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Aerospace Components Manufacturers, Inc.

P.O. Box 736, 1090 Elm Street Rocky Hill, CT 06067 (860) 513-3205 FAX (860) 529-5001

www.aerospacecomponents.org E-mail: alsamuel@acm-ct.org

The ACM Update & Calendar (and previous issues) are also available for viewing on the ACM website.

Business Development ● The Business Development Team met on September 25th and Team Leader Bruce Fiedorowicz opened the meeting welcoming potential new ACM member David Freeman, President of DMC AMK Welding of South Windsor as our guest. Bruce thanked all attending the meeting noting this was the largest turnout for a monthly meeting in many months. Bruce Fiedorowicz next introduced guest speaker, Pratt & Whitney’s Michael Carrano, Director, NGPF (Next Generation Propulsion Family) Program.

Michael began his presentation of the PurePower PW1000G Geared Turbofan Engine indicating it was “well timed, the right product at the right time” and this was “the most exciting time in his 30 year career at P&W”. He provided a history of this engine’s development, its advantages and an overview of the potential marketplace. The following are comments from the presentation:

-the GTF engine concept has been in development for more than 20 years, but now, the market is ready!

-the GTF family has been formally named the PurePower PW1000G engine with Mitsubishi’s MRJ engine designated PW1200G and Bombardier’s C Series engine designated PW1500G. ANA is the launch customer for the MRJ and Lufthansa for the C Series.

-the targeted airframe markets of single aisle aircraft range from regional jets (e.g., Mitsubishi MRJ) to small mainline aircraft (e.g., Embraer and Bombardier aircraft) to larger aircraft (e.g., replacements for B737 and A319’s) including ~3500 regional (70-95 seat) aircraft and ~7000 small mainline (100-145 seat) aircraft, offering the potential for more than 44,000 engines.

-issues making the market ready for this engine, now, are: global warming and the need to reduce CO2 and NOx emissions, the need to reduce noise at airports and their surrounding communities, and the rising cost of fuel (fuel, twenty years ago, cost only $.50 a gallon).

-Boeing 737 and Airbus A319 production lines are sold out thru CY2016 with little likelihood of change prior to the CY2016-18 timeframe

-the GTF represents a technological ‘step change’ in engine by-pass ratio; 1960’s vintage turbojet engines had 3:1 by-pass ratios, today’s modern turbofan engines exhibit 7-8:1 ratios while the GTF has a 12:1 (or higher) by-pass ratio. Engines are typically designed to drive the fan and low pressure compressor from their low pressure turbine; the GTF, using gear reduction, is designed to operate the fan, low compressor and low turbine stages each at optimal speeds.

-benefits of the GTF: --reduced fuel burn, potentially >12% --50% lower noise levels; the reduced noise footprint around airports shortens takeoff departure patterns (to avoid congested areas) and further reduces fuel burn --weight savings (lowering both aircraft weight and fuel burn), as GTF has fewer stages per module than today’s turbofan engines --reduced exhaust emissions with CO2 reduced by 3600 tons per year per (2 engine) aircraft and NOx emissions cut in half

-benefits of the GTF vs. current turbofans, in terms of operational cost reductions: --Fuel and maintenance costs: 13 – 15% reduction --Noise: 8 – 10% reduction --Emissions: .05 – 1% reduction

-GTF engines are currently being demonstrated with --250 hrs of ground testing having taken place between ’07-‘08 --747SP Flying Test Bed with 43 flight hrs in July ‘08 --A340-600 Flying Test Bed with 75 flight hrs planned beginning in Sept ‘08

In question and answer from Team members, Mike responded: -the business case for re-engining B737 or A319 aircraft is difficult due to complexity and time; likely, time needed to re-engine is a greater period before which Boeing and Airbus will begin to develop new aircraft models. -GTF engine price points are a known and P&W must meet these points for program success. P&W, much more than on past programs, is looking for supplier dialogue to effect cost reductions in engine design. -the GTF engine family will fit under aircraft wings with fewer changes to the aircraft than needed to incorporate open rotor engine designs. -P&W is working closely with PW Canada on this program; the PW Canada’s PW810 engine (for the Cessna Columbus) essentially shares a common core with the PW1200G & PW1500G. ● Misc -A Thermal Spray Coating Symposium takes place in Hartford Oct 15-16; contact BASF’s Peter Ruggiero at (860) 623-9901 x160 for additional information. -Goodrich Landing Gear is looking for suppliers capable of machining Aeromet alloy; contact Goodrich’s Director Supply Chain Mgmt, Rob Hesmondhalgh, at 216-429-4020. ● The next regular Team meeting will be held on Thursday, November 6th at 8:15am at CERC, Rocky Hill. Follow-on emails will confirm this date! Members are also asked to reserve Thursday, October 30th as a potential meeting date with efforts underway to have a guest from Rolls-Royce’s procurement organization address the Team.

Progressive Manufacturing ● ACM’s September 17th technology workshop on “Cutting & Tooling Technology” was held at The RE Morris Co (Windsor) and 21 member firms sent 70 employees to participate. Attendees had the opportunity to hear presentations on the latest innovations relating to metal cutting tooling technology, ask questions and have one-on-one discussions with the presenters. Following introductory comments by ACM President Randy Plis and Progressive Manufacturing Team Leader Nick Lavieri, the speakers addressed a broad range of issues.

Drew Borders, Blaser Swisslube USA discussed metalworking fluids. Drew commented “there is no such thing as a perfect metalworking fluid” and related the cost, environmental, engineering, maintenance and operator acceptance issues of the most common fluid blends. Terry Carrington of Iscar Metals Inc. offered the key technologies embodied in Iscar’s cutting tools. Kennemetal’s Steve Archambault provided an outstanding and detailed presentation on the relationship of tool material and tool geometry on cutting behavior. Steve was followed by another Kennametal presenter, John Reardon, who addressed the effect of chip thickness on cutting tool life. Chris Mills of Sandvik Coromant presented turning of aerospace materials and Sandvik’s Jim Grimes reviewed modular tooling and the effect of high pressure coolant systems.

This was the third technology workshop sponsored by ACM. The topics of these workshops had been selected as a result of feedback from our members. As Nick Lavieri indicated, we need your feedback regarding your specific technology interests and reminded the monthly Team meeting had been expanded beyond Lean Manufacturing alone to include technology and quality related issues.

Drew Borders, Blaser Swisslube USA

Terry Carrington, ISCAR

Chris Mills, Sandvik Coromant

Jim Grimes, Sandvik Coromant

John Reardon, Kennametal

Steve Archambault, Kennametal

Please contact the ACM Office, alsamuel@acm-ct.org, or Nick Lavieri, nicklavieri-kam@kaman.com, to offer your inputs; better yet, please attend the Team meetings to address your interests for future meeting and workshop topics. At the time of this Newsletter’s publication, workshop presentations had not yet formally released by the presenters; when available, their presentations will be included in ACM’s website library. ACM expresses its thanks to Connstep’s Jack Crane who organized this workshop and to Craig Cottrell and his staff at RE Morris for assisting Jack and generously hosting this and our previous technology sessions. ● ACM’s October 7th “Policy Deployment Seminar” facilitated by David Stec has been completely filled. Thank you for your response to this program; those unable to attend are asked to contact the ACM Office regarding your interest in scheduling a similar half day seminar in the coming months.

Workforce Development ● The WorkForce Development Team met at EDAC Technologies, Farmington on September 4th. Attendees addressed a number of current actions taking place in support of our efforts in developing the future manufacturing workforce. Team Leader Judy Boyle, Stowe Machine, and Gary Zweifel, Delta Industries, represented ACM and their firms at a recent ‘school year kickoff’ event at Asnuntuck Community College. Asnuntuck has become the main players in preparing employees for a future in manufacturing; approx 70 students were reported enrolled in their Technology Program. Judy and Gary spoke with these students and offered them a glimpse of what local manufacturing firms are seeking in terms of technical and personal requirements. The Team also discussed other programs at Asnuntuck including the “intern/scholarship” program being supported by a number of ACM firms. Paul Murphy, an advisory Board member at Asnuntuck, offered to carry ACM’s thoughts to this Board regarding the importance of their program and Asnuntuck’s need to assure it continues and expands during the coming years.

A Message from Jim Womack of the Lean Enterprise Institute commenting on

“Manage the Contract or Improve the Value Stream?” As much as I would like to, I can't walk frequently along every type of value stream. As a result, it has been a while since I've walked along the complex value streams shared by customer firms and their suppliers. So when several firms recently offered a chance to take multi-organization walks -- from the point of customer use back to the beginning of supplier manufacture -- I was delighted to put on my walking shoes and stride along with teams from the customer and supplier organizations.

As I walked I was quickly reminded of how easy it is for all of us to focus on formal measures of value-stream performance as written in contracts: Defects delivered to customers per million opportunities. Price per piece, often without reference to what is happening either to customer volumes or upstream materials costs. Delivery performance, often to a Material Requirements Planning (MRP) schedule that has little relation to actual customer needs at the point of use. These indicators can be useful but they measure results after the fact, when mistakes have already been made. More important, they say nothing about causes of problems or how to eliminate them.

--continued on Page 7--

Michael Polo and Allen Samuel briefed Team members on a new Federal Grant awarded to the Connecticut Community College system who have partnered with CCAT to conduct its tasks. Known as the SMART (Skills for Manufacturing and Related Technologies) Initiative, this grant is broadly directed towards helping manufacturers train the workforce of the future; Michael and Allen sit on the Advisory Board for this program. Under this grant, all twelve of Connecticut’s community colleges will incorporate a “pre-manufacturing curriculum” which will include basic blueprint reading and core math. Additionally, five colleges will develop a Level 1 manufacturing program and three colleges an advanced Level 2 program to include GD&T, CNC, Q/C and SPC courses. Asnuntuck will lead this effort with its ongoing Level 2 program. Judy Resnick of CBIA attended the Team meeting to update on the progress of their Federal Grant directed toward building capacity for manufacturing education in Connecticut’s community colleges. Over the past two years, this grant has developed curriculum, trained instructors and implemented pilot classes for certificate programs in Lean Manufacturing and Supply Chain Management. The pilot classes have taken place at Quinebaug Valley, Asnuntuck and Manchester Community Colleges; Northwest CC will begin theirs shortly. More importantly, the Community College system has now formally accredited these programs towards degrees. The grant also offers manufacturing technology and CNC simulation instruction to community college students and local workers via two web based resources, Tooling U and Oxygen Education. In addition to advising on program content, feedback from participants has affected the business model of these providers who are now making their subscriptions more suitable for the participating firms. Judy advised seats are available for ACM members for both of these web based services at no cost while grant funding remains available. For information, please contact CBIA’s Judy Resnick, 860-244-1937, or Nancy Castonguay, 860-244-1932. In addition to addressing our future workforce needs, the Team discussed the current and planned ACM training program which offers instruction at our member’s facilities. Please advise Al Samuel at the ACM Office (alsamuel@acm-ct.org or 860-513-3205) of your training needs or to answer questions. Our Fall schedule has begun and ACM would be pleased to schedule additional sections of courses to meet your needs. The following are the ongoing and scheduled classes. ● The next meeting of the WorkForce Development Team will take place on Tuesday, October 21st at 8:00am at Adchem Mfg Technologies, Manchester.

Course Date (Start)

No. of Days

Date(End)

Host Company or Location

Participants Provider Company Instructor No. of Attendees

First Line SupervisorsDevelopment

9/11/2008 12 12/18/2008 TECT TECT Quality LeadershipNetwork

Mike Schulde 6

A-1 Machine 19/12/2008 12 12/19/2008 TECT Sterling Machine Quality Leadership Mike Schulde 3

BASF 3Delta Industries 2CT Tool 3Stowe Machine 1Adchem 2A-1 Machine 6

BluePrint Reading 9/24/2008 10 11/26/2008 Howmet Howmet Asnuntuck CC Peter Stanton 16GD&T 9/30/2008 10 12/9/2008 Aero Gear Aero Gear Asnuntuck CC Bob Vaida 7

Whitcraft 1Sterling Machine 2BASF 1Kamatics 1

10/14/2008 8 12/8/2008 Barnes Windsor Div Barnes Asnuntuck CC Stan Kochanek 15Kamatics 5SPX 2BASF 2

BluePrint Reading 10/21/2008 10 12/23/2008 CT Tool CT Tool Asnuntuck CC Peter Stanton 7EDAC 1Kamatics 6

Shop Math Level II 1/14/2009 15 4/22/2009 CT Tool Asnuntuck CC Dave Pascal

First Line SupervisorsDevelopment

Metallurgy - Ferrous & Aerospace Alloy

Consolidated Purchasing ● ACM’s Consolidated Purchasing Team met on September 10th at Aerodyne Alloys, South Windsor. Eckart & Finard (Hartford), who recently joined ACM, were represented by their President, Richard Jones, and Bryan Kismer who provided the Team with an overview of their business. E&F is a fastener distributor specializing in bringing products directly to their customer’s point of use, just in time, using a flexible, traceable kanban pull system. For additional information, please note the contact information, right. ACM completed the seventh contract year (at the end of August) of our sales agreement with Turtle & Hughes, closing with the highest annual dollar volume amount to date. Members participating in this agreement receive rebates proportional to their share of annual sales in addition to both direct and indirect cost savings. T&H’s entire catalog of products, ranging from cutting tools and materials to shop MRO supplies, etc, etc, are included in this program. For additional information or to set up an appointment, please contact T&H’s program manager, Dave Howard, at 203-497-1555. And, thank you to the many long term member firms who participate in this program. The Team also conducted its round table discussion of current procurement related issues. Everyone reported business as stable and prices and lead times significantly lower for nickel based materials. Metals Testing advised of their second facility expansion over the past three years, providing them additional space for ultrasonic testing. Stowe Machine reported incorporated a new operating system matching them more closely with Ladish, their parent company. ● The next meeting of ACM Consolidated Purchasing Team will take place on Thursday, October 23rd at 8:00am at Barnes Aerospace Windsor Division, Windsor. ● Suppliers having Agreements with ACM are:

Supplier: Key Contact: Telephone: Shop Supplies, Abrasives, Cutting Tools, etc

Turtle & Hughes Mike Kelly Dave Howard

203-497-1529203-497-1555

Raw Materials: Nickel, Cobalt, Titanium – Sheet, Plate & Bar Stock

Aerodyne Alloys Kirk Smallidge 860-508-1271

News from ACM Members

Please forward significant company news and announcements to Allen Samuel at alsamuel@acm-ct.org for posting on the ACM website and publication in the UPDATE.

“Manage the Contract or Improve the Value Stream?” --continued from Page 4--

As I walked I was also reminded how hard it is for customer purchasing organizations and the supplier sales organizations they usually interact with to talk in specifics about their shared value-creation process and the root causes of problems, ideally before they occur. In the current time of gyrating customer volumes and raw materials costs for suppliers, the result is often a zero-sum ritual of customers making threats (based on penalty clauses in contracts) and suppliers making promises to do better (based at most on a hope and a prayer.)

It is actually all shadow boxing because without careful attention to the shared design and production processes, little improvement in performance is possible. In the short term, the customers have nowhere else to go and the suppliers can't do any better. So both sides get the satisfaction of some cathartic mud wrestling while nothing actually changes.

How can we all do better? Well, first, we can't instantly. The short-term future is determined by decisions made long ago. So contracts with their penalty clauses rule. But we can do better in the intermediate and long term if we shift our focus from wrangling over contracts (reflecting arms-length, abstract legal relationships) to managing shared value streams by jointly observing the actual supply process.

To do this the customer needs to take the first step. Taiichi Ohno at Toyota is said to have said, "The shop floor is a reflection of management". (And if he didn't say this, he should have!) Let me add a corollary: The supply base and the performance of value streams shared with suppliers are a clear reflection of the customer's purchasing management. A brilliant supply base with superior prices, quality, delivery, flexibility, and product performance doesn't happen magically. And it can't be bought off the shelf instantly by visiting some virtual "supplier supermarket." It is created over time by a brilliant purchasing organization. Indeed, creating a brilliant supply base is the real (and only?) value created by purchasing.

So how do we begin the transition from managing contracts to improving value streams? First, the customer needs a "plan for every supplier", just as Toyota has a plan for every part, every machine, every employee, and ... every supplier. This means determining the right suppliers to work with over the long term and then understanding the current state of every supplier's design and production process for the items supplied.

Many years ago, when I first visited Toyota in Japan, I had dinner with the purchasing director and asked how he could be sure that Toyota was getting good performance from its suppliers when only two suppliers were employed for a given category of need and when Toyota relied on target pricing rather than supplier bids. "How," I asked, "do you know you aren't getting ripped off?" After an incredulous look, he answered, "Because I know everything -- every aspect of every value-creating process -- running from raw materials at suppliers through Toyota's operations. That's my job."

In practice, this means continually determining the performance gap between what the supplier's value stream is capable of delivering and what the customer needs. Then it requires a future-state plan explaining who will do what when - both at the customer and at the supplier -- to achieve a future-state value stream adequate to the customer's current and future needs.

But creating a lean supply stream also means that purchasing needs to look inward for a bit of organizational hansei (critical self-reflection) inside its own company walls. Why are schedules from production control so erratic and inaccurate? Why aren't orders to suppliers leveled? Why are the logistics to get items from suppliers to the point of use so loosely managed? Why are design requirements for supplied items frozen so late in the development process? Why is the customer's production process so poorly designed and in need of immediate kaizen after launch, upsetting the production process at the supplier (whose process is also poorly designed, in part due to the lack of customer attention)?

The typical reaction of purchasing organizations when I make these points is to say, "Wait a minute. We just obtain needed items from available suppliers and bargain hard to get good terms in contracts --

continued on Page 8--

“Manage the Contract or Improve the Value Stream?” --continued from Page 7--

that we can enforce. We have no mandate to look downstream into our organization or upstream into what suppliers actually do in their value streams to meet our needs. And we certainly can't afford to build long-term, stable relationships with suppliers as markets continually gyrate." And I respond, "Well fine. But you will always have a lousy supply base with poor performance and you will spend your time chasing parts."

So it's really a matter of what purchasing organizations think they should do and what they think they can do. Perhaps you remember Henry Ford's aphorism that you can think you can or you can think you can't and you will be right. But please forget that Henry actually thought he couldn't create a brilliant purchasing process and therefore vertically integrated instead!

In today's world we know that vertical integration won't work. De-integration is here to stay and for most organizations purchased items account for half or more of their total costs plus a large fraction of their quality, delivery, and responsiveness problems. So we all need to think that purchasing organizations can create and sustain brilliant supply bases.

Doing this will take time and upfront investment but the cost of not acting is far greater over time. So wherever you are in your organization and whatever your organization's current relation to its suppliers, I hope you will lend a hand to help with the critical transformation to lean supply.

Best regards, James P. Womack, Founder and Chairman, The Lean Enterprise Institute

ACM Golf Outing

ACM held its Sixth Golf Outing at the beautiful Suffield Country Club on September 8th in which 72 members and guests, representing 21 ACM firms, had a great day. Course conditions were excellent (just after Tropical Storm Gustav), food was wonderful and the hospitality of Stan McLennan, Suffield’s resident pro, and his staff was outstanding -- as usual!! Our thanks to all who attended, to those who contributed prizes for the dinner raffle and to our Golf Committee, Kirk Smallidge, Bruce Fiedorowicz, John McCarroll and Bill Evans III for their efforts in making the day successful. Everyone agreed this was one of the year’s top ten days for the weather….so, special thanks to Kirk Smallidge who is always tasked with the responsibility for the weather!

Please mark your calendar – next year’s golf outing will be held at the Suffield Country Club on Monday, September 14th.

Suffield Country Club pro, Stan McLennan announces winners

during dinner

Kirk Smallidge acknowledges his responsibility for the

spectacular weather!

The Winners!!

FIRST PLACE – NET SCORE (l to r) John Delaney, Paul

Thornton, Mike Popkowsky &

Steve Hurley, Stowe Machine

FIRST PLACE – GROSS SCORE (l to r) Kevin Leahy, Bob Hollister,

Chris DiPentima & Todd DiPentima (missing)

Pegasus Mfg.

PUTTING CONTEST Mike Popkowsky, Stowe Machine

(l to r), Howard Orr, KTI, Bob French, Aero Gear, Ron Letendre, KTI & Joe Whitehead, Aero Gear

(l to r), Joakim Andersson, Volvo Aero, Tim Ulles, Bruce Fiedorowicz, Barnes Windsor

& Rick Hebert, P&W

(l to r), Phil Coscore, Pat Sullivan, John Martin, Kamatics, & John Rush, Aero Gear

(l to r), Kirk Smallidge, Aerodyne, Paul Foley, B&E Tool, Deb Gould, Whitcraft

& Greg Chase, Aerodyne Alloys

(l to r), Steve Hurley, John Delaney, Mike Popkowski & Paul Thornton, Stowe Machine

(l to r), Tom Nessing, Tim Manning, Bill Evans III & Gary Natale, Delta Industries

(l to r), Mike Landry, Joe Frattaroli, David Plis & Brian Montanari, Habco

(l to r), David Reynolds, Guerry Dotson, Marc Froning, BASF & Paul Murphy

(l to r), Paul Rogers, Lou Melluzzo, David Baum & Bob Grant, EDAC

(l to r), Randy Plis, MTC, Jack Lukasik, Satellite Tool, Bob Delisle & Tony Bruno, MTC

(l to r), Tom Cardone, Brad Belcher, Walt LaPointe & Norm Barnes, Birken Mfg

(l to r), Scott Summers, Craig Ramino, Ron Felix & Jeff Hughes, SPX Precision

(l to r), Ed Becker, Delta, Dan Blair & Roger Fabian, Bodycote

(l to r), Chris Crandall, Kamatics, John McCarroll, Ed Smith, Kamatics

& Bill Matusz, Bechert Bros.

(l to r), Steve Tower, Bob Castonguay, Doug Devnew & Matt Prou, Trumpf

(l to r), Doug Rose, Aero Gear, Glen Gauvin, Kamatics, Chris Lavieri & Ed Parsons, Sterling Engr.

(l to r), Don Ruggiero, Delta, Don Trudeau, Norm Rodrigue, P&W & Frank Giallanza, Delta

(l to r), Kevin Leahy, Chris DiPentima, Bob Hollister & Todd DiPentima, Pegasus Mfg.