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"The biggest difference between us and the other companies in the chassis side is there is a co-dependency -- we are as dependent on the motorhome companies as they are on us. "And that's a big difference between the relationships that the other chassis companies have with RV and commercial customers. We do not make cars and we do not make trucks. We make chassis. "We also look at the industry from the perspective of being a body company. We are very sensitive to the needs, demands and requirements of the RV manufacturers because we have the same perspective from our UCBC side. I think that will make WCC a much easier company to work with. "And I also think concentrating too much of your business -- whether it's vendor or a client -- with one company is risky. We've had an experience with UCBC where we've had too much customer concentration. Our largest customer at UCBC was UPS. When they went on strike last year, they called and suspended the remainder of their orders. "We had to reduce our production by 60% at the time and had to lay off 400 people. They haven't bought since by the way; however, they plan to buy next year, thank goodness. "What I really learned was when you have too many of your eggs in one basket, even though the basket at that time might be more attractive, you have to look at the world a little more strategically and say: okay, maybe I won't make the extra three cents here but I've stabilized my business in a way that is less risky." Few would deny that Taitz, against all odds, pulled off a phenomenal feat by meeting his own deadline to move the GM assembly operations, build a new plant and be producing chassis in only eight weeks. And if nothing else, it proves that Taitz is credible. He said, "It's very important for us to establish and maintain our credibility in this marketplace. That's why its so critical for us if we say we are going to have product by the end of the first quarter that we are there by the end of the first quarter." So when Taitz says WCC is going to accommodate the chassis design needs of customers, you have to a tendency to believe him.
"I think that many or all of the RV and body companies have been very receptive and supportive of Workhorse. And they've all been encouraging us to introduce a heavy-duty chassis. We know the current product offering has its limitations, but there's still demand for the product in the under 35-foot motor-home market. We are planning to introduce additional products to this category with higher GVWs and with new and different features that are needed in the market place. So far we are on track to be able to introduce those next year. "We have a very strong engineering group, and they've been spending a lot of time with customers to understand what their needs are, as well an understand the market trends. Marketing and engineering are working very closely. We're trying to introduce the right product in a very rapid time frame that must go through all the qualifications and durability and quality tests -- it's a pretty substantial investment and commitment for us, but we realize how important it is to support the customer." But for now, the focus is on the P-chassis and continuing to build credibility with customers. Atkins said, "We know first impressions are very lasting impressions. We know we have to build a product and deliver it on time. I think we have pretty well proven to everyone that we can to that. But we have to do more than just deliver it on time -- it has to be a good product as well, not just a bucket of bolts. And we're pretty comfortable there as well."
As former plant manager at the Detroit assembly plant and a 30-year GM veteran, Atkins is in a position to know how the WCC chassis stacks up against the GM chassis. He said, "The product we're building is better than what Detroit was building. Is it a lot better? I don't know, but it is better. The powertrain is, of course, a good bullet proof powertrain. That Vortec V-8 gets excellent fuel economy and has good power so the product is there. "We don't have as many solid statistics to look at yet which traditionally comes from analyzing warranty information -- we won't start seeing that for a while. But all of our audits and customer feedback are indicating the product is better than what was leaving Detroit. Does that make it perfect? No, but it is better. What the customer is getting is right; its not with a shoddy process or shoddy work force that doesn't understand the importance of quality. We've got the right processes and the right people to do the job right." It's been an exciting few months for those involved in pulling off this miracle, and the experience has gone a long way toward bonding WCC together as a totally focused and professional team. With this challenge behind them, any new challenges in the future may seem commonplace. Simply stated, Taitz said what he was going to do and then did it that's credibility. Taitz and the WCC team have become important contributors and partners with the RV industry and stand ready to work with manufacturers and dealers to meet the needs of the motorhome consumer. Atkins said, "There's a lot more to do; we have just scratched the surface, but its started in the right direction. The opportunity to do this is why I came aboard. "Fundamentally, this is a good business to be in. It can make a fair and steady return. I'm well aware of the demographics of the RV business. There are a lot of buyers out there. If we provide the right product, there will be buyers." After years of frustration and unfulfilled promises from chassis builders, it appears that RV manufacturers finally have a chassis partner totally focused on their needs. And if WCC's short history can be the gauge, manufacturers have a partner that will not only listen to their concerns, but keep its commitments and work hard to meet the challenges of our changing marketplace. Taitz concluded, "We're happy the RV industry is giving us this opportunity to participate, and we appreciate their support." |
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