Company name: Banneker Industries, Inc.
Location: 678 George Washington Highway, Lincoln
Business: A manufacturing and logistics management company specializing
in warehousing, inventory management and distribution services.
Owner: Cheryl L. Watkins
Employees: 8 full-time, 2 part-time
Founded: 1991
Revenues: $1 million
Not many business owners enjoy the duties of warehousing, inventory
management and distribution and that is fine with the people over at
Banneker Industries, Inc., whose existence is based on those potential
nuisance areas.
The Lincoln firm makes its money by making sure other companies’
products are stored and ready to go to customers in an organized and
timely manner. It’s a niche business that the six-year-old company
predicts will explode in coming years.
“Distribution, for instance, is an area that can make or break a company
these days. Manufacturers need to find a company that is an expert in
distribution and that is what we are,” said Cheryl L. Watkins, president
and chief executive officer of Banneker.
At its 42,000-square-foot warehouse and offices, the company serves as
the tail-end of the manufacturing process for dozens of national and
local companies. In preparation of distribution, workers assemble,
package and inspect products as well as key them into an automated
inventory control system.
“There is a trend among manufacturers in which they realize that they
don’t have to do everything on their own,” said Watkins. “Products are
no longer being made at one facility. Outsourcing has become common.”
She added, “We run the business as though we are the employees for the
companies we work for.”
She added that experts estimate that the shipping and warehousing
business will be a $50 billion market by the year 2003.
Watkins’ company, which surpassed $1 million in revenues for the first
time this year, brings with it a lot more than a very large building and
some forklifts.
Watkins, who has a degree in mechanical engineering, started the company
as a machine shop before seeing the need for its current specialty. She
said her background as well as her workers’ knowledge of manufacturing
is a great plus in attracting customers.
“Companies are impressed when I meet with them and they realize I speak
the same engineering language they do. In this business that is unique,”
she said.
Watkins is also unique. She was the first African-American woman to earn
a mechanical engineering degree from the University of Massachusetts-
Amherst in 1981 and to own a manufacturing business in Rhode Island.
Watkins named her company after Benjamin Banneker, the 18th century
black mathematician, astronomer and inventor. Watkins said she wanted to
recognize the obstacles Banneker overcame during a time that was less
than inviting for African-Americans.
“Fortunately, I never felt like what I was doing here was unique. I
think the businesses I have worked with respect my talents and see my
business as a great resource,” she said.
It’s a resource recognized by Fortune 500 companies like Raytheon and
Texas Instruments as well as the U.S. Army.
Raytheon, for which the company used to manufacture parts, now uses
Banneker to handle the purchasing and distribution of raw stock, like
sheet metal, which goes to various manufacturers.
Then there are the smaller companies like SAS of Newton, which has
Banneker packaging and distributing its face masks used as beauty aids.
Roland H. Snead, the company’s marketing and sales director, said along
with the physical space of the business, Banneker’s greatest resources
are its workers and the technology the company provides.
“It’s the customer services that impresses most companies. They are
finding a place that can give them quick turnaround and great
accountability,” he said. “We are meeting the needs of these companies
not only in Rhode Island but in other states.”
He said the work force at Banneker is for the most part highly skilled,
including quality control personnel. While there are only eight full-
time employees, temporary workers are often called upon when necessary.
As for technology, the company has electronic data interchange (EDI)
capabilities, computerized inventory control and accounting system, and
bar code labeling.
“It is important for us to be automated and provide data online so we
can offer real-time information, which is vital to today’s
manufacturers,” Watkins said.
Watkins said the company’s continued growth has something to do with its
location.
“The key for us is easy access. We have Route 146, Route 122 and Route
295 right near us. Being able to be in Massachusetts in 10 minutes is
also a great advantage,” she said.
Watkins said manufacturing is a more global industry and Rhode Island
can cater to that with access to rail, ship or plane cargo
transportation.
Banneker’s next steps could include additional warehouses and a fleet of
trucks so the company can deliver its own products.
“We have found a niche that we have been successful with and we plan on
continuing to grow with it,” Watkins said.
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