When Jergens Industrial Supply needed to offer customers expanded milling capabilities, it looked for a cutting tool partner that could provide some metalcutting solutions. We asked Jergens' John Lentz and Duane Frager to share the company's experience in finding that partner, and the deciding factors that lead to its choice.

How do you choose a cutting tool manufacturer?

That's the question that faced Jergens Industrial Supply, Cleveland. One of Ohio's largest stocking distributors in the metalworking field, Jergens already represented a broad line of Valenite products, but it needed to expand beyond the standard line to meet customer needs. The company needed to add another cutting tool line to strengthen its Milling and Swiss-Type Automatic offerings, said John Lentz, vice president and general manager.

"Our philosophy is very different from a catalog house," explains Lentz. "We know and accept the fact that all of our new customers have established sources of supply. What we want to do is get in and help them solve their toughest manufacturing problems."

By providing solutions, Jergens sets itself apart from the "off the shelf only" type of selling. The company tripled sales in eight years in a declining manufacturing market, and it took business away from distributors who could not come up with the answers customers needed.

"But our guys were getting some problems we couldn't solve. Specific metalcutting solutions were needed that quite frankly we didn't have," says Lentz. Jergens' response: Find the solutions.

"We interviewed six cutting tool companies, including some of the biggest names in the business," says Duane Frager, director of operations. Others were excluded because of existing sales relationships. Every company considered had a global business—Asian, European, and U.S.

Metalcutting challenges are the same worldwide. Today, many of the best practices migrate from one continent to another, so having global resources gives a cutting tool manufacturer an advantage at the local level.

"Basically, we were looking for a partner who shared our values," Lentz says. Having the right products—in this case a line of Swiss-type Automatic cutting tools and specialized milling cutters and inserts-was key.

"We were looking for a partner who would provide the service, who would provide the training and who would provide the field support we needed to serve our customers," says Frager. "In other words, we were looking for somebody who would go the extra mile to get the metalcutting answers our customers need."

The selection process narrowed to two companies—one, a large internationally based company with big name recognition, and Stellram, a cutting tool company based in Nashville, also having European manufacturing facilities and sales offices.

Representatives from both finalist companies had been calling on Jergens for years. Each had also competed against Jergens and its established line for some period of time. Mutual respect was already established.

"Just as important a consideration as the product line was the ease of doing business," says Lentz. "After all, we were looking for a cutting tool partner, not a cutting tool supplier."

"It all came down to four basic factors," says Frager. "Product line, people, operational flexibility, and technical support."

"Our salesmen drive our business," Frager says. "They have the face-to-face contact with our customers. They are responsible for solving our customers' problems. So it only stands to reason that our sales team had a big say in choosing our new cutting tool partner."

The two tooling companies came to Jergens to make presentations, and Jergens' sales people went on the road to see for themselves how these companies supported field sales with technical assistance.

"We looked at manufacturing facilities, research and development, the technical competence of their staffs, and most importantly, the attitude and spirit of their sales and service people," Frager says.

"These were the people that our sales force would count on day to day. So it was critically important that our sales people had maximum confidence in their new team mates," adds Lentz.

Product. Service. Technical Strength. Application Expertise. New Product Development. Operational Flexibility. Field Sales Support. And a Tough, Can-Do Attitude. These were the qualities being measured by Jergens management and sales.

The choice? Stellram. The company is a vertically integrated global manufacturer of cutting tools, including the high-tech materials used in the substrates and coatings. Stellram is linked globally with design engineers, manufacturing and field sales and its experience can be brought to bear to solve the toughest metalcutting problems.

First order of business? Training. Stellram put together a team of Steve Roberts, product specialist; Matt Limpert, service engineer; and Ron Milicia, sales engineer to develop several training presentations for field sales and inside sales. All are local to Jergens market area.

"Field sales guys really need to know in depth performance characteristics of the inserts, substrates, coatings, feeds and speeds, the right cutter bodies for the application—a wealth of details," says Frager.

"The product information needs of our inside people are different from our field people. They have to be knowledgeable about product line-styles, nomenclature, coatings, basic application—everything it takes to expedite an order … and re-orders," says Frager. "Stellram recognizes that and developed different training programs based on the needs of our people. And implementation was virtually immediate. We signed on in December and trained in January."

Stellram produced promotional flyers specifically to launch the new product line, provided the training for Jergens people, inside and out, and provided complete product literature.

"We think Stellram will be a good fit," says Frager. "The more they help us solve application problems in the field, the stronger our relationship will become. That's the bottom line."

Rich Lambert, director of sales for Stellram North America, believes that Jergens is a great fit for Stellram. "Cleveland is the fifth largest cutting tool market in the U.S.," says Lambert. "Jergens' technical problem solving ability means their outside sales force sells value-added product applications. Their willingness to carry local inventory means they can support this capability with same-day service."