Sentry Equipment plans to lean more on AI to support further growth, as the technology is expected to help address the company’s skilled labor concerns.
That’s according to Marcease Warren, vice president of manufacturing for the Oconomowoc-based industrial machinery company. It makes equipment for portable filtration, sample automation, coolant recycling and other processes.
In a recent interview, Warren said the nearly 100-year-old business has been struggling to find skilled workers to man its shop floors amid a competitive local labor market. It has about 200 employees overall with half located in Oconomowoc, he said.
“It’s been difficult to find machinists … especially in Waukesha County, the unemployment rate is ridiculously low out here, so we’re all competing for those same pools of resources,” he said Friday. “And then you’re … trying to poach from other companies to see if you can attract that talent from somewhere else into your organization.”
Waukesha County’s non-seasonally adjusted unemployment rate was 3% in June, below the statewide rate of 3.2% for the month, according to the latest figures from the state Department of Workforce Development.
“It’s difficult to find those passive jobseekers, especially in the manufacturing realm,” Warren said.
Looking ahead, Warren said the company plans to leverage AI to offset challenges with finding skilled workers. Sentry Equipment has already launched an early project using AI to help streamline the company’s contract review process.
“We’re looking at it, from enhancing how we create procedures to just day-to-day operations,” he said. “So AI is going to play a big role in how we can grow without necessarily having to add headcount at the same rate that we’re growing.”
One application he’s focused on is using AI to speed up a documentation process, reducing the time needed for a given project from more than a week to just four to eight hours, Warren said.
“It’s just given us the ability to do things a lot faster and a lot cleaner,” he said.
Meanwhile, the company has adjusted its recruitment strategy from looking only at those with the requisite skills to hit the ground running, focusing instead on bringing in younger hires with basic skills that can be built up while on the job. That includes high school students participating in programs connected to manufacturing and the trades.
“If you have the right attitude or personality and you’re a good cultural fit, then we’re going to put in the time and resources into training you,” he said.
The company also promotes its employee stock ownership plan to potential hires, offering extra benefits for employees, as well as the opportunity for internal advancement. Warren says many of the company’s office workers were formerly on the shop floor and found new roles that were a better fit.
As the business navigates local workforce hurdles, broader challenges related to tariffs largely haven’t yet had an impact on Sentry Equipment, according to Warren. He explained the company is “kind of on the fence” about tariffs as the company’s suppliers haven’t imposed higher prices.
“But on the opposite side, we are a global company, so 20% to 30% of our sales do come internationally,” he said. “So we’re not sure what that long-term impact will be.”