How economic downturns can provide new opportunities
The recent recession was among the worst Universe Machine
Corporation has faced in over 53 years of business in Canada.
Work slowed significantly, forcing cost cuts and other changes,
which included downsizing staff by over one third. The economic
slowdown this time around was not just due to low oil prices.
lncreasing global competition, as well as the change of our
provincial and federal governments here in Canada and their
ensuing damaging new policies, were also contributing factors.
Downturns are difncult for businesses and staff, but they can
certainly bring some positives.
It's been easier to find that skilled employees and staff tend
to be more engaged and productive. Having to run leaner to
survive has spurred innovation and efnciency improvements.
It3 led to exploring further diversification, automation, and
increasing capabilities. Having more time and resources enabled
us to uncover new opportunitiel ramp up R&D, and work on
improving our products and services. This has proven to be
beneficial in the short term, and we are confident this will provide
long-term benefits as well.
Our investments in research and development during this
downturn have included focusing on the testing and upgrading
of our existing products, utilizing compiled data and various
research mediums for new or improved platforms, adding larger
equipment capacities and more services. We have also increased
Universe's marketing exposure, focusing on strengths, new
offerings, and other markets. All of this helps send the message
that Universe Machine continues to move forward, even during
During this downturn, Universe Machine has developed several
new products, including Universe Hydraulic Bucking Units.This
equipment utilizes existing in-house items that we manufacture
vertically for rigs. With some creative engineering, we can cost-
effectively transform them into a completely new horizontal
product line for pipe yards, thereby enabling customers to more
quickly and accurately pre-assemble pipes and couplings in a
more controlled environment. Many Universe products have
been designed utilizing the same parts, and that cuts down on
inventory costs for both our business and our customers.
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Here's a great article with various examples where something went wrong with a valve and what caused it.
Cases 2 and 3 were examples that Universe's Valve Modification Division encountered.
Clicking the image below will take you to the article.