U.S. producers find ways to compete
Oakwood stresses speed, efficiency
By Furniture Today Staff -- Furniture Today, February 3, 2002
ONTARIO, Calif. — Dealing with outside forces is nothing new for Oakwood Interiors, a California case goods manufacturer that remains adamant in its commitment to all-domestic production.
Long before imports became such a factor in case goods, California's own environmental and labor regulations forced Oakwood and other manufacturers in the state to find ways to compete with producers in other parts of the country.
"We've been fighting this battle for 20 years," said Larry Parnell, president both of Oakwood and the California Furniture Manufacturers Assn. "To start with, with all the regulations, this is the toughest state in the world for manufacturing. Because we've had to exist in the environment here, I'm used to dealing with a situation where others have some competitive advantages."
Oakwood also carved out a niche as a fast shipper of mid-priced oak furniture, and this year will expand into solid alder. And as a small manufacturer compared with giants like La-Z-Boy or Furniture Brands International, the company long ago chose to stay all-domestic to maintain control.
"We don't want to become dependent on (offshore) types of sources because, the way business goes, that faucet can get turned off very suddenly," Parnell said.
Oakwood has spent money on manufacturing efficiency, especially in the past 12 months. "We've made a huge investment and still are investing in automatic carving machines," Parnell said. "Those can run 24 hours a day."
Oakwood has long highlighted its domestic manufacturing in its marketing.
"We were promoting 'Made in America' long before Sept. 11," Parnell said. "Somewhere along the line that makes a difference to some people, and I'm marketing to those people.
"I understand why so many companies source overseas, and I'm not an import basher. I do believe in free enterprise, but I am concerned about fair enterprise."
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