Newspaper article THE JOURNAL RECORD

Tulsa-Based Abitl Finishing Finishes Expansion, Hopes to Boost Revenue by 50 Percent

Newspaper article THE JOURNAL RECORD

Tulsa-Based Abitl Finishing Finishes Expansion, Hopes to Boost Revenue by 50 Percent

Article excerpt

Custom metal finisher Abitl Finishing Inc. has completed a $300,000 expansion to boost revenue 50 percent.

This year for us is the year of sales and marketing, said President and Chief Operating Officer Luis Acevedo.

Focusing on metal applications since beginning operations in mid- 2003, Abitl had built its business around one high-volume powder coating line that coats customer products with a finish more durable than traditional paint.

Abitl's 1,600-foot-long conveyor system, which can move hundreds of products through wash, rinse, paint and heating stages at 20 feet a minute, helped the company boost its revenue from $976,000 its first year to $1.9 million in 2005. But the washing line's small work area - 5 feet tall, 4 feet wide and 10 feet long - limited the size of products Abitl could handle and forced it to send some business to competitors.

Now that has changed. On Friday, Abitl will hold an open house to show off its second powder-coating line. Acevedo expects the 6,000- square-foot expansion for handling larger, lower-volume products, to raise Abitl revenues to $2.87 million this year.

If we could achieve anything over a 10-percent profit margin, that would be a good start, he said. It's a pretty competitive business.

The new line's increased dimensions - offering a work area 13.5 feet wide by 10.5 feet tall by 23.5 feet long - will allow Abitl to stop sending out business. That alone will increase revenue by up to 10 percent.

The company also has added two smaller ovens, allowing Abitl to handle almost any order size.

Adopting Total Quality Management practices and lean manufacturing principles has allowed Abitl to expand productivity by its 24-employee work force while reducing waste.

Now we're doing with one shift what we used to do with two shifts, he said. Acevedo pinned this on improved quality, having trimmed his firm's 20- to 30-percent product rejection rate to less than half a percent. …

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