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As an Indiana-based ISO 13485 certified contract manufacturer, our Genesis Plastics Welding team has always taken an interest in the role manufacturing plays in Indiana’s economic vitality. Lately, it seems we’re not the only ones to notice the economic strength of our Hoosier state.

Indiana is ranked eight for best states for doing business based on areas such as business costs, labor supply, regulatory environment, economic climate, growth prospects and quality of life. It’s also sixth in top cities for technology-based jobs. Indiana leads the nation in manufacturing job growth and continues to have the highest concentration of private sector manufacturing jobs.

The following article highlights just how much Indiana leads the manufacturing rebound, and why an increasing number of OEMs are looking to source within our Hoosier state.

The manufacturing investments have rolled in to Indiana this year: $600 million at Rolls-Royce, $140 million at Subaru and $1.2 billion at General Motors, to name a few. Almost $2 billion has been invested to overhaul production facilities or expand corporate footprints — a trend that economic experts say puts Indiana at the forefront of states with manufacturing-heavy economies.

“It’s not the norm,” said Barry Bosworth, an economic expert at The Brookings Institution, a Washington-based think tank. “It sounds like Indiana is doing well.”

Indiana leads the nation in manufacturing employment — almost 17 percent of the state’s workforce is employed by manufacturers. More than 30 percent of the state’s gross product is manufacturing, again placing Indiana ahead of all other states.

Indiana’s long tradition of manufacturing, as well as its business climate, makes it one of the most viable states for production, said Chad Moutray, chief economist at the National Association of Manufacturers. Indiana has thrived since the Great Recession, he added.

“Indiana is doing a lot of things right,” Moutray said. “When you look at the overall business environment in Indiana, it’s pretty clear the policies are geared toward attracting business. When you set the right climate for business, you’re going to see economic development as a result.”

The support of the state and city of Indianapolis was crucial when Rolls-Royce was deciding whether to invest in its North American operation, said Phil Burkholder, president of defense aerospace for Rolls-Royce North America.

“When Rolls-Royce was considering where to invest for the future, we looked at two primary factors — the experience of our workforce coupled with their desire to put the customer first, and the support from our elected leaders, especially Governor Pence and Mayor Ballard,” Burkholder said. “As we marked a century of aerospace innovation in Indianapolis, it made business sense to reinvest and improve our local operations.”

One reason companies are investing in their U.S. holdings is to boost their competitiveness around the globe, Moutray said. It’s easier to control quality at a U.S. facility than halfway around the world, he added.

Places such as Indiana also offer a skilled manufacturing workforce, Moutray said, adding that those workers are a boon for businesses. Indiana’s manufacturing jobs dipped to 425,200 in June 2008, but the sector has gained almost 100,000 jobs since then, coming in at 520,400 in September. Michael Hicks, an economic expert at Ball State University, said Indiana is one of the most robust manufacturing states in the country.

Indiana is among the top tier of U.S. manufacturers, and it should be poised to do well in the coming years despite the fluctuations in global markets, Moutray said. Manufacturers have become leaner and more aggressive about competing around the world, he added.

For companies such as Rolls-Royce, investing in Indiana was a strategic move to grow the company here and around the world.

“We have set the stage for future years of success,” Burkholder said. “Some of the best engines and technology originate in Indianapolis, and we look forward to continuing to innovate here for years to come.”

Recently, Genesis Plastics Welding has been privileged to participate in multiple legislative roundtables and medical device conferences throughout Indiana. We are extremely proud to stand together with the state’s large medical device OEMs and discuss topics that effect companies of all sizes within our industry.

One common thread in each of the events has been the clear signs that Indiana’s life science ecosystem is evolving. Innovation across the board is taking our industry to places we’d not previously imagined and our health care system and regulatory bodies are sprinting to keep up with the emerging trends.

For example, as Mukesh Kumar, director of biomaterials research at Biomet referenced at the IMDMC annual conference in October, trends like medical components produced on demand in doctor’s offices from 3D printer software. Moreover, trends like smart medical devices with digital components that continually stream live data back to healthcare providers. Yes, the medical device landscape is quickly evolving with new innovation coming to life daily and regulatory guidelines must be developed just as quickly.

Just last month, both Governor Pence (IN-R) and Senator Donnelly (IN-D) have noted their desire to reinstate the R&D development tax credit, as well as continue to fight the medical device tax. As a small business in the state of Indiana, witnessing these excellent examples of bipartisan leadership gives me great hope for the future of the medical device and manufacturing industries. Progress is possible when OEMs, contract manufacturers and state legislators are working hand in hand to tackle the roadblock issues.

Another topic that I was pleased to get the opportunity to discuss with our legislative leaders was the idea of making it a priority for OEMs within Indiana to first review their own state’s resources when strategically sourcing for the manufacture of goods. By our legislators backing “Strategic Indiana Sourcing,” they would be helping to further grow the diverse economic landscape of Indiana with the creation of jobs and additional growth within the manufacturing sectors. The the creation of a new tax credit would incentivize OEMs to source within their own state before looking elsewhere for materials or services.

Genesis Plastics Welding has been strategically sourcing locally for years. We purchase foam, molded plastic, tooling, plastic film, hardware and secondary services screen printing all from local Indiana vendors. We appreciate that by sourcing locally, it keeps jobs in our state and saves us on logistics costs. It also is great for collaboration. Being able to stop over at our tooling shop during the day is priceless for us. Really, it just makes good business sense to source locally when you are able.

“Here is my money. Now, dissatisfy me please,” said no customer ever. Customer service is key in any business, especially contract manufacturing. For many OEMs, the overall relationship with their CM and the level of service provided is what makes or breaks the partnership.

OEMs expect their experience to be phenomenal. As a company that understands that exceptionally well, Genesis Plastics Welding sets out daily to exceed their customer’s expectations with attentive customer service. We call it our “wow” factor.

We realize that with the competitive nature of our business, amazing customer service truly sets us apart. It’s something we pride ourselves on, along with the promise of quality products delivered in a timely manner. An example of this is in fast-food restaurants, they have to make sure there is constant in and out of consumers to keep business flowing. Utilizing KIOSK technology can help provide this, it adds to the customer service, getting them to order exactly what they want quickly and efficiently, with fewer lines and waiting times.

However, customer service doesn’t just have to be given in person. It can also be provided online or on phones. For businesses where customers can’t walk in, they are still expected to give their customers a positive experience. This can be done by making sure phones are answered promptly and customers aren’t left on hold for long periods of time. To ensure you have a good phone line service, it might be worth looking at some of the phone solutions offered by Eatel Business or other providers. Good phone lines can ensure that customers have a good experience.

In the following article, Bill Quiseng, customer service speaker and blogger, talks about being in the experience business” and three key areas where businesses must excel to retain and attract new customers – no surprises, no excuses and one percent more. We couldn’t agree more, Bill.

The goal of any business is to attract and retain customers. And customers actually make it very easy for you. No customer walks into your establishment and says to you, “Here is my money. Now, dissatisfy me please.” In fact, your customer comes in with an expectation that what you offer could be more valuable than his money. Nobody knowingly expects to pay good money for a poor product or service.

If it’s so easy, why isn’t your business doing so well that you are literally turning away customers? It’s because you already are turning away customers and you may not even know it. You cannot think you are only selling a commodity or service to your customers. You are not in the product business. You’re not even in the service business. You are in the experience business.

Think of your top three competitors. They have a similar product. In fact, if your competitors really wanted to, they could come pretty close to replicating it. What they can’t replicate are your people. And it is your people who deliver your experience. A recent American Express survey found that 70 percent of consumers are willing to spend an average of 13 percent more with companies they believe provide excellent customer service. So the good news is that if you understand that your company is in the experience business and you get the experience right, you reap more revenue and repeat customers.

The bad news is that, in the same survey, 78 percent of consumers claimed they have abandoned a transaction or not made an intended purchase because of poor service experience.

Ultimately, for you to retain your customers you have to think like your customer. You have to understand that you are in the experience business and the customer is paying for his experience, not yours.

So how do you create an experience that will retain your customers and attract new ones? Here’s how in just three steps:

1. No Surprises.
2. No Excuses.
3. One Percent more.

No Surprises. Find out what that expectation is of your customer. Then deliver it plus one percent more. That’s a take on the “Underpromise. Overdeliver” service mantra. As a hotel general manager, I defined that the restaurant could never run out of any item that was on the menu. Think like the customer. The menu is actually our promise in writing. The customer orders and the server says they have just run out of it – an unexpected bad surprise for the customer. The server, manager and chef thinks it’s OK to run out of something – our experience. If they kept everything in stock beyond demand it would lead to higher food costs – still our experience. But the customer sees it on the menu and expects that he can get it with no surprises – his experience. And the bottom line is the customer is paying for his experience, not ours.

No Excuses. Of course, on busy nights, we did sell out of certain items or it took too long for an order to be served. Step two: No excuses. “I’m sorry, we had more people order that than we expected.” or “I’m sorry, we’re a little understaffed tonight.” All that is really the restaurant’s experience – our experience. Think like the customer. The customer decided to eat in the restaurant with the expectation of being satisfied. Any reason the restaurant gives to the customer is “heard” as an attempt to explain why the restaurant could not deliver – an excuse. Here is what the customer is hearing “So what that you’re sorry. I still don’t’ have what I wanted.” No excuses. Better to respond to your customers with an “I apologize.” Since you could not deliver their expected experience, you need to give them something, at the very least, a sincere apology. Then follow up with a gesture of atonement.

One Percent More. Deliver an experience that is just a bit more than what the customer expected. For example, customers expect your business to open on time. As a customer doesn’t it frustrate you when you go to a store that clearly posts that it will open at 8:30 a.m. and it actually unlocks the door for its first customer at 8:45 a.m. – their experience. And if you were that customer on your way to work, didn’t that 15 minutes seem more like an eternity with each passing minute – your experience. And as the customer, you were paying for your experience, not theirs. Your customers expect the same from your business. So what’s the 1%? Just make it a Best Practice to open 10 minutes before and stay open 10 minutes after your posted times. Remember, to the customer, it is not the one big wow that will separate you from your competitors; it will be the 1001 little “wows”, those one percents, that will make the big difference.

So remember, the customer is paying for his experience, not yours. If you have any more questions click here to learn more about Customer Service. Deliver their experience with no bad surprises and if there is a surprise for the customer, apologize and fix it with no excuses. And always add just that one percent more.

Did you know this fun fact about American worker output? Between greater automation in U.S. factories and a skilled labor force, the average U.S. worker is 8 times more productive than their fellow Chinese worker. Click image to view larger.

At Genesis Plastics Welding (GPW), our relationships with our clients have always been a focal point for our tight-knit team. We pride ourselves on a unique collaborative approach and innovative manufacturing solutions. For our team, both of the above begin with an understanding of each client’s business needs and partnering with them to bring their innovative ideas to market – always keeping an eye on quality, profitability and sustainability.

We enjoy being a strategic resource for our clients. Through the depth of our radio frequency welding expertise and flexibility of supply chain relationships, we enable our client’s innovation each and every day and we wouldn’t have it any other way. It’s who we are.

Throughout 2016, I’ll be on the road often visiting our valued clients on their turf. I’ll be bringing GPW team members along for the ride as well. I look forward to hearing your innovative ideas and pain points firsthand. No matter where you are in the stages of life for your product, we’re a bridge for you. It’s all about how we can help take you to that next step.

I look forward to visiting you in 2016! Stay tuned for more insights from my “On the Road” series.