Perlick’s lines include remote beer systems, refrigerated and non-refrigerated cabinets, stainless steel underbar equipment and glass washers.

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With its bar and beverage equipment, Perlick Corp. specializes in helping clients serve beverages in a profitable way, Co-CEO Larry Molinari says. “If the beer’s not cold, or the wine’s not chilled to the right temperature, all of that affects whether or not a restaurateur can realize his dream of having a success,” he explains. “Our mission is to help the end-user – the bar and beverage guy – make a profit.”

Based in Milwaukee, Perlick’s lines include remote beer systems, refrigerated and non-refrigerated cabinets, stainless steel underbar equipment and glass washers. In addition, the company produces stainless steel and brass fittings for brewing.

Robert Perlick founded the company in 1917. A native of Germany, Perlick and his family immigrated to the United States to live with an uncle in Milwaukee. The move came after the death of Perlick’s father, which left his mother destitute. “They sold everything they could, got on a boat, and then, around the turn of the last century, rode to Milwaukee,” Molinari says.

After arriving, Perlick started working at a machining business, but later formed his own company as R. Perlick Brass Works. Today, the company’s products are used in bars, resorts, residences, restaurants, hotels and stadiums.

Seventy-five percent of Perlick’s business is composed of commercial bar and beverage dispensing equipment, Molinari says. When meeting with these clients, the company’s sales representatives will act as consultants, he says.

After determining their goals, the company will design the bar environments to meet the clients’ needs. “You help them [by] having all the equipment they need in the right place, so that they can have the products they need when they need it,” Molinari says. “Laying out a bar is a delicate balance.”

Today, Molinari and Co-CEO Steve Burgam manage the company. Both are sons-in-law of the founder’s grandson, Robert Perlick, who is retired from the company.

“Steve and I are fourth-generation,” Molinari says, noting that the family management has impacted the business’ focus. “In a family business, you’re not always looking for what your profits are going to be in the next quarter.”

Instead, he says, Perlick focuses on the long term, and, in doing so, has nurtured a loyal staff. “People with 25 to 30 years’ experience are not uncommon around here,” Molinari says. “We give them opportunities to grow and do our best to nurture their inborn skills and abilities.”

Stepping It Up
Although Perlick has always been a quality manufacturer, the company made investments in 2001 to improve, Molinari says. “We decided, if we’re going to grow, we had to step it up,” he remembers. “We had to become a more productive, efficient operation.”

To do so, the company hired Fred Luhrs as its general manager. Previously, Luhrs implemented lean processes as the CEO of another manufacturer. “We gave him the challenge of basically reworking our whole production facility along lean manufacturing and kaizen [practices],” Molinari says.

“This process included the re-engineering of Perlick’s equipment to best utilize our new equipment,” Molinari says. The company added an integrated sheet metal processing plant that is nearly the length of a football field and features laser cutters and right-angle shears.

The machine can automatically take sheet metal and do complete cutting and punching operations and run 24/7 unattended. The set-up time on Perlick’s press brakes also has been minimized, Molinari says. “The process is so lean that we can get a final product out the door in a matter of days,” he says.

During the process, the company also eliminated a 150,000-square-foot warehouse and 100 positions. This has allowed the company to dramatically increase its productivity, Molinari adds.

In addition, while the company has reduced its employment levels over the last five years, it has also increased its sales by 44 percent during that period, he adds.

Perlick has focused on energy efficiency, as well. It has achieved Energy Star approval, and “on average, our products are 24 percent more efficient than Energy Star ratings,” Molinari notes. “We more than meet their requirements on every one of our cabinet for which there is an Energy Star standard.”

In addition, “We’re told by Energy Star that they’re going to create more classifications so we can get all of our products Energy Star approved,” he adds.

Making More Improvements
As Perlick continues on its growth track, the company plans to increase its marketing efforts, Molinari says. “We’re going to be a little bit more aggressive with our communications, both in advertising and through our rep organization,” he states. “We have hired an ad agency and increased our advertising and PR budgets.

“The company also plans to improve our customer service,” Molinari says. “We will do this by improving our order processing systems and procedures and through new training programs to improve the knowledge and skills of customer service staff and manufacturing reps.”