Arctic Wire Rope and Supply Inc., an unusual vendor operating in the Alaska-Washington trade, is celebrating its 30th anniversary this year.
The on-site fabricator and tester of harnesses, braces and slings for the harsh and demanding Alaska industrial environment got its start when company co-founder and President Eric McCallum decided to go into business.
“Yes, it was 1983. I got fired, and I had to come up with a job. Sometimes opportunity shows itself in odd ways,” recalled McCallum, in a recent interview.
Three decades later, McCallum is still sleuthing for opportunities.
Drawing on McCallum experience selling industrial equipment, the small firm initially focused on fabricating wire slings and lifts that allow large loads to be lifted by a crane, it has expanded its product line as technology advanced over the years to include all sorts of heavy lifts, primarily lifting slings made from a variety of materials.
Today, the 14-employee Anchorage-based business is Alaska’s largest rigging facility, specializing in custom wire rope and nylon and chain sling fabrication. The firm’s products include a variety of tow ropes, nets, chain slings, nylon/polyester slings, rigging hardware, up to two-inch stud-link anchor chains and one-inch- to 12-inch-wide tow & jerk straps.
The secret to Alaska Wire Rope’s success, according to McCallum, is its ability to maximize the advantages that come with satisfying the needs of its industrial customers for fabricated or customized products that meet all of safety requirements.
Focus on diversification
Alaska Wire Rope has “pretty much recovered” from the economic downturn in 2008 and 2009, said McCallum.
“We’re like a lot of businesses in Alaska, where oil and gas is our primary base. We’ve been trying to expand into commercial fishing, and we’re a bit dependent on how things are going in those industries,” he said.
McCallum said the mining sector appears to offer potential opportunities for future growth, but with a number of the state’s mine projects facing obstacles to development such as challenges from environmental groups, “it’s often about timing.”
“It’s also a matter of balance – taking care of our core business, while looking for ways to diversify. We’re trying to be as diversified as possible, while staying in our core competency,” he explained.
Another promising growth area is in import-substitution opportunities – things that can be created and sold in Alaska as opposed to being brought in from Outside.
“A lot of our lower 48 competitors have gone to imports from China, while our customers rely on the quality found in U.S.-made products,” McCallum said. “We’re hoping to capture a bit more of this value-added business.”
Arctic Wire Rope has succeeded at diversifying is marine applications.
“We make all sizes of rope for ships, up to three-inch diameter mooring lines for the big ships,” McCallum said.
“Did you know that many of the ships coming to Anchorage rent mooring lines because the tides are so strong in Cook Inlet? They pick up the mooring lines in Homer and then drop them off again when they leave the Inlet,” he observed.
Added McCallum: “There are all sorts of little opportunities out there.”
