I get very annoyed when folks keep saying that we are in the post-industrial age.  I consider that the industrial period has changed- as I have written here, agreeing with Dr. Neal Spence that we are in the third century of the industrial era.  And, the news of late has shown this to be true- America is getting back to work again, due to its large manufacturing sector; still the largest one in the world.

We need to be nurturing this area.  By looking for new ways to maintain our prowess, with new technology to make what we make and to make new items people want.  I don’t want to spend a lot of time on Kodak, which in my mind found itself in the ‘railroad’ predicament- it lost its way by not reconsidering the business it was in- until it was too late.  (Does anyone besides me recall the Pennsylvania Railroad or the New York Central with fondness?  Or the fantastic ride afforded one on the Southern Crescent?)

When I lived in Charlottesville, I became involved with an industry that was thought to be disappearing from the United States.  The textile industry.  Carpets and fibers- labor intensive businesses that moved overseas, as part of the Reagan Revolution, the 20^th century “Laissez Faire” attitudes that laid the foundation for the current 1% problems that persist in the US. Plants were disappearing from our shores faster than jobs were lost in 2009.  Danville, Virginia was the Detroit of the 1980’s. Except one company kept at it- and still does.  Milliken and Company, headquartered in South Carolina.

I learned more about this company in Charlottesville, via my interactions with the Institute of Textile Technology (ITT).  [Note:  it is NO LONGER in Charlottesville, having move to NC State’s College of Textiles.] Back then it was just outside the city (on the way to Ivy) in an old mansion.  All kinds of innovative ideas were being tested and developed there.  The ITT was founded in 1944 (Milliken was and still is a major sponsor) to provide collective support of the industry, addressing its future needs.  From theory to practice, it evaluated international developments as well as its own concepts, and it provided short courses to train those in and desiring to enter the industry.  It also provided consulting services to the constituent members, solving day-to-day and long term problems to insure the continued viability of the industry.  (Like me and our company, it has moved on; it is now at NCSU in Raleigh, North Carolina.)

Milliken did not succeed by asking the government to hold off imports.  Oh, no, don’t consider that statement to mean it did not join in with all the textile firms screaming about “cheap imports” destroying American business. Milliken was clearly part of the choir- maybe even the choirmaster for part of those efforts.  The MultiFiber Agreement (MFA) was the governing rule for textile imports and exports that obtained- and it was about to change – big time.

Milliken was one of the few textile firms that diversified, building upon its expertise in specialty chemicals and textiles.  Relying on scientific research and innovation, it has remained a viable textile supplier in the US. It makes products ranging from antimicrobials (countertops), protective combat gear, washable markers, and the like.  And, while it does not match Samsung or IBM (the leaders) in patents, it has formidable intellectual property.  Who would have thought, looking at its business and listening to its leaders, that its new credo would be “Quality Leadership Through Research” some 20 years later.  It has more 100 PhD’s among its management staff, with 250 more having advanced degrees.  It has secured the Malcolm Baldrige award- which was given to companies that managed with outstanding quality and innovation. up until 2010, when its focus changed (slightly?).

Milliken operates its research and development facility in a similar fashion to our company.  Every staff member can spend about 10 to 15% of his/her time working on a project near and dear to its heart.  Its top researchers can earn the right to spend 50% of their time examining new ideas of their own.  (Our company- and its predecessor- used this concept for some 40 years now.)  It’s how a corporation can insure a new product pipeline – giving its people freedom to explore new ideas that can be coalesced into product offerings.

Milliken is a closely-held company, with a long family tradition.  Roger Milliken, a titan of the industry, died two years ago (2010).  He was driven – and drove his company- to seek new ideas, new products, new manufacturing techniques.  He was the key to maintaining an innovative culture at the company. (He was also the political impetus among industry leaders working against NAFTA and other free trade accords, like the MFA, discussed above.)

One can only hope the next generation of management continues this tradition.  America needs more companies like this.

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