Plastics One

The Roanoke Valley company has grown, becoming a supplier of medical equipment worldwide

By Jeff Sturgeon of the Roanoke Times

Fifty years ago, a Roanoke company was just opening its eyes to plastic's potential. It plastic-coated wire, made hearing aid cords and extruded Hula Hoops.

Today, Plastics One ships millions of dollars of precision medical equipment worldwide.

You'll seldom see its name on a label, but the small-scale goods it produces are used in hospitals, physician offices and laboratories. They include cords for monitoring and testing hospital patients, tethered "needle probes" that highlight nerves for the surgeon's knife, electrodes and cannulas for medical research and the external components of artificial ears.

Plastic and medicine are a natural fit. Many medical devices are made of or contain plastic. Plastics One incorporates electronic components, metal objects such as wire, pins, plugs, snaps and needles, and also sturdy fibers to create products by the thousands

Located on a quiet road in Southwest Roanoke County, the company until recently did little or nothing to call attention to itself. Last month, Plastics One was the site of a press conference to announce a prototype surgical device that was developed at Virginia Tech in Blacksburg and is being evaluated by the Carilion Biomedical Institute in Roanoke. Plastics One built the housing for the device, a tool for pinning broken thigh bones.

"They are much more than just a plastics company. Their capability for design, production, testing and shipping gives the Roanoke Valley a fantastic business resource," said Daniel Barchi, who directs the biomedical institute. "We haven't brought them anything that they couldn't make."

Company executives said in an interview that since Plastics One separated from a sister company and became independent in 1987, sales have grown from $3.2 million to five times that.

"We play with the who's who in medical devices around the world," Vice president John Richardson said.

For example, Plastics One sells to Medtronic Inc., a $7.7 billion medical technology company in Minnesota, and Cochlear, the Australia-based world leader in hearing-enhancing implants.

The employee-owned company expects to expand its 200-person work force by 10 this year and recently bought the building and land in which it operates for more than $2.5 million.

The company that became Plastics One opened amid the release of diverse new plastics.

Another early product line was cords. After starting out with hearing aid cords that stayed flexible longer than those of competitors, the company added communication-related cords. Ones with ear pieces came to be used by race car drivers for conversation with the pit. They're also used by musicians who need to hear themselves singing while onstage.

Singer Shania Twain's people recently called Plastics One and placed a rush order. After it was delivered, Twain thanked Plastics One by sending a picture and signed note.

But most medical cords ship out without such heartfelt feedback: They're primarily for medical applications.

Another company division supports medical research with the production of small research devices used at such venues as the National Institutes of Health, Duke and Johns Hopkins universities.

Former President and company co-founder Charlie Lemon recalled the division's first customer was medical researcher Elliott Valenstein, who ordered electrodes to implant in the brains of small animals at Walter Reed Army Medical Center. Valenstein ordered 200, liked them so much he ordered more and later placed a third order, this one for 2,000.

Valenstein, who has written books about brain function, explained that the price had been so inexpensive, he figured the company would soon go out of business, Lemon said. Not so, Lemon told him.

Lemon described the business model this way: "We just kind of kept supplying people's needs and, in time, it's developed into a right nice business. It's a service really."

Compared to earlier years, Plastics One executives now exude confidence, noting that they employ not only a production work force of molders and assemblers, but also design engineers and toolmakers who manufacture molds. The company owns the rights to many of the products it sells.

Asked how the company intends to hold onto that business, President David Wallenborn said: "We've got to get better and faster and cheaper, and that's what we've been really working on as a company."

Line workers have assisted company executives in a three-year effort to reduce waste and improve productivity. For example, teamwork is replacing the use of separate molding, assembly and inspection areas that required employees to push work in progress from department to department in buggies.

"It's the old Japanese Toyota model: one-piece flow," Wallenborn said. "We've accomplished a lot in the last few years to really set ourselves up for the future."

At a glance:

Plastics One Inc.

Founded: 1949

Product lines: Medical cords, hearing system components, research devices such as electrodes and custom injection molded items including trays for dental impressions. Non-medical products include gaskets for nuclear power plants and plastic parts for fireworks.

Customers: Health care providers and suppliers, industry, research organizations

Employees: 200

Structure: Employee-owned since 2001

Web site: www.plastics1.com

Location: 6591 Merriman Road S.W., Roanoke, VA 24018 (540) 772-7950.

Reference:

Sturgeon, Jeff. "Plastics One" (March o4) 30March 04. The Roanoke Times Archives