They make products to stop an armor-piercing bullet, vessels to document the existence of dark matter and microwave components for battleships and fighter jets. New Hampshire's high tech manufacturers are the superheroes of the economy, making up a large chunk of our gross state product- 25 percent according to Fred Kocher, president of the NH High Technology Council.
In 2011, defense contracts brought in $1.2 billion for these high tech firms and supported about 25,000 jobs, according to the NH Department of Resources and Economic Development. But these superheroes face a daunting foe as the U.S. Department of Defense faces dramatic budget cuts in the next decade. And Kocher says NH needs to step up its investment in training Next Gen workers and beef up the R&D tax credit to ensure a positive future for the sector.
When it comes to the companies themselves, Zenagui Brahim, executive director of the NH Manufacturing Extension Partnership in Concord, says advanced manufacturers must focus on innovation, including redesigning or developing new products to diversify, and reposition themselves in a changing marketplace.
The NH MEP updated a study a year ago on best practices for next generation manufacturing that identified five strategies for success: Custom-focused innovation, advanced talent management, systematic continuous improvement, environmentally sustainable products and processes, and supply chain and global engagement.
Brahim says NH manufacturers seem to be excelling at innovating and talent management, but they lag behind in sustainable practices, supply chain engagement and having more small manufacturers in the global marketplace. Below are three NH high-tech manufacturers finding success in the government and defense sectors:
Winchester Precision Technologies, Winchester
Tucked away in the Monadnock region, Winchester Precision is a 28-year-old family-owned business, employing 20 and playing a key role in the investigation of dark matter.
The company reinvented itself during the past decade from a manufacturer of large rollers for the paper industry to a sought after contract manufacturer of large-scale precision machined metal products for a variety of industries. It's that last one that caught the attention of Los Alamos National Laboratory. The lab is researching dark matter, which does not absorb or emit light like normal matter and is believed to account for more than 80 percent of all matter in the universe, says Barry Bordner, president of Winchester Precision Technologies. Los Alamos needed a testing vessel built to exact specifications for its research to prove the existence dark matter and chose Winchester Precision.
The $1.1 million contract is a major coup for a company that posts annual revenues of about $5 million. But Bordner says this kind of complicated, large-scale project is perfect for Winchester Precision. We are an engineering company first and a custom manufacturing company second, he says. Other customers include Rolls Royce, Naval Marine, General Dynamics and Northrup Grumman. Next, the company is developing components for the nuclear industry.
Nanocomp Technologies, Merrimack
Nanocomp Technologies takes carbon nanotubes-cylinders of carbon atoms a nanometer in diameter (or one thousand millionth of a meter) and one millimeter long-and creates sheets, tapes and yarn that are revolutionizing everything from wiring to aircraft to bulletproof vests. This is like the mill buildings for the 21st Century, says Co-founder, President and CEO Peter Antoinette. This facility is the first of its kind in the nation. While Nanocomp started in 2004 as a two-person operation in 500 square feet in Lebanon, it recently moved to a new 30,000-square-foot office and manufacturing space in Merrimack. It employs 60 people, working three shifts five days a week.
The company says its carbon products are stronger and more flexible than some metals without the degradation issues common to metals such as thermal expansion and contraction. Nanocomp is marketing its products as replacements for copper wiring in commercial and military airplanes, which would weigh dramatically less, resulting in significant fuel savings.
We've created the thinnest bullet proof vest using carbon nanotubes, says Antoinette who adds the vests will be sold to the police and military next year.
TRM Microwave, Bedford
This manufacturer of RF and microwave components and integrated microwave assemblies has made a name for itself in the defense and aerospace industries through customization. In fact, 94 percent of its business comes from engineering unique products for such customers as BAE Systems, Boeing, General Dynamics, L3 Communications, Lockheed Martin, and Northrop Grumman. We're part of [almost] every major military program that exists today, says Anthony Tirollo, chief technology officer, who founded the company 42 years ago. For many of our programs, we're the only source on that product. Its components can be found in satellites, battleships, and fighter jets. We have more than 50 space-qualified designs and we're reviewing 24 more, says T.J. Cole, director of sales and marketing.
The company is now led by CEO Wendy Tirollo and COO Mark Schappler and has grown from three people and $10,000 in sales to 50 employees with more than $10 million in sales. And while many companies cut their workforce during the recession, TRM Microwave grew from 26 to 47 employees between 2008 and 2011.
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