Miller Fabrication Solutions – Case Study

perfect timing

Executive Summary

Originally formed in 1963, Miller Fabrication Solutions has been a leading metal fabricator for more than 60 years. Today, the company has grown to more than 400 employees and four plant locations in western Pennsylvania. It partners with some of the largest original equipment manufacturers across the country to provide steel parts, metal weldments, and fabrications for multiple heavy industries.

Miller Fabrication
  • Miller Fabrication Solutions has been a client of ITR Economics for more than 10 years, originally benefiting from the Executive Vantage Point™ (EVP) programs ITR Economics provides.
  • Uninformed and mistimed business decisions were making it difficult for the company to grow. ITR Economics’ accurate forecasts and economic insight were the remedy.
  • With valuable data from ITR Economics that provides insight into its business, industry, and markets, Miller Fabrication Solutions hopes to double in size from 2022 to 2026 and position itself for success leading up to and through the upcoming 2030s economic depression.
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“We didn't seem to ever time things right...

So, every time we would buy a facility, we would joke that if we're building or doing a big investment, we probably want to get out of the market because the bad things are coming. We always tended to buy the equipment or the building, and then, all of a sudden, our sales would erode.” – Eric Miller, President of Miller Fabrication Solutions

Miller Fabrications

Challenges

Before becoming a client of ITR Economics, Miller Fabrication Solutions was heavily concentrated in the volatile construction equipment industry. The business was subject to the whims of the market, including its ups and downs.

When it came to timing its investments and expansions, Miller Fabrication Solutions struggled, typically making such decisions when business was booming. This led to many hardships – as soon as the company had its new technologies, equipment, or buildings, it would enter a new business cycle phase and see sales and profits decline.

How Product Helped

With ITR Economics’ expert insights, Miller Fabrication Solutions learned how to optimally time its investments to grow the business, even if manufacturing was in decline. Further, by targeting new and growing markets, the company expanded into producing steel parts for the rail, mining, oil and gas, and industrial machinery markets. It also continues to produce parts for heavy construction equipment.

The valuable data and actionable advice from the EVP program not only helps Miller Fabrication Solutions execute its sales strategy, but also assists the company in developing effective plans on the purchasing side and negotiating better deals. Equipped with data-driven insights from ITR Economics, Miller Fabrication Solutions has an incredible advantage over its competitors.

“I have found that if you time it right, it’ll look strange to your competitors, because most people are operating without this information,” Miller said. “It gives us a competitive advantage, for sure, having worked with ITR Economics.”

“I understand better now that we were purchasing on the upswing, not realizing that the downswing was coming...

We were buying at probably the worst possible point in the economic cycle – at the very peak. It didn't feel like it was the peak of the cycle, but it was.” – Eric Miller

Miller Fabrications

Results, Return On Investment, And Future Plans

With accurate data, reliable forecasts, and access to our expert team of economists, Miller Fabrication Solutions has had much more success in growing the business. Its goals to double its 2022 size and performance by 2028 are within reach.

As the company continues to grow, it will be better poised to take on the challenges – as well as opportunities – that the upcoming 2030s depression will bring.

“Cash is oxygen to a business. So, there probably would’ve been times when the anticipated depression would’ve been more stressful on the business than we would’ve wanted and could have led to some difficult decisions. Thankfully, we didn’t have to go there. It would have been a much more difficult road to navigate had we not had the information ITR Economics has provided. I’m glad we were introduced, because the relationship gives us the ability to be driving from the windshield rather than the rearview mirror.” – Eric Miller