Wisconsin architectural woodwork company weathers economic downturn with creative mix of product offerings 

By Steve Ehle 

Never underestimate the importance of reputation, relationships and craftsmanship. So says Robin Carley, president of Carley, Wood Associates, who, in his 27 years producing high-end one-of-a-kind architectural woodwork projects, has seen the upside and downside of the industry and the economy.

“In the past couple years, we’ve altered the way we do business because we had to,” says Carley, who, besides being a hands-on woodworker himself, has a background in design. “It’s tough out there. We’re bidding on more projects and are competing with bids that we know are way below the break-even point. But we’re still doing well and are getting new projects that require some unique skills, which we have.”

Carley, Wood has for years tackled projects that not only require original designs, working with designers and architects, but also restoration and replication jobs that involve manufacturing and finishing expertise that some architectural woodwork companies may shy away from.

Carley says his company business and manufacturing mindset was founded on some initial struggles which, he says, prepared him and his staff, particularly chief estimator, Greg Ericson, for a woodworking business sector that requires developing solid working relationships with people in charge of challenging and creative projects. He explains:

“We started the company in 1982 during a serious low point in the woodworking industry and the U.S. economy, as a whole.  There was little work, but we were young and the company was very small, so it didn’t take much to keep the door open.

“However, it was an ideal time to buy used equipment as 30 percent of the wood industry in Wisconsin disappeared in that second year period.  The first few years were very sketchy, but nevertheless, we continued to grow and gain customers and a quality reputation.  Maintaining our goal of high-end commercial furniture and architectural millwork was and still is challenging, but it kept our search for new work focused.”

One of the major projects that helped gain Carley, Wood a reputation of restoration and replication was the work done on the Wisconsin State Capital remodeling project which lasted 14 years. The job involved restoring and updating the State Senate and Assembly chambers as well as other rooms in the State Capitol. Since then, Carley, Wood has attracted similar projects.

“We started working on the Capitol in the late 80’s,” says Carley.  “We were lucky to be involved at the very beginning of the restoration process and did many prototype pieces and analysis for the State architects. 

“We were involved in restoration and reproduction of historic furniture on and off for the next 14 years. When we were working for the State, there was business formality and structure that had to be in place.  Although difficult to implement, this was the discipline that made us a stronger, more viable business to survive the last eight years. The years 2002 and 2003 were very difficult in the commercial market.  In 2004 we saw a comeback and we have had excellent years until 2009, which of course, we are happy to survive with no layoffs.”

Carley and Ericson were asked a number of questions from Modern Woodworking relative to their business and what has made the company successful. 

Modern Woodworking (MW): How do you market your products?  What is your niche?

Carley, Ericson: We don’t have a product as much as a talent to produce unique and or technically challenging items.  We have a reputation for quality and longevity. That usually means that our clients will end up with a project that is a unique design, well functioning and will last a long time. This translates into a value purchase. Also, only a small percentage of architects tackle the high-end woodwork projects. When we successfully produce their vision, a relationship is established. 

MW: Describe your manufacturing process from the point where an order is taken until it is finished. 

Carley, Ericson: Before an order is taken, there usually is salesmanship, research and sometimes sample or prototyping to help sell our product and services.  Once the contract is signed, we assign a project manager, complete shop drawings in-house, and submit finish samples for architectural review and approval.

Our estimator and project manager map out veneer utilization and layout for specific product manufacturing, review budgets and list of materials to be purchased. Jigs and forms are produced and tested and then production commences. A team, headed by our project manager within the shop, is responsible for building, assembly and finishing for the project. Complete quality inspection occurs prior to finishing and then afterwards as well to correct any items prior to final assembly, packaging and final shipment/delivery. 

MW: What software packages do you use to schedule jobs?

Carley, Ericson: We presently still use AutoCad 2000. It is linked to our Busellato CNC Jet 6000 CNC machining center program. Busellato has an Autolink program that translates from AutoCAD to Genesis to G Code. Our Team Leader and Programmer/Operator together decide what parts will be CNC machined and what size and shape they will be. As the parts are made, the operator will label each part as per plan and sequence. The Team Leader will make sure the parts are utilized correctly during fabrication. 

MW: You do a lot of original design work. How do you transfer those designs to the plant for fabrication?

Carley, Ericson: The design commissions that I get are about 5-10 percent of our work, but they are always fun projects that keep things interesting.  After sketches and perspective drawings are done and approved by the client, I spend time with my drafter to work through shop drawings.  I also take an active role during construction so when I see something during fabrication, I’m able to make changes. My employees don’t get too upset with me since every project has changes, but I’m sure there are a few “designer” comments as there seem to be on every project. 

MW: You said you had a relatively good 2009 – what did you attribute that to?

Carley, Ericson: “Do well” is a relative term.  Our goal for 2009 was to remain profitable and we were fortunate enough to do that.  Having the experience of an economy downturn in 2002-03 and learning from that was very important.  Choosing which projects to fight for and get was important. Bidding on more with the knowledge that there is a much higher loss ratio was important.  We let our customers know we had some available production time to work on projects for them and were able to fill the shop schedule with some smaller projects to fill any production gaps. We were also extra careful to properly assess and bill every extra on projects.   

MW:  Because of the competitive nature of your market, how are you able to attract customers from regions not part of your immediate market area?

Carley, Ericson: We’ve been fortunate to work with ISEC, Inc. a national millwork broker.  ISEC is extremely knowledgeable about high-end architectural millwork. We’ve worked with them for over 15 years, completing at least one major project annually. They only present projects to us that are in our area of expertise. Their screening process assures them of the necessary quality they need for a project and also helps us to be competitive. 

MW: Describe your Wisconsin Capitol project.  Has it provided you with similar project around the country?

Carley, Ericson: The Capitol Administration was involved in each of their areas during the upgrade to the space planning.  They would go to the national conventions and be asked to present on their new and improved facility.  Our name would come up whenever furniture would be involved. The architects also won several state and national awards for renovation and, again, we would be listed as part of the team effort. 

MW: You’re quite automated for a small architectural millwork shop.  What caused you to go in that direction?

Carley, Ericson: The convenience of cutting curves on the CNC router was probably the driving force in the purchase. Once we researched the machine, it was apparent that many other functions could be performed and the Busellato had the variety that covered much of the gamut of what we performed by hand or with other machines. 

MW: What are your major pieces of equipment and how did you cost-justify them?

Carley, Ericson: The major piece of equipment is aBusellato Jet 6000 CNC machining center:  Previously, we had done several large projects and had sub-contracted our router machining. We could see what the cost commitment would be and the growth potential, the hidden factor was the extent of the learning curve.  Difficult to justify at first, now is an indispensible asset. Another piece of equipment is a Kundig veneer sander. We had an old Tanewitz sander and needed to upgrade to something far more sensitive. The Kundig was just being introduced in the country and was higher quality and lower cost than its competition.  I think our machine was the second or third machine in the country. We also have Martin and a Holz-Herr sliding table saws, which were easy to justify.  I’ve elected not to have a horizontal beam saw because we do such a variety of cuts it’s hard to justify the dedicated square feet for the time it would get used.

We also have a Weinig Quatromat mouler - again, very easy to justify.  In the old days, I could calculate that 12 percent of our time was rough lumber, S4S dimensioning. With a straight-line rip and the Quatromat, I can hardly find dimensioning on time cards anymore. 

MW: Are your shop workers cross-trained?  If so, how does that work in terms of manpower utilization?  And, what is your training program for new employees?  Where do you find them?

Carley, Ericson: Pretty much everybody is cross-trained in our shop. We certainly have ‘go-to’ people for special technical tasks, but everybody deals with material handling, machining, edgebanding, sanding, and most assemblies. As far as pattern veneer sequencing, we train mostly by putting newer employees on a team of more knowledgeable employees and let them show what they can do.  When a weakness is exposed, we work with them in that area and give some individual training. My employee turnover rate is extremely low. Generally speaking, my most recent employees have come from our local technical college – MadisonAreaTechnicalCollege, as it has a very good introductory program run by Patrick Molzan. 

MW: Do you practice any sort of lean manufacturing system?

Carley, Ericson: The nature of a custom job shop is a type of lean manufacturing. We purchase materials that are job specific and try to end up with just enough to complete the job. Maximizing yield is always a concern, so we do quite a bit of layout analysis before ordering materials.  Biggest to smallest and optimizing is taught to all employees. The benefit is we don’t have to pay for and store materials that may not get used. 

MW: What is the typical turnaround on an average job? 

Carley, Ericson: Turnaround varies tremendously, as no job is typical. We often bid on work before the building is out of the ground and the woodwork installation is at the end of construction. Sometimes there is a 12-14 month lag between when a project is bid and we commence our work, while other times, a project time line can be as short as six weeks.  

MW: How does 2010 look in terms of business growth?

Carley, Ericson: It should be better than 2009 - we (had) as much work booked as we did in all of 2009 at the first week of January. That’s a good sign. 

MW: What sets you apart from your competitors?

Carley, Ericson: The ability to do very technical and quality – difficult – projects the first time and have the customers and architects happy. There’s no better sales technique than to make customers happy.