Machining, Heat Treating, Products, Materials Research
Corporate Profile
Structure
2
Shareholders = Family Owned
Board of Directors = Owners, Past Secretary
Officers = (2) Sons (Co-Presidents), (2) Sons (VP/Mgr.), (2) Non-Family
(Corp. Controller/VP/Mgr.)
(20+) Non-Family Managers, Supervisors, Engineers
Established 1946 in Erie, PA
Pennsylvania Incorporated 1960
Non-Union Facility
Modern Industries was founded in Erie, Pennsylvania, in 1946, by a 26 year old,
second generation immigrant, World War II sailor, and tool and die craftsman Herbert
S. Sweny. Incorporated in Pennsylvania in 1960, Modern is guided by the vision of a
strong work ethic, a thirst for knowledge, and mutual respect. With family ownership,
a strong management team, and a dedicated and loyal workforce, Modern has been
able to make decisions based on long-term benefit rather than short-term gain.
Founder, Herbert S. Sweny
Divisions
3
Machining Division
Materials Research Division
Heat Treating Division Products DivisionModern consists of four operating divisions that are complementary to each other's technology needs and also to Modern's customer base.
Each division has its own operating staff structure, but each benefits from corporate synergy in functional areas from accounting and human
resources to purchasing, plant engineering, marketing, sales, quality systems and computer systems. In each area of endeavor whether
Machining, Heat Treating, Materials Research, or Products, Modern enjoys an excellent reputation in the industries it serves and holds
"preferred supplier" status for the majority of its customer base. Modern's closely linked business divisions have enabled us to easily share both
resources and ideas to the benefit of each and every customer. Late-model, state-of-the-art facilities prevail throughout. With extensive
enterprise systemization, automation, and safety and quality fail-safes, continuous improvement is a way of life. At Modern, a proactive "Just
Do It!" attitude is complemented by a strong reliance on teamwork.
Divisions
4
Production manufacturing and
sub-assembly
Cellular, FMS oriented
Long Term partnerships
ISO/TS 16949 & ISO 9001
AS9100
Machining Division
Divisions
5
Heat Treating Division
Commercial heat treating
500+ accounts - Fortune 100 to tool & die
Dominant source in regions
Industry leading facilities
Extensive metallurgical resources
TS 16949 Registered
ISO 9001
Nadcap
Divisions
6
Materials Research Division Materials testing and research
Environmental and Industrial Hygiene
1,000 accounts - Fortune 100 to tool & die
National markets
Strong engineering and technician resources
State of the art technology
A2LA, ISO/IEC 17025,
& NELAC lab accreditation
ISO 9002 and ISO 16949 registered
AIHA LAP, LLC
PA Department of Agriculture (dairy)
Divisions
7
Products Division
Custom Shock Absorbers
SpeedLoc Product Line
Self contained shock absorbers and motion controls
Quick Change Fixturing and Modular CNC Tooling
95 OEM accounts national and some export
Design, engineering, assembly, and test
Turnkey “Form-fit-function”
Corporate Demographics
8
2013 2014
Sales$21,000,0001450 Active Customers
371 New Customers
$25,000,0001600 Active Customers
400 New Customers
Facilities400,000 ft.²
6 Buildings
4 Locations
400,000 ft.²6 Buildings
4 Locations
Stakeholders 160 190
Open Capacity 40% 35%
Investment $ $600,000 $1,100,000
Growth at Modern has been fueled by developing new services to benefit its overall customer base, and also by aggressively responding to the wants and needs of customers. Modern has traditionally prepared itself for controlled, manageable growth by adding to its work force, buildings and equipment in sync with customer and market development. Satisfying, then exceeding, its most demanding customer challenges has moved Modern closer to achieving "World Class Standards“; standards that have already been reached by Modern in some areas. Modern has committed to this process to provide solid sustainability for generations.
Workforce
9
Work Category# of
Employees
% of
total
Average
SeniorityClerical, Administrative Support 19 9% 8
Inspection, Manufacturing Support (Direct) 15 5% 10
Maintenance 15 7% 7
Manufacturing, Assembly, Test (Direct) 133 60% 9
Management 15 7% 22
Supervisory 10 4% 15
Sales, Engineering, Technician 14 6% 5
Grand Total 221 100% 10
A new visitor to Modern will quickly recognize a busy, hustling environment with the presence of a strong work ethic throughout. Professionalism
and maturity are exhibited in every employment category. Each department in the company features an excellent balance of hands-on experience,
technical knowledge and managerial skills. The average seniority of employees at Modern speaks both to the company's growth and to its position as
an attractive employer in a manufacturing region with large numbers of highly skilled workers. Even during periods of rapid employment growth,
Modern's total work force has consistently averaged a tenure of five years or more.
Work force development is supported by “Modern's Educational Assistance Benefit Program”, which compensates employees up to 100 percent of
the cost for outside course work. There are numerous avenues of employee training at Modern both external and in-house.
Financial
10
Financial Partners = First Niagara
Insurance Partner = Liberty Mutual
Outside Auditors = Schaffner, Knight,
Minnaugh Company, P.C.
Modern faces the future from a position of financial stability. A solid equity position is supported by close working relationships
with financial providers and advisors. Modern has a history of rapid book depreciation methods, relatively low debt maintenance,
and aggressive reinvestment into its core business and technology support systems. Modern is well positioned with its financial
providers to fully pursue the exciting growth programs that our customers are requesting.
Corporate Citizenship
11
School Plant Tour
Company Picnic
Perry 200 Parade Modern Sponsors
Volunteering and contributions by Modern, it’s management, and employees, include:
Arts Councils
Community Development
Employee Community Fund
Hospitals
Manufacturers Association
Professional Associations
Public TV Fundraising Group Volunteers
School Plant Tours
K - Trade - College
Social Agencies
United Way
American Heart Association
Special Events
Sport League Sponsors
Teacher in-service programs
Trade Schools
Regional Universities
Many Other
At Modern Industries, as with most fine companies across the United States, the concept of community involvement has always been a mainstay.
From teachers groups and student plant tours to job fairs and trade associations; from employee volunteer groups to sport league sponsorships,
social agency board involvement, and many more, Modern's positive impact on the community goes far beyond its significant corporate financial
contributions. This tradition of ongoing community involvement was initiated by the founder and has been adopted throughout the organization.
Markets
12
Diesel Engines 10%
Energy 8%
Rail transportation 15%
Pneumatic Controls 2%
Aerospace/Defense 2%
Military/Government 2%
Automotive 10%
Tool & Die 3%
Textile/Apparel Machinery 3%
Processed Materials 5%
Industrial Machining 7%
Environmental 3%
Other 30%
Modern Industries serves a wide variety of customers throughout our four divisions. One common thread to 95 percent of these markets is
METALS. Segments of industrial markets comprised of hundreds of small specialty companies account for significant portions of Modern's
sales and projected growth. Other significant resources are directed toward multi-billion dollar customers with multiple product lines, numerous
shipped-to locations, and corporate purchasing strategies. Modern's strength lies in targeting firms that are committed to concentrating their
resources on what they do best. These customers are committed long-term to the benefits of outside service specialists such as Modern
Industries. With this marketing approach by Modern, the goal is account development-oriented and long-term, partnership-oriented; not strictly
job-oriented. The concept is to form a strategic alliance through dedicated value-added services. This concept is equally attractive to a both
small and large companies whose products involve production machined components, heat treating for improved properties, materials research
and analysis, and sub-assembly and relational testing.
13
Modern's market emphasis has led to the development of a most impressive customer
list, each leaders in their own areas of strategic technology. Showing on screen are just a
few of the fine firms that have partnered with Modern for long-term success.
Customer Ship-to Locations
Modern Operating Locations Misc. USA West (trace)
UK - Shotts, Darlington,
Huddersfield
Brazil - Sao Paulo
Japan, Misc. Europe (trace)
Mexico - Del Rio
Tampa, FL
Modern - Erie, PA
Morristown, TN
Huntington, IN
Columbus, IN
Detroit, MI1000+ Active Accounts - MHT/MRD - Erie
Pittsburgh, Buffalo, Rochester, Cleveland
Milwaukee, WI
Regional Customers
Jamestown, NY
St Marys, PA
Asheville, NC
Charlotte, NC
Modern – Pittsburgh
Free-Col - Meadville, PA
Key Supply Partners
14
To become a key provider to so many world class customers, requires strong relationships with your own supply partners that you can
depend on. That's just what Modern has done over the years, with a key supplier list that reads like a Who's Who in American Industry." We
are pleased and proud to share the credit for Modern's ongoing success with our progressive supply base -- dedicated companies who have
shared their expertise, delivered high performance and persevered through challenging times.
First Niagara - Buffalo, NY
Cincinnati Milacron, Cincinnati, OH
Meadville Forge - Meadville, Pa
Advance Cast Products -
Meadville, Pa
PNC Financial - Pittsburgh, Pa
Okuma - Charlotte, NC
Wasino Corporation
Miyano Corporation - Woodale, IL
Castle Metals -
Cleveland, OH
Impact Forge, Net Forge, Omni
Forge, Remington Ind.
Columbus, IN
Grede Foundries, Inc. - Iron Mt. MI
Eaton Steel – Chicago, IL
Kitako – Chicago, IL
Castwell Foundry – Skokie, IL
Advance Powder Metals, WI
Brockway Press Metals, PA
Erie, Buffalo, Rochester,
Cleveland, Pittsburgh – 200
Suppliers
Quality
15
2013 AS 9100
2009 A2LA Accredited
2006 ISO 9001 and TS 16949 Registered
2003 Nadcap Accreditation; Aerospace
2001 NELAP Accredited; Environmental Testing
1998 A2LA Accredited; Chemical & Mechanical (since 1995)
1997 American Axle Mfg. - Supplier Recognition Award
1997 Lloyd’s Register Quality Assurance - QS-9000 Certificate of Approval.
1997 Lord Corporation - TQM/Certified Supplier Award
10-97 Lloyd’s Register Quality Assurance - ISO 9002 Certificate of Approval.
<250 PPM - 90% of Customer Base
"Preferred Supplier" status and "Supplier of the Year" awards are not easy to come by, so having over 80 percent of Modern's dominant customer
base award such accolades to Modern Industries is high praise indeed. At the heart of this is dedicated people working in harmony, day-in and day-
out, across three shifts to deliver top-notch quality. Modern has consistently demonstrated excellent performance with emphasis on continuous
improvement of quality systems and fail-safing, in line with ISO 9001, TS-16949, and other standards for excellence.
Services & Facilities Lists
16
CNC TURNING LATHES (65+ LATHES)
Four spindle high output Single Spindle with 4- Axis cutting
Single Spindle with Auto load capabilities Precision Single Spindle
2 Spindle Lathes with Live Tooling
CNC HORIZONTAL MACHINING (25+HMC’s)
50 Taper Centers with Shuttle Loading 50 Taper Centers with Dual Pallets
40 Taper Centers with Dual Pallets
CNC VERTICAL MACHINING (20+ VMC’s)
40 Taper, Two Spindle with Dual Pallets 30 Taper, Single Spindle with Dual Pallet
40 Taper, Single Spindle with Dual Pallet 30 Taper, Single Spindle with Table
BROACHING (8+)
Robot Loading
Horizontal and Vertical
HONING
Powerstroked Precision Honing Extrude Honing
High Production Vertical Diamond Sizing
AUTOMATIC SCREW MACHINING
Single Spindle Multiple Spindle
GRINDING
Centerless Grinding Double Disk Grinding Blanchard Grinding
Surface Grinding Lapping
SECONDARY AND FINISHING EQUIPMENT
High Pressure Coolant Delivery Systems Multi Spindle / Single Spindle Drill Presses & Tapping machines
Conventional Mills and Lathes Single Plane Balancer
Parts Washers, Sand & Shot Blasters Vibratory Finishers
INSPECTION AND QUALITY SYSTEMS
□Coordinate Measuring Systems ISO 9001 Registered since 1997 □ TS-16949
MATERIALS TESTING LABORATORY - MODERN RESEARCH DIVISION
Chemical Analysis, Mechanical Properties, Micro Hardness, Scanning Electron Microscopes, Metallography, Impact Testing,
NDT and more. ISO 17025 & A2LA Accredited
COMMERCIAL HEAT TREATING - MODERN HEAT TREAT DIVISION
Full Range of Furnaces, Processes and Atmospheres, Vacuum, all Casing Processes, Anneal / Normalize, Quench and
Temper, Controlled Atmosphere
Low, Medium and High Volume ISO, Nadcap Accredited
√ Celled Manufacturing
√ Precision Machining
√ Automated Loading
√ High Production Turning, Milling, Drilling
√ Sub Tier Management & Support Services
√ Sub-Assembly and Secondary Operations
√ Casting & Forging Specialists
√ On-Site Tooling design & Manufacturing
√ ISO 9001, QS 9000, TS 16949 Registered Quality Systems
125,000 Sq. Ft. of Manufacturing
120,000 Sq. Ft. of Warehouse and S/R
150,000 Sq. Ft. of Corporate and other Divisions
Facilities
17
613 Building (150,000 sq. ft.)
Corporate Offices
Heat Treating
Materials Research
Products
Facilities
18
533 Building (100,000 sq. ft.)
Machining Division
Manufacturing
Engineering
Shipping & Receiving
645 Building (120,000 sq. ft)
Warehouse
Shipping & Receiving