The final 2018 monthly economic report from the Industrial Heating Equipment Association (IHEA) was released earlier this month and reveals five indices trending upward and six trending downward. According to IHEA’s economist, the six trending downward are more long-term-looking while the five upward trending indices are more short-term-looking. The report suggests that it would be safe to conclude that the economy is softening and may start to slow in growth before the end of 2019.
IHEA PMI December 2018
Three of the biggest dippers were the Purchasing Managers Index (PMI) which “. . . crashed hard this month,” according to the report, the Credit Managers Index, and the Transportation Index. The full report offers a more complete analysis of these three indices.
IHEA Factory Orders December 2018
Moving in a positive direction were new home starts, capacity utilization, capital expenditures, durable goods, and factory orders.
Each of the eleven indices receives a full page analysis as well as commentary on how the changes in that index may affect the thermal processing/heat treating industry.
Ann Goyer, Executive Director of IHEA
To receive a complete copy of this month’s report, contact IHEA Executive Director, Anne Goyer, by email.
IHEA will celebrate its 90th anniversary at the 2019 Annual Meeting scheduled April 29-May 1 at the Lido Beach Resort in Sarasota, Florida. IHEA members look forward to the camaraderie created by the social events and the thought-provoking presentations the meeting offers. There are also plenty of opportunities to get involved with important industry-related developments while exploring new business contacts and growing relationships.
The IHEA Welcome Reception will kick off the event on the pool deck overlooking Lido Beach and the Gulf of Mexico. The program follows with relevant keynote sessions and committee meetings to discuss association business. Sprinkle in a more “laid back” annual president’s gala, a golf tournament and discovering local attractions, and it’s the perfect mix of business and pleasure. It’s a great way to keep current with industry trends and keep in touch with peers. A previous annual meeting attendee stated, “The IHEA Annual Meeting was thoughtfully structured; we learned a lot, made some new friends and business connections and had fun doing it!”
The beautiful resort is located on one of Florida’s best beaches, featuring soft white sand that stretches for miles. The resort is close to world-famous Siesta Key beach, often voted the best beach in the U.S. The Lido Beach Resort is also just minutes from the very popular St. Armand’s Circle, filled with restaurants and shops and accessible by resort shuttle or a short five-minute walk.
Complete meeting details and registration information can be found at www.ihea.org in early 2019. We hope to see you in Sarasota next April.
The monthly Executive Economic Summary published by the Industrial Heating Equipment Association showed slowing growth in November. Nonetheless, the report suggests that the economy will continue to grow steadily in 2019 despite a moderation of growth rates.
Here are a few highlights from the report which is made available in its entirety to IHEA members each month:
IHEA Credit Movement, November 2018
Indexes moving up included:
Car and light truck sales have increased slightly. This index was expected to drop significantly earlier this year and never did.
Housing starts continued to grow but more slowly than in previous months.
Steel consumption continues to be strong.
Metal prices also remain steady or increasing.
Capital investment — up.
Credit index — also up.
IHEA Transportation, November 2018
Those indices that retreated include:
Capacity utilization. Still slightly below 80 which is where economists like to see it. Nonetheless, this number is still quite high compared to recent months.
Purchasing managers index also slipped but continues to show significant growth.
Durable goods orders — down
Factory goods orders — down
Transportation index — down
Although a number of indexes were down, almost all continue to show growth or slight levels of economic contraction.
The 12-page report dives deeply into the above 11 indexes dedicating a complete page to each index.
Ann Goyer, Executive Director of IHEA
The complete report is available to IHEA member companies. To obtain a copy of the report, please contact Anne Goyer, Executive Vice President of the Industrial Heating Equipment Association (www.ihea.org). You can email Anne by clicking here.
Welcome to another episode of Heat Treat Radio, a periodic podcast where Heat Treat Radio host, Doug Glenn, discusses cutting-edge topics with industry-leading personalities. Below, you can either listen to the podcast by clicking on the audio play button, or you can read an edited version of the transcript. To see a complete list of other Heat Treat Radio episodes, click here.
In this conversation, Doug Glenn, publisher of Heat Treat Today and host of Heat Treat Radio, interviews Anne Goyer from IHEA, Eva Rowe from Messe Dusseldorf North America, and Peter Sherwin from Eurthorm by Schneider Electric to discuss the International Thermprocess Summit 2018 and Thermprocess 2019.
Click the play button below to listen.
If you’re looking for that ONE place where you can invest your time and know that you’ll walk away happy, then today’s Heat Treat Radioepisode is one you’ll want to hear. In this podcast, Anne Goyer from IHEA, Eva Rowe from Messe Dusseldorf North America, and Peter Sherwin from Eurthorm by Schneider Electric join Heat Treat Radio host Doug Glenn to discuss the two most important international heat treating events – one in North America and one in Europe — the International Thermprocess Summit 2018 (ITPS) and Thermprocess 2019.
Anne Goyer, IHEA
Peter Sherwin Eurotherm by Schneider Electric
Eva Rowe, Messe Dusseldorf North America
Doug’s three guests review the talks and news from the North American event, ITPS, which was held earlier this year, July 30-August 1, in Atlanta, Georgia. Peter Sherwin describes the talks that impressed or stood out to him the most. Anne Goyer addresses the floor talk from attendees and vendors regarding future shows. Eva Rowe reveals what participants can expect at Thermprocess 2019, which will be a quartet of shows which they’ve called the “Bright World of Metals.” The four events that are combined into this “Bright World of Metals” are Metec, Thermprocess, GIFA, and Newcast. All will take place in Dusseldorf, Germany, next June 25-29, 2019.
And don’t forget that here in North America, the two leading heat treating trade shows are Furnaces North America in the even-numbered years, and ASM’s Heat Treat Show in the odd-numbered years. To find out more about any North American heat treating event, visit www.heattreattoday.com and take a look at our calendar of events under the Resources Tab on our home page.
If you’d like to get in touch with any of the people from today’s Heat Treat Radio podcast, please feel free to contact me by email at doug@heattreattoday.com. And don’t forget to check out Thermprocess 2019 by going to www.thermprocess-online.com. Start making your plans to attend now. June 25-29, 2019 is just around the corner.
To find out more about the potential International Thermprocess Summit 2020, stay connected to Heat Treat Today or visit the Industrial Heating Equipment Association’s website at www.ihea.org. Both sites will post any future dates and locations for a 2020 event if or when the decision is made.
For more Heat Treat Radio, Google “heat treat radio” or look under the Resources Tab on www.heattreattoday.com.
Special thanks goes to Dry Coolers for their support of Heat Treat Radio. Dry Coolers, cooling systems for industry … on the web at www.drycoolers.com.
This episode, as with all episodes of Heat Treat Radio, are the sole property of Heat Treat Today and may not be reproduced in part or in whole without express written consent from Heat Treat Today.
If you have a topic you’d like covered on Heat Treat Radio, please contact Doug Glenn at doug@heattreattoday.com.
This episode was produced and mixed by Jonathan Lloyd, Butler, Pennsylvania.
Doug Glenn, Heat Treat Today publisher and Heat Treat Radio host.
To find other Heat Treat Radio episodes, go to www.heattreattoday.com/radio and look in the list of Heat Treat Radio episodes listed.
The monthly economic report published by the Industrial Heating Equipment Association (www.ihea.org) for its member companies reported that the economy is strong mostly due to tax cuts and deficit (debt) spending and warns of rising prices in the future.
Of the 11 indices that are watched and commented on each month, 5 of them are moving in a positive direction, lead by very strong positive numbers from both the Purchasing Managers Index (PMI) as well as the Credit Managers Index (CMI). Six indices trending downward all moved only slightly downward, leaving economists to believe that the industrial sector may be treading water while the flood waters (literally and figuratively) recede and until the direction of the economy is more clear.
Of more immediate concern was the reason behind the strong economy. According to IHEA’s economist, the economy has responded positively primarily due to tax cuts and deficit spending. Both of these factors tend to result in future broad-based price increases.
The 11-page report has one overview page followed by 10 pages of deep-dive analysis, one page for each of the 11 indices watched.
New Orders were up significantly.
Factory Orders were down.
Credit Movement was positive.
To get a full copy of this monthly report, please contact Anne Goyer, Executive Director of the Industrial Heating Equipment Association (IHEA). Email Mrs. Goyer by clicking here.
A Dozen Quick Heat Treat News Items to Keep You Current
Heat Treat Today offers News Chatter, a feature highlighting representative moves, transactions, and kudos from around the industry.
Personnel and Company Chatter
A partnership was recently formed between C3 DataLLC and CCPI Europe Ltd. for distribution of furnace software compliance products throughout the UK and Europe. C3 Data’s innovative software solutions are now available for streamlining furnace compliance processes for Nadcap, AMS2750, and CQI-9 for the UK & European aerospace and automotive industries.
The NextGenAM collaborative project, formed to establish the basis for a future system for series production using 3D printing technologies, has launched its pilot facility at Premium AEROTEC’s technology center in the German city of Varel. Premium AEROTEC, EOS, and Daimlerpartnered in this project, and the project team has been working on assessing the additive manufacturing process to see what kind of potential it holds for automation.
Industry leaders and executives gathered in Atlanta from July 30 – August 1 for the second ITPS(International ThermProcess Summit). Anne Goyer, IHEA’s Executive Vice President, noted that attendee evaluations showed executives felt the speakers and their presentations were very valuable. “I have been involved in organizing conferences and summits for more than 35 years. This year’s ITPS was one of the highest evaluated events we’ve ever produced.”
Heat Treatment Australia’s North American operations (HTA-Los Angeles) recently moved into a new facility in Santa Fe Springs, California, as part of an ongoing improvement program to increase available services to N.A. industries. The company also reports an impending order of an age hardening furnace (12-ft) which will be delivered in January. “The new facility provides much-needed resources required to run the new equipment,” said Karen Stanton, referring to the availability of power and gas. The new address is 10140 Romandel Avenue, Santa Fe Springs, CA 90670, not far from the previous location.
C3 Data LLC and CCPI Europe Ltd join in partnership.
NextGenAM launches pilot facility.
ITPS was a success!
HTA Los Angeles has moved into a new facility.
Equipment Chatter
A Pennsylvania-based company that provides custom engineering and manufacturing of power equipment recently shipped a 360KVA, three-phase, 60HZ transformer for use in wire annealing. Magnetic Specialties produced a transformer that features an extended primary winding with multiple taps to adjust the output voltage of the high current secondary. The tap can easily be changed via the three phase tap switch mounted to the front of the enclosure. The delta connected secondary winding is designed for line currents up to 6,500 ARMS. The delta connection was made with large aluminum bus bars due to the high secondary current. The core and coil, along with the custom NEMA 1 enclosure, were designed using Solidworks 3D modeling.
A tool and equipment manufacturer recently received shipment of an electrically heated, standard two-zone, belt conveyor oven to be used to temper steel parts. The furnace, shipped by Wisconsin Oven Company, has the capability to heat 1,800 pounds of steel from 70° F to 425° F within a 1-hour time period. The tempering oven has work chamber dimensions of 3’0″ wide x 34’0″ long and 1’6″ high and a maximum operating temperature of 500° F.
A North American heat treater recently expanded its capabilities by adding a new ZeroFlow® precision gas nitriding vacuum furnace. The horizontal, front-loading furnace joins another SECO/WARWICK gas nitriding furnace already in production at the customer’s facility.
Magnetic Specialties ships transformer for use in wire annealing.
Wisconsin Oven Company ships belt conveyer oven.
SECO/WARWICK adds ZeroFlow® precision gas nitriding vacuum furnace.
Kudos Chatter
Professor Jerzy Michalski has been recognized as the 2018 Hephaestus Award. Organizers Nitrex Metal and United Process Controls announced the specialist in the design of gas nitriding processes and modeling of nitriding atmospheres as this year’s recipient. The award is bestowed upon individuals in the field of heat treating whose contributions have had an impact on surface engineering, materials science, and industrial processes or production techniques. The award will be presented to Prof. Michalski during the 3rd Novatherm Seminar, taking place October 3-5, 2018, in Poland.
Richard Sisson Jr. has been named a fellow of two materials science professional societies, the International Federation for Heat Treatment and Surface Engineering (IFHTSE), and the American Ceramic Society(ACerS). The George F. Fuller Professor of Mechanical Engineering and director of the Manufacturing and Materials Science and Engineering programs at Worcester Polytechnic Institute (WPI), who directs the Center for Heat Treating Excellence, part of WPI’s Metal Processing Institute, received the IFHTSE fellowship at the 4th International Conference on HTSE in Automotive Applications in Spartanburg, S.C., in June, where he also delivered one of the conference’s three keynote addresses.
Nevada Heat Treating (NHT), based in Carson City, Nevada, was recently awarded a two year merit on their Nadcapheat treat accreditation.
FPM Heat Treating, a leading provider of heat treat processes in the Greater Midwest Region recently announced the successful re-certification of Nadcapaccreditation. FPM also reported that all three of the company’s commercial heat treating locations upgraded to the new ISO 9001-2015 certification standards.
Solar Atmospheres announced that all four of the company’s facilities have recently obtained certifications to AS9100 Revision D and ISO9001:2015. Solar has held AS and ISO quality management systems registration certificates since 2001. These latest releases are the most demanding international standards required of suppliers to the aviation, space, defense and medical industries.
Jerzy Michalski receives 2018 Hephaestus Award.
Richard Sisson, Ph.D., named fellow of IFHTSE and ACerS.
Nevada Heat Treating awarded 2 yr merit on Nadcap accreditation.
FPM heat Treating achieves re-certification of Nadcap accreditation..
All four Solar Atmospheres obtained certifications to AS9100 Revision D and ISO9001:2015.
Heat Treat Todayis pleased to join in the announcements of growth and achievement throughout the industry by highlighting them here on our News Chatter page. Please send any information you feel may be of interest to manufacturers with in-house heat treat departments especially in the aerospace, automotive, medical, and energy sectors to the editor at editor@heattreattoday.com.
The Industrial Heating Equipment Association’s (IHEA) monthly report for July showed very strong industrial activities.
IHEA report shows that durable goods had a strong showing in July.
Among the winners were durable goods orders, industrial capacity utilization, factory orders, and capital expenditures. New automobile and light truck sales were also up.
There were, however, some downward moves. Most notably: housing starts took a huge dip, while steel consumption and metal prices both took a dip.
Several indices — the transportation activity index, the purchasing managers index, as well as the credit movement index — were all well above 50, showing continued growth even though several of them revealed minor signs of weakening.
IHEA report showed strong gains in capital expenditures in July.
A more complete explanation of each index is provided in the full report which is published monthly by IHEA for member companies.
If you’d like to receive a full copy of this 12-page report, contact Anne Goyer, Executive Director of IHEA by clicking here.
A special report from Heat Treat Today publisher, Doug Glenn.
Mr. Chad Spore, John Deere, speaking on “OEM Perspective on the ThermProcess Industry”
Chad Spore, materials engineering supervisor for John Deere, addressed the assembled guests of the International ThermProcess Summit, in Buckhead, Georgia, on the first day of the event, Tuesday, July 31, 2018. The presentation, which included encouragements to other manufacturers with in-house heat treating as well as industry suppliers to continue to innovate, was received with great interest by the nearly 100 attendees at this 2nd biennial event.
Omar Nashashibi, The Franklin Partnership, spoke on “Trump’s Washington: The New Normal?”
The attendees also enjoyed an excellent presentation from Omar Nashashibi. Mr. Nashashibi, as a-politically as possible, presented an excellent perspective on the first years of the Trump Administration. Whether you like Trump or not, Mr. Nashashibi made it clear that Trump was doing something that no other president has done in quite some time — he’s fulfilling all of his campaign promises to one degree or another. It was a balanced presentation with many positives and negatives.
Dr. Amber Selking, Selking Performance Group will be speaking on “Driving Consistent Performance Excellence”
The two-day event concludes today with keynote speaker and event emcee, Dr. Amber Selking of the Selking Performance Group, giving a presentation on “Driving Consistent Performance Excellence.”
A Special Report from Heat Treat Today Publisher, Doug Glenn
Nearly 100 top level heat treat and finishing professionals have gathered in Atlanta to discuss future trends in the heat treating industry. The event kicked off last night with an opening reception at the Intercontinental Hotel in Buckhead, Georgia (see photographs at the bottom of this post). Representatives from Mexico, Europe, and the United States are present to hear what an excellent panel of speakers has to say about the future of heat treat as well as share ideas with each other. (Listen to Heat Treat Radio’s interview with heat treat consultant Thomas Wingens as he discusses future MegaTrends in the heat treat industry. Click here.)
Of note in today’s sessions is an opening keynote address by Dr. Irene Petrick from Intel Corporation on “Factories of the Future: What Does the Future Workforce Look Like?” Based on anecdotes from the attendees, the recruitment of skilled help is becoming a significant issue.
Dr. Irene Petrick, Intel Corporation, speaking on Factories of the Future: What Does the Future Workforce Look Like?The “tape rule” test has eliminated more potential employees than a drug test!
And not only recruitment but retaining good workers. Since heat treating is not considered a cutting-edge industry, it is difficult to recruit and retain. Passing a drug test is one obstacle, but one high-ranking executive suggested that there is an even more significant hurdle for new employees to pass, what he referred to as the “tape rule” test — being able to read and accurately add measurements from a tape rule. Doesn’t seem like a monumental test to pass, but according to this source, it has eliminated more candidates from employment than the drug test. There’s something to be said for listening in 3rd- and 4th-grade math class when the concept of common denominators is taught.
Another industry consultant commented on the increased demand for experienced and knowledgeable individuals to advise when it comes to owning and operating heat treat equipment. The need for hands-on training as well process education is widespread as a vast amount of knowledge is leaving the industry through retirement. Fortunately, for this consultant, business is very good due to this fact. More companies are needing his services.
To help locate a qualified heat treat consultant, Heat Treat Today has launched a new Heat Treat Consultants resource. The “official” launch will be in a few weeks, but you can get a sneak peak by clicking here.
Todd Grimm, T.A. Grimm & Associates speaking on Trends in Additive Manufacturing
Additive manufacturing will also be one of the topics covered today by Todd Grimm of T.A. Grimm & Associates. As one of the more disruptive manufacturing technologies in the last decade, additive manufacturing is a topic often covered within the webpages of Heat Treat Today. For a glimpse at some of the articles published in the recent past, click here.
For a complete list of ITPS presentations, click here.
A Special Message from Heat Treat Today publisher, Doug Glenn.
There are heat treat trade shows; then there is ITPS — the International ThermProcess Summit — being held this year, for only the second time in the USA, in Atlanta, Georgia, at the Intercontinental Hotel in Buckhead. This event is the premiere event for forward-thinking heat treat executives whether they be from manufacturers with in-house heat treat, from a contract heat treat shop, or from a supplier to the heat treat industry. This event is not so much an equipment and process event as it is a strategic planning event for high-level heat treat department heads or C-suite dwellers.
It would be good to register today and get to Atlanta ASAP if you have not done so already. Click here to register or go to www.itps-ifcs.com. Or you can just show up on-site. I’m sure they’ll let you in!
High-level, strategic planning is what this mostly-conference-with-some-table-top-exhibit event is all about.
Covey talks about taking time to “sharpen the saw” — this event is a saw-sharpening moment. You might run into some other like-minded people in organizations that would be advantageous for you to know — customers, competitors, vendors.
The event is organized by the Industrial Heating Equipment Association (www.ihea.org), and they are responsible for the high-level talks. Take a look at some of the excellent presentations.
Dr. Irene Petrick, Intel Corp., speaking on Factories of the Future: What Does the Future Workforce Look Like?
Mr. Chad Spore, John Deere, speaking on \”OEM Perspective on the ThermProcess Industry\”
Todd Grimm, T.A. Grimm & Associates speaking on Trends in Additive Manufacturing
Susanne Lauda, AGCO, speaking on \”OEM Manufacturing Perspective\”
Mike Brown, The Brainzooming(tm) Group speaking on \”Transitioning Your Business to the Next Generation\”
Dr. Amber Selking, Selking Performance Group, speaking on \”Driving Consistent Performance Excellence\”
These are just six of the more than 20 speakers who will be presenting at this event — ALL worth hearing.
It’s time to invest in some strategic planning time with your top executives. If you haven’t done so already, consider taking time to make a visit to Buckhead.
