Manufacturing Leadership Journal

Building Tomorrow’s Workforce

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P.J. Gruetzmacher, President and CEO of LAI International, says fighting off constant pricing pressure will require the right culture and a next-generation workforce.

The Council Forum / P.J. Gruetzmacher

MANUFACTURING LEADERSHIP JOURNAL

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Q: What is your role
and focus at your
company?

I am the CEO and President of LAI International, Inc. Our focus is to provide world-class precision machining solutions on time, with perfect quality, and at a good value. Our company supports both subtractive and additive manufacturing across a multitude of materials utilizing advanced technologies.

Q: What is the most
pressing issue facing
the manufacturing
industry today?

There are three: First, the aging workforce and the need to find new associates. Second, machine tools today require a different skill set than in the past.

Associates that embrace technology as part of their everyday workflow are needed. One of ourlargestinitiativesis transforming to Factory of the Future (FOF). FOF requires associatestobe familiar with Six Sigma tools, statistical process control, change management, and electronic work instructions. And they need to utilize advanced inspection methods to ensure we accept no defect, we make no defect, and we pass on no defect. And third is the constant pressure on price. We are constantly being compared to low-cost region labor costs. We are combatting the pressure through continuous improvement (CI)

techniques. Every element of the Value Stream is analyzed for cost and cycle time reductions, not just direct labor.

Q: What is the most important corporate initiative you are involved in at the moment?

There are t wo. We are expanding and replicating existing production lines to support the aerospace engine growth rate. We are also transitioning our New York site from being energy market-centric to a combined focus on energy and aerospace.

Q: What will be the
most important lead-
ership qualities to pos-
sess in the future?

Situational awareness coupled with the skills to convert strategic planning into tactical implementations. Leaders must be able to master this while being able to lead a workforce that will contain more and more millennials.

Q: What will be the
greatest opportunities
for manufacturers over
the next five years?

Understanding a healthy balance between subtractive and additive manufacturing while also adopting Manufacturing 4.0. LAI has taken the approach to embrace technology, so our IT team, coupled with our manufacturing and quality engineers, are constantly looking for next-generation manufacturing and inspection methods while also developing autonomous operations. I believe Manufacturing

4.0 is at the infancy stage on its developmental lifecycle, and LAI is trying to keep pace.

Q: What is your favor-
ite activity outside of
work or the last book
you read?

I enjoy golf with family, friends, colleagues, and customers when time permits. When not, simply enjoying my five kids is pretty awesome. M

Patrick J. “P.J.” Gruetzmacher

Company: LAI International, Inc.

Location:Tempe, AZ

Size: 375 Associates, four locations (AZ, ME, MD, NY)

Industry: Contract manufacturer of preci-sion-engineered finished parts, components and sub-assemblies for advanced industries including aerospace, defense, energy, industrial, and medical.