FOR BLENKER BUILDING SYSTEMS,TECHNOLOGY HELPS DELIVERTHE AMERICAN DREAM

CASE STUDY

Blenker Ingeniously Integrates 3D CAD Virtual Design and Digital Pre-Assembly To Pro� table Component Manufacturing Systems

Blenker Building Systems has � ourished in thebuilding downturn, and co-owner / president JasonBlenker, who dramatically expanded the operationpassed on to him from his parents, has shown an uncanny business sense and real guts in the innovative marketing, fabrication, and delivery of components systems, including roof trusses, wall-panels, � oor trusses, and even whole-house kits.

Since overhauling the business in 2009, with fully integrated CAD systems for his sales and component-manufacturing operations, Jason and his 56 employees operate a thriving business (with expansive, six-state coverage) out of a 36-acre facility in Amherst, WI. They have 120,000 square feet under-roof; six trucks roar in and out of Blenker’s shop, racing to ful� ll orders – many for trusses and building components speci� cally con� gured for builders of custom and semi-custom

homes – as Blenker Building Systems does their part to help build nothing short of the American Dream.

Blenker Building Systems’ Wisconsin facility is powered by a state-of-the-art, digitally integrated design / assembly operation. With that capability, Blenker’s team pro� tably delivers a stunning array of structural and building systems to an equally impressive geographic area, including all of Wisconsin, Michigan’s “U.P.,” Iowa, Illinois, Minnesota, North Dakota, and South Dakota. Jason Blenker – who has been in the building and building material supply business all his life – is indeed, a man on a mission, with lots on his mind. Yet you may be surprised to learn that he’s not preoccupied with putting out � res. While other component manufacturers and builders may be shrinking their operations or playing “defensive” until there’s a housing turnaround, Jason Blenker is busy thinking about and focusing on even more pro� table growth.

Executive Summary:Blenker Building Systems Pro� tably Integrates 3D CAD and Digital Pre-Assembly

• Powered by MiTek® SAPPHIRE™ software, Blenker Building Systems delivers a stunning array of structural and building systems to an equally impressive geographic area.

• Blenker’s Envision. Home at Last® program offers pre-priced, whole-house solutions, which are constructed through a 3D CAD-based, virtual-home-design process.

• To manufacture the components and assemble these homes pro� tably, all of Blenker’s CAD design work is fully integrated into SAPPHIRE™ Structure software, so it � ows freely from the buyers’ imagination to the cutting-and-assembly processes that fabricate the roof trusses, � oor trusses, and wall panels for each home.

• In 2011, Blenker built houses and components equivalent to 400 starts (each 1,600 square feet) or around 1,000,000 square feet of � nished space.

• The Company’s entire waste disposal bill last year was just $486.

• Blenker: “We have leveraged digital pre-building and 3D walk-through technology, which is linked directly and seamlessly to our manufacturing.”

SAPPHIRE™ Leads Way To Pro� table Growth

Pro� table growth in home building? In the midst of the Great Recession? Yes, and that growth is possible, in large part, because Blenker has automated their processes in a sweeping adoption of SAPPHIRE™ Structure, a design-and-collaboration suite from MiTek, North America’s leading component manufacturer supplier. In 2004, Blenker selected MiTek as his technology partner only after a national search of competing component manufacturing solutions, visits to 30 other truss facilities, and dozens of lengthy interviews with builders, architecture � rms, homeowners, and other component manufacturers.

“Visit Blenker’s facility today and you will see lumber riding on special rails to cutting stations, where lengths are cut to tight tolerances by MiTek’s CAD-driven saw systems. Components like the ones above � t together in the � eld as well as they � t together in the 3D CAD and BIM models.”

The lumber and connector plates are assembled into trusses, � oor systems, and wall panels at multiple assembly stations, before being trucked out. In addition to � oor, roof, and panels systems, Blenker also � nds time to market and manufacture (through showrooms and via allied builders and developers) top-quality doors, windows, trim, millwork, siding, roo� ng products, hardware and cabinetry. And talk about material operational ef� ciency! Blenker runs such a tight, clean shop that their entire waste disposal bill last year was $486, and Jason said that fee was mostly for hauling away the shrink wrapping that he couldn’t otherwise recycle.

A $486 waste bill for the entire year. That’s not a typo.

“We actually have two product lines,” Blenker explained recently in a call from his truck, where he was setting up a home expo for an Iowa fair. “Through our brand Envision. Home at Last...®, our company offers pre-priced, whole-house solutions, which are constructed through a 3D CAD-based, virtual-home-design process. Certi� ed professionals assemble the homes in the � eld once we manufacture the components in our shop. We use the leading green-building construction practices, and one of our goals, which I believe we have achieved, is to make the home-building experience fun and enjoyable. To build and assemble these homes as pro� tably as we can, all the CAD design work is fully integrated into MiTek’s SAPPHIRE™ Structure software, so it � ows freely from the buyer’s imagination to the cutting-and-assembly processes.

Two Product Lines: Houses and Components

SAPPHIRE™ Structure software is able to precisely model every structure on a highly engineered basis. Customization of the structure is rules-based and changes or additions can be made up until the minute of component fabrication. “We have leveraged digital pre-building and 3D walk-through technology, which is linked directly and seamlessly to our manufacturing,” said Jason Blenker.

For software, in addition to running MiTek’s SAPPHIRE™ Structure, Blenker also runs Envisioneer, by CADSoft for their home-design operations. Envisioneer exports MXF � les that can be imported without any further translation by SAPPHIRE™ Structure.

“We carefully selected software that integrates the home design and component manufacturing ends of our business,” Blenker explains, “and it’s all in service of one goal. To explain that goal, let me � rst re-quote something I once heard from the founder of Domino’s Pizza, Tom Monaghan. He said he was not in the pizza business, because let’s face it, lots of people can make good pizza. He said he was in the on-time pizza delivery business. What’s that have to do with trusses and component systems? Well, candidly trusses are a commodity business, and it’s virtually impossible to tell them apart once they are in the � eld. So, it’s the extras that we wrap around our component manufacturing processes that position Blenker above the pack. We are not just

Blenker By The Numbers

another truss shop, because we enhance both the home-builder and home-buyer experience. We deliver 3D digital design and walk-through capabilities that most homeowners would never see in their lifetimes, unless they worked for a high-end architectural � rm. With that technology in support of our builders, we really are allowing people to design a dream in a 3D model, walk through it, and adjust it to their liking. We then pre-build that structure digitally to work out problems before we make the components. That’s what MiTek calls Buildabilty™. The next thing you know, that person’s dream home, just as he or she envisioned it, gets delivered and assembled on their lot, with a predictable cost and � rm delivery date. Think just any truss maker can do that? No, they can’t.”

“In 2011, Blenker built houses and components equivalent to 400 starts, or the gross equivalent of around one million square feet of � nished space. Not bad, working from nearly a cold start just seven years earlier.” “With all we have going on, I should point out that we attribute some of our success to the fact that we are not just in the truss and home-building business. We also do an enormous amount of market development. Blenker exhibits at state fairs, home shows, and other events. We have a plan selection service on our websites. So we really are acting as an extension of the builder’s sales agents, even though the builders may not even know of us. If I get a live lead from a home show and walk into a builder’s of� ce who I want to win as a new customer, and I offer him a sale if he builds with our systems, 10 out of 10 times, I’m going to win that new business,” Blenker explains.

Blenker Building Systems’ CAD design work is fully integrated into SAPPHIRE™ Structure software, so it � ows freely from the buyers’ imagination to a 3D BIM image, above, that shows how the code-compliant structure should be assembled.

System custom builds to the speci� cations of the individual builder with the option to provide your own plans or use their in-house designers. They also supply top quality doors, windows, trim, millwork, siding, roo� ng products, hardware and cabinetry all at one place.

How it works. Once your plan has been � nalized and engineered to meet all the building codes, production begins. After production, the component package is then loaded and trucked to your job site. It can then be erected by your crew (minimum crew size is four) or by Blenker’s experienced erection crew. A crane is even available to assist in the erection process.

“I had a fellow come to us recently who was ready to go out of business, lost his suppliers, had health problems in his family, and was ready to retire from the home building business. Our ability to turn-key so many areas of his operations – including lead generation – revitalized his business and his sense of purpose in life,” Jason Blenker explained.

Open the door to Blenker Building Systems’ truss, � oor system, and wall panel facility in Amherst, Wisconsin, and you’re greeted with lumber riding on rails en route to a computer-orchestrated cutting station...and tiered sorting carts carrying � nished parts to assembly stations where roof trusses, � oor systems and wall panels come to life. This is what they specialize in… manufactured components with complete design and engineering of trusses, � oor systems and wall panels. Panels are constructed in a controlled environment using state-of-the-art equipment so you can assure you’re getting a straight more precisely built product. Blenker Building

About Blenker Building Systems

Assembling the framing kit: After truss and panel fabrication, the component package is trucked to the job site, where it is assembled by a local crew or by Blenker’s experienced team. Since the structure is highly engineered off-site, low-cost labor can be used for assembly.

Once the home’s BIM model has been run through SAPPHIRE™ Structure’s engineering, error check, and code-compliance review, MiTek’s software drives the saws at the cutting-and-assembly stage, so roof trusses, � oor trusses, and wall panels for each home are custom fabricated at production speeds.

Advantages.

• Save time. Shorter start-to-� nish construction cycle time. A weather- tight panelized shell can be � nished in days, as opposed to weeks.

• Build green. All plans are fully engineered before the � rst board is cut, eliminating waste typically found on most construction sites. Cut-offs and short lengths are recycled.

• Quality products. Panels are constructed in a controlled environment using state- of-the-art equipment resulting in more precisely built trusses, � oor systems and wall panels.

• Increase pro� ts. Panelization allows you to build more homes year round without having to hire more crews, which results in less overhead, insurance and expenses.

• More ef� cient. Order all your building material at one place eliminating paperwork and hassles. More info: www.blenkerco.com

About Envision. Home at Last...® is centered upon helping home owners to build the custom home of their dreams. Through a time-tested and proven approach to building homes, we offer unmatched value in 3-dimensional virtual home design, industry-leading “green” building construction practices, and top-quality building products which provide customers with a fun and enjoyable home-building experience. We service Wisconsin, Illinois, Iowa, Michigan, Minnesota and surrounding areas through an exclusive dealer network. Come visit our local showrooms where we can help you turn your dreams into that reality you have been waiting for. Whether it is a house in town, a cabin on the lake, your retirement home, or your investment property, we can assist you in the home building process from the beginning.

Blenker’s Envision. Home at Last® program offers pre-priced, whole-house solutions, which are constructed with components designed and manufacturer using MiTek’s SAPPHIRE™ Structure. The accuracy of the manufacturing and framing is unrivaled anywhere in the world.

More info: www.envisionhomeatlast.com

SAPPHIRE™ Structure can help limit time-above-plate for your crews, lowering insurance costs… and cut framing labor costs, sometimes as much as in half.

About Envision. Home at Last...

Available to component manufacturers, SAPPHIRE™ Structure allows its users to create 3D models to collaboratively manage the design-and-estimating processes and help create buildable homes with predictable costs. With the help of SAPPHIRE™ Structure’s 3D model, builders can design, estimate, optimize, and build a structure, while improving cycle time, ef� ciency, and the bottom line. SAPPHIRE™ Structure integrates with Blackpoint through the accurate and ef� cient MiTek eXchange File (MXF). MiTek is a Berkshire Hathaway Company (NYSE: BRK-A). Learn more: www.MiTek-US.com.

Since MiTek and USP Structural Connectors are the same company now, MiTek’s SAPPHIRE™ Suite offers a software solution, called SAPPHIRE™ Supply, which can help specify connectors (like this hurricane tie, above) anywhere in the structure from the foundation to the ridgeline.

About MiTek’s SAPPHIRE™ Structure

• Predictable “should costs”

• Customization with speed and precision through a single, shared BIM

• Higher margins through precise structural framing in collaboration with a prefabricated component manufacturer

• Accurate BOMs and version-control management

• Optimized, code-compliant structures

• More Labor-ef� cient structures

Summary of Key Bene� ts