CERTIFIED MANUFACTURING POISED TO EXPAND IN NORTH OKALOOSA COUNTY

It could not have been said any better by Fred Leopold. This defense contractor is setting itself up for the growth planned by the expansion of both the defense industry and civilian aerospace targeted in this area.

Certified Manufacturing poised to expand
Encouraging business forecast spurs decision to add 32,000 square feet
By THOMAS J. MONIGAN tmonigan@nwfdailynews.com

When Certified Manufacturing Inc. became the first tenant in the Holt Industrial Park eight years ago, it brought about 10 employees from Crestview. So why were local officials so pumped up? “It’s really a stepping stone for what might come,” said banker Fred Leopold, who was chairman of the Okaloosa Community Development Corp. Maintaining the atmosphere and structure of an extended family has enabled CMI to begin realizing its potential as it enters its 11th year of existence. Recently, owner Pamela Bechtold and about three dozen employees broke ground on what should become three buildings that will triple the company’s space. Financing from DestinFirst Bank and a small business loan from the federal government have proven crucial, said Bob Bechtold, Pamela Bechtold’s husband and the company’s vice president. “We wouldn’t be where we are without our bank,” he added. The cost of the project is estimated at $3 million, which means family-owned CMI is taking what it hopes is a well-calculated risk. So far, it has enjoyed considerable sub-contracting success with products and services that are used by all branches of the military and Homeland Defense. “When the big companies are considering you, they like to see you have the facilities, capabilities and personnel,” Bob Bechtold said. “With an expansion like this, at some point you have to make a decision based on your forecast and the business environment. We made the decision on the excitement our customers have and the bid backlog. We feel we have a robust enough future forecast to take this step.” K&J Construction of Baker is the general contractor. Completion of the first building (12,000 square feet) is targeted for the end of this year. The other two buildings (10,000 square feet each) have should be finished by the end of March. Overall, it breaks down to 4,000 square feet of offices and 28,000 square feet of manufacturing space. There’s also room on the 6.5-acre site for 25,000 more square feet to be built. The company makes products such as cables, circuit card assemblies, electronic panels and mechanical assemblies. They can be used in cockpit and weapon controls in military aircraft or armored vehicles, or in controlling cameras on top of Humvees. “Everything we build here goes straight to our troops,” Pamela Bechtold said previously. “Nothing gets put on a shelf.” From August of last year through July of this year, CMI recorded 100 percent ontime delivery of 77,340 units. Its quality performance was rated at 99.99 percent. “These products are high margin, high quality and high need, and scheduled delivery is the key issue with all of them,” Bob Bechtold said. “It’s a low volume, but a high complexity factor that requires lots of customer interface. Sometimes we even have to reverse engineer some products.” CMI’s benchmarks include an AS9100 rating from the International Organization for Standardization (ISO), which is the world’s largest developer and publisher of International Standards. ISO is a non-government network of national standards institutes from 157 countries. In addition, CMI is part of a Mentor-Protégé Program in which the Department of Defense pays Boeing to train CMI employees. “Our people got us here,” Bob Bechtold said. “We have very low turnover. We pay our employees competitively, and at our small company they get benefits that most people expect from big companies. People enjoy working here. We treat them well. “My wife has set the tone in developing a family atmosphere of dedication and compassion. Our people really care about the success of the company.” Daily News Business Editor Thomas J. Monigan can be reached at 863-1111, Ext. 1438.