The Posner Industries Family
Nestled in a six-acre scrap metal yard in Hamilton, Ontario, Canada, is Posner Industries. Since the company was founded in the 1960’s, the name Posner has become synonymous with quality in the scrap metal industry. Three generations of Posners have helped to build and develop the company which today, akin to a small kingdom, governs, preserves and grows to meet and excel the needs of its varied and sometimes challenging customer requirements.
“Fred Posner (President) started the company and works alongside me; I’m his nephew, and his son Aaron Posner and his son-in-law Martin also work here. At the new and usable steel division there is his other son, Jason Posner,” Michael Kam, General Manager at Posner tells IRJ. “The whole group is involved.”
The new and usable steel division is another part of the Posner group which, along with the main yard, plays host to the 50 or more staff who continue to power this family-oriented company capable of offering a variety of different services with the highest regard for health and safety and the environment.
Positioning, demand and diversity
Kam says that Posner buys scrap metal from three main sources: Retail, industrial and dealers. In doing so the company is able to offer a vital in-house collection service to its respective organizations. Any such organization which presents a routine supply of scrap metal and simultaneously has an ongoing need for the product to be removed can enjoy a long-term and beneficial relationship from this service.
“Retail would represent what are commonly called ‘peddlers’ in our industry—people who travel in pick-up trucks and small trucks to pick up scrap and sell it on a daily basis. Industrial accounts are businesses extending plants or steel fabricators or any number of industrial businesses which generate metal or scrap metal,” Kam explains. “We service those accounts with trucking and boxes, environmental controls—there are a number of ways we service those accounts. Dealer business is scrap yard to scrap yard: Either via brokerage or physically handling the metal we buy and sell metal to dealers.”
The majority of the companies and organizations that Posner purchases scrap metal from are located in Southern Ontario and into the nearby United States in parts of the mid-west. Once collected, Posner sells its products on to Canada, the United States and also further afield to China and India where the escalating need for steel in industries such as construction has created a very healthy market appetite.
Market conditions have been a primary consideration in Posner’s development throughout its 35 years in industry. Kam explains that Posner’s close-knit management has proved key in achieving this.
A family-run flexible company
“Our company has been able to stay very dynamic by being family-run with a small management team. We’re able to discuss and act on things very quickly without going through channels and so forth. We’re here at all times and we draft the company as we see fit,” Kam says. “We’re able to pull our arms and legs in when they need to be pulled in, and we’re able to expand when there are opportunities to expand.”
One example of this is the creation and movement of Posner’s sub-company, Poscore Mill Services Corporation. “We’ve expanded and contracted in the past—contracting not being a negative but rather an adjustment to market conditions. We created a new company almost 10 years ago called Poscore and we’ve since sold our interest in that. That company has sold again to another company called Triple M Metals,” Kam says. “A case in point is that when there was an opportunity to do something, we did it, and when it was time to move on, we moved on.”
Not only does Posner’s handling of Poscore exemplify the company’s ability to grow and slow where necessary, it also hints at the strong reputation required to do so. Posner has sustained customer confidence throughout its existence through the great reputation the company has built, including its emphasis on putting health and safety first.
“There’s no option in business, especially in the scrap business. You put health and safety and the environment in front of everything that you do. There’s a plethora of liaison between government and industry,” Kam explains. “We’re forever improving our health and safety program and training and changing our environmental controls. In the last decade we’ve cemented probably 40 per cent of our works.”
Again this aspect of Posner’s competitive edge comes down to one key element: Family.
“Our real strength is in dealing with our customers and our employees as if they are family, with unique needs and problems that we work creatively and exhaustedly to resolve,” Kam says.
Posner offers the people power, experience and family approach to meet scrap metal needs ranging from those of the individual to companywide collection. Every avenue is covered and seeking out solutions to the most challenging client requirements is part of the service. For a diverse, safe and experienced team, they don’t come much stronger than Posner.