Case: Custom Fabricators. Inc. – from Lean Manufacturing Partner to

1.   How   does   Ben   Lawson’s   Custom   Fabricators,   Inc.,   create   value   for
Orleans?
Custom Fabricators   Inc. has a very companionable relationship to Orleans. Orleans Elevator
is a subsidiary of United Technologies and provides Custom Fabricators   Inc. with a monthly
schedule   of   their   products   and   these   are   produced   by   order   and   delivered   either   to   the
nearby Orleans   plant   site   or   directly   to   the   construction   location.   Custom   Fabricators   Inc.
creates   value   for Orleans by delivering quality   and   great   service with   the   speed,   reliability
and flexibility of the manufactured items they produce. Most of the manufacturing business
is   done with Orleans.   Because   of Orleans   purchasing   the   raw materials,   costs   for   Custom
Fabricators is limited to land lease, the plant, equipment and employee costs. This leads to a
stable   revenue   margin   of   approximately   30   percent.   This   economic   wealth   of   Custom
Fabricators   is   being   shared   with   their   loyal   employees   who   increased   productivity   as
business increased. Because of their high employee satisfaction the company’s reputation to
produce quality products and deliver on time has enhanced.

2.   In   the   past,   what   has   been   Ben   Lawson’s   competitive   advantage   in
keeping the Orleans business?
By   having   a   close   relationship   with   Orleans,   Custom   Fabricators   Inc.   has   been   able   to
maintain   their competitive advantage. Custom Fabricators understands   the business and   is
able   to provide   the exact products whenever   they are needed and Orleans can depend on
the   quality   and   the   service   provided   to   successfully   achieve   their   goals   in   completing
elevator   contracts.   Also   their   location   has   gained   them   a   big   competitive   advantage   and
helped them in being the primary supplier for Orleans Elevator.
Newly   Orleans   has   included   Ben   Lawson   in   their   search   to   find   new   suppliers   for   raw... [continues]

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