Some Small Companies Grow As Large Firms Cut Costs

When the economy is booming, "it's easy to step over a small company," said Bill Shaffer, Conicity's executive vice president. "But now they can't look away."

Shaffer estimates his technology could save them upward of $60,000 a year on each tool. That's the equivalent of one auto worker's salary, without bonus or overtime. That adds up when manufacturers have reached the point where they have laid off as many people as they can without halting production.

"When you get to that point, then you have to look someplace else for cost saving," Shaffer said.

Until late 2007, companies that wanted to add Conicity's edge to their tools had to ship them to Latrobe to have them fitted in large, energy-hungry machines. Now, Conicity offers a vending-style machine that can be leased or bought by manufacturers. With 15 minutes of training, the 20-second process can be done in-house.

Since then, Conicity has delivered 30 machines to companies nationwide, their placement noted by colorful thumbtacks on a U.S. map behind Shaffer's desk. Companies that never let him past the reception area now seek his assistance. Recently he gave his spiel to corporate bigwigs at John Deere in Waterloo, Iowa.