Firm makes moving the big stuff easier

We all know moving can be a hassle, but imagine the headache if you're a business owner with equipment that weighs half a ton.

Egenolf Industrial Group, on the city's near-south side, specializes in relocating and installing machinery, from automotive parts machines to specialized equipment

Paul Egenolf founded the company in 1973. After his death in 1996, his three sons, Steve, Vince and Daniel, took over.

General Manager Ken Sitzman joined Egenolf about five years ago after teachmg high school English in Greenfield. Sitzman, 31, runs the business side of the company, and Vince's son, Tim Egenolf, 29, manages the technical side.

So what exactly does Egenolf Industrial Group do? "We always tell people we relocate machinery and equipment," Sitzman said. "We call it industrial service because we try to package several different services that revolve around relocation and machinery."

For example, if someone has a machine shop or a manufacturing facility and needs equipment moved, there are things involved beyond just physically moving the machinery, Sitzman explained. "There's electrical connections-internal connections and other times actual power runs. Sometimes components have to be aligned within very specific tolerances. Sometimes there's plumbing lines that are needed for air pipes or utilities. We try to package all of those services in a turnkey operation."

One local company that's used Egenolf's services is Connecticut-based Carrier Corp., a maker of heating, air conditioning and refrigeration units. "Egenolf is the No. 1 rigging company in that they can align equipment, and we don't have to redo it," said Mike Miller, manufacturing staff engineer. "They're reliable and on time, though they're not always the least costly. Sometimes that doesn't matter."

Because of its diverse client base, Egenolf has been able to weather economic downturns.

"Tim's grandpa used to joke that when times are good, you're putting in new machines, and when times are bad, you're pulling them out:' Sitzman said. "To some extent that is true. Economic times, however, don't necessarily directly affect how busy we are."

The key to the success of the business, the two believe, is its work force.

"The guys know that when they're on the job, they're a direct reflection of the company," Sitzman said. 'Everything we do affects someone's production time, and that means money."

Terry Embry maintenance engineer for Japan-based ENKEI America in Columbus, Ind., appreciates Egenolf's efficiency and team mentality. Egenolf has installed casting lines for the firm's aluminumwheel production facility.

"We work together as a team," Embry said. "Sometimes we've had situations with others where it's an 'us vs. them' situation. It's the total opposite with Egenolf. We always work well together."

Egenolf Industrial has been conservative in making equipment expenditures because the marketplace often changes. "Sheet-fed presses and the [printing] industry as a whole aren't as strong as they once were," Sitzman said. "If we had bought every piece of equipment to move sheet-fed presses, they would be sitting here doing nothing."

The company had $3 million in revenue in 2004, and the key to its growth is hiring and retaining good employees, Sitzman said.

"The tools for the job are very specialized and expensive," he said. "You can have all the tools in the world, but if you don't have the people to operate them, it doesn't work."

The company is especially proud of its strong core of long-term employees.

"Our premise for operating the business isn't to get rich," Sitzman said. "It's to have a secure place to work, to be able to support your families and to provide a good service."

Most of Egenolf's business comes from referrals and repeat customers. It also comes from relationships built with machineequipment manufacturers who ship their equipment to job sites.

"Our relationship with Miehle [a manufacturer of printing presses], which became [Chicago-based] MAN Roland, led us to a relationship with MAN Roland's newspaper division," Sitzman said. "From there, the biggest jump in sales was the Indianapolis Star press installation. That created a certain credibility dig has allowed us to grow and demonstrate that we can handle long-term projects." Egenolf targets locally owned businesses as clients, not large corporations that may move out of the country to reduce operating costs.

"Our target company is much smaller than a GM plant," Sitzman said. "Their size allows them the flexibility to respond to changes in the economy. Therefore, they're able to stay productive and keep us busy."

Probably the biggest challenge facing the company is increased insurance costs. "Insurance is a huge part of our operating costs," Egenolf said. "It's No. 2 after payout."

Sitzman concurs. "It's staggering," he said. "The cost isn't just going up, but it's also extremely difficult to find a carrier. We have been with an Indiana-based carrier for over 20 years, and they decided the risk is too high, so they're done-they're out of that industry."

So what's the secret to succeeding in a challenging economy?

"I don't think there's any way around the importance of hard work and a quality job," Egenolf said. "If you show a customer that, he'll call you back. There can be problems and misunderstandings, but if you're willing to fix them keep your word and do what you said you were going to do, everyone can respect that."