Family is everything at Chicago Pallet Service in Bedford Park, Illinois. You will find a member of the Rodriguez family involved in running all key aspects of the business.
The company has grown from a very small recycler to two automated pallet plants equipped to handle medium to large customers. A key partner in the process has been Midwest Machinery & Automation because Chicago Pallet Service (CPS) has become a virtual showplace for Woodpecker machinery.
Leo Rodriguez Sr. founded the company in 1998 starting with a pickup truck and a dream. He worked hard to build a business that offered a future for his children. Today, he still comes into the office to check on everything and ensure his quality standards are maintained.
The second generation of the family has taken over ownership and control of the company. Araceli Rodriguez, president of CPS, explained, “We are the second generation in the business. What makes us unique is how my whole family is actively involved in running everything day-in and day-out. We’re really close as a family and that has led to our success and commitment to our customers.”
Today, the company operates two facilities. The headquarters is located in Bedford Park, Illinois and focus on recycling and producing combo pallets. The Elk Grove Village, Illinois plant is geared toward custom pallet manufacturing, heat treating and recycling pallets that come in off the street. The company currently employs 70 people.
Woodpecker Machines Solve Labor Challenges
Finding employees is a challenge for CPS, just like almost every other pallet company in the country. Automation is crucial for success, and CPS has found that Woodpecker and MASTer Recycler nailing machines are a great fit for its workforce. Araceli Rodriguez said, “We are big fans of the Woodpecker and MASTer Recycler. We bought the first Woodpecker built by Stutzman Manufacturing when it was about 15 years old, and it is still running strong five years later.”
Araceli added, “We like the Woodpeckers and MASTer Recycler because we produce a lot of combo pallets utilizing recycled lumber, and they can handle this task. The other big benefit is the ease of use. It is hard to find good operators who can run more technologically sophisticated machines as well as maintain them. The Woodpecker can be operated with two operators, which means we get good production with minimal workers.”
In the Bedford Park plant, CPS runs the Original Woodpecker (machine #1), a second Woodpecker delivered in 2019, and a MASTer Recycler nailing machine, all provided by Midwest Machinery & Automation. Another Woodpecker is on order for this facility. The Elk Grove Village location runs one Woodpecker Junior with two on order and scheduled to arrive in June.
Chicago Pallet Service has been making combos for more than 20 years, but before using the Woodpeckers everything was built by hand. Automation has boosted production while reducing the wear and tear on workers. Production from the Woodpecker machines depends on the pallet size, lumber quality, and machine. Output ranges from 350+ on the MASTer Recycler with a single operator, to 1,000+ on the Woodpecker for an eight-hour shift with two operators and reclaimed lumber.
Some of the other machines CPS has used required extensive knowledge of computer interfaces or much finickier lumber sortation to keep up production. Araceli stated, “With the Woodpecker nailers, there is a minimal learning curve to pick up the process when training new operators. This is a big benefit given the difficulty that pallet companies like us have in finding new workers. The control mechanisms on the Woodpecker are easy to learn.”
One benefit of the new Woodpecker unit is that it is easier to change over than the original machine, but both do the job when it comes to producing quality pallets. The company switched from another nailing system because it required three operators where the Woodpecker only needs two to be efficient.
The Rodriguez family has always strived to deliver on their promise. That is one thing Araceli likes about Del Wagner and his staff. She said, “The team at Midwest Machinery & Automation are very knowledgeable and provide excellent support after the sale. They are also realistic when it comes to what machinery can do and when new equipment will be ready. They don’t sugarcoat things. What they say they can do, they deliver on.”
Del Wagner, of Midwest Machinery & Automation, explained, “There aren’t a lot of used Woodpeckers on the market because people don’t usually sell them. They run them forever. And if they do go up for auction, they are purchased quickly because Stutzman Manufacturing builds one heck of a machine that is designed to last.”
Wagner also explained, “Stutzman Manufacturing is building new machines faster than they ever have and the demand continues to be high.” He continued, “We know our lead times are longer than many want to accept, and we understand why, but we know we are delivering quality machines and our customers are satisfied. Stutzman has a great team and they work hard to make and support each machine in Ohio. This ensures build quality and proper support for each machine now and in the future.”
Wagner added, “The machines we build sell themselves. Our customers are satisfied with our equipment and they know we build equipment that they like.”
Having the right nail makes all the difference too. Leo Rodriguez Sr. has done business with Roger Aurelio Sr., who started New Supplies Company, going back decades to the early days of CPS. Rodriguez chose New Supplies then because of its service, competitive pricing and knowledge in the pallet industry. Today, New Supplies Company continues to be a critical partner for CPS through supplying and maintaining nail guns and selling quality collated fasteners. New Supplies Company is located in Griffith, Indiana and supports pallet customers throughout the Midwest.
Two Plants, Two Focuses
The Bedford Park location consists of a PRS repair line with eight repair stations. Loads are brought in and pre-sorted where scrap is removed while GMAs go to the repair line. Pallets are repaired and sent down the line to stackers. Production is monitored using the Pallet Track software and bar code system from Innovative Data Systems.
When it comes to new pallet production, the Bedford Park plant focuses on combos using some new and recycled boards. Araceli admitted, “One of the areas we struggle the most in is finding people who are good at operating pallet dismantlers. We struggle to get the production out of dismantlers that we did in the past.”
CPS has just installed two new robotic dismantlers from Alliance Automation. One unit is fully operational and the other is just coming online. Araceli explained, “One Alliance robot is capable of producing what two top dismantlers could have done in the past. Although the robots are not cheap, they definitely are worth the cost given the labor struggles in our area.”
Araceli added, “Having the Alliance robots is very good for the company because it ensures our production can stay running. And the insurance savings are significant too. It is a win-win right now.”
In addition to the robots, CPS has on order an Urban Sawmill from Alliance Automation. This trim line automatically scans random deck and bottom boards for length, width, and thickness. Boards are then optimized and double-end trimmed to the desired finished length. Individual sort bins capture the reclassified lumber of predetermined dimension. The objective of the Urban Sawmill is to efficiently process the boards from the robots and prepare them for use on the Woodpecker nailing machines.
Wagner said, “The Urban Sawmill is a perfect complement to anyone wanting to efficiently produce combos on our Woodpecker machines. Our machines are already flexible enough to handle reclaimed deck boards, but with the improved sorting provided by the Urban Sawmill, Woodpecker machines can be made even more efficient and productive. With cores beaten up and new lumber prices going sky high, this approach is a winner now and into the future.”
Araceli agreed, “Once the Alliance Urban Sawmill system is up and running, we expect a lot better production using recycled boards.”
Besides the Alliance robots, CPS has purchased two new SMETCO dismantlers to integrate with the Urban Sawmill line. Alliance Automation acquired SMETCO last year. The SMETCO dismantlers are operated by humans and will be used to process oversized pallets. The company uses a Kiln Direct kiln to heat treat about 15-20% of the pallets it produces.
Family Makes the Company
As the story began, the commitment of the Rodriquez family has driven the company’s success. In his 70s, Leo Sr. still keeps a watch on quality and works to focus on the cleanliness of the plant, efficiency and attention to detail. Araceli manages the operations as president, doing a lot of the behind-the-scenes management. Leo Rodriguez, Jr. runs the Bedford Park location and manages all the new machinery products. Araceli said, “He is very busy learning all the new machinery and helping to coordinate its installation.”
Her brother, David Rodriguez runs the Elk Grove Village location and oversees the sales and lumber purchasing. Jesus Unzueta, Araceli’s brother-in-law, manages the trucking operation and is plant manager for the Bedford Park facility while her younger sister, Raquel Rodriguez, heads up the human resources for the company.
Araceli said, “We all have our roles and meet regularly to make sure that everything is running well.”
Part of the secret to the Rodriguez’s success are their parents. Araceli said that her father, Leo Sr., has guided the philosophy of the company while her mother, Amparo, is the glue for the family. She explained, “My mother was the first person in our family to immigrate to the United States, and she had 10 siblings. Through disagreements and even loss, she has held the family together and valued unity. As kids and in business, we weren’t given the option of sibling rivalries.”
This focus on unity has worked well as the kids have grown up and worked together to build a stable company. She admitted that going through COVID-19 was difficult although the company has remained financially stable. Araceli remembered, “We had to stay calm as leaders and we never wanted to project fear even though nobody knew what to expect when the pandemic first hit. We worked to keep our employees safe and to obtain the sanitation and personal protective gear necessary to do the job.”
When people got sick or the company was short staffed, everyone worked together to fill in the gaps. One of the major values that Leo Sr. has passed along to his children is the value of following through on your word. And CPS strove to do this even during the pandemic. Araceli commented, “My father lives by a saying, ‘My word is worth more than a million dollars in my pocket.’ We have taken up that legacy to deliver on our promises.”
Araceli offers a unique perspective as a woman leading a pallet business in the Chicago market. Although the pallet industry has traditionally been dominated by men, she said, “At first, I had to show that I belonged in the pallet world. Women are multitaskers and see things that men usually don’t. Men are stronger and have better physical endurance to do some of the tough jobs in the plant. There is definitely a benefit to having both men and women work in a pallet business. It is truly the best of both worlds when we accept each other’s value.”
Deciding to invest in automation has come at a cost. Besides the money, the company had to commit to innovate and change. Araceli summed up the challenge, “With all the difficulties in this labor market and the competitive pressure of the pallet market, you have to adapt and face risk head-on if you want to be ready for the future.”
Midwest Machinery & Automation Nailing Lines
Woodpecker Nailing Machine
• Standard sizes from 60” W x 60” L to 96” W x 126” L
• Up to 6 stringers available
• Up to 1,200+ pallets per shift, pallet size dependent
• Comes with pallet stacker
• Several options available
• Made in the U.S.A.
Woodpecker Junior Nailing Machine
• Standard sizes from 24” L x 26” W to 50” L x 56” W
• 4 stringers standard, additional stringers available
• Up to 500+ pallets per shift, pallet size dependent
• Several options available
• Made in the U.S.A.
MASTer Recycler Nailing Machine
• Standard sizes from 30” L x 26” W to 56” L x 56” W
• Up to 4 stringers standard
• Pallet flipper as standard
• Up to 350+ pallets per shift, pallet size dependent
• Comes with pallet stacker
• Made in the U.S.A.
