Cooperation in California

February 28th, 2012 → 5:38 pm @ // No Comments

Business is booming as service center expands operations out West

In the heart of Southern California, industry is booming, and metals manufacturers are working harder than ever. Los Angeles Air Conditioning companies, like Thermal Air Conditioning have been able to tell. With each year, the metals industry discovers new innovations to better construct the mechanical carbon and alloy tubing that will compromise myriad apparatuses. National Tube Supply Co., University Park, III., recently expanded its operations to include a 50,000-square-foot facility in Moreno Valley, Calif., to meet its West Coast customers’ demands.

With the opening of National Tube’s California facility, which also has 200,000 square feet of outdoor storage space, the company is able to meet Commercial Metal Forming’s high -volume requests as well as secondary inventory needs.

“I’m hiring, and we’re still working overtime,” says Mark Davidson, operations director for Commercial Metal Forming , Orange, Calif., noting reliability and timelines can make all the difference when completing customer orders. Davidson says Commercial Metal Forming was reluctant to order frequently from National Tube because of the time lost when shipping orderd from its Chicago facility to Commercial’s California shop.

“Prior to opening their facility here in Southern California, any purchases I did would take upward from a week to 10 days for transportation,” Davidson says. “We could afford to do some larger orders, but for the rest of the items, we could only rely on National Tube as a seconday source. But their new facility puts them on a just-in-time basis.

“Instead of offering just a couple of sizes, we now use other sizes that they offer with three-to five-day turnaround,” Davidson continues. We can plan our promises to customers.”

For frequent customers, the expansion to the West Coast is welcome news. “I’ve been working with National Tube for years,” says Fernando Vega, sales manager for Barrel Service, San Marcos, Calif. “I purchase  materials from them at least once a week, maybe more.” Barrel Service provides hose couplings, bushing and other parts for heavy-equipment manufacturers.

National Tube Supply recognized its logistical limitations by not having a West Coast presence and decided a proactive approach would result in more business. “We’ve cetainly seen growth,” says Terry Flanary, director of sales and marketing at National Tube Supply. Despite the favorable response, Flanary notes many customers remain cautious in an uncertain economy.

“Customers aren’t buying more than they need,” Flanary says. “Back in 2008, a customer would say, ‘I need 200 feet of asize,’ and we would tell him we have 300 and he would say ‘I’ll take all of it.’ That doesn’t happen anymore.” People are buying only what they need because “they don’t want to get stuck with inventory,” according to Flanary. Although the economy is stronger, “customers don’t have that comfort level” they have had in the past, he says.

Thermal Air Conditioning thanks you for reading.

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