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Home  /  Washington Business - November/December 2006  /  Member Profile - Cutting Specialists Inc.: Small Tukwila employer becomes AWB’s 6,000th member
Member Profile - Cutting Specialists Inc.: Small Tukwila employer becomes AWB’s 6,000th member
Written On: November/December 2006
Written By: by Shawn Sullivan
Cutting Specialists Inc. is like many small companies trying to survive in a small niche within a larger industry. Specializing in the precision cutting of large metallic parts for the aerospace industry, they can cut any type of metal to within a millimeter of specification, even difficult-to-cut metals like titanium.

"My grandfather started this business in 1950," said Mike Engstrom, third-generation president of Cutting Specialists. "At that time, the company primarily did propeller work for the marine industry." Back then, the name on the door was Engstrom Machine Works, which survived as a small machine shop for 30 years.

In 1986, the opportunity for greater success presented itself. Engstrom Machine Works changed with the times, began specializing in metal cutting, and changed its name to Cutting Specialists Inc. "My dad took over for my grandfather and adapted the business to the in-demand market of metal cutting," Engstrom said. "We are now a one-stop service center for cutting — which entails titanium, stainless steel and harder-to cut-materials."

While things are currently going well for Engstrom, it has not always been that way. "When the aerospace industry decelerates, our shop slows down with it," Engstrom said. "Within our industry, you have to roll with all of the ebbs and flows."

Even with the setbacks they faced, Cutting Specialists did what most small, family-owned businesses do — they tried to retain their employees. "I have the same shop foreman my father used when he ran the business," Engstrom said. Retaining employees and offering them prevailing wages is something that Cutting Specialists, and most small business owners in Washington, deeply believe in.

Fortunately, the economy has turned around and business is booming. To fill the demand, Cutting Specialists operates two shifts. "Our shop is open from 4 a.m. until 1 a.m.," Engstrom said. "We operate these hours because our clients are open during these hours. It is common for us to start receiving calls around 5 a.m."

Cutting Specialists cuts six truckloads of steel every day, and processes 2.5 million pounds of aluminum a year. The work is done with 18 high-tech saws using an assortment of special blades matched to the type of metal being cut.
Engstrom, like many business owners in the state, has a love for Washington that keeps him from relocating. "I couldn’t imagine having my business anywhere else," Engstrom said. "The people in this area are extremely wonderful to work with, and they work hard to make sure we stay in business. Honestly, I can’t ask my employees to work any harder than they are right now."

Nevertheless, Engstrom still sees a need for improvement in Washington, particularly in the transportation infrastructure. "Traffic congestion can be a bear sometimes," Engstrom said. "We could get a lot more work done if our delivery truck did not have to sit in traffic all day long."

Despite traffic problems and a cautious attitude towards business taxes — like the estate tax — Engstrom hopes for continued prosperity and growth. "In the next four years we plan to purchase five new saws, depending on technological advances," he said. "When the good times are present, as they are right now, you need to upgrade your systems to prepare for the possibility of a slowdown."

The economic outlook for the aerospace industry is good, but Engstrom, like most business owners, will be planning ahead for the next slowdown. "I would love to see continued business in Seattle, but that doesn’t mean I am not getting ready for the economic downturn," Engstrom said. "But, in the mean time, we will take advantage of how busy we are."

Cutting Specialists is what many companies in Washington aspire to be — a hard-working, no-nonsense, profitable business. When asked why he decided to join AWB, Engstrom responded with a smile: "Especially in good times, it is not bad to have someone on your side."

As the 6,000th member, Cutting Specialists is a milestone for AWB. They are representative of the multitudes of small employers throughout Washington who are working hard to succeed. They are all examples of how our economy depends on small, family-owned businesses. Without business owners like Mike Engstrom, our economy might falter. Without companies like Cutting Specialists, thousands of Washingtonians would be without jobs.