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Client Results.

NISSAN MOTOR CO.

Dramatic Business Turnaround
This successful car manufacturer achieved company-wide improvements in morale, productivity, and profitability through a customized training program based on Situational Leadership II.

 

Milltronics Manufacturing Company

The Challenge: To create a customer focus while integrating cross functional and cross geographic priorities and improving internal communication and accountability.

The Solution: To solidify the mission and values of the company while shoring up internal leadership and teambuilding skills.

The Results: Vision, values, and a strategic focus for the future were clarified, collaboration and communication dramatically improved, and cycle time has been reduced 50%. In addition, the organization is finding that it attracts increasingly skilled employees to lead it into the future.

Process measurement and control is a 40 billion dollar industry worldwide. Milltronics is one of the leading manufacturers of level-measurement instrumentation that measures industrial liquids and solids. Its market niches include cement, mining, food and beverage, and water and waste water. Headquartered in Peterborough, Canada, Milltronics has fourteen worldwide locations and a strong distribution network with distributors in 52 countries.

Eighty percent of Milltronics’ business is ultrasonic level measurement, which uses instruments to read measurement levels, density, and temperature. The company has a very strong edge and presence in the industry. Twenty percent of Milltronics’ business is process protection and dry solids flow measurement, which is used in the mining and auto industries.

Although Milltronics is not yet a household name, Ontario’s Chamber of Commerce named it one of the top five businesses. The global leader in ultrasonics, Milltronics had an annual growth of 16.5% over the last 10 years, reaching nearly 111 million dollars with 90% of it sales outside Canada. In addition, Milltronics’ products are number one or two in the portfolios of some of its international distributors.

Several years ago Milltronics implemented what it describes as a strategic “revectoring” in order to take the company forward in the process measurement industry. There were a few limitations in ultrasonic technology, in that it didn’t measure chemical levels. However, microwave and capacitance technology did not have these same limitations. With the decision to add microwave and capacitance technology, Milltronics could address 95% of the level measurement business by focusing on three separate product lines— ultrasonics, microwave, and capacitance. The challenge was to employ ultrasonics and computer technology for new measurement instruments that would dominate the world market.

Milltronics had a solid financial position, high-caliber employees and stakeholders, was a recognized developer of high-quality products, and had the reputation of going into a situation and solving the problem when no one else could get it right. However, in spite of its strong and positive image, Milltronics had a few concerns.

  • Internal competition and competing priorities
  • A focus on technology and geography rather than the customer
  • Poor cross-functional and geographic integration
  • Lack of adequate training resources
  • Poor internal communication between offices
  • A broadly defined vision
  • Low levels of accountability

Process/Solution

With these factors in mind, Milltronics embarked on a long-term journey toward a team-based, process-driven organization for the future. Partnering with The Ken Blanchard Companies®, Milltronics incorporated Situational Leadership® II and Building High Performing Teams® training processes into the company, and identified five strategic areas on which to focus.

  1. Product Leadership—Milltronics wanted to maintain its reputation as producers of innovative products.
  2. Operational Excellence—Several factors needed to be in place for success: Supplier excellence, Product quality, Customer service, Total cost productivity, Cycle time performance, Safety, and Employee satisfaction
  3. Total Customer Satisfaction
  4. Distribution Leadership
  5. People and Organizational Excellence

Prior to training, a revised vision for the company was created—To be the world’s number-one level instrumentation supplier. Next, Milltronics identified its mission: To be the supplier with whom external and internal customers enjoy doing business, and to provide innovative products and services that are the best value available.

Blanchard helped Milltronics reinforce and implement the following set of values or principles for the company:

  1. Customers—Provide superior product and service.
  2. Employees—Create an environment that encourages teamwork and trust.
  3. Shareholders—Sustain growth and results.
  4. Behavior—Foster the highest level of integrity and ethical practice.
  5. Quality—Strive for continuous improvement.
  6. Social Responsibility—Respect the laws, regulations, and cultural norms and activities of the communities in which Milltronics does business.

Milltronics’ Quest for Excellence program (Q4E), which is the name of the company’s total quality journey, had a goal—To become a team-based, process-driven organization committed to total customer satisfaction through continuous process improvement.

In a team-based organization, synergy is gained from bridging geographical locations. There is a common focus and vision externally, toward customers, and internally, between employees. Decisions are made collectively, as well as individually.

A process-driven philosophy complements a teambased organization and gives employees a systems view of the business—how elements affect one another. It also drives priorities, improvements, and new product development. There is crossfunctional synergy, which encourages contributions from different disciplines.

Leaders at Milltronics realized that the quest for quality needed to start at the executive level. That’s why the president started the process and why the executive team is held accountable for communicating and modeling the values or principles to the rest of the company.

Outcome

Over the last two years, Milltronics has navigated its journey successfully.

  • The executive team is strong and positioned to lead the journey.
  • Employees at all levels are committed to the success of the company.
  • Senior management is committed to creating strong teams and empowering employees.
  • The strategic focus is clearly defined and understood companywide.
  • The CEO is universally respected.
  • The competition respects Milltronics.
  • There is a commitment to employee training and development.
  • There is an overall commitment to both the internal and external customer.
  • Organizational development is viewed as a competitive advantage.
  • Worldwide recruiting is attracting superior employees who possess not only the technical skills, but also the desire to be a part of a team-driven organization.
  • Collaboration is used to resolve conflict.
  • Individuals and teams are accountable for performance.
  • Global vision, values, and strategies are aligned.
  • There are disciplined quality tools and processes.
  • Communication has increased.
  • Cycle time has reduced—The time between meeting with the customer to solving the problem has decreased by 50%.

At Milltronics, employees are considered important and treated with respect. As CEO Dave Bignell states:

“If I had to identify one element of our business that had to be successful, it would be the people at Milltronics. All our employees are absolutely an essential part of corporate growth. Investing in them in terms of training, tools, and authority is the source of all our business improvement. I would recommend this to any company struggling in today’s knowledge-based, business environment. In return, you will receive quality, loyalty, and an opportunity to enjoy growth in the world market. People, productivity, and profitability are all on the same road.”