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TMCO Assessment

Total Manufacturing Company (TMCO) is in its fourth decade of business

specializing in one-step, concept-to-completion, metal manufacturing servicesprimarily for OEMs. TMCO provides services from any stage of product

development including design, fabrication, paint and assembly. Since itsinception TMCO has quadrupled in size and continues to position itself as aregional powerhouse in the metal fabrication business.

As TMCO continues to grow, it looks to increase its sales from 30% to $40M by the

end of the 2013 calendar year. Current sales primarily come from regionalOEMs and clients without in-house production capabilities. TMCOs business is

primarily driven by industrial projects, agricultural, custom fabrication, and fromthe sales of assembly & distribution.

Industrial projects makes up nearly 40% of TMCOs manufacturing sales,continuing to be a key driver in the companys overall sales success. Industrially,TMCOs market consists of energy & structural construction companies who areprimarily influenced through TMCOs on-site tours and customer testimonials.

Currently, TMCO plans to increase its internal engineering support throughoutsourcing with engineering resources that will benefit the companys

manufacturing production process. TMCO is also looking to add 1-2 automatedproduction cells that reassure its 40% sales goal increase.

Agriculturally, TMCO markets primarily within a 100 mile radius of Lincoln,Nebraska. Agricultural projects makes up roughly 20% of sales. Because of its

large production capabilities, TMCO is looking to increase floor space to expandcapabilities and increase volume of processing equipment and handling

equipment.

Custom Fabrication makes up roughly 15% of TMCOs manufacturing sales and

is considered the companys lead generation, point of entry driver. CustomFabrication has white label opportunities that require a high degree of

automation that will help TMCO achieve a turnkey (e.g 3D bending machine).

TMCO hopes to build strategic partnerships to build a unique turn-key assemblywhich will help them steer away from the commodity market and reach other

companies who do not currently carry inventory.

The final dot of turn-key comes from TMCOs assembly & distribution sales,

which currently makes up 10% of sales and is the last stage of production beforethe final product reaches the customer. The assembly market consists of clientswho dont have in house production capabilities. TMCO needs to strategizeeffective ways to communicate with this market to improve its quality assuranceand quality control.

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In general, TMCOs brand is perceived to be respected within its geographicareas of service, and is considered a one-stage production business. TMCO not

only wants to furnish parts for products but wants to invest in advancedautomation, to become a turn-key company that is involved in each stage of

the development and manufacturing process. TMCO envisions how thecompany will help next.

In order to reach the sales goal of $40M that TMCO has set for 2013, there mustbe an increase in automation advancement. By developing strategic

partnerships with external engineering resources, TMCO can obtain usefulinformation needed for TMCO product production.

In order to focus on directed target markets and companies without in-house

inventory, adding video to the TMCO website could be useful for providing on-

site tours to interest potential clients. The site could serve as a main point ofcontact between TMCO and its clients OEM. Because many of TMCOs current

clients are members of the Nebraska State Chamber, building a relationship withthe Nebraska State Chamber can also work as an opportunity to increase client

reach.

Strengths Provide best service option Price competitive Single point of contact Quick turnaround Automation employees Handling reduction Cost efficiency

Weaknesses

Price sensitive Lack of service awareness Small production space No internal engineering resources Weak web presence