Phoenix Stamping Group’s (PSG) 10-year business growth story is a textbook example of how the MEP National Network™ and its trusted advisors can help a focused, driven leader navigate change and manage the many facets of expanding a manufacturing business.

Since 2016, the Georgia Manufacturing Extension Partnership (GaMEP) at Georgia Tech has worked with PSG on a strategic scaling-up plan that has led to expansion into two other states and the creation of a holding company, PHX Holdings, with two additional entities.

A Foundation of Leadership

Founded in 1986, PSG is a veteran-owned manufacturer of sheet metal and rod products for the trailer, automotive, material handling, and agricultural industries. Brandyn Chapman, a West Point graduate and U.S. Army veteran, has led the company since 2001. Since then, PSG has expanded its product base and expertise, while developing a customer-focused approach that has made the company an integral part of its customers’ supply chains.

Chapman has always been disciplined about maintaining a culture of employee engagement, standard work, lean manufacturing, and continuity. He has also been aggressive about adopting new technology and advanced manufacturing processes. As the business gained momentum, he saw opportunities to use new technologies for business growth and expansion, but knew he needed help to implement these initiatives. He turned to the GaMEP Strategy, Leadership, and Technology Group Manager Michael Stonecipher for help.

The work begins in Georgia: Strategy extends to workforce, company playbook

PSG has long held a core value central to its business: Customers First, Employees Always. “We are a community of makers,” said Lauren Barnes, PHX Holdings’ chief people officer. “Makers are our most valuable asset, which is why we invest in their development and well-being.”

Stonecipher coordinated efforts with members of his team as well as the operational excellence team to assist PSG in the implementation of a continuous improvement (CI) model that has helped drive the company’s massive growth over the past eight years, while investing in employee development.

CI initiatives can help the manufacturing customer in a number of ways, from higher quality products to increased reliability, lower costs, and more. CI initiatives also empower manufacturing employees, which leads to increased job satisfaction, improved work environments, and continuous learning.

This CI initiative was foundational to PSG’s business growth and included a series of training and development sessions that GaMEP delivered to PSG in 2017, including:

• • Front-line leadership training. Taught problem-solving skills and techniques, process improvement methods, and leadership skills to about 50 shop floor leaders.

• • Managing for Daily Improvement (MDI). Addressed overall teamwork and development of key performance indicators within an organization.

• • Hoshin Kanri. Educated the entire PSG operation, about 300 people, in Hoshin Kanri, a seven-step strategic planning process in which strategic goals are communicated throughout the company and then put into action.

GaMEP also helped PSG create a playbook for how to successfully run a company. The playbook has helped them not only to scale up business growth but also with acquisitions. In addition, PSG implemented an employee incentive program with employee profit sharing, bonus incentives for productivity, and annual team-building retreats.

Today, PSG continues to partner with GaMEP to help with automation efforts and onboarding new technology.

Acquisition, start-up company lead to growth in Indiana and Texas

PSG is based in Atlanta, where it has two manufacturing facilities. The company expanded into Fort Wayne, Indiana, in 2013, and it opened a new facility in 2023 in Fort Worth, Texas. In 2019, the company acquired Garrity Tool Company in Indianapolis (which now goes by GTC Machining) and created PartWorks.

GTC is a precision machine shop that is a major supplier of machining and engineering services throughout the defense, aerospace, biomedical, and commercial market segments.

PartWorks was created in part due to the massive consolidation of the aerospace supplier base, which has resulted in higher customer costs and reduced vendor responsiveness. The company has developed augmented reality (AR) software that helps technicians with repairs and inspections of aircraft fasteners with greater speed and accuracy than any legacy solution.

The software contributes data that reduces errors, improves operational efficiency, and generates comprehensive multimedia documentation for verification and training. Today, PartWorks is developing new technology for other segments and sees significant opportunities to drive innovation, service levels, and efficiency.

Holding company works as the backbone for multi-state operations and business growth

PHX Holdings was founded in 2019 and is an active partner with its operating companies, using the playbook from the work with GaMEP and overlaying best practices, standard sequences, and processes where applicable. The holding company also provides support for efficiencies and consistencies, such as a common ERP system and a process for R&D and product creation.

Each PHX Holdings property follows the Hoshin Kanri strategy and deployment model, with three-year strategic plans, annual execution initiatives, and daily update sessions. Every organization is different, so there must be flexibility while maintaining momentum and consistent trust through accountability and core values.

While GaMEP continues its work with PHX Holdings and its operating companies at a strategic level, the local MEP centers in Indiana and Texas assist with their local operational needs. GTC has developed a working relationship with the Purdue MEP to offer employee training and cybersecurity training. PSG has also entered a relationship with Texas Manufacturing Assistance Center to support the operational needs associated with process improvement, employee development, and technology.

“This combination of strategic support to create continuity across operating companies and local support for specific operational needs is a model that is replicable and scalable for organizations that manufacture across multiple states,” Stonecipher said. “It goes from one individual becoming a trusted advisor to a national network becoming a trusted organization.”

The MEP National Network™ can help you develop a business growth strategy

PHX Holdings has seen tremendous impacts from working with mission-based experts who are driven not by profit but by trust and core values. Whether your company is based solely in Georgia or has facilities across the United States, GaMEP can help you refine your strategic plan and connect you with the resources you need for business growth.