Page 10 - CMA PROfiles Winter 2021
P. 10

The Evolution

     OF BUSINESS
     Outsourcing












        CHOOSING OUTSOURCING OVER AN IN-HOUSE SOLUTION by Joe Knobbe
                                  When Amanda Conger           Randy doesn’t outsource pre-finished components/doors
                                  approached me about the      because custom finishing is part of what makes the company
                                  2021 theme, we talked about   unique; the business often provides whole-house trim packages
                                  the ways that businesses     that they pre-finish as well. Randy’s has a full-time finisher on
                                  can evolve and overcome      staff.
                                  challenges — whether
                                  external, such as COVID-19   They also outsource some drawer boxes from CCF.
                                  and recession, or internal, like   On some projects (often for insurance claims), they outsource
                                  family changes or financial hits.   face-frame cabinet components from Cabinotch. They like the

        I immediately thought of one of the most effective     fast lead time, low cost, and efficiency, and Niewind says this
        game-changing strategies I’ve seen in my decades in the   allows them to take on projects they would normally have to
        industry: Outsourcing.                                 pass on due to short turnaround times.
        Many people are attracted to woodworking and its many   Randy is currently outsourcing an entire kitchen to another
        offshoots because they love the craft and tradition. They love   CMA member — the job called for frameless, high-gloss acrylic
        making things with their hands.                        panels, and the shop doesn’t have an edgebander.
        Sometimes this translates to woodworkers taking what you   The company has had experiences where outsourcing didn’t
        might call a “purist” approach, committing to their products   work out well. At one point, Randy’s took on commercial
        being entirely made in-house.
                                                               jobs, but subbed the work out. Unfortunately, the sub proved
        I understand the motivation, but most people who want to   to be undependable so Niewind decided to stop taking on
        make a living in this industry have to take a hard look at the   commercial jobs and stick with a focus on residential.
        philosophies they brought into their businesses and recognize
        which ones are holding them back — or pulling them under.   Matt Krig

        Early in my career, I worked with a company that made   Northland Woodworks — Blaine, MN
        everything. It’s mind-boggling to think back on the    Krig’s outsourcing strategy is one that many CMA members
        time-consuming lengths we would go to for a single project.  take advantage of.
        Although the company had many talented craftsmen, it was   “I outsource all of my problems and questions to this amazing
        always struggling financially and eventually shut down. With the   service called the CMA,” Krig says. “The turnaround time and
        benefit of hindsight and experience, I can say with confidence
        that its refusal to outsource was one of the major reasons it   quality is always on point and leaves me wondering how they
        failed (not focusing on sales was its other Achilles heel).   do it. The CMA has many locations throughout the country
                                                               and is continually growing. Its people are all super helpful and
        Fortunately, you don’t have to take my word for it. Here are
        insights from other CMA members who share their business   friendly no matter what I need or who I get ahold of.
        models related to outsourcing.                         “If you haven't tried outsourcing your issues, I'd highly
                                                               recommend trying it,” he adds. “I know I’ll never solve my own
        Randy Niewind                                          problems again.”
        Randy’s Cabinets and Woodwork — Grand Rapids, MN       Although Krig's take on outsourcing may sound a little
        Niewind has been in business since 1999 and has been   light-hearted, he says he couldn’t be more serious.
        outsourcing since 2003; 95 percent of his work involves
        face-frame cabinets. He uses doors from Walzcraft and   “Our company has way less overhead as a result of the advice
        outsources anything you need a shaper or molder for, such as   and counsel we’ve gotten from fellow members and through
        corbels, crown molding, legs, and turnings.            CMA shop tours and educational events.”

     8  PROFILES   WINTER 2021
   5   6   7   8   9   10   11   12   13   14   15