Last week I met with Hugh and Jason Thompson at their head office in Cambridge Ontario and it’s clear that making towels is both serious and fun. Applying beautiful design to smart manufacturing processes while listening closely to their consumers has kept this company healthy and thriving in North America.
Continuous innovation drives success
The Cambridge Towel Company, headquartered in Cambridge, Ontario, knows a little bit about the psychology of towels. In fact, getting inside the head of the towel shopper is what sets Cambridge Towel apart other manufacturers – you might even want to think of them as “Towel-Whisperers”.
Last week I met with Hugh and Jason Thompson at their head office in Cambridge Ontario and it’s clear that making towels is both serious and fun. Applying beautiful design to smart manufacturing processes while listening closely to their consumers has kept this company healthy and thriving in North America.
Who really needs a new towel?
“People buy towels on impulse,” says Hugh Thompson. “No one needs a new apricot or turquoise towel – but they might want one to freshen up a tired room or just because. We make it our business to inspire and satisfy the wants of our consumers – often before they realize they want it.”
And it seems to be working. Cambridge Towel is a privately held company and has been operating in the Waterloo Region for more than 40 years. Their head office is attached to a 200,000 sq/ft factory in Cambridge while another 200,000 sq/ft facility in Hamilton serves as their distribution center. The company lists The Bay, Sears, Walmart and Linens ‘n Things as their clients as well as a plethora of hospitality chains.
Hugh says manufacturing in Canada hasn’t been an easy road to travel. More than 30 years ago, Canada’s open door policy for textile imports forced Canadian manufacturers into price wars with global competitors (who can manufacture without the same regulations in terms of the environment and humane working conditions).
“The government in Canada abandoned the industry a long time ago, the same as they did with shoes and with furniture,” says Hugh. “It forced us to be lean and agile long before those were manufacturing buzz words.”
Competing globally, manufacturing locally
Cambridge Towel prides itself on paying close attention to their customer as well as the marketplace. They’re aggressive in defending the position they’ve established and equally aggressive in growing it.
“We take a different view of the market than our competitors,” says Hugh. “We look for what’s missing or what there’s too much of and we’re more agile than our offshore competitors and can get goods to market fast.”
“We’ll continue to do what we’ve been doing and stick to our knitting, not getting to distracted by other product lines or markets,” says Hugh. “We’ll participate in the world but we’ll do what’s best for our domestic market first.”
Smart manufacturing starts in the factory
During my tour of the factory, it was obvious that automation at Cambridge Towel has allowed them to focus their resources to ensure quality. While making towels is traditionally labour-intensive, Cambridge Towel has automated almost every process of the actual manufacturing.
“Everything is done by machine and the towels aren’t touched by people until they reach the inspection table – and then every single towel is inspected by hand,” says Hugh.
Using highly sensitive machines that feel where the seams need to go, for example, reduces mistakes that can drive production costs. And when errors occur, they’re tracked closely. A bulletin board on the factory floor displays a dozen charts that inform staff what’s happening throughout the entire process. When trends emerge, it’s easy to course correct.
What’s interesting about the transparency is the ownership of errors and success by employees. Whether it’s a mistake or a job well done, everyone can see exactly how they got there. When a process needs to be corrected, it’s not about who messed up but about working together as a team.
Clearly, Cambridge Towel has a well-strategized game plan that is pointing them toward long-term success. If you’d like to learn more about the company, they’ve embraced social media and welcome your comments and questions. Find them on Twitter or Facebook or at the home online: CambridgeTowel.com.
We’d love to hear your thoughts on the manufacturing strategy of Cambridge Towel and their commitment to staying here in North America. Leave a comment below or join us on LinkedIn, Facebook or Twitter and let’s talk.
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