Water Well Journal
Issue link: http://read.dmtmag.com/i/498253
Water Well Journal: How is the drought plaguing the west and the southwest affecting business? Brian: We are seeing a surge in busi- ness currently. However, we are afraid there could be a collapse if moratorium measures take effect in California. DeLancey: Drought conditions con- tinue to plague California and the southwest. We continue to work with distributors and contractors in those markets to provide solid solutions for drought-stricken areas. Obviously, simply overpumping de- pleted surface and groundwater sources is not the solution. Wire to water effi- ciency is important and we need to pro- vide the right tools, whether it is simply system sizing, setup and design, or custom controls and sensors. Steve: The unique thing about this in- dustry is regardless of what the weather patterns are, there is always a challenge. It's either too wet or too dry. The thing I've noticed after being in this industry for 24 years is our customers and installers always rise to whatever the challenge is, be it the weather, the economy, or new regula- tions. We are in an industry of resilient and hard-working people who are always able to get the job done. Water Well Journal: Are you con- cerned a prolonged drought will affect the agricultural or irrigation markets? Brian: We are always concerned. Many legislators do not completely understand all the ramifications of limiting water for irrigation. Also, irrigators have not made every effort to limit water use. There has to be a committed effort to work together to solve the water alloca- tion problems. DeLancey: Well, we do not manufac- ture any products that make water, so certainly we closely monitor our mar- kets and source water conditions. The hope is these conditions are cyclical, not systemic. Franklin Electric continues to work in partnership with our distribu- tion base, our key dealer contractors, and the regulatory community to ensure we continue to be responsible stewards of our water resources. Steve: Obviously the droughts in Cali- fornia have everyone concerned. The most direct impact is on the agricultural markets. When there is a drought, you need to irrigate more; and when you need to irrigate more, costs go up. When prices get too high, things move. In the end that costs jobs and impacts the irri- gation market. We're hearing the sever- ity of the drought is causing restrictions to drill wells, which is alarming to our industry. Water Well Journal: What is your biggest concern as a pump manufacturer? Brian: Our biggest concern is extreme "knee-jerk" measures may be taken that hurt everyone. DeLancey: There are any number of concerns that occupy a great deal of time as a pump manufacturer. Franklin Electric has measured our performance against our key factors for success: quality, availability, service, innovation, and value. Time and again, these value metrics provide an excellent guide in making all business decisions. Whether we are investing in new products, a new service program, an acquisition, a new hire, or a new plant, measuring each new initiative against the key factors provides an excellent early indicator of success. Steve: As a manufacturer in the United States we are always living with lots of concerns. If I have to pick the biggest, it's the fact in our industry we've seen well pumps being reduced to commodi- ties. It's always our job to be competi- tive, but when your top three concerns are price, price, and price it doesn't leave much room for quality. We've been making pumps in Dubuque, Iowa, by hand for 159 years. We pride ourselves on using the highest quality components to deliver a product that will last for years. It's not about next quarter or next year, it's about the next generation. I'm not speaking just about us at A.Y. McDonald, I'm speaking about our industry as a whole. What we all do is important and we need to keep our eye on the future of this industry. We are in an industry of resilient and hard-working people who are always able to get the job done. DeLancey (Dee) W. Davis Steve Potts 20 May 2015 WWJ waterwelljournal.com ROUNDTABLE from page 19 Brian Daschner