MEC is an engineering services company that supplies prototypes to complement standard contract manufacturing.

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When entrepreneur Hyman Smith founded Milwaukee Electronics Corp. (MEC) in 1954, the company specialized in test instruments used to test products for electrical defects. Soon, it added circuit board manufacturing to the mix, which continues to be a core competency, CEO P. Michael Stoehr says. He acquired the Milwaukee-based company in 1985, when Smith was nearing retirement.

Under Stoehr’s leadership, MEC evolved into an engineering services company supplying prototypes to complement standard contract manufacturing. In 2003, he launched an Internet quick-turn assembly service group called Screaming Circuits in response to the demand of its engineering customer base who needed prototypes and assemblies done in one to two days.

“We have equipment availability set aside specifically for immediate services,” Stoehr explains. “We have a patented process that allows us to machine-place components for very small circuit board quantities from one to five, and we have a focused management group that does nothing but quick turnaround. It’s completely set apart from our normal operations and it’s Internet-based, so our customers don’t have to wait for phone calls to be returned or people to be reached.”

MEC’s ‘Neon Sign’
“Our key strength, our motto, our neon sign is ‘perfect product,’” Stoehr says. “That’s what we tell people we will deliver when they want something from us that applies to engineering capabilities, designs, manufactured product or quick-turn assemblies and prototypes that they want in 24 hours.”

A second MEC strength is its engineering group’s “broad capabilities,” he continues. “In addition to having electrical engineers, we have mechanical engineers, materials engineers and packaging specialists, so we can apply those engineering design services to many industries and applications. For example, when a company wanted the ability to do inventory with a hand-held device, we designed not just the electronics, but the packaging, the plastic case, the size of it or how it fits in the hand – the whole product.”

‘Not a Niche Player’
MEC’s customers reside in 17 different industries, which illustrates its broad scope of services, Stoehr says. “When we can apply our engineering expertise to 17 industries, that means we’re not a niche player,” he asserts. For Harley Davidson, MEC created a device that allows riders to lock their saddlebags with a remote control. Other customers include HP, Rockwell Automation, Adec and General Electric.

Despite its broad capabilities, MEC still focuses on low-volume production, Stoehr says. “I would describe our position as a very talented, small company that addresses customers’ low-volume niche requirements,” he explains. “Most people in the electronics manufacturing services industry want customers who build half-a-million to 1 million circuit boards for products, but we look for people who need specialized products in quantities of less than 10,000 a year. We have found there seems to be a need for that.”

MEC’s size allows it to provide personalized service, a quality that attracts large corporations, Stoehr notes. “One of our customers felt their engineers and our engineers needed to work more closely together,” he recalls. “So, we put our engineers in their facilities on-site, and that’s where they continue to physically reside. That shows how far we are willing to go to accommodate our customers’ needs.”

‘Pulse Day’
MEC is also willing to accommodate its employees’ needs. Management maintains “an open relationship where employees feel they are free to share, confront and communicate,” according to Stoehr. In addition, the company invites a physician to visit one of its facilities two times a week “to allow employees to [receive medical attention] for whatever reason they need,” he says. “It’s more convenient for employees when they can see a doctor on location and not have to drive there or take time off of work.”

Once a year, the entire company receives a physical checkup, Stoehr alludes. “We call it ‘Pulse Day’ to check the pulse of the company,” he explains. “Everyone fills out a 33-question survey as to how they view the company. Then, we tabulate the results, identify what areas need to change and respond back to our employees.”

Lean For Perfection
MEC is a firm believer in lean methodology, which the company has practiced for five years.

“What I’m most proud of is we do lean exercises between our employees, customers and suppliers,” Stoehr states. “We send our people to participate in their lean exercises; they send their people to participate in ours."

Lean helps MEC stick to its “perfect product” philosophy, he adds. “There are not many companies that say, ‘We will give you a perfect product.’ We do.”