After 27 years of editing Industrial Laser Solutions, it was inevitable that I would make a significant error, since one of magnitude had never been made previously. I should qualify that — once we published an issue with the cover image upside down. This was never noticed by readers, perhaps because the subject was five-axis laser cutting and the photo looked like it could be a multi-axis machine.
The error I refer to was in a News item posted on the ILS home page, referencing exhibitor comments about the upcoming trade show LaserTech India 2011. Inadvertently, by my mistake, their comments were attributed to another trade show, Laser India 2011, which will be held a few weeks later. Complicating this was the fact that ILS is a media partner of this trade show; ironically, the original News posting was done because ILS supports all events that promote the industrial laser technology, regardless of affiliations.
The error might have been noticed by one of our staff and corrected if it had not been for two mitigating factors. First, our offices were powerless, as was most of our geographic region from the effects of the powerful hurricane Irene. Secondly, the timing of a potential error notice was poor because our offices were closed for the long holiday weekend, and our staff was widely scattered, enjoying the last holiday before schools reopened.
Thus the error was called to my attention by e-mails from the principals of the two trade shows, an unfortunate situation because affected parties seek immediate relief. To make matters worse, the battery in my laptop gave out while I was driving around in my car to find some free Wi-Fi, so I was unable to respond to the e-mails until power was restored at the time our offices were closed.
With some assistance from an obliging company IT person on his holiday, a short corrective News notice was posted followed by a corrected rewording of the first notice that was intended to set the record straight. The offended parties were generally understanding about the unintended error and mostly mollified by my suggestions for ongoing corrective actions.
The object lesson for this embarrassing imbroglio: check and recheck your facts, just like the saying, "measure twice and cut once". Also, have a plan for quick response after catastrophes strike.
Wednesday, September 7, 2011
Monday, August 8, 2011
The glass is still half full
As this is being written, turmoil in the global markets caused by a downgrading of the US credit rating by Standard & Poor’s has Wall Street and other financial centers in a panic. Our befuddled leadership in Washington is busy pointing fingers of guilt at each other or chortling as the political fallout may likely fulfill their wish for a one-term presidency. Meanwhile, the elected representatives have taken a five-week hiatus while Rome burns, except for the Republican presidential hopefuls who are being fed so much fodder by a summer-bored media that they are falling all over each other competing for one last vote in Iowa.
Lost in all this is the impetus of the President's bullish stance on revitalizing the health of the manufacturing industry. It was just another mouthful of words that rings hollow as it is now obvious he doesn’t have the political wherewithal to move anything through a divided Congress that senses blood.
This, the 100th in this series of blogs, was originally planned to be a celebration of the good news emanating from the major public corporations that have just reported their latest quarter financials and the powerful news from industry leader TRUMPF whose 2010/11 preliminary figures were nothing short of spectacular: sales up 51% from the second-highest ever sales and bookings for 2010/11 at € 2.22 billion.
However, it is now a blog about the facts. Yes, we have heard the rumblings of concern within the global manufacturing economy, causing us to look more and more like a male version of Little Mary Sunshine; make note of my sensitivity on this subject.
And here are the facts: the manufacturing sectors that use industrial lasers are not those that are directly affected by a rise in the interest rates, such as the housing industry. Those that are driving the good news reported in the guidance issued by the public laser product suppliers are the aerospace industry, which is locked into long term contracts for new aircraft (and engine) deliveries for the next five years; the alternate energy industry where solar -rich countries are finally pushing photovoltaic installations instead of the nuclear options that were already on the drawing boards; the medical devices suppliers that are experiencing a global surge in preventative medical treatment; the microelectronics industry which cannot seem to fully satisfy the volume of laser drilled micro-substrates; the alternate energy vehicle suppliers whose order books are full of battery-operated vehicles even as the President gave the industry a “kiss-of-death” with his proclamation for doubled gas mileage regulations (try selling this one Mr. Obama); and a booming product marking sector that is sold on laser-generated 2D barcodes both for regulatory and inventory purposes
These are real, growing markets that will sustain the laser business for the rest of this year and well into the next. Yes, I hear the groundswell of support for a second recession that could wipe out these markets, and I am enough of a pragmatist to believe that this scenario is stronger today than six months ago when I poo-pooed the idea. But, as far as the industrial laser business goes, I see the glass of water as half full. And if I am wrong, it really won’t matter, as we will all go down in flames this time around because no amount of water will quench the global fire.
Lost in all this is the impetus of the President's bullish stance on revitalizing the health of the manufacturing industry. It was just another mouthful of words that rings hollow as it is now obvious he doesn’t have the political wherewithal to move anything through a divided Congress that senses blood.
This, the 100th in this series of blogs, was originally planned to be a celebration of the good news emanating from the major public corporations that have just reported their latest quarter financials and the powerful news from industry leader TRUMPF whose 2010/11 preliminary figures were nothing short of spectacular: sales up 51% from the second-highest ever sales and bookings for 2010/11 at € 2.22 billion.
However, it is now a blog about the facts. Yes, we have heard the rumblings of concern within the global manufacturing economy, causing us to look more and more like a male version of Little Mary Sunshine; make note of my sensitivity on this subject.
And here are the facts: the manufacturing sectors that use industrial lasers are not those that are directly affected by a rise in the interest rates, such as the housing industry. Those that are driving the good news reported in the guidance issued by the public laser product suppliers are the aerospace industry, which is locked into long term contracts for new aircraft (and engine) deliveries for the next five years; the alternate energy industry where solar -rich countries are finally pushing photovoltaic installations instead of the nuclear options that were already on the drawing boards; the medical devices suppliers that are experiencing a global surge in preventative medical treatment; the microelectronics industry which cannot seem to fully satisfy the volume of laser drilled micro-substrates; the alternate energy vehicle suppliers whose order books are full of battery-operated vehicles even as the President gave the industry a “kiss-of-death” with his proclamation for doubled gas mileage regulations (try selling this one Mr. Obama); and a booming product marking sector that is sold on laser-generated 2D barcodes both for regulatory and inventory purposes
These are real, growing markets that will sustain the laser business for the rest of this year and well into the next. Yes, I hear the groundswell of support for a second recession that could wipe out these markets, and I am enough of a pragmatist to believe that this scenario is stronger today than six months ago when I poo-pooed the idea. But, as far as the industrial laser business goes, I see the glass of water as half full. And if I am wrong, it really won’t matter, as we will all go down in flames this time around because no amount of water will quench the global fire.
Tuesday, July 26, 2011
Relax its summer
Two "hot" news items have crossed my desk in the last few days, both by coincidence related to news from Germany: one on a positive economic note and the other not.
TRUMPF, the leader in the industrial laser products market, reported a 51% increase in 2010/11 fiscal year sales, with 2.025 billion Euros compared to last year's sales of 1.340 billion Euros. This is the second highest revenue year, only topped by 2007/08 with 2.144 billion Euros. However, bookings were 2.22 billion Euros, topping the 2.15 billion Euros booked in 2007/08. And the frosting on the cake is that profits last year are expected to hit triple digits in the millions, and the company will need to add another 500 jobs worldwide.
The less than auspicious news is that the mighty German manufacturing engine is sputtering, according to two closely watched indices, the Ifo and ZEW monthly reports. Both reports were negative, with analysts titch-titching that “Expectations are clearly weakening.” The blame rests on, of all things, three problems: the budget impasse in the US, a slowdown in the expanding Chinese market, and a drop in German consumer spending. Where have we heard this before?
We are not supposed to get overheated in these “dog days” of summer, the weather forecasters remind us, but most of the US has been posting record high temperatures the past few weeks, thereby driving up our personal heat indices. So I think I’ll head for the lake for a few days to cool off and to savor the great news from TRUMPF and ignore the not-so-good news from the manufacturing front. Relaxation is what summer is made for.
TRUMPF, the leader in the industrial laser products market, reported a 51% increase in 2010/11 fiscal year sales, with 2.025 billion Euros compared to last year's sales of 1.340 billion Euros. This is the second highest revenue year, only topped by 2007/08 with 2.144 billion Euros. However, bookings were 2.22 billion Euros, topping the 2.15 billion Euros booked in 2007/08. And the frosting on the cake is that profits last year are expected to hit triple digits in the millions, and the company will need to add another 500 jobs worldwide.
The less than auspicious news is that the mighty German manufacturing engine is sputtering, according to two closely watched indices, the Ifo and ZEW monthly reports. Both reports were negative, with analysts titch-titching that “Expectations are clearly weakening.” The blame rests on, of all things, three problems: the budget impasse in the US, a slowdown in the expanding Chinese market, and a drop in German consumer spending. Where have we heard this before?
We are not supposed to get overheated in these “dog days” of summer, the weather forecasters remind us, but most of the US has been posting record high temperatures the past few weeks, thereby driving up our personal heat indices. So I think I’ll head for the lake for a few days to cool off and to savor the great news from TRUMPF and ignore the not-so-good news from the manufacturing front. Relaxation is what summer is made for.
Tuesday, July 5, 2011
Made redundant by the Web - again
It was a Friday afternoon and the sales team, winding down a three day corporate sales meeting, restively awaited the final speaker, me. Heavy early weekend traffic slowed down my arrival and had me in a bit of a funk as I breathlessly arrived 30 minutes late.
I should have taken a short break to catch my breath, but recognizing that I had three dozen sales people ready to head home for the weekend, I proceeded to deliver what was supposed to be a positive state-of-the-market rouser guaranteed to have these reps outperform their monthly quotas.
Normally, I open such presentations on a light note with a laugh-generating anecdote. I don’t know what possessed me, except the lack of energy after a hard week of travel, but my opening remark was: “I’m glad I had this opportunity to meet with you today, because next year most of you will be gone, as the era of the machine tool salesman is over.”
Nervous laughter broke out as I continued, “Yes, most of you will be redundant, made so by the power of the Internet.” Now, sensing that I was not joking, I was bombarded by objections and then questions about my premise, which in essence was, buyers will get their machine information off the Web, analyze it and make a buying decision without your influence. The general objection was that the Web could not sell a machine tool. My counter was, people already buy their new cars off the Web, and many car dealers have an internal Web salesman just for that purpose.
These sales guys still thought I was joking, and I managed to leave on rather tenuous grounds, with a parting shot from the sales manger: “That will be the day,” he growled.
A few short years later, that day has arrived.
In his new book, Selling Change, 101+ Secrets for Growing Sales by Leading Change http://http://sellingchange.com/author/brett-clay/, Brett Clay says, “The trends of globalization and Internet empowered buyers are devaluing the roles traditionally filled by salespeople - to provide product information and take orders.”
In case you haven’t had the occasion to shop for a new machine tool on the Internet, trust me all you need to know is out there in Cyberspace. Retrieving this information is getting even easier as potential buyers realize the power of the Web and learn how to make it work for them. The marketplace has changed and, like others made inconsequential by the power of the Web, the salesman's denial was short lived.
I had occasion to see the sales manager of that company I spoke to, at a recent trade show, where he walked the floor as an independent sales rep. I was surprised when he went out of his way to greet me, thinking that he probably never forgave me for what I said. Instead, the subject never came up even though he told me he had recently been made redundant. I was glad we were still friends and I knew that his remaining productive years would not be bitter ones.
I should have taken a short break to catch my breath, but recognizing that I had three dozen sales people ready to head home for the weekend, I proceeded to deliver what was supposed to be a positive state-of-the-market rouser guaranteed to have these reps outperform their monthly quotas.
Normally, I open such presentations on a light note with a laugh-generating anecdote. I don’t know what possessed me, except the lack of energy after a hard week of travel, but my opening remark was: “I’m glad I had this opportunity to meet with you today, because next year most of you will be gone, as the era of the machine tool salesman is over.”
Nervous laughter broke out as I continued, “Yes, most of you will be redundant, made so by the power of the Internet.” Now, sensing that I was not joking, I was bombarded by objections and then questions about my premise, which in essence was, buyers will get their machine information off the Web, analyze it and make a buying decision without your influence. The general objection was that the Web could not sell a machine tool. My counter was, people already buy their new cars off the Web, and many car dealers have an internal Web salesman just for that purpose.
These sales guys still thought I was joking, and I managed to leave on rather tenuous grounds, with a parting shot from the sales manger: “That will be the day,” he growled.
A few short years later, that day has arrived.
In his new book, Selling Change, 101+ Secrets for Growing Sales by Leading Change http://http://sellingchange.com/author/brett-clay/, Brett Clay says, “The trends of globalization and Internet empowered buyers are devaluing the roles traditionally filled by salespeople - to provide product information and take orders.”
In case you haven’t had the occasion to shop for a new machine tool on the Internet, trust me all you need to know is out there in Cyberspace. Retrieving this information is getting even easier as potential buyers realize the power of the Web and learn how to make it work for them. The marketplace has changed and, like others made inconsequential by the power of the Web, the salesman's denial was short lived.
I had occasion to see the sales manager of that company I spoke to, at a recent trade show, where he walked the floor as an independent sales rep. I was surprised when he went out of his way to greet me, thinking that he probably never forgave me for what I said. Instead, the subject never came up even though he told me he had recently been made redundant. I was glad we were still friends and I knew that his remaining productive years would not be bitter ones.
Wednesday, June 29, 2011
Those who serve
In the United States of America, we pause on the Fourth of July, more properly called Independence Day, to commemorate the signing of the Declaration of Independence, declaring our independence from Great Britain in 1776. This is the most patriotic day in the year, celebrated throughout the 50 states with the showing of the national flag.
This is a national holiday that fortuitously this year occurs on Monday so that the country enjoys a long weekend at the beginning of the summer. By tradition. it is a patriotic day, during which we experience outdoor activities, parades, concerts, political speeches rife with overblown patriotism, family food fests and above all fireworks.
Typically we Americans are not flag wavers unless we are rallying around some event that stirs repressed patriotism. Currently, we are showing support for our armed forces, fighting 2 ½ wars in the Mideast, while many at home complain about the high gasoline prices this causes.
I served the USA on active duty and reserve status and took advantage of veteran’s benefits that covered my education and assisted me in buying a home. I’m one of those Army veterans whose records were destroyed in a fire at the St. Louis National Personnel Center. The US Congress amended a law and appropriated funds to rebuild the destroyed files, which are the only official record of my, and tens of thousands of others, military service.
In the doing, over the past few months, I have been supplying the government with documentation that will partially restore my official records. As a consequence, a few weeks ago I was notified that medals for which I had been recommended were going to be sent to me. This is a little late, you may say, but then they are service medals, not medals for valor or meritorious service, so they had never been a priority.
But it’s now the Fourth of July and on the town common a patriotic concert will be held, the conclusion of which will be a medley of marches to honor those who served the country. This year I will stand with other Army veterans, proudly wearing the ribbons that denote my service as they play “The Army Goes Rolling Along.”
That’s it, my once a year concession to personal patriotism. Actually, I stand to honor those who can’t be here and who are serving the country on our behalf. I know what they are experiencing from my own similar situation when I served. We were asked to serve and did; that's the best that can be said on the Fourth of July.
This is a national holiday that fortuitously this year occurs on Monday so that the country enjoys a long weekend at the beginning of the summer. By tradition. it is a patriotic day, during which we experience outdoor activities, parades, concerts, political speeches rife with overblown patriotism, family food fests and above all fireworks.
Typically we Americans are not flag wavers unless we are rallying around some event that stirs repressed patriotism. Currently, we are showing support for our armed forces, fighting 2 ½ wars in the Mideast, while many at home complain about the high gasoline prices this causes.
I served the USA on active duty and reserve status and took advantage of veteran’s benefits that covered my education and assisted me in buying a home. I’m one of those Army veterans whose records were destroyed in a fire at the St. Louis National Personnel Center. The US Congress amended a law and appropriated funds to rebuild the destroyed files, which are the only official record of my, and tens of thousands of others, military service.
In the doing, over the past few months, I have been supplying the government with documentation that will partially restore my official records. As a consequence, a few weeks ago I was notified that medals for which I had been recommended were going to be sent to me. This is a little late, you may say, but then they are service medals, not medals for valor or meritorious service, so they had never been a priority.
But it’s now the Fourth of July and on the town common a patriotic concert will be held, the conclusion of which will be a medley of marches to honor those who served the country. This year I will stand with other Army veterans, proudly wearing the ribbons that denote my service as they play “The Army Goes Rolling Along.”
That’s it, my once a year concession to personal patriotism. Actually, I stand to honor those who can’t be here and who are serving the country on our behalf. I know what they are experiencing from my own similar situation when I served. We were asked to serve and did; that's the best that can be said on the Fourth of July.
Wednesday, June 22, 2011
US employees are not happy
Guess what? According to Industry Week, in a survey by Mercer http://www.mercer.com/, it was found that, “diminished loyalty and widespread apathy can undermine business performance, particularly as companies increasingly look to their workforces to drive productivity gains and spur innovation.” Mercer’s Mindy Fox says, “The business consequences of this erosion in employee sentiment is significant, and clearly the issue goes far beyond retention.”
Why? In Mercer's survey of the last two quarters, the company found that 32% of workers are seriously considering leaving their companies, and 21% of those staying view their employers unfavorably and show a very low score on loyalty, commitment, and motivation.
Well duh! We just survived the worst recession since the 30s and those who remain employed are still reeling from the impact on their jobs, with many living in dread of the pink slip that will add them to the 9% looking for work today. Meanwhile their workload has increased again, and again, under the threat of a pink slip if they should balk; consequently, their work may be shoddy and unfinished. And the media are touting a double-dip recession. It takes a special kind of employee to come into many companies smiling on a Monday morning.
Other Mercer findings:
- Only 43% of employees believe they are doing enough to financially prepare for retirement and just 41% believe their employers are doing enough to help them prepare.
- Just 68% of employees rate their overall benefits program as good or very good.
- Just 42% of employees agree that promotions go to the most qualified employees in their organization.
- Among the youngest workers, 40% of employees age 25–34 are most likely looking to depart.
You may recall the story of Damocles and Dionysius where the latter offers the former a trial as ruler to enjoy all the perceived fruits of this position. And so doing, Damocles looks up and sees a sharp sword suspended over his head. Supposedly, when queried about the threat, Dionysus makes it clear that, as a ruler, there can be nothing happy for the person over whom some fear always looms
Why? In Mercer's survey of the last two quarters, the company found that 32% of workers are seriously considering leaving their companies, and 21% of those staying view their employers unfavorably and show a very low score on loyalty, commitment, and motivation.
Well duh! We just survived the worst recession since the 30s and those who remain employed are still reeling from the impact on their jobs, with many living in dread of the pink slip that will add them to the 9% looking for work today. Meanwhile their workload has increased again, and again, under the threat of a pink slip if they should balk; consequently, their work may be shoddy and unfinished. And the media are touting a double-dip recession. It takes a special kind of employee to come into many companies smiling on a Monday morning.
Other Mercer findings:
- Only 43% of employees believe they are doing enough to financially prepare for retirement and just 41% believe their employers are doing enough to help them prepare.
- Just 68% of employees rate their overall benefits program as good or very good.
- Just 42% of employees agree that promotions go to the most qualified employees in their organization.
- Among the youngest workers, 40% of employees age 25–34 are most likely looking to depart.
You may recall the story of Damocles and Dionysius where the latter offers the former a trial as ruler to enjoy all the perceived fruits of this position. And so doing, Damocles looks up and sees a sharp sword suspended over his head. Supposedly, when queried about the threat, Dionysus makes it clear that, as a ruler, there can be nothing happy for the person over whom some fear always looms
Wednesday, June 8, 2011
A big noise may be a little indigestion
What is this, a conspiracy? No sooner did I return from Munich, where optimism on global economics reigned supreme, then I began to hear that old bugaboo: double-dip recession. The one not-so-positive Manufacturing Index report after a string of upbeat months caused the scare birds hit the media. This, of course, was fodder for the announced and soon-to-announce presidential candidates, quadrupling the noise.
As the days went by, the recession drumbeat grew louder as employment news was less than stellar, and it didn’t help that the President was wishy-washy speaking? about the economy on Tuesday.
All I have to say is: Thanks, guys. I spent a week in Munich at Laser World of Photonics singing the praises of recovery in the manufacturing community and bragging about the performance of the industrial laser leaders who were on a tear revenue-wise. The dozens of companies I interviewed in Munich, for the most part, supported my optimism, and I only heard a few concerns about how the US housing market would hamper further growth.
So here I am three weeks prior to my Mid Year Report on the Global Laser Marketplace and I’m having second thoughts about my PowerPoint slides. Come on, guys, cut me some slack and at least let me make it past the 30th before I have to retract my glowing forecast for the remainder of 2011. Especially you, Mr. Bernanke. You have been, self-admittedly, wrong before; are you sure your gloom is couched in reality?
When queried about my optimistic forecast at a meeting last week, I stated that I could not see any reason why US manufacturing couldn’t weather a little negative news. Foreign exchange rates make exporting a joy here in the States and businesses are expanding with caution so they haven’t overloaded payrolls, and what they are selling is wanted everywhere in the world. So maybe we have a little indigestion, but it's nothing a good burp can’t handle.
Finally, thanks for the many concerns received from friends and acquaintances, near and far, concerning my status after the EF3 tornado cut a ¼ mile swath through Sturbridge. We did not experience any damage to our house even though the storm passed less than a mile away, spawning several random microburst’s, one about a 1000 yards from my house. Thirty-nine miles of South Central Massachusetts from Springfield to Charlton took a devastating beating, but we are all rallying to help the recovery in that good old Yankee community spirit.
As the days went by, the recession drumbeat grew louder as employment news was less than stellar, and it didn’t help that the President was wishy-washy speaking? about the economy on Tuesday.
All I have to say is: Thanks, guys. I spent a week in Munich at Laser World of Photonics singing the praises of recovery in the manufacturing community and bragging about the performance of the industrial laser leaders who were on a tear revenue-wise. The dozens of companies I interviewed in Munich, for the most part, supported my optimism, and I only heard a few concerns about how the US housing market would hamper further growth.
So here I am three weeks prior to my Mid Year Report on the Global Laser Marketplace and I’m having second thoughts about my PowerPoint slides. Come on, guys, cut me some slack and at least let me make it past the 30th before I have to retract my glowing forecast for the remainder of 2011. Especially you, Mr. Bernanke. You have been, self-admittedly, wrong before; are you sure your gloom is couched in reality?
When queried about my optimistic forecast at a meeting last week, I stated that I could not see any reason why US manufacturing couldn’t weather a little negative news. Foreign exchange rates make exporting a joy here in the States and businesses are expanding with caution so they haven’t overloaded payrolls, and what they are selling is wanted everywhere in the world. So maybe we have a little indigestion, but it's nothing a good burp can’t handle.
Finally, thanks for the many concerns received from friends and acquaintances, near and far, concerning my status after the EF3 tornado cut a ¼ mile swath through Sturbridge. We did not experience any damage to our house even though the storm passed less than a mile away, spawning several random microburst’s, one about a 1000 yards from my house. Thirty-nine miles of South Central Massachusetts from Springfield to Charlton took a devastating beating, but we are all rallying to help the recovery in that good old Yankee community spirit.
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