Growing from a small, family-run business to an expert trailer organization, Delco Trailers has quickly become a titan of the industry. William Dyck, COO of the company, reveals the secret to its success.
WHERE QUALITY MEETS CRAFTMANSHIP
The light to medium trailer market in the US has experienced considerable turbulence in recent years, particularly after the onset of the COVID-19 pandemic, when many companies raced to maximize their capacity and meet increasing demand.
However, market demand significantly decreased in the following years, whilst production capacity remained at an all-time high, resulting in fierce competition across the trailer industry.
Meanwhile, myriad new companies have entered the sector during this time, with many originating from Mexico, where lower labor and material costs make the US trailer industry an attractive venture, consequently further increasing the competition.
“While we notice the influx of trailers from Mexico, we are confident that manufacturing in Texas is alive and well, and with an emphasis on efficient manufacturing, we continue to thrive,” opens William Dyck, COO of Delco Trailers (Delco).
However, the benefit of increasing industry players is that companies are encouraged to evolve and develop their products and capabilities.
So much so that over the last 10 to 15 years, Dyck has observed an increased output across the board as businesses continue to improve.
“Many manufacturing organizations, including ourselves, work to be innovative and move the industry forward,” he states.
RADICAL GROWTH
Headquartered in Paris, Texas, Delco thrives in a city at the center of the black-iron trailer country.
The business specializes in light to medium-duty steel trailers, including dump, gooseneck deckover, and hotshot trailers, and offers tailored equipment and steel cargo.
Delco consistently endeavors to work with its clients to create the perfect custom order.
“As the manufacturer, our mission is to create the best possible product and support our incredible dealer network, consisting of approximately 180 independent retailers that span the country,” Dyck informs.
This is supported by a dedicated team of nearly 200 staff members who care deeply about their work, the trailers the company creates, and the customers it serves.
Established as a one-man show operating from a small, 4,800 square foot (sqft) facility in 2006, Delco has experienced organic growth. By 2014, it evolved from a small-scale operation to producing six to eight trailers a week. Three years later, the company explosively expanded by diversifying its product line to include equipment, dump, and utility trailers.
Despite small year-on-year additions that solved immediate capacity restraints, the business did not anticipate its long-term growth.
For instance, by 2020, Delco worked in a 180,000 sqft facility that was completely maximized and had little room for capacity development. Therefore, the space was inefficient for housing new additions, which resulted in a disjointed and inefficient manufacturing process.
“We started envisioning our dream space, taking our years of experience and lessons learned from elements that didn’t work so well in order to create our new facility,” Dyck explains.
The result was the introduction of a 600,000 sqft manufacturing facility in 2023 that placed an emphasis on production flow, new machinery, automation, and fixtures, enabling the company to produce 150 to 200 trailers per week with a production capacity of 500 units in the same timeframe.
The new facility enables Delco to build better, more consistent products and increase production and efficiency.
THE DELCO DIFFERENCE
Delco stands out in the industry thanks to its unwavering commitment to customer service.
“Being a family-owned and operated business deeply invested in our craft, we extend our passion and values to every customer interaction, striving to enhance their success,” highlights Dyck.
The company’s strengths also lie in the diversity of its product offerings, which include comprehensive steel trailer solutions ranging from 53-inch cattle trailers to rugged enclosed and 10-inch light-duty utility trailers.
“We prioritize quality and consistency, leveraging automation and standardization methods to ensure each trailer produced maintains our hallmark of being well built and high quality, every time.”
Moreover, as a family-run organization, Delco’s relationship with its clients is crucial. Every trailer component, including steel, axles, wheels, lighting, and decking, is sourced from a variety of vendors, making supplier relationships invaluable.
Moreover, the recent appointment of Dyck’s brother as Purchasing Manager has strengthened the company’s supplier relationships, some of which have lasted for nearly 20 years. This ultimately ensures the timely procurement of quality products.
Additionally, Delco is further differentiated by its staff base, who are at the heart of the organization and have unwavering dedication and talent.
“As a family-run business, we hold dear the values of trust, respect, and support, which extend to every member of our team.”
The company empowers its employees by fostering an inclusive environment where everyone’s voice is heard and respected, with each team member encouraged to take ownership of their work and contribute their unique skills and perspectives.
As such, recognition is a cornerstone of Delco’s approach, celebrating both big and small successes.
“Our organization thrives because of the dedication and passion of our team. They are not just employees; they are integral members of our work family, and their commitment drives our daily mission,” prides Dyck.
MOVING THE BUSINESS FORWARD
Presently, Delco is focused on its automated powder coating line.
“When seeing a trailer, the first thing anyone will notice is the finish. With that in mind, we’re putting a lot of effort into our finish line,” Dyck points out.
This means that automated overhead trolleys meet the unfinished trailer at the end of the welding process and are immediately attached to the overhead rail, which transports the trailer through the final operations.
“Before this process, we were manually moving the trailers to a storage location before moving them again to the finish line; therefore, we have now eliminated two touches,” he expands.
The overhead trolleys are also moved mechanically instead of being manually pushed by forklifts or hand, as they were previously. With over 2,500 inches of rail, this innovation has eliminated significant amounts of manpower.
Meanwhile, the company is currently in the process of the construction and implementation of automated wash bays projected for functionality at the end of Q3 2024, significantly improving efficiency and consistency.
Alongside product and manufacturing innovation, Delco is looking inward to refine its processes to maximize the company’s organization.
“We are working on many initiatives, such as fine-tuning our forecasting to ensure a lower material inventory whilst streamlining our warehouse procedures to better keep track of trailer components, eliminating inefficiencies and missing parts,” explains Dyck.
The company has also implemented an internal ordering system for in-house parts and sub-assemblies, which allows departments to better enter and keep track of these different processes.
As such, Delco is focused on streamlining its operations to maximize its new facility space and ensure it is well-positioned for growth.
“As a company that started from scratch, we learn something new every day, and we are constantly focused on improving the little things, knowing that they make up the bigger picture,” Dyck closes.