14 MiMfg Magazine August 2020
Europe and the Middle East. With business in more
than 80 countries in 2019, it’s not always feasible to
produce each product in each region.
“A critical factor of our success has been a result
of trade and exporting — our customers require a
range of solutions to support their unique needs,”
said David Radle, Operations Manager — Logistics
for Steelcase. “Exporting allows us to leverage our
scale and capabilities locally while at the same time
meeting the needs of our customers globally.”
The COVID-19 pandemic has had a significant
impact on regional suppliers, manufacturing facilities
and logistics and made normally reliable weekly
shipment intervals much more difficult to secure.
“It has also impacted our schedules quite a bit,” explained
Radle. “We are now actively preparing our supply chains
for future delays by pulling ahead orders, adjusting
inventories, expanding our carrier/lane combinations,
leveraging multiple export locations, and booking
ocean carrier capacity earlier, all to ensure we have the
vessel space we need with multiple schedule options.”
International exporting allows Steelcase to leverage
the capabilities of its West Michigan supply base on
a global level and provide the same consistency and
quality products to customers all over the world.
“In times like these, you need to have confidence
in your networks and contacts,” Radle suggested.
“Whether those networks and contacts are a broker/
forwarder, a customer, a trade association, the
Department of Commerce, or an industry group,
those closest to the region will have the most useful
knowledge to help guide your decision-making.”
RoMan Manufacturing, Inc.
RoMan is a global supplier for special watercooled
transformers and DC power supplies. The
Grand Rapids-based operation has equipment in
over 120 countries across Asia, South America, the
EU, Canada, and Mexico. As any manufacturer
with international ties will tell you, every region
carries very different challenges.
“Brazil and India have high levels of bureaucracy
while China carries with it concerns about tariffs and
constant mood swings in Beijing,” said Don DeCorte,
Vice President of RoMan Manufacturing, Inc. “At
RoMan we know that we must be an exporter in
order to survive and grow as a manufacturer, but we
could write a book on all the potential pitfalls.”
Deemed an essential service provider during
COVID-19, the company still had plenty of barriers
along the way. Safety issues, constantly changing
rules, and state shutdowns have added a tremendous
amount of stress to RoMan’s people and added cost
to operations.
“The worldwide reopening of business and
markets is going to be “bumpy” and inconsistent,”
Top Tips for Effective Exporting
Companies that export see greater profitability, are
better able to withstand fluctuations in the US economy
and are generally able to pay higher wages. Here
are the top tips from the team at Foster Swift for
effective exporting now and in the future:
1. Perform due diligence on potential trade partners.
2. Develop a solid contract with risk mitigation
strategies tailored to your industry, geography
and particular fact situations.
3. Reconsider and upgrade export compliance
plans, procedures and policies, especially in the
face of global pandemic and global recession.
Employees working remotely, shifting job
responsibilities among employees, new supply
chains, product line changes and new geographic
risks are all examples of pressure points that
can lead to legal trouble, including export control
issues and other violations.
4. Discuss international intellectual property
protection strategies with your international
trade attorney.
5. Check and update technology including the
company website, especially with SEO specific
to your export markets to enhance export
opportunities. The MEDC STEP Grant can
help with this.
6. Remember to take advantage of the free and
reduced-cost resources available for a limited
time through your local USEAC (see trade.gov).
Check out Foster Swift’s International Business and
Trade page at fosterswift.com for more services to
help you grow your international business.
DeCorte acknowledged. “Even the best economists
are having a hard time estimating how and when
the U.S. and world economy will bounce back. At
RoMan we know we must be vigilant and agile
regarding how the “wind is blowing” in order to
keep up with the constant change we expect to see
for a while.”
DeCorte continued, saying that despite the
many issues surrounding global trade, “we also
believe that being a global supplier makes us a better
company. While there are always challenges, having
to compete on a world scale is what challenges us to
be better. If you can bear the bumpy road, stay the
course. You may find excellent opportunity to
become an exporter due to your foreign competitors
not being ready to serve their markets. This means
doing your homework on competitors and it also
means “staying out there” regarding marketing
and connections.”