Bill Skok is president of Elgin Industries, a leading global manufacturer of original equipment and replacement engine and chassis products for the automotive and commercial vehicle markets. Skok joined the company, founded in 1919 by his grandfather, Martin Skok Sr., as government sales administrator in 1985 and became vice president of OEM sales in 1988. He was named president of the company in 2003 after having served nearly nine years as vice president of sales and marketing. Skok is a past president of the National Engine Parts Manufacturer’s Association (NEPMA) and a board member of the Production Engine Remanufacturers Association (PERA). He earned a bachelor of business administration degree from St. Norbert College, De Pere, Wis., in 1985.
This is a very exciting time for Elgin, as the company celebrates 90 years in business. What are some of the key attributes that you feel contribute to Elgin’s longevity?
My grandfather, Martin Skok Sr., had an unusually powerful entrepreneurial spirit that drove him to invent products and manufacturing processes and to ultimately establish his own company in 1919. Once he had launched Elgin, he reached out to other entrepreneurs from similar backgrounds to provide the capital to create their own companies. A few of these operations have become successful in their own right. I am proud to say that his spirit of entrepreneurialism, innovation and commitment to customer service have been passed down through each succeeding generation and are driving our success today with global OEMs, production engine rebuilders and aftermarket distributors.
Any special celebrations planned in honor of this milestone?
The entire year has been both a celebration of our success and a laying of groundwork for future growth. We are certainly stepping up our marketing activities to ensure customers know that we remain one of the oldest and most successful OE and aftermarket manufacturing firms still operated by the same family. We’ve also planned a variety of celebrations that will involve customers and employees. We have a close-knit, family environment, not only with our associates here in Elgin but also with our customers around the world.
As one of the few aftermarket businesses still around today that survived the Great Depression, did your grandfather pass along any wisdom that you feel is relevant to today’s challenging times?
Both my grandfather and my father, Martin Skok Jr., built this company through a relentless focus on delivering superior customer value. That meant innovative, well-engineered parts that restore OE performance but which are offered at a significant savings as compared to the dealership channel. It has also meant being very nimble – we can quickly adapt our operations and services to reflect the changing needs of the customer. We’ve maintained this focus while expanding our value proposition into a variety of other product areas – we’re now a leading basic manufacturer of complete valvetrain systems as well as a full complement of other engine and chassis products. We recently expanded into the chemicals segment with specially formulated engine lubes for rebuilders and performance enthusiasts. Our Elgin PRO-STOCK performance line has experienced exponential growth in product areas and coverage. And we’re finding new ways to flex our fully integrated operations to meet the specific needs of each customer.
The basic premise on which this company was founded – delivering superior value – is just as powerful today as it was 90 years ago. That explains not only why we remain a trusted manufacturing partner to aftermarket distributors, rebuilders and repair shops, but also why we are a preferred partner of companies like General Motors, Harley-Davidson, Jasper Engines & Transmissions, Mack and Federal-Mogul. We work with these companies to explore innovative new ways to help drive their productivity and profitability through our own manufacturing operations as well as our packaging and distribution capabilities. For example, we have a number of customers that now rely on us to manage the packaging and distribution of their own branded engine and chassis parts. These parts come off our production lines, are packaged under the customers’ brands and shipped to their distribution centers or customer locations.
Can you talk about any impact Elgin has experienced as a result of the financial struggles at some of your biggest customers today, and how the company has handled it?
As I said earlier, we view our customers as part of our family. We have close relationships with most accounts and are in touch with them in good times and bad. This proactive approach protects both parties. We know what’s happening in their businesses and they know what’s happening in ours. I’m pleased to say that we have an expanding base of financially strong customers in all areas of our business – OE, stock replacement parts, performance, heavy duty and heat treat.
Speaking of family, Elgin is a family business that is now under the third generation of ownership, which is rare today. Will family ownership continue with the next generation?
I certainly hope so. Virtually every branch of our family is involved in day-to-day operations and my father continues to play an active role. As we continue to expand our product offering and range of value-added solutions, we’re building a foundation for long-term growth that will benefit, hopefully, our children and grandchildren. Being family owned is a valuable differentiator in the aftermarket – most of our distributor customers are privately held businesses and there’s a stronger sense of partnership when you are speaking with the person who signs the checks. Any customer who calls us can immediately reach me, my father, my brother Tom or my sister Cheryl. By the same token, any employee can knock on our door and offer suggestions on how to improve our products or processes. Public companies can’t match that level of openness and responsiveness.
Of course, there’s another side to that equation. Because we are family owned, some distributors might wrongly assume we’re not on the leading edge of engineering and manufacturing technology. That couldn’t be further from the truth – without exception, prospective customers who visit our headquarters and manufacturing complex in Elgin are amazed at how sophisticated we are.
