Rockford Manufacturing Technology Initiatives

1. 10/4/2007 Northern Illinois University 1 Rockford Manufacturing Technology Initiatives EIGERLab – A manufacturing technology and business incubator for the Rockford region MARRV – Manufacturers Alliance of Rock River Valley – A suppler cooperative for small manufacturers Related manufacturing research program ROCK

2. 10/4/2007 Northern Illinois University 2 RML & TRMTC – Overview Lessons learned from Rockford Rodman Manufacturing Lab has a precedent in Rockford called EIGERLab Three Rivers Manufacturing Technology Consortium has a precedent in Rockford called MARRV – Manufacturers Alliance of Rock River Valley NIU has been very involved in the creation and support of both

3. 10/4/2007 Northern Illinois University 3 EIGERlab What is the EIGERlab ?  Rock River Valley's venue for industry, education and government to focus on Advanced Manufacturing Located in the old Ingersoll Milling Engineering Center in Rockford

4. 10/4/2007 Northern Illinois University 4 EIGERlab EIGERLab provides incubator space including both lab and office space

5. 10/4/2007 Northern Illinois University 5 EIGERlab EIGERLab was also intended as an R&D Center with many universities represented. Only Northern Illinois University and Rock Valley College have people at EIGERLab NIU has 7 staff at the EIGERlab and does research in manufacturing and supply chain technology RVC does no R&D, but has Illinois funded business support services at EIGERLab (e.g. Procurement Assistance office, Entrepreneurship Center, OSHA Center) Alion Science & Technology (formerly IIT Research Institute) also has a group at the EIGERLab supporting this effort

6. 10/4/2007 Northern Illinois University 6 EIGERlab Mission Support Rockford-area industrial companies in performing R&D, Act as a catalyst for formation for new manufacturing-based businesses in Rockford, Act as a catalyst for adoption of new manufacturing technologies in Rockford, Support start-ups in the R&D Center, and Encourage the creation of new jobs.

7. 10/4/2007 Northern Illinois University 7 EIGERlab – Mission (cont) Work with local government to attract and/or grow manufacturing related businesses Work with funding sources (e.g. venture capital funds, angel investors, government loan pools, SBIR/STTR programs) to increase the level of funding for local concerns; and Help Rockford-area companies access Federal technology to convert it to process or products.

8. 10/4/2007 Northern Illinois University 8 MARRV was created by small and medium sized manufacturers to find new manufacturing opportunities   MARRV assisted local manufacturing companies in the development of flexible manufacturing networks.  MARRV offers complete manufacturing solutions to meet the technical and procurement needs of its customers. In addition, MARRV identifies training needs and opportunities for the regional manufacturing companies.

9. 10/4/2007 Northern Illinois University 9 MARRV History Started by ad-hoc group of local companies to pool their sales efforts and offer one-stop shopping for customers Reached 60 paid member companies in two years First year’s sales - $70,000 Second year projected Sales : $1+ million Encouraged cooperative behavior between many local companies

10. 10/4/2007 Northern Illinois University 10 Funding: SBA grant (from Congressman Manzullo), Membership dues of $500 per year, and Roughly 5% commission on deals However, as MARRV was experiencing an annual cost of $200,000 +, new revenues were needed NIU had encouraged MARRV to pursue DOD rebuild business with RIA and others, but member control and fairness, plus non-profit tax structure made joint bidding very difficult

11. 10/4/2007 Northern Illinois University 11 In early 2007, a local Rockford DOD supplier – SupplyCore – bought MARRV to act as a in-house supply chain organization for their effort to build a government parts supply business MARRV now continues to offer community services, but is largely focused on building a government parts supply business Will use area manufacturers as fabrication resources SupplyCore does not intend to have captive manufacturing facilities

12. 10/4/2007 Northern Illinois University 12 Rapid Optimization of Commercial Knowledge (ROCK) A technology program developed by Northern Illinois University to support EIGERLab and MARRV concept Supported by Illinois Congressional Delegation Congressman Manzullo Senator Fitzgerald Senator Durbin $11.8 million net funding to date Funded through Tank Automotive Research Development Engineering Command - TARDEC

13. 10/4/2007 Northern Illinois University 13 Rapid Optimization of Commercial Knowledge (ROCK) Two major technology thrusts Supply Chain communication/operation technologies Advancement of manufacturing process technologies Micro-scale manufacturing Laser Cladding for rebuilding Titanium Processing Center – mainly adiabatic compaction of powdered titanium into solids Laser-assisted Machining of Ceramics Rapid Manufacturing

14. 10/4/2007 Northern Illinois University 14 ROCK – Material Processing Investigate new machining and other processing technologies for application to spare parts fabrication. 36 -month task working with Rockford machine tool, tool and die, cutting tool and other companies. A number of companies identified with unique expertise in forming, machining, welding, etc. Several new start-ups in micro-manufacturing Ingersoll Milling (special machines, ultra-high speed machining) Fluidic Micro-Controls (low cost fluidic actuators) Abilities Center ( laser cladding, 3D metal printing) LMC (powder compaction by adiabatic processing) Many others are known with more to come

15. 10/4/2007 Northern Illinois University 15 Material Processing Sub-Program - Micro-Manufacturing Technology Development Designed and constructed several prototype miniature machine tools including those capable of milling, drilling and forming operations. Set up a laser micro-welding/cutting facility Working with EIGERLab incubator companies to develop micro-manufacturing applications Supported the incubation of three related companies: REALLCo, Atometric, and Micro-machine International with 3 others organizing currently.

16. 10/4/2007 Northern Illinois University 16 Micro-Manufacturing Program U of Illinois (under subcontract) built 3 and 5 axis micro-machine tools – both laboratory versions Alion Science has produced a number of prototype parts for various customers using those machines. Atometric, MMI and Ingersoll Milling have created production prototype micro-machine tools Much more industrialized that UIUC versions Atometric is the only company in the world to offer a commercial high precision 5-axis micro-milling machine Ingersoll, Atometric and REALLC all have received government commercialization grants for their respective micro-machines

17. 10/4/2007 Northern Illinois University 17 Micro-Manufacturing Program FY07 program emphasis on supporting technologies related to commercialization – application development being a major portion of the effort. NIU is working with Fluidic Micro Controls to develop a very low cost (around $20,000 or less) 3-axis micro-machine tool based on fluidic drives. NIU has developed an engineering prototype of a very low cost electro-mechanical 3-axis milling machine that is slightly less precise, but could sell for $20,000. We are looking for a commercializer of this technology. We are working with Rockford Area Ventures to develop and encourage the start-up companies to become more commercially viable Illinois Governor supplied $1.6 million for equipment for EIGERLab

18. 10/4/2007 Northern Illinois University 18 Micro-Manufacturing

19. 10/4/2007 Northern Illinois University 19 Material Processing – Other Tasks Titanium Powder Compaction & Machining Titanium Processing Capability Review This year will fund the establishment of a large 300 ton adiabatic press installation and testing for compaction of titanium powder to near net shape components. Working with LMC Inc. Army application is 12 inch square titanium tiles

20. 10/4/2007 Northern Illinois University 20 Material Processing – Other Tasks Laser Assisted Machining of Ceramics Developing the technology for a prototype of a production-suitable laser assisted turning system Building on prior university basic research efforts at Purdue, University of Wisconsin, etc. This year will fund the integration of a commercial turning system with a high power fiber laser system to form the basis of an experimental facility Working with Reliance Tool Inc. and University of Wisconsin Goal is to reduce time to finish precision ceramic components by 90% by machining most of the material rather than grinding.

21. 10/4/2007 Northern Illinois University 21 Material Processing – Other Tasks Laser Cladding Technology for Component Repair Developing a prototype of a production suitable cladding system Building on prior Alion Science & Technology research efforts with Puget Sound Naval Shipyard Technology won 2 R&D 100 awards in 2004 and 2005 This year will fund the application of this system to DoD and commercial parts, e.g.: Army Scout helicopter skid shoes High temperature process equipment parts Pump bases for Navy applications A company (Protoform) has been created to commercialize technology. Goal is to reduce time and cost to rebuild large precision metallic components by 75% including use of non-similar materials for cladding

22. 10/4/2007 Northern Illinois University 22 ROCK – Supply Chain Technologies NIU is working with MARRV to create a virtual supply chain capability. The program is: Developing MARRV member database of capabilities Performing “Situational Analysis” of 18 MARRV members Supporting MARRV in its bidding on RIA components with engineering consulting Demonstrating value of network-based project management and quality tracking systems

23. 10/4/2007 Northern Illinois University 23 ROCK MARRV Related Accomplishments MARRV database of company members capabilities Upgraded capability database to permit Internet access Set-up Internet-based Project Management system for MARRV evaluation - CAMeLEAN Setting up Internet - based system for quality and performance tracking - ProQuist Introduced MARRV to the potential of DoD rebuild and spare parts work Created the circumstances that led MARRV to SupplyCore

24. 10/4/2007 Northern Illinois University 24 Lessons Learned – My Opinion EIGERlab Too few incubator companies after 2 years Maybe 5 rent paying companies 80% of rented space goes to NIU, RAV, RVC, State of Illinois, EDGE Woman Business Center, Alion Science, etc. Perhaps too much emphasis on community education While important, it conflicts with colleges, universities and some companies

25. 10/4/2007 Northern Illinois University 25 Lessons Learned – My Opinion EIGERlab Nice office space, very limited manufacturing space (< 10% of total) Limited lab equipment in EIGERLab EIGERLab management has done a great job of promoting the “brand” and bringing visitors and publicity Great community support

26. 10/4/2007 Northern Illinois University 26 Lessons Learned – My Opinion Great Congressional Support - i.e. Don Manzullo and Senators Durbin and Fitzgerald Over $10 million in member R&D and economic development support Embrace virtual concept There are many other unique accessible facilities in the area that could be used for support Take better advantage of regional university (e.g. NIU) support NIU is 30 miles away and underutilized in a holistic sense Pending developments may solve many problems

27. 10/4/2007 Northern Illinois University 27 Lessons Learned – My Opinion MARRV I think the move to SupplyCore is a great idea Gives a crisper decision making process Provides a professional internationally-based sales force Provides strong IT support for a paperless system which reduces response time and lowers costs Gives MARRV a larger regional view Allows an established entity to make bids Prior to this, bidding as a new not-for-profit was difficult

28. 10/4/2007 Northern Illinois University 28 Lessons Learned – MARRV SupplyCore is strong with DoD sales, but growth may also come from supplying OEMS such as John Deere They recognize the value of partnering with Quad Cities, Peoria, and other groups to reach more OEMS Rock Island Arsenal clearly has a great potential to lead to business. SupplyCore has established an office at the island

29. 10/4/2007 Northern Illinois University 29 Suggestions for Quad Cities Establish a very tight relationship with major local OEMS RIA John Deere HON Bandag Winnebago Alcoa, etc.

30. 10/4/2007 Northern Illinois University 30 Quad Cities Suggestions Management – need a paid staff TRMTC and RML have a great volunteer team Partnerships – need to partner with Rockford, NIU, RIA, Deere, etc. Need to break through stove pipes Need a strong sense of urgency Need to establish a strong “brand” Tom McDunn at EIGERLab has done a great job in this area

31. 10/4/2007 Northern Illinois University 31 Quad Cities Suggestions Need funding to near the level that Rockford has experienced Need $ from Federal, State, local governments, plus businesses (strong companies like Deere should be able to help). Need to figure out how to institutionalize support while not creating an inflexible bureaucracy

32. 10/4/2007 Northern Illinois University 32 Suggestions - Facilities The space that is planned for Rodman Lab is heavy on manufacturing, but light on office and lab space. I also fear that access to the RIA space will be tough for many people. The space needs to look nice – modern and lively Space needs to quickly show good activity

33. 10/4/2007 Northern Illinois University 33 Suggestions - Facilities I feel you need to embrace a “virtual” model of incubator/lab space It would be ideal to have everything in one spot, but that would be cost prohibitive Also many local organizations have unique facilities /capabilities that fit with the mission – they should be incorporated in a virtual fashion I would think in the QC case, you need to think about facilities at John Deere, HON, Alcoa, etc. as well as those within the Arsenal

34. 10/4/2007 Northern Illinois University 34 Questions Thanks for letting me talk to you! I am sure that NIU will be more than willing to help you on your mission. Dick Johnson, Director of Engineering R&D Outreach, Northern Illinois University, 815-753-8938, rnjohnson@niu.edu