Paragon Toolmaking is investing back into the business having secured increasing work both in the UK and overseas in 2022 – ensuring a healthy order book well into next year.
It has seen a new computer numerical controlled coordinate measuring machine (CNC CMM) already bought and installed in the company’s manufacturing facility in Hull, with further investments now planned into more new machinery over the coming months.
Established more than 50 years, Paragon Toolmaking has continually operated one of most modern and well equipped tool rooms in the UK, continually investing in the latest machinery and into training highly-skilled operators.
General Manager Kevin Batty says such investment into new equipment had been off the agenda in recent years, as the market dipped in the wake of the Covid-19 pandemic.
But over the past 12 months the business has seen orders continually increase, and with work planned well into the next year, he says the time is right to reinvest.
“Much of the success at Paragon over the years has been down to our continued investment into the latest technology and machinery, alongside the expertise of our team who are able to maintain our facilities and machinery to the highest standards,” he said.
“We’ve been planning investment into new machinery for some time, but you have to run a business in relation to the market conditions and obviously manufacturers have had to react to a quieter market over the past couple of years.”
“We’ve had business come in from both new and returning customers, and our order book is pretty much split between UK and overseas orders, which is a healthy position for us.”
Industry adjusting to changes in supply chain costs
Mr Batty believes the market is still readjusting to the impact on pricing following the pandemic and Brexit, something which has required ‘honest conversations’ with both suppliers and customers.
“We’ve found our prices for materials have risen sharply over the past 18 months, and that has meant there had to be honest conversations,” he said.
“Our costs have risen and that of course has an impact for our customers, who we have previously quoted for jobs in recent, but very different times. It’s something we’ve all had to overcome in the industry.
“We are finding there is a real understanding of that now though, and those customers have come back to us as their businesses have picked up again. We’re in a really positive position at present.”
One of the recent contracts secured is with a long-standing engineering specialist customer, based in Lancashire, which has placed orders for tools to be shipped to America and China, as well as within the UK.
“This business is a really good customer of ours who come back to us time and again,” said Mr Batty.
“We have worked on dozens of tools for them over the years and that shows their confidence in our ability to deliver the high quality product they require.
“We pride ourselves on retaining customers through our excellent customer service, as part of our Paragon Promise to always provide industry-leading products, British engineering excellence and complete customer support.”