Aggregates Manager Digital Magazine
Issue link: http://read.dmtmag.com/i/689568
EDITORIAL • 5 June 2016 Vol. 21, No. 6 aggman.com /AggregatesManager @AggMan_editor Editorial Editor-in-Chief: Therese Dunphy Editorial Director: Marcia Gruver Doyle Online Editor: Wayne Grayson editorial@aggman.com Design & Production Art Director: Sandy Turner, Jr. Production Designer: Timothy Smith Advertising Production Manager: Linda Hapner production@aggman.com Construction Media Vice President, Construction Media: Joe Donald sales@randallreillyconstruction.com 3200 Rice Mine Rd NE Tuscaloosa, AL 35406 800-633-5953 randallreilly.com Corporate Chairman: Mike Reilly President and CEO: Brent Reilly Chief Operations Officer: Shane Elmore Chief Financial Officer: Russell McEwen Senior Vice President, Sales: Scott Miller Senior Vice President, Editorial and Research: Linda Longton Vice President of Events: Stacy McCants Vice President, Audience Development: Prescott Shibles Vice President, Digital Services: Nick Reid Vice President, Marketing: Julie Arsenault For change of address and other subscription inquiries, please contact: aggregatesmanager@halldata.com. Aggregates Manager TM magazine (ISSN 1552-3071) is published monthly by Randall-Reilly, LLC copyright 2016. Executive and Administrative offices, 3200 Rice Mine Rd. N.E., Tuscaloosa, AL 35406. Subscription rates: $24 annually, Non-domestic $125 annually. Single copies: $7. We assume no responsibility for the validity of claims of manufacturers in any advertisement or editorial product information or literature offered by them. Publisher reserves the right to refuse non-qualified subscriptions. Periodical circulation postage paid at Tuscaloosa, Alabama and additional entries. All rights reserved. No part of this publication may be reproduced or transmitted in any form or by any means, electronic or mechanical, including photocopying, recording, or by an information storage retrieval system, without written permission of the copyright owner. POSTMASTER: Send all UAA to CFS. (See DMM 507.1.5.2); NON-POSTAL AND MILITARY FACILITIES: send address corrections to Aggregates Manager, 3200 Rice Mine Road N.E., Tuscaloosa, AL 35406. Pain Points for Producers by Therese Dunphy, Editor-in-Chief tdunphy@randallreilly.com EDITORIAL T he results of the 2016 Aggregates Manager Equipment Survey indicate that equipment acquisitions continue to be on the upswing throughout the aggregates industry (see page 11). Nearly 30 percent of respondents say they will increase capital expenditures during the next year, and that re- port comes after nearly one in two increased spending during 2015. It's great to hear so many producers say they can once again invest in their op- erations following lean years during the Great Recession. The good news is, indeed, good. However, many producers also report that they are struggling with two key issues: maintaining current equipment and finding personnel who can run it. Anecdotal responses regarding maintenance boiled down to two main concerns: performance and cost. Numerous operators cited monetary concerns, noting that maintenance costs have been difficult to control. Many said they are performing pro-active maintenance and using predictive maintenance methodologies. Maintenance and personnel concerns cross over for some operators, with a num- ber of respondents who said that — as production demands increase and run times are longer — they can't find mechanics to perform repairs, or they don't have enough service personnel, particularly those versed in the electronics found on newer ma- chines. The issue of worker availability was raised earlier this year during our annual forecast survey. Worker shortages were the second highest concern for operators, with nearly 17 percent describing it as a major problem and another 46 percent describing it as a minor problem. It was also echoed in the U.S. Geological Survey's roundup of top crushed stone producers (see page 29), which found that the total number of employees working at aggregates mines has decreased every year since 2006. "For six-plus years, we have had to lay-off personnel due to poor economic condi- tions. Many highly skilled and technical people have left our organization, and find- ing personnel with similar abilities has been difficult to impossible," one respondent noted. "We are now increasing our operation to about 85 percent capacity, and many of our new employees have not been involved with this type of operation." "We are contacting the local community college and looking for younger per- sonnel interested in seeking a career in manufacturing that we can possibly train," another responded. "Presently, there are few interested in our profession, but finding electricians or mill rights is becoming exceedingly difficult." Other respondents also said they visit educational venues in search of potential workers. One operator instituted incentives in hopes of improving retention. Still an- other says that a simple sign at the gate, coupled with several rounds of interview- ing, nets him the necessary workers. What works for your operation? Drop me an email. I'd love to hear from you.