Core Technology, an injection molding solutions provider, is growing across different markets and globally. Success is built on innovation, quality and cost control.
By Andrew Hale

President and CEO of Core Technology Molding Corporation Geoff Foster, has a vision for the company. It is this: Grow across several different markets and stay diversified on a local and global basis.

The Minority Business Enterprise (MBE) strategic growth plan is designed to ensure the company will expand at a sustainable pace while maintaining the flexibility to adapt to constantly changing market conditions in terms of innovation, technology and competition.

Whatever business the company decides to pursue, customers can expect to get the highest quality, innovative solutions and a commitment to cost control.

Taking Cost Out and Putting Quality In
Core Technology, based in Greensboro, N.C., is an injection molding solutions provider, making plastic out of raw pellets to produce parts and doing full assembly as well. The company adheres to a strategy of remaining diversified across industries and is growing across industries. Industries include transportation, electronics, appliances, industrial, high-end consumer goods, automotive and medical devices. Currently, the key areas for growth are automotive and medical devices with planned growth of 20-30 percent in these sectors.

It is a testament to the company’s expertise and ability to deliver quality that multinational corporations like BMW and Merck have awarded business to Core Technology in these sectors because there are significant hurdles to cross in terms of specifications and costs. Today the company makes the blue electric charger found in every BMW shop.

“Core Technology provided the flexibility that BMW needed in a situation to reduce the rework and assembly time on a production part,” said Darlene Kessinger, a spokesperson in BMW Purchasing department. She added that “Core Technology was successful in meeting these two goals for BMW.”

To stay competitive, Foster stays focused on quality and cost. “Long-term, we have to work hard to take cost out of the main manufacturing process so we can compete against India and some of the other low-cost producing countries. We have to be 24 hours a day, seven days a week and are able to do it with 25 employees because we have robotics,” explains Foster.

One robot can do the work of four people. As long as Core Technology can produce quality parts and take the cost out, it can stay competitive.

Set of Differentiators
Several differentiators set Core Technology apart among other suppliers. It uses state-of-the-art all-electric equipment that keeps the plant clean and produces parts faster and with higher reliability. Scrap materials are recycled.

Another differentiator is the medical Clean Room, of which there are very few operated by minorities. The Clean Room is Certified Class 10,000 ISO 7 and Class 1,000 ISO 6.

Maintaining an ISO certified clean room is an additional challenge, but it is the technology that made us attractive to Merck. They depend on us to help them do things in other countries, like produce vaccines,” Foster says.

Additional differentiators include the ability to purchase equipment as needed for new opportunities, a major accomplishment considering the high capital investment required to maintain currency.

Stephanie Jones, a global procurement spokesperson at Merck said that Core Technology brought great value to the company. “Mr. Foster and the team at Core Technology Molding Corp have met our supply expectations – providing quality products with a high level of service, all while maintaining cost competitiveness.”

Core Technology has highly trained staff, including a toolmaker for in-house preventive maintenance, repairs and engineering changes. The staff includes people with engineering degrees who get additional and regular training to earn certificates as Certified Quality Auditors and Certified Quality Engineers. They also take training in Kanban (just-in-time), Lean Manufacturing, and ISO9001. A best practice is getting fully engaged with customers, and some employees train at customer facilities, like a BMW plant.

Core Technology’s continuous improvement projects keep the company competitive. “Core Technology provided a quality part at a competitive rate,” says Kessinger. “In addition, Core Technology was able to meet the demanding timeline required for these production parts.”

Staying competitive in manufacturing takes a well-planned, long-term strategy. One of the key components is maintaining an efficient supply chain. Price is just one factor considered.

Foster explains it this way: “A supplier may have a lower price, but we go through a separate checklist to make sure they meet our criteria and more importantly our customers’ criteria. That’s an important step in finding a great supplier that can work with us strategically and be competitive in areas like on-time deliveries and pricing, just like we must be with our customers.”

The supply chain is a critical element in the growth strategy because it enables local and global alliances. Major suppliers are considered to be partners who bring value to the company and its customers.

Bringing Solutions and Not Just Low Price
Being able to deliver value is a major goal of Core Technology, and that extends beyond price. The company has been able to capture some of the reshoring business that is driven by the high cost of freight, taxes and duties placed on goods produced overseas, and Core Technology continues to use automation to drive labor costs down.

However, more value is found in the solutions that technology brings. Continuous improvement is critical to developing these solutions and enabling the company to deliver a better product quicker, faster, and cheaper.

Core Technology can scale quickly because it has developed strong credit with banks and equipment providers. When new opportunities come along, the company must be ready to respond quickly. Having access to adequate capital is one of the company’s biggest challenges because a significant investment is required just to be in the running for a major contract, like the one obtained with Rubbermaid, which required a quarter of a million dollar investment to land the work.

“We must have reliable equipment, too, that is able to run 24-7 without breaking down weekly,” Foster added.

Building a successful company like Core Technology depends on great leadership skills. Foster has more than 20 years of molding experience, but his foresightedness keeps the company competitive. New technologies appear frequently.

“As a company, we need to always be looking for new technologies and new ways of doing things,” Foster explained. “We also need strong negotiation skills.”

The business buys plastic resins as raw materials, and the resins are petroleum based and subject to price variability. It is necessary to maintain a fine balance between inventory levels, cash flow and costs.

Giving Back
Foster ensures Core Technology gives back to the community, too. As a STEM employer, he wants to interest students in modern manufacturing and show parents that old concepts of manufacturing as a “dirty” trade are not valid anymore.

The company is a Guilford County Schools partner and allows students and their parents to attend open houses at the manufacturing plant. Visitors get to meet employees, see the Clean Room, and watch the robots at work. Students get to see the direct correlation between geometry, algebra, and trigonometry and robotics. For many parents, it is surprising to see employees working in spotless clothes and rooms, and with dust-free equipment. It demonstrates that white-collar jobs have replaced many blue-collar jobs due to technology.

Foster is also an adjunct professor in the School of Technology at A&T State University, teaching applied engineering with polymers and plastics, and a faculty advisor for a student group. Helping students see their potential in STEM fields has taken on new meaning in the global, technology economy. He also volunteers as chair for the Triad Regional Advisory Council-Committee to help MBEs develop and grow their businesses.

It is Foster’s foresight and sincerity that drive everything he does to achieve excellence. It is not surprising in the least that Core Technology was recognized by the North Carolina Statewide Minority Enterprise Development Council as an outstanding MBE.

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