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VOLUME 29 | NUMBER 1 | FIRST QUARTER 2008
 
 

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INSIGHTS
ATI Wah Chang Today and Tomorrow:
Senior Management Insights
BY: STEPHANIE O’CONNOR — ATI Wah Chang
 

Customers and business partners often ask their ATI Wah Chang contacts: “What is new with the company?”; “How is your organization addressing the needs of the global marketplace?” and “How does the company keep up with the growing demand for titanium and zirconium?” Senior management team members at ATI Wah Chang ask themselves the same questions every day and come up with answers that will meet the needs of the company’s customer base.

In the next several issues of Outlook, senior managers, including Lynn Davis, Ron Graham, and Parry Walborn, give readers insights on how ATI Wah Chang addresses today’s challenges and plans to meet those of the future. In this edition, newly appointed Vice President of Operations Gary Micheau explains the continuous improvement programs being implemented throughout the plant. Micheau addresses safety, process reliability, lean implementation, equipment capability, and human resources.

 

Continuous Improvement

Gary Micheau, recently promoted to Vice President of Operations (see sidebar below), is no stranger to the importance of lean manufacturing and its effect on timely delivery. With the wide range of metals and forms that move through the plant, the operations group must perform a precise balancing act to make sure the company is meeting customer demand. “We’re working toward becoming a very lean organization, which means we become very efficient and effective at the use of our resources,” explains Micheau. “In today’s world, if we don’t continue to go in that direction, we’ll be out of the game. Part of becoming a lean organization is metrics, and the biggest metric is on-time delivery.”

“We have five major initiatives that improve on-time delivery and support the lean manufacturing journey,” says Micheau, who takes a very systematic and measurable approach to continuous improvement. Those initiatives focus on safety, process reliability, equipment capability, human resources, and lean implementation.

 

Safety

“If you don’t get the safety process right, it has a tendency to affect other key processes,” explains Micheau. “Over time, we have altered our safety processes in an effort to raise risk awareness across the board; you can’t engineer away all the risk.” He went on to give an example of one of the initiatives in place to improve risk awareness. “Every supervisor is required to have a risk conversation with a minimum of two employees a week,” according to Micheau. “Every employee ends up having at least one hazard and risk conversation a month. The influence of this strategy has been exceptional when it comes to mitigating risk.”

He adds that another big piece of improving the safety process has been employing the 5 S Philosophy, which focuses on simplifying the work environment, reducing waste and non-value added activities, and improving quality and safety. ATI Wah Chang holds regular safety meetings and diligently maintains a hazard control log to ensure that the necessary corrective actions are identified and taken. “Since we have implemented these initiatives, there are no outstanding corrective actions, which helps build credibility on the manufacturing side of the business,” says Micheau.

 

Process Reliability, Lean Implementation, and Equipment Capability

Process reliability, lean implementation, and equipment capability are three initiatives that are closely linked and help eliminate hidden factories, “which is all the re-work and additional steps added to the process that aren’t suppose to be present; these hidden factories effect delivery performance and increase costs,” explains Micheau. “One of the ways we eliminate hidden factories is through Integrated Process Management (IPM). We evaluate all variables in the process to ensure they are necessary and set at a level that will produce the correct product every time.”

IPM is one of the many concepts that Gary teaches his people to use. “We’re building a toolbox for people to improve their processes, and a good portion of that is education and training, which we’re constantly engaged in at the management, supervisor, and operator level,” says Micheau. Other lean tools used by the operation group to improve process reliability include daily schedule control, value stream mapping, and standardized work processes.
The daily schedule control tracks performance on an hour-by-hour basis through the manufacturing center. Any delays are evaluated to determine what needs to be addressed to eliminate lost time and waste. “Work processes are standardized, so during an audit, other lean tools can be applied to make proper revisions to the standard work instruction,” he explains. “This makes work processes more efficient and ensures proper training when employees are introduced to the process.”

ATI Wah Chang also continually engages in value stream mapping activities in an effort to reduce non-value added activities. Value stream mapping is an exercise that produces immediate results because it accelerates product flow, reduces inventory, and increases cash flow.

 

The process supporting ATI Wah Chang's Cold Roll Mill (shown above) is just one of many processes positively affected by continuous improvement initiatives highlighted in this article.

 

Of the five initiatives set forth by the Operations group, equipment capability encompasses some of the oldest concepts employed in manufacturing, yet it is equally important when it comes to on-time delivery. When every piece of equipment on the manufacturing floor is running efficiently and effectively, the overall capacity of the plant improves. Managing capacity helps ATI Wah Chang effectively meet the demand for its products. Diligently maintaining the equipment, performing non-destructive testing on samples out of the product lots, and making sure the equipment is operating within the designated controls are all activities that help guarantee equipment capabilities are upheld.

 

Human Resources

Gary Micheau believes that people are what make a company successful over time. “Education and communication are very important when it comes to helping an employee meet and exceed their true potential,” he says. In support of this belief, Micheau told Outlook that “regular training based on specific needs, daily shift meetings, and quarterly business meetings with all employees help to set expectations, encourage ownership, and facilitate open communication.” Helping employees be accountable for their daily responsibilities is also achieved through the use of position charters. Position charters “lay out key objectives for each job; they are the standards that employees are measured against on a quarterly basis,” he explains.

Micheau concluded his Outlook interview with one very telling statement: “The lean and continuous improvement tools implemented so far have been very effective for us.” The Continuous Improvement efforts currently underway at ATI Wah Chang will help the company serve customers better by providing them the quality products they demand and delivery time frames they can rely on.

 

Micheau Promoted to Vice President of Operations

ATI Wah Chang is pleased to announce the promotion of Gary Micheau to the position of Vice President of Operations. Micheau was originally hired by the company in January of 2007 as the Director of Fabrication.

With a 25-year background in Manufacturing and Operations, Micheau brings new insight into approaching inventory management and cost reduction. During his career as a General Manager of facilities producing aerospace, automotive, and distribution products, he has employed defined accountability, lean manufacturing, six sigma, and total productive maintenance. Time and again, he has proven his ability to dramatically improve performance.

Micheau has been involved in facility modernization and installation of major equipment from design and selection through startup. Additionally, he has a significant background in Human Resources (at both plant and division levels) and has experience in organization design and restructuring, change management, training and development, recruiting, and as a labor negotiator with multiple labor unions.

Micheau brings a unique perspective to manufacturing and distribution by understanding the necessity and difficulties of making dramatic operational improvements, while simultaneously attending to the task of managing a business.

Micheau received a Bachelor of Science degree from the United States Military Academy at West Point and a Masters of Science degree in Education from the University of Southern California. He rounded out his academic background by obtaining a Master of Science degree in Human Resources from Gonzaga University, where he taught a Management Fundamentals course as an Adjunct Professor in the school’s MBA program.

ATI Wah Chang looks forward to the contributions Gary will bring to the Senior Management Team.


 

CONFERENCE
ATI Puts on a Show at Corrosion 2008
 

 

ATI literally put on a show at Corrosion 2008 (March 17-21), a conference hosted by the National Association of Corrosion Engineers (NACE) in New Orleans, Louisiana. The centerpiece of ATI’s display was a stainless steel DeLorean sports car (pictured here), supplied by a Houston-based car collector. Surrounding the DeLorean was a mock drive-in movie theater, which included a company overview scrolling on an elevated big screen, a snack bar that doubled as a work and meeting station (incorporating titanium pipe in its structure), and scrolling marquee boards (similar to the backlit advertisements found outside of a theater) showcasing breakthrough ATI products, like ATI OmegaBond® Advanced Tubing Technology.

In addition to exhibiting at the conference, operating companies ATI Allegheny Ludlum, ATI Allvac, and ATI Wah Chang hosted more than 100 customers for a Tuesday evening city tour and reception. Locations were kept secret until the night of the event. The “Mystery Tour” featured stops at New Orleans’ historic Elms Mansion, where ATI Wah Chang President Lynn Davis addressed the crowd. The successful event concluded with a private after-dinner reception at the 258-year-old Preservation Jazz Hall in the city’s French Quarter.

 

Guests joined ATI for an intriguing “Mystery Tour” in New Orleans, Louisiana that included an elegant dinner at the historic Elms Mansion (left) and a wonderful performance at the Preservation Jazz Hall (right).

 

NACE is hosting Corrosion 2009 in Atlanta, Georgia. Stay tuned for more information.

 

ABSTRACT
Use of Reactive Metals in the Production of Biofuels
BY: STAN KIRSCH, DERRILL HOLMES & NANCY BEAUDRY — ATI Wah Chang
 

This article discusses two important biofuels, biodiesel and cellulosic ethanol, and the use of titanium and zirconium alloys in their production. Many papers have been presented that champion one technology over another; however, these papers do not typically address the metallurgical aspect involved in the processes. Generally speaking, the raw materials, products, and by-products are not considered overly corrosive; however, depending on the process scheme, certain process steps can present extremely corrosive conditions. For example, in biodiesel, if hydrochloric acid is used in the glycerin recovery loop, the choice of materials for construction is quite limited. In cellulosic ethanol, if acid hydrolysis is used, the choice of metallurgy is again limited if the process is to run economically at maximum reliability, and to the highest environmental and safety standards.

 

Corrosion Resistant Materials for Maximum Reliability

In biofuels processes, selected areas require corrosion resistant materials to provide the maximum reliability along with the highest safety and environmental performance. Conditions in the majority of typical biofuels processing steps are relatively non-corrosive due to mild operating conditions. However, in harsh process areas, more corrosive conditions exist that may require the use of titanium and/or zirconium.

In the case of a typical biodiesel production unit, one such instance is glycerin refining, which uses hydrochloric acid to control the pH. Both zirconium 702 and Ti Grade 7 are exceptionally good alloys for use in biodiesel production plants in areas where hydrochloric acid is used.

The acid hydrolysis process for cellulosic ethanol is very corrosive due to the acid concentrations and temperatures used. The neutralization of the spent solids from the hydrolysis step with a strong alkali like sodium hydroxide requires a material that will not be affected by a swinging pH environment.

Corrosion mechanisms are very complex and can be significantly affected by trace contaminates. It is strongly suggested that corrosion coupon testing be undertaken. The testing should replicate the normal process conditions and potential abnormal process conditions, such as start up, equipment failures, and shutdown conditions.

 

Titanium and Zirconium for Corrosion Management

Both titanium and zirconium alloys owe their unique corrosion resistant properties to the thin oxide film that automatically forms on their surface. Titanium’s oxide film forms a mixture of TiO, Ti2O3, Ti3O5, and TiO2. The TiO2 is the most stable and corrosion resistant of titanium oxide films. The zirconium oxide film does not contain a mixture of oxides; it only has ZrO2. This film is very stable under both oxidizing and reducing conditions.

The practical use of titanium is limited to lower acid concentrations and temperature ranges when compared to zirconium (see Figure 1).

 

 

Figures 2 and 3 show what alloys have been proven to work at various temperatures and concentrations in hydrochloric and sulfuric acid. The corrosion rate is constant at a maximum of 5 mpy along the different colored lines. The alloys listed in the area below the lines have a corrosion rate between 0 and 5 mpy.

 

 

Unlike zirconium, the presence of oxygen and multi-valent ions such as ferric and cupric, have a corrosion inhibiting effect on titanium. The presence of impurities can extend the corrosion limits for titanium somewhat in hydrochloric acid as they do for titanium in sulfuric acid 9. Figure 3, gives the useable limits for titanium grades 2 and 7 in hydrochloric acid.

Titanium is limited to lower concentrations and temperatures than zirconium and is not adversely affected by oxidizing agents. Zirconium is resistant to attack in all aqueous concentrations of hydrochloric acid in the absence of oxidizing agents.

Typically, hydrochloric acid is introduced into the process in a 36-37% aqueous concentration. It is important to select materials of construction that can handle these high concentrations and not just the lower acid concentrations encountered in the bulk process solution. Of the available titanium and zirconium grades, Ti Grade 2, Ti Grade 7 and Zr 702, are the most useful in the management of corrosion in biofuels plants.

 

 

For more information about corrosion resistant alloys for biofuels production equipment, contact ATI Wah Chang by email at custserv@wahchang.com or by phone 541-967-6977.

 

References

  1. Fangrui Ma, Milford A. Hanna, “Biodiesel production: A review” Bioresource Technology 70 (1999) 1-15.
  2. Udo Erasmus, “Fats that Heal Fats that Kill”, chap 20, pg 116.
  3. J. Connemann, J.Fischer,”Biodiesel in Europe 1998, Biodiesel Processing Technologies” presented at International Liquid Biofuels Congress, Curitiba-Parana, Brazil, July 19-22, 1998.
  4. J.Van Gerpen, B. Shanks, and R. Pruszko, D. Clements, G. Knothe, National Renewable Energy Laboratory, Biodiesel Production Technology, August 2002-January 2004, Contract No.DE-AC36-99-GO10337.
  5. Fangrui Ma, Milford A. Hanna, “Biodiesel production: A review” Bioresource Technology 70 (1999) 1-15.
  6. Fieser, l. F., and Fieser, M (1950)”Organic Chemistry,“ 2nd., Chapter 18, p. 483. DC Heath and Company and Donald L. Klass, Biomass for Renewable Energy, Fuels, and Chemicals”, p, 417-419.
  7. Faith W.L. (1945). Ind Chem. 27, 9 & Nikitin, N. I. (1962). The Chemistry of Cellulose and Wood”, S. Monson Binder, Jerusalem, Israel & Donald L. Klass, Biomass for Renewable Energy, Fuels, and Chemicals”, p, 417-419.
  8. SRI Consulting, Jan 2006. Chemical Economics Handbook, pg 22, 53-57.
  9. Timet, Corrosion Resistance of Titanium, pg 18.
 

PEOPLE

On the Move

 

ROBERT HOUSER

Robert Houser recently accepted the Technical Services Engineer position in the Technical Services and Marketing Group at ATI Wah Chang. Robert joined ATI Wah Chang in 2000 and has held positions as a Project Engineer and most recently as the Titanium and Medical Sales Manager. He has a Bachelor of Science degree in Mechanical Engineering and an MBA from Oregon State University. Houser is also a registered Professional Engineer in Oregon.

“Robert has the engineering expertise necessary to do very well in this position.” says Rick Sutherlin, Manager of the Technical Services Group. “His cross functional experience at ATI Wah Chang also makes him a valuable addition to our group.” In his new role, Houser will work with customers and industry professionals to help solve problems related to equipment failure. He will also assist in materials selection activities for various customer applications.

Robert can be reached via email at robert.houser@wahchang.com or by phone at 541-812-7012.

 

NANCY BEAUDRY

Nancy Beaudry recently joined the Commercial Nuclear Group to assist in ATI Wah Chang’s preparation activities for the Nuclear Renaissance. In her new position, Business Development – Nuclear, “Nancy will use her business development expertise to work with the group on account management, research and development, and data analysis,” says Michael Moyer, Manager, Nuclear Sales.

Nancy joined ATI Wah Chang in 2006 as a Project Coordinator in the Business Development group where she was involved in the management and evaluation of new business opportunities in the Medical and Chemical Processing markets. Prior to working at ATI Wah Chang, Nancy received a Bachelor of Science in Chemical Engineering from Iowa State University. She then went on to work for Monsanto Enviro-Chem, Inc. in various plant engineering positions. Beaudry also worked at Monsanto’s corporate offices as a Technical Service Representative. Over the course of her career, Nancy has also gained expertise in marketing, sales, and project management. Outside of ATI Wah Chang, Nancy spends a lot of time working on her MBA at Willamette University.

Nancy Beaudry can be reached by phone at 541-917-6711 or by e-mail at nancy.beaudry@wahchang.com.

 

KATI McCOY

Katrina (Kati) McCoy joined the ATI Wah Chang Commercial Department as a Customer Service Coordinator in March, 2008. Kati graduated from Oregon State University in June, 2007 with a degree in Business Administration and Marketing. During her time at Oregon State, Kati also worked as a Customer Service Representative at FedEx where she managed customer relations, ensured delivery regulation compliance, and assisted with the coordination of inbound and outbound freight. “Kati’s prior customer service experience coupled with her excellent track record in improving customer satisfaction at FedEx make her a valuable addition to our team.“ says Allen Howard, Commercial Business Operations Manager. You can reach Kati by calling 541-967-6977 or emailing katrina.mccoy@wahchang.com.

 

ACHIEVEMENT
ATI Wah Chang’s Beck Summits ASTM with H.V. Churchill Award
BY: KIRK RICHARDSON — ATI Wah Chang
 

Mountain climbing chemist Gary Beck, winner of ASTM’s 2007 H.V. Churchill Award, pictured in his Albany, Oregon office, surrounded by mementos from his career in metals.

 

If one were able to analyze character the same way that a metallurgist assays a sample of ore, a cross-section of Gary Beck would reveal many parts per million of curiosity, humor, and tenacity. Beck, former Analytical Laboratory Manager at ATI Wah Chang and currently working part-time as Principal Analytical Chemist, demonstrated those and other qualities in earning ASTM’s 2007 H.V. Churchill Award for meritorious service.

Established in 1898, ASTM International is one of the largest international standards development and delivery systems in the world. ASTM standards are accepted and used in research and development, product testing, quality systems, and commercial transactions around the globe.

Beck has been a very active member of the organization for more than 30 years. In announcing the honor, ASTM focused on his contributions to International Committee E01, Analytical Chemistry for Metals, Ores and Related Materials, one of 138 technical standards writing committees. Beck is currently serving on Committees B10 on Reactive and Refractory Metals and Alloys, D19 on Water, and F40 on Declarable Substances in Materials and is vice chairman of Subcommittee E01.06. He recently participated in a five-year international round robin project, an arduous effort culminating in the “Guide for the Analysis of Refractory and Reactive Metals,” a standard for testing samples.

“I’ve been associated with Gary for 22 years now, and I’m proud of his accomplishments,” says Ron Graham, Vice President of Technology at ATI Wah Chang. “I enjoy seeing somebody who just really deserves recognition.”

Beck appreciates but never expected the honor. “Very few people join ASTM because it’s glamorous and fun work, but somebody has to do it,” he adds. “Part of the job is to ensure that these things are in place for companies around the world.”

Back in Beck’s Albany, Oregon office, jars full of sponge samples, plate, and other product forms rise up like little metallic peaks from a small meeting table. On the walls, above ASTM manuals that he has helped write, are images that reinforce the picture of resolve framed by the man.

Not only is Beck persistent enough to work many years at co-developing higher testing standards, but he has been taking on real mountains since the 1960s. “I started it just to get away from the desk,” he explains. “It’s such a total change of what you do 40 hours per week.”

 

 

“You can climb all of the mountains in Oregon pretty quickly; they’re just big old hunks of cinder,” laughs Beck, who has moved on to conquer bigger challenges, like Africa’s Mt. Kilimanjaro.

As for continuing to tackle ATI Wah Chang projects and multiple roles at ASTM, the adventurer says, “I really enjoy what I’m doing. I feel blessed that I’ve been allowed to retire and come back and not just fade away into the distance. I really like doing these kinds of projects. It’s fun to be able to not take that portion of your brain and put it in a display case someplace. Keep it active.” Luckily for all of us, Beck wouldn’t have it any other way.


INFORMATION

LYNN DAVIS
President

PARRY WALBORN
Vice President — Commercial

GARY KNEISEL
Director of Sales

KIRK RICHARDSON
Managing Editor

STEPHANIE O'CONNOR
Editor

Copyright ©2008 ATI Wah Chang. All rights reserved. Reproduction of this newsletter by any means, in whole or in part, without written permission is prohibited by law. Outlook is published quarterly by Wah Chang. The newsletter contains information on reactive and refractory metals, including hafnium, niobium, titanium, vanadium and zirconium, as well as chemicals. The properties listed herein are average values based on laboratory and field test data from a number of sources. They are indicative only of the results obtained in such tests and should not be considered as guaranteed maximums or minimums. The starburst logo and Wah Chang are registered trademarks of ATI Properties, Inc.

 
Information & Order Contacts

ATI Wah Chang
(headquarters)
P.O. Box 460
Albany, Oregon 97321
T 541.926.4211
F 541.967.6990
www.wahchang.com
www.corrosionsolutions.com
www.wahchanglabs.com

Sales/Tech Support
T 541.967.6977
F 541.967.6994
custserv@wahchang.com

CPI Service Center — US
T 541.917.6739
F 541.924.6882
ellen.baumgartner@wahchang.com

 
Information on Agents/Distributors

CPI Products
T 541.967.6906

Nuclear-Grade Alloys
T 541.967.6914

Ti, V, and Nb Products
T 541.967.6977

 
Affiliated Companies

ATI Allvac
PO Box 5030
Monroe North, Carolina 28111-5030
T 704.289.4511
www.allvac.com

ATI Allegheny Ludlum
500 Six PPG Place
Pittsburgh, Pennsylvania 15222
T 800.258.3586
www.alleghenyludlum.com