May 30, 2006
MiBiz West
Karen Gentry

MUSKEGON — It’s been an even 100 years since Continental Motors planted its flag on Getty Street in Muskegon to build heavy engines. The venerable plant’s current owner, L-3 Communications Holding Inc., plans to light up the sky this summer in celebration of achieving this rare milestone.

To increase community awareness and celebrate the plant’s century in Muskegon, L-3 Communications–Combat Propulsion Systems has signed on as the first ever title sponsor for the Muskegon Air Fair to take place July 21-23 at the Muskegon County Airport.

L-3 acquired the sprawling Getty Street plant from General Dynamics Land Systems in 2005 and has since been scrambling to keep up with a surge in demand from the U.S. Department of Defense.

The Muskegon division of New York-based L-3 Communications provides key subsystems for all the platforms now fighting in Iraq including the Bradley infantry fighting vehicle, the Abrams main battle tank and the Stryker wheeled combat vehicle.

The booming defense contracts led to the hiring of about 100 people in the last 12 months, according to L-3 Communications–Combat Propulsion System President Michael Soimar. L-3 is currently looking for 20 candidates with high machining and assembly skills who are able to operate CNC machines, as well as 20 mechanical, electric/electronics and chemical engineers.

"We’re up 35 percent from last year," Soimar told MiBiz. Sales volumes at the Muskegon division contributed $200 million to the $12 billion parent company.

Providing transmission and turret drives for the Bradley infantry fighting vehicle and tank components like gun mounts and sprockets for the Abrams main battle tanks represent upwards of 40 percent of the business at the Muskegon unit.

"Initially they planned to phase out the platforms (Bradley, Abrams) but they proved to be so crucial in both Iraq conflicts in the last 10 years," Soimar said. "It’s obvious they’re the best fighting platforms in the world and the best combat vehicles in the world. The shelf life has been extended to 2040." Most of the subsystems go to the U.S. Army although L-3 also supplies the Marine Corps.

The Muskegon division is not relying solely on the current lineup of subsystems. Soimar said the company is also developing hybrid electric vehicle technologies and alternative energies like fuel cells and new engine technology.

"The Department of Defense is one of the largest energy users in this country," said Soimar, noting there’s a big push toward more efficient systems. He pointed out that alternative energies such as wind power will eventually spin out to non-military uses.

"We are one of the few doing this for military applications," Soimar told MiBiz. He said, "these technologies are the technologies of the future." The company also has developed a number of new security related products.

The new products and technologies should help the Muskegon division meet the directive from headquarters to achieve at least two-digit organic growth each year.

"So far we are exceeding the challenges. We strive to continue to meet the challenge," Soimar said.

L3 Communications is in the process of introducing Lean Six Sigma, a methodology that provides techniques and tools to improve the capability and reduce the defects in any process. Lean Six Sigma is being applied in many industrial operations.

"It’s very high on the military technology list because it’s a way to improve the efficiency of your operations," Soimar said. "By implementing this we improve the quality and cut the waste." It has already been applied to the Bradley transmission processes and will soon implemented for the Bradley turret drive. As all aspects of an operation are streamlined using Lean Six Sigma, the process addresses the two major issues of on-time deliveries and product quality, according to Soimar.

Although a different name since General Dynamics Land System Propulsion Systems was sold to L-3 Communications Holding Inc. in 2005, the plant is part of a long Muskegon heritage of heavy manufacturing on Getty Street. That legacy dates back 100 years to when Continental Motors built its first engine. Military components have been manufactured at the site since 1942 when Continental spun off its first division in the military arena. Today the L-3 division operates in 1 million square feet on 270 acres on Getty Street.

Other L-3 Communications divisions located in Michigan include Avionics Systems in Grand Rapids, producers of aircraft sensors and displays, and Ann Arbor-based Eotech, makers of holographic weapons sights.

Pam Vanderlaan, director of the Muskegon-based Procurement Technical Assistance Center, said that L-3 Communications is one of a handful of prime defense contractors in Muskegon County and one of 98 defense contractors on the western side of Michigan including the western Upper Peninsula. Other Muskegon companies include General Dynamics Land Systems, Johnson Technologies–a division of General Electric; Kaydon Corp.; T Q Machining Inc., Howmet Corp., and R.A. Miller Electronics Inc. PTAC, funded by the Defense Logistics Agency, helps businesses sell to the DoD, as well as other federal and state agencies.

Showtime

This year’s Muskegon Air Fair theme, "Meet America’s Heroes" honors military men and women and will include displays of a variety of military platforms deployed from World War I bombers to 21st century helicopters.

L-3 Communications will use the event to host clients from all over the world as a recruiting tool particularly in light of the 20 open engineering positions. At its interactive booth community members will be able to see and experience the wide range of products L-3 produces.

"They’re (L-3) doing this to raise the community awareness of who they are, their history in the area and what it is they do," said Pat Driscoll, marketing and sponsorship director for the Muskegon Summer Celebration Inc., organizers of the air fair.

Driscoll noted that this is the first time a manufacturer has sponsored the event, as opposed to companies with products to sell to the public.

"They (L-3) were a much smaller partner of the event in the last couple of years. In talking with them we knew we could accomplish several of their objectives with a much larger presence," Driscoll told MiBiz.

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This article appeared in the May 30, 2006 issue of MiBiz, read by upper management executives in West and Southwest Michigan. Print subscriptions are free to qualified individuals who do business in West and Southwest Michigan. For further information about MiBiz Network, visit www.mibiz.com.