The Tooling & Manufacturing Association: Local Focus, Global Reach

Jack McGuinn, Senior Editor

This issue’s installment in PTE’s ongoing series of relevant association profiles takes a look at the Chicago area-based Tooling & Manufacturing Association. Founded in 1925, the 1,250-member group serves the tool & die, mold, die cast die, machining, stamping, molding, casting, automation equipment, heat treating, engraving, industrial machinery and supplies industries.

PTE caught up with TMA president Bruce Braker.

PTE: Who benefits most from the TMA—large companies or the sole proprietors?

TMA: Both benefit, in different ways as well as ways in common.

PTE: In what ways does the TMA best assist both ends of the spectrum?

TMA: In the area of training, both larger and smaller manufacturers need trained and productive employees. For smaller companies, classroom or Web-based instruction is normally the best option, because they do not have enough people needing similar training to justify the cost of an in-house program. Whereas for larger employers, they may find that a customized in-house program is the best way to go. TMA can help with both solutions, and both solutions are eligible for 50% training grants from the state of Illinois.

In the area of marketing support, larger companies typically have in-house capabilities in marketing and sales. Whereas smaller companies normally don’t have a director of marketing on staff. TMA has a director of marketing who is available to companies both large and small. Larger companies may just use the free prospect database, whereas smaller companies may need a marketing plan. All companies large and small are listed on the TMA website where they can showcase their capabilities. All companies need access to representation in government advocacy, information and advice, HR support, access to lower cost employee benefit programs, etc. Most services are not size-specific.

PTE: What would you say is the greatest single challenge facing the TMA and its member companies?

TMA: The most commonly voiced challenges are needs for new customers and needs for new skilled employees. Replacing lost customers and diversifying or expanding the customer base are ongoing concerns for most manufacturers. TMA’s Commercial and Marketing Services program helps that.

As for the need for skilled personnel, TMA helps members hire skilled people and helps members train those who have the aptitude to learn, but have yet to develop the skills. The TMA Job Board can be found at www.TMACareerNet.com. Members post jobs on the site and individuals can autonomously post resumes.

PTE: What are the other challenges?

TMA: Members are concerned with global competition. Some have adapted to globalization by developing export markets or by establishing an overseas presence or a presence in Mexico. Many have become part of the global supply chain by selling to companies who themselves export. Even while pursuing a “free” market global strategy, member employers are concerned about the need to lobby for “fair” competition as well. For that reason we lobby for “fair” trade while at the same time we encourage members to take advantage of opportunities “free” global competition presents. Sometimes, “fair” wars with “free.” When surveying member needs, we hear frequently that a more responsive state and federal government is critical.

PTE: That said, and given those daunting challenges, how would you say the TMA is doing in the educating and training of existing and future workers in manufacturing?

TMA: TMA does an excellent training job. Our director of education is a former tool and die maker and tooling engineer with a masters degree in education. That’s a combination you don’t often see. TMA provides public classroom programs as well as employer in-house customized training. TMA administers training grants for both types of training. The Apprentice & Continuing Technical Education Committee gives direction to staff by serving as the voice of the membership and by providing program development support. The Illinois Department of Commerce & Economic Opportunity provides the grant support. ToolingU provides an online solution. The Apprentice Related Theory program has run continuously since 1934. The association works to find ways to modify that program to shorten training cycle time, which is something many members want.

PTE: What is your “wish list” for education and training assistance?

TMA: We wish more members would choose to train rather then hire skilled people from others. We wish they would train to the standards developed by the National Institute for Metalworking Skills, of which TMA is a founding partner. NIMS can be found at www.NIMS-Skills.org. We wish more high schools and colleges would offer manufacturing related programs in cooperation with TMA. We wish manufacturing had a better career choice image. That’s something we can and do work on. We wish the training grant process could be simplified. We have a $2 million education foundation, but we wish we had even more access to resources to promote careers in manufacturing.

PTE: How does the TMA pool the purchasing power of member companies?

TMA: TMA offers a long list of endorsed services: 1. An excellent human resources consultant who answers member questions at no charge to the member and provides low- cost, on-site consulting services; 2. A 401(k) plan that pools individual member 401(k) investments to give their employees access to low-expense ratio mutual funds; 3. A low- cost marketing director to help members sell more; 4. Access to a health insurance trust through TMA’s wholly owned insurance agency; 5. Small companies have access to Yellow Freight at big-shipper rates; and 6. Access to a program that wins 90% of unemployment insurance claims and has no minimum fee and preferred rates. There are more services, but that’s a good example.

PTE: How did the Chicago area come to be known the “precision metalworking center of the world”?

TMA: That phrase was coined by Marvin Wortell, a TMA past-chairman and owner of Triton Industries, Inc. in the 1980s. The Chicago area boasts the largest local concentration of metal cutting and forming companies in the country. About 7% of our nation’s capacity is right here in the Chicago area. Other states have more capacity, but it’s not all concentrated in a local geographic area. About 70% of Illinois’ capacity is in Northeastern Illinois. Of course, we would argue we are the best, not just the largest. I’m sure many other regions would take issue with that.

PTE: Getting back to pooling resources, does the TMA ever align with similar manufacturing associations around the country, or is your focus strictly on the Chicago area?

TMA: We earlier mentioned the National Institute for Metalworking Skills.TMA partnered with a group of national metalworking-related associations to form NIMS. That program has grown since the early 1990s when NIMS was founded. That’s the best example of sustained cooperation we have. TMA also supports numerous coalitions, such as the China Currency Coalition and the Domestic Manufacturing Group, and is a member of such diverse organizations as the U.S. Business & Industry Council and the National Manufacturers Association’s Council of Manufacturing Associations. TMA also participates with an informal group of associations in the Metalworking Manufacturers Coalition. So, yes, we do like to cooperate with others and we do think and act nationally and internationally, in addition to our focus on the Chicago area and the state of Illinois.

PTE: What would you like to see government –local, state and federal—do to help advance your efforts?

TMA: We need all the manufacturing-friendly legislation we can get. It starts with not burdening the job creator any more than necessary with excess costs of doing business, whether they are regulatory requirements, tax burdens, or mandated benefits. Global competition is a given; however, we must negotiate and enforce trade agreements in a way that ensures fair as well as free trade. For example, currency manipulation to gain an unfair advantage is not fair, so we need access to a countervailing duty to counter the manipulation.

PTE: And the educational community?

TMA: A good education followed by a commitment to lifelong learning is necessary to succeed in whatever career a student pursues. However, that education does not need to be a traditional four-year degree at a university. The right two-year degree can be more beneficial than the wrong four-year degree. An apprenticeship lays an excellent foundation for further learning and career advancement.

So we would like the education community to understand the unique aptitudes, interests, and abilities that tie to the many career paths available in manufacturing and to communicate the appropriate options to students. We like to see young people have opportunities to explore careers in manufacturing and to learn theoretically as well by doing. More young people should have the SkillsUSA http://www.skillsusa.org/ type of learning and competition exposure. We value engineers as well as CNC programmers along with all the other skills found in manufacturing.

PTE: Who conducts your extensive training programs—Full-time instructors? Member volunteers? Both?

TMA: Our instructors are consultants—people working in manufacturing on the plant floor or in engineering or management, retirees, professional instructors, as well as volunteers within the membership.

PTE: Given its longevity, how does the TMA rank with other like-minded associations in length of service?

TMA: TMA was formed in 1925. The Precision Metalforming Association was formed in 1913. The National Tooling & Machining Association was formed in about 1945. The American Mold Builders Association was formed in about 1972. I suppose TMA has been around longer than most, but not as long as some.

PTE: How did the TMA’s Apprentice Related Theory Program come about?

TMA: The Apprentice Related Theory program was formed in 1934 because the members saw a need to provide formalized theory training for tool and die makers and machinists, and then later, mold makers. It came about because the demand for skilled people outstripped the supply, a condition that has continued for most years since 1934.

PTE: How is the TMA affiliated with the Chicago Manufacturing Center (CMC)?

TMA: CMC is a TMA affiliate member. TMA has worked with CMC to provide instruction to member company employees, primarily related to quality. TMA has also referred members to CMC for assistance on a variety of topics. We count CMC as a friend of the association and a valuable resource for Chicago-area manufacturing.

PTE: What are the TMA’s membership requirements for joining?

TMA: To join, a manufacturer must be primarily engaged in some activity related to metalworking or plastic processing. TMA is an association of 1,220 Chicago-area manufacturers and distributors. Members also make sub-assemblies as well as assemble end products. Associate and affiliate members provide industrial machinery, materials, supplies, and services to regular members.