Listen to this articlePacific Lock Company (“PACLOCK”) is a small, woman owned and operated small business that manufactures physical security devices in the padlock market. What most consumers don’t know is that the number of “real” padlock manufacturers left in the world is quite small. The industry has seen significant consolidation and outsourcing over the past twenty years so the fact that PACLOCK does its own manufacturing in Los Angeles is truly extraordinary. Their core products sell to the institutional and enterprise markets often through distribution networks including locksmiths. At this point in time, the company doesn’t do much in the way of retail. Because their company is small and produces their own products, PACLOCK is nimble and innovative along with being a large scale padlock producer. On the one hand they produce more than 1.5 million padlocks a year with extreme quality, but on the other hand the company produces small runs of custom padlocks to customers looking for alternative solutions. Below is our interview with Gregory B. Waugh, President of Pacific Lock Company:
Q: Greg, what makes Pacific Lock Company a good choice?
A: Far better quality than what you see from the “big” well known manufacturers is our main selling point. Tremendously friendly and understanding sales and customer service is our next main advantage ~ we want to solve problems, not just sell what’s in a catalog. Third, and this is the one we hope to have a big impact with President Trump’s message, we produce domestic end products whereas most, if not all, of the big brand padlock manufacturers are not domestic. The growth of our business has led to more jobs ~ and PACLOCK supports the employment of people with disabilities and disadvantages. As our company grows, so to will our employment of workers who have especially hard times finding a second chance in life or, in the case of someone with a disability, who have always had a challenge finding work. Better quality, faster lead times, friendly company, and supporting good people are the reasons why PACLOCK is a great choice.
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Q: What are the main challenges of manufacturing physical security products right now?
A: The main challenge is really competition from overseas producers. But if you’re more asking about the challenges of manufacturing to PACLOCK, I would say that it’s mostly around managing the tremendous variety of products we offer today and also all the new products we develop and produce on a monthly basis. Because our market has been so lacking in terms of a responsive manufacturer for years, a lot of customers are turning to PACLOCK and saying, “no one has ever been able to build this for me, can you?” And often PACLOCK says “yes.” Our feelings are that if one customer wants it, then there are plenty others out there who are looking for the same thing. Since PACLOCK can literally produce new products in quantities as small as even twelve parts, it’s not a big deal for us to make the new product, manufacture twelve pieces, and then put them on the shelf. We start promoting those new products in our catalog, website, social media. If no one ever calls for them, then we’re out some development time and twelve pieces. But if we do start getting calls, then we begin more of a mass production. This is truly a key advantage we have that has overcome the biggest challenge of manufacturing: is there enough of a demand to justify developing and producing a new product?
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Q: What have been some major milestones over the last 12 months?
A: Just two weeks ago we were selected as our California State Senator’s small business of the month. It was something that had press coverage and we brought lunch in for our employees to enjoy after Senator Wilk made the presentation. I think the big takeaway from that award was that PACLOCK really has come a long way and is doing some very good things especially as it relates to employment practices. From a product perspective, we have introduced an entire line of products specifically geared towards the institutional locksmiths. Historically these locksmiths work for large agencies like transit authorities or universities and are price gouged by the large manufacturers because of a lack of competition. PACLOCK has entered these markets and is doing very well offering quality at a more reasonable price with better lead times. But our biggest milestone is being laid right now with our letter to President Trump asking for his review of how the Defense Logistics Agency (DLA) spends our tax dollars relative to small business & USA manufacturing and big business or non-USA manufacturing. We are very curious to see how this plays out and how much of a change PACLOCK might be able to make for all small businesses out there.
Q: What are your plans?
A: Our plans are really to stay the course of being a tremendous small business manufacturer. We are about to announce our own suite of products based on keyless technology (Bluetooth) that is very exciting. We are looking at retail and overseas distribution. The world as a whole is fed up with the big name padlock manufacturers so it’s our plans to earn as much of that business as reasonably possible.
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