safety, Inc.




32 /


1401 W. Victory Lane I Phoenix, AZ 85027 USAPhone: 623.581.0764 I Toll Free: 877.254.2024Fax: 623.581.6505

www.LewisAerospace.com

LEWIS AEROSPACE SERVES AEROSPACE, DEFENSE, SEMICONDUCTOR AND MEDICAL INDUSTRIES.

“YOUR PARTS, DONE RIGHT,ON TIME, EVERY TIME.”

n CATIA, Pro Engineer 2000i, and SmartCam meet your engineering and CNC programming needs

n Production control through JobBOSS, tracking all jobs from the quoting process thru shipping

n Full service machine shop includes CNC turning, CNC milling, and CNC Swiss turning

n Manual milling, turning, lapping, and vertical, horizontal sawing

n AS 9100, ISO 9000, and ITAR Certified

/FOR COST, QUALITY, FLEXIBILITY, AND DELIVERY, CHOOSELEWIS AEROSPACE/


MakinoNext-Generation a51nx

Introducing the a51nx. It’s a one-machine expansion program.It expands the cutting envelope by 14%, boosts spindle torque 19%, and improves

rigidity for higher metal-removal rates and reduced vibration. Its 1G linear axis

acceleration and one-second 90-degree table indexing significantly reduce non-cut

time. The reliability of the a51nx expands on the industry-leading performance of

Makino’s 1-Series. Most of all, the a51nx enables you to expand your ability to make

lower-cost parts faster. See how at makino.com/a51nx.

© 2011 Makino

For more information on all Makino products in Arizona, contact David Gundersen at 602-228-0347 or [email protected].


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