In-Depth Biz Profile: IEC Electronics
While many electronics manufacturing jobs move off shore, a 4 1/2 decades old company from Newark, Wayne County has found a way to grow and exceed financial expectations. YNN's Leah George takes us inside IEC Electronics in this week's in-depth business profile.
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IEC President, Jeffrey Schlarbaum said, "We manufacture printed circuit board assemblies. They’re effectively the electronics or the brains of any electronics system."
IEC Electronics posted some of the best financial results in the company's history for the second quarter of 2012. Marking what IEC president Jeffrey Schlarbaum calls a turnaround from where the company was less than a decade ago.
Schlarbaum said, "The company’s been fortunate over the last seven years to grow at a 35% compound annual growth rate. And we’ve been able to do that by aligning with the right end markets."
IEC's end market customers’ include the military, NASA, medical centers and industrial clients, particularly those in transportation. Circuit boards manufactured inside IEC's Newark headquarters control secure communications in the cockpit of military helicopters, and braking systems in high speed locomotives...
"This particular application would be for an infusion pump for drug delivery," Schlarbaum added.
Schlarbaum says IEC's focus on low volume, high reliability applications separate it from overseas manufacturers.
"Our customers aren’t typically looking to save a nickel. They’re looking for a product that's built right the first time," said Schlarbaum.
IEC has made investments in state of the art equipment that automates part of the precision placement process. The operation runs 24/7. Schlarbaum says the schedule allows IEC to react to customers' needs at a moment’s notice.
Schlarbaum said, "It’s allowed us to improve the set up time. it’s allowed us to improve the speed and accuracy of the assembly process, which has allowed us to drive our cost to make us more competitive for our customers."
In addition to diversifying end markets, automating and adjusting schedules, IEC has also vertically integrated and gained control over what Schlarbaum calls key commodities.
The Newark plant, is one of five that IEC operates in the U.S. The publicly traded company also has facilities in Bell Gardens California, Albuquerque, New Mexico, Rochester and Victor.
"So we accompany the electronics that we produce here along with the cables that we produce in Victor, along with the metals that we produce in Rochester and custom assemble and configure a system for delivery to our customer," said Schlarbaum.
More than three quarters of IEC's 850 employees work in the Rochester region. Schlarbaum says the company's stable and dedicated workforce has earned IEC numerous industry awards and a reputation that will allow the electronics manufacturer to grow with its customers.
"Our future looks bright," he said.
IEC Electronics, this week's in-depth business profile.