CCMCO in the News

Centrifugal Gains Recognition Worldwide
Commerce Folio, November 1998, vol 7 no 3

Perseverance and patience are the secrets of Tom McKee's success in an industry that is in many respects a waiting game.  As owner of the Centrifugal Casting Machine Company, a world leader in manufacturing centrifugal casting equipment and permanent mold technology.  McKee has had to rely on these secrets frequently.

"In any given year, we might export to 20 different countries.  While exporting has been crucial to the bottom line, I've had to learn to be patient, because many times, it takes months for those deals to come to fruition." McKee said.

Most recently, patience has paid off with the winning of an $18 million contract for a water pipe plant in Calan, Romania.

The Romanian project "is a great example of what can happen when many people work together with the same goal in mind."  McKee said, "We drew upon the support of many players, including the city of Tulsa, the Metropolitan Tulsa Chamber of Commerce, the Oklahoma Department of Commerce, the Governor's Office and various lenders."

Centrifugal is the world's oldest and largest manufacturer of centrifugal casting machines, and has completed projects for customers in 65 countries.   Much of the company's success is due to McKee, who saw the opportunity to buy the company in 1980.

"At the time, I thought the company was destined for greater success if product lines were broadened and marketed worldwide." says McKee.   "Fortunately, I was right."

Tom McKee was just the person to make Centrifugal a global competitor.  He had worked for several years at a Sand Springs based company buying and selling casting and forged products.  His goal had always been to own his own company -- and Centrifugal was the perfect fit.

That was 1980 -- back then, the company had only four employees.   Today, Centrifugal is in the process of doubling its 40-person workforce due to the Romania project.  It is one of the milestones that have defined the evolution of this Tulsa firm.

Another aspect of the company that has evolved since McKee's purchase of Centrifugal is the focus on research and development and technology.   "We discovered long ago that it was possible for Centrifugal to develop a niche in this market because only one out of 10 foundries use centrifugal
castings, "McKee said. "It was an opportunity for us to partner with companies who didn't have this capability and needed our expertise." Centrifugal's engineers are able to completely develop a process to suit a customer's individual needs from the initial research stage to machine start-up and personnel training.

"We basically develop different casting or metal fabrication processes that these companies need to develop new product lines. It's a challenge that sometimes entails months of research by our engineers.  On the other hand, it's also very rewarding," McKee said.

Centrifugal's machines can be found in the most unlikely places.   For instance, the company manufactures the majority of bearings on U.S. Naval vessels.  Centrifugal also makes steel mill rolls producing 80 percent of the world's cast alloy steel tube machinery often used in refinery processes.  Centrifugal machinery also produces cast engine liners for automobiles and trucks manufactured by Honda, Toyota, Volvo, and Mercedes.

McKee's modesty regarding the company's success is indicative of his personality. When asked what has led to Centrifugal's rise, he's quick to acknowledge his greatest resource, his wife, and the great people he has working for him.

"I believe in a very active training program within the company." McKee said, "Most of our employees come from the Tulsa area -- if they need additional technological training, we provide it through an excellent vo-tech system.   We offer 100% company reimbursement, which allows our employees to further their education.  I'm fortunate to have talented people on my team."

McKee's confidence in his staff led him to another important decision and plateau for the company.  "When we won the Romania contract, we could have contracted some of the work to other firms.  Instead, I decided to hire additional staff so we could do all the work ourselves.  "That decision means an expanding workforce at Centrifugal and increased business for the company's vendors as well.  McKee estimates the company will be purchasing $5-6 million in parts, services, and equipment from local vendors for the Romania project.

In many respects one might call the foundry industry a waiting game -- it is one, however, that this Tulsa company has learned to play very well.  Tom McKee, along with many of his employees, is reaping the rewards.

 

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