Daktronics to expand at its Redwood site

Monday, March 03, 2014

Article By: Redwood Falls Gazette   |   Troy Krause

Bigger is better. For Daktronics that philosophy holds true not only as it continues to strive to be a leader in the digital display industry globally but as it relates to a project on a much more local level. After performing its due diligence, the Brookings, S.D. based technology company has opted to expand at its Redwood Falls location. A 30,000 square foot addition has been approved at the local manufacturing plant, which is going to allow for the building of larger components. The addition is going to be erected on the west side of the existing facility.

The reason for the necessary expansion, which is being added to its existing 100,000 square-foot building, is to meet consumer demand for bigger displays, said Tom Quacken-bush, Redwood Falls plant manager. As new sports venues are constructed, the desire to make digital displays even bigger has also increased. As an example, Quackenbush said the digital display it constructed for Target Field was made up of 5,000 modules, with each module one foot square. “The displays we are building now are three times that size,” said Quackenbush. Yes, that means future displays built by Daktronics are likely to exceed 15,000 square feet. That, in the digital vernacular, is a lot of LEDs. That light emitting diode (LED), which is the key to its digital displays, also has increased, with more LEDs per square inch creating an even better display. Quackenbush said the company has made a commitment to the local plant in its upcoming expansion, adding it also has invested in new machinery, with nearly $1 million in radial insert machines now installed on the floor. The LED?technology continues to become more advanced, but in the end the color scheme – red, green and blue – continues to be the same. With those colors used in combination, digital displays are able to create 14 billion different colors. The expansion itself is going to include taller ceilings compared to the current plant. “Our current ceiling height is 14 feet,” said Quackenbush. “The new area will have 30-foot ceilings.” While it might not need all of that capacity right away, planning for the future would necessitate that kind of vision. After all, the bigger is better mentality is not going away. Quackenbush said there are plenty of opportunities for employment currently available at Daktronics. In fact to help fill positions, Daktronics recently increased the increment on one of its shifts. As the construction project takes place, Quackenbush said local businesses are going to benefit, such as those in construction. Daktronics had initiated an expansion plan in 2008, and it had established the foundation for its expansion. While the time was not right to complete the project then, the growing company believes now is the ideal opportunity to expand. Quack-enbush said the expansion is going to exceed $3 million. “We have invested in state-of-the-art equipment and are investing in this expansion,”?said Quackenbush, adding both are going to be good for the community in the long term. “We are making a big investment in Redwood Falls.” A solid work force of 179 very dedicated employees has consistently been the norm for the manufacturing plant, and that group of workers helped to convince Daktronics to expand in Redwood Falls. “The decision to expand here speaks to the quality of the people we have working for us,”?Quackenbush said. The commitment from local government through the creation of a TIF?district also played a part in the decision. “We really appreciate the commitment they made to help us do this,” said Quackenbush. The plan is to begin the work as soon as is possible with an ambitious goal of having the building ready for operation some time this fall. “We have been experiencing a lot of exciting changes here,”?said Quackenbush, adding the company has been in Redwood Falls for seven years and it has continued to grow over that time. The company has seen an increase in orders for video display systems at sports venues with those awards exceeding $47 million. Orders in other areas also continue to grow, such as in schools, theaters and in displays one sees at local convenience stores. Its international business also continues to grow. The company reported net sales of $115.4 million in the third quarter.

Category: (none)