The Construction business is still showing positive signs nationwide, so those in the safety equipment fields should also be seeing positive signs. And they are, but...

Mark Conover is sales manager at Elk River, Inc., in Cullman, Ala., located 50 miles north of Birmingham. Elk River specializes in personal fall protection equipment. Last year was a strong year for the company, Conover says, "and for the last quarter of '05, we set some records in sales."

The majority of Elk River's fall protection and safety products are sold to commercial construction companies, he adds, with minimal sales found in residential housing. And while he's not complaining, mind you, Conover sees quite a bit of room for sales to improve.

He attended the National Safety Council's Congress & Expo held this past September in Orlando, Fla., and heard about how more companies and officials are paying increased attention to safety.

"The education level in fall protection, in particular, has improved, but there still is a long way to go," Conover says. "Safety is still figured into company budgets. Unfortunately, safety products get cut in budgets, just like anything else. The industry estimate is that nearly 40 percent of the market is still not using fall protection. So there is still room to grow."

Gradually, Conover says he finds construction companies are coming to understand that safety is a business value and are aware of the cost savings that can be derived from safety management.

"There still is a macho mentality out there," Conover suggests, "where people say, 'I've been doing this for 20 years and have never had a fall.' Unfortunately, most of those who haven't experienced a fall know someone who has.... There's that 'It can't happen to me' mentality, too. But it only takes one mistake."

He draws a comparison between construction safety and automobile seat belts. The odds of having an accident while driving are very slim, he says, "but the problem is we don't know exactly when that accident will occur. That's why we wear that seat belt every day."

The smarter construction companies are already taking the same approach to having their workers wear fall protection.

"The potential to fall is there," Conover explains. "Will they fall today? Not likely, but if they do, they know that protection will catch them."

Regardless of whether more companies cease viewing safety as merely a budgetary consideration, Conover is upbeat about 2006 and thinks Elk River's business will continue to be strong.

"Some think real estate has reached its peak, but I think commercial construction will continue to be vibrant and strong," Conover says.

Like virtually every business nationwide, though, fuel costs are his main source of worry. Many of the products that Elk River specializes in are made of "petroleum resins," as Conover describes them—materials such as nylons, polyesters and various synthetic materials.

"The things that could hurt us would be energy costs," he admits. "Whether it's the cost of raw materials or the cost of shipping and freight—as long as the prices stay stable, I think we'll have a great year. But if we see a spike in fuel prices, that will hurt all of us, throughout all industries."

jnowlan@reedbusiness.com