Local Company Sets New Industry Standard: DEMEP a Partner in Success for PTM Manufacturing, LLC
“It’s a newschool method in an old-school industry.”
– Pete Faverio
PTM President
By Allison Hayes
PTM Manufacturing, LLC began in the 1990s, when Pete Faverio and his business partners were looking for more energy efficient and superior insulation and ductwork products to disrupt the heating, ventilation, and air conditioning (HVAC) industry standard. The current industry standard is to use sheet metal as the conduit for the air distribution system and then wrap the sheet metal with insulation. This method requires either some type of maintenance or replacement every three to five years due to normal environmental wear and tear on the exterior systems. Faverio and his partners saw a better way.
PTM develops products that improve building energy efficiency, reduce total energy consumption, and lower cost. Their products include Dual-Tech®, Techna-Duc® and Kingspan KoolDuct®.PTM develops products that improve building energy efficiency, reduce total energy consumption, and lower cost. Their products include Dual-Tech®, Techna-Duc® and Kingspan KoolDuct®.
PTM has developed and currently produces patented products that improve energy efficiency, reduce total energy consumption, and lower overall run costs. Their products are sold under the names of Dual-Tech® and Techna-Duc®, and they maintain the sole license for Kingspan KoolDuct® in the Northeastern region.
As PTM found its footing, it faced the typical challenges of many small to mid-sized manufacturers – surviving in a tough economy and managing growth. All HVAC systems use ductwork, but PTM had to convince an entire industry to do things in a new way by using one of its products instead of the standard sheet metal solution.
“It’s a new-school method in an old-school industry,” said Faverio, PTM’s president.
As PTM began to prove its products’ potential and grow, Faverio knew it needed processes to grow in a strategic way. With the addition of Chief Operating Officer Ron Galloway and the Delaware Manufacturing Extension Partnership (DEMEP), they were able to do just that.
DEMEP is the official representative of the MEP National Network in Delaware. The MEP National Network™ is a unique public-private partnership that delivers comprehensive, proven solutions to U.S. manufacturers, fueling growth and advancing U.S. manufacturing.
DEMEP is administered through Delaware Technical Community College in partnership with the United States Department of Commerce, the National Institute of Standards and Technology, the Delaware Division of Small Business, and the Delaware State Chambers of Commerce. Through these partnerships, DEMEP draws its resources from local and national universities, community colleges, research institutions, private consultants, and a network of 51 MEP Centers located in all 50 states and Puerto Rico. With these unique relationships, DEMEP can provide its clients with confidential access to their industries’ best practices, processes, and business improvement methodologies.
“DEMEP has been a big part of our growth,” said Faverio. “Without them, we wouldn’t be where we are today in the manufacturing process.”
PTM, with the help of DEMEP, began implementing advanced manufacturing concepts, which enabled production output to increase by 350 percent.
PTM’s Products
PTM manufactures patented Techna-Duc® insulation systems for exterior HVAC ducting applications. Techna-Duc forms a watertight shield against the environment and has been documented to reduce system energy output by up to 25 percent.
PTM also distributes and fabricates the Kingspan KoolDuct® product line – used worldwide as a premier air conveyance system. Designed to combine insulation and ducting for more thermally efficient HVAC performance, Kingspan KoolDuct® practically eliminates system air leakage, improves indoor air quality, boosts overall energy efficiency, and can reduce unit fan operation by as much as 30 percent.
PTM also has combined the advantages of Kingspan KoolDuct® with the durability of the patented Techna-Duc® in its all-in-one patented Dual-Tech® system, a pre-insulated air distribution system suitable for indoor and outdoor applications. The combined benefits yield a pre-insulated, watertight shield that practically eliminates system air leakage, improves indoor air quality, boosts overall energy efficiency, and facilitates a one-trade installation that speeds up installation time.
Initially, DEMEP helped PTM address the efficiency of their manufacturing processes. Through a process called Value Stream Mapping, DEMEP was able to assist PTM with its entire manufacturing process and create a vision of what that process should look like. PTM, with the help of DEMEP, then began implementing some advanced manufacturing concepts which enabled production output to increase by 350 percent. With this increased output, they were able to price their products more competitively so they could “offer a superior product at a price similar to other less effective products,” Galloway said.
With Value Stream Mapping, you can easily illustrate the movement of all information and materials used in your process. It helps identify waste throughout the entire system. It challenges and provides guidance to develop an improved strategy to meet the needs of the customer.
3P is a method that focuses on eliminating waste through product and process design.
“We’ve doubled our profits every year for the past five years. At the heart of our business is our mission to always put the customer first. People appreciate that our employees are knowledgeable about their needs and concerns and are always willing to help. We haven’t lost that aspect of customer service as we continue to grow.”
– Pete Faverio
PTM President
As the company grew, it needed more space. When PTM purchased a larger building in New Castle, they called on DEMEP again to ensure they were setting up the new facility to maximize its potential. DEMEP trained the employees on how to apply a process called 3P (Production Preparation Process). The method takes a proactive approach to developing an advanced, efficient manufacturing facility.
The 3P process created a full-size mockup of the new plant floor layout and allowed the employees to go through a trial run on all processes to ensure they functioned in the most effective way.
“This was the key to help us plan the layout of our new facility for maximum efficiency,” Galloway said. “Flow was a big part of our new setup.”
Galloway also noted that every employee in the company had a part in the process.
“DEMEP doesn’t tell you what to do,” he said. “They were there to listen to our ideas and assist us in helping pick the most logical and best parts of everyone’s input. Our employees take pride in knowing that they were instrumental in developing the new factory. DEMEP was the outside eye that we needed to help us see the big picture. We now know how to look at the whole picture, when often we were too close to the work to see what the end result should be.”
With a culture of lean manufacturing and the buy-in of every employee, growth has been continuing.
“It’s a billion dollar business and if we can even capture one percent of it, the sky is the limit,” Faverio said.
As PTM continues to grow, the company knows DEMEP will continue to be a partner in managing that growth.
“We’ve doubled our profits every year for the past five years,” said Faverio. “At the heart of our business is our mission to always put the customer first. People appreciate that our employees are knowledgeable about their needs and concerns and are always willing to help. We haven’t lost that aspect of customer service as we continue to grow.”