Wayne Wagner is a managing partner of Midwest Machinery & Automation in Griffith, Indiana. Midwest offers pallet and wood fastening machinery solutions for pallet, crating and furniture industries.
Pallet Enterprise: What are the biggest challenges facing pallet manufacturers today?
Wagner: Labor remains a significant challenge. Companies struggle with insufficient staff, high absenteeism, and a lack of workers who possess the necessary work ethic and skills for the job. Many believe that automation can resolve these labor issues, but the reality is that automation still requires people. It doesn’t matter if you invest in a Woodpecker, Viking, or a CAPE; you need people to operate these machines, maintain them and supervise their use. As an industry, we need to find ways to generate interest in every sector of the pallet business.
Pallet Enterprise: Based on customer feedback, why do you think that more companies are looking to automate production for block pallets? Are block pallets becoming more popular?
Wagner: I believe that more companies are looking to integrate automation for block pallets, but several barriers exist. Many want to, and would tell you they feel they have to, but the main challenges are the cost of the equipment and the inconsistent volume of block pallets. The labor market is struggling, and the assembly of block pallets has relied on manual labor for years. I do not believe that block pallets are any more popular today than they were five years ago. If major retailers or their associations were to advocate for block pallets in a unified manner, we might see an increase in demand. Until that happens, I expect we will continue to experience fluctuations in demand.
Pallet Enterprise: What are the signs of a good machinery supplier when it comes to customer service?
Wagner: A reliable machinery supplier supports you throughout the entire process. They help you understand your purchase and ensure you start off correctly. Their commitment doesn’t end with the sale; they remain available for support long afterward. It is their responsibility to educate customers and provide ongoing assistance. A good machinery supplier offers the necessary people and resources to accomplish all of this effectively.
Pallet Enterprise: What is the biggest misconception when it comes to buying a new piece or used piece of equipment?
Wagner: One of the biggest misconceptions when purchasing new equipment is understanding what it takes to make quality equipment function effectively. There are many types of equipment available on the market, such as saws, nailing machines, and sorting lines, but not all of them are made with the same level of quality. Many small components must work together to complete a process, and this can be difficult to grasp for many buyers.
When it comes to used equipment, managing your expectations is essential. Take the time to inspect the equipment in person and contact the manufacturer for information about its history and performance. Additionally, be prepared to invest more money for support from manufacturers when dealing with used equipment. Established manufacturers typically allocate significant resources to their products, and unfortunately, used equipment might not account for that.
Pallet Enterprise: What is the best piece of business advice that you have ever received? How are you trying to put this into practice in your business?
Wagner: I have the privilege of working with some of the best people in the industry, who are great individuals and mentors who serve as my sounding board. I regularly receive valuable advice from them, which consistently emphasizes the basics: be fair, be firm, be friendly. Do the right thing, even when it’s difficult; take care of people; and build a good reputation and maintain it.
Despite the frustrations we all face and the times when things seem unfair, if you can walk away knowing that you did your best and adhered to these principles, you can feel confident that you handled the situation the right way.
