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TW Manufactures Success with Order Analysis, Customer Profiling

TW Design & Manufacturing, a Montello CNC machine shop producing milled & turned precision parts, first asked for WMEP’s help with Lean. It helped their bottom-line but they weren’t seeing enough growth in sales. They also were spending too much time and resources on quotes -- quoting everything they got in.

That’s when they turned to WMEP’s Strategic Repositioning and its Market Intelligence tools which led to more sales and an expanded customer list. First, TW used Order Analysis to examine quote histories to determine why they were won or lost. Then they used Customer Profiling to categorize the traits of TW customers to identify the key characteristics of good and bad customers.

“We identified the customers we really wanted to do more business with and placed a higher priority (on their quotes),” said John Whitver, president of TW. Strategic Repositioning with its Market Intelligence tools helped TW grow their top line. TW’s results from Strategic Repositioning include:

• Increased hit rate for quotes from 20% to 30-35%
• Sales up 36% from 2003 to 2004, and are on track to double from 2003 to 2005
• Customer list has grown, with a better likelihood of orders being won
• Greater diversity of customer base, with customers in 34 states in at least 15 major industries
• Quoting activity is as heavy as it’s ever been

“WMEP is not just another consultant that reads out of a book. They work with us, have been out in the real world and know what’s going on,” said Whitver.
 

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