Diversification, New Products Key to Allmand’s Future

The recent downturn in the oil and gas industry has affected one of the county’s largest employers, Allmand Bros.

Dale Sanders, vice president and general manager at Allmand Bros., said the company currently employs 125 workers, which is down 15-20 percent in the past six months as the result of layoffs.

“These layoffs are in direct reaction to the declining oil and gas markets,” Sanders said, explaining that many of Allmand’s products are used in oil field production and exploration. With oil prices at a 12-year low, exploration and production activities have slowed or stopped.

“As these businesses slow or close, many have been selling off their used equipment inventory, like our light towers and heaters, so customers who do need our products are able to buy them on the used equipment market versus buying new,” Sanders explained.

While the economic changes have been difficult, Sanders said Allmand Bros. is rising to the challenge by developing new products and diversifying into other industries, such as the general rental and construction businesses, and international markets.

While Allmand’s still produces light towers, portable heaters and arrow boards, they have recently added a large flameless heater to their portfolio. Engineers also recently designed a new light tower with a more aggressive price point for the general rental market. Production is expected to begin on the new tower at Allmand Bros. this month.

“Our engineering and product development teams are busy identifying the next product we will introduce to help support us in the future,” Sanders said. “The key thing to note is we have adjusted our operations to react to the changing markets.”

Sanders said Allmand’s also recently hired several new sales positions covering every state to help diversify the business.

“I am confident that through these efforts, we will make our business more agile and less susceptible to any one changing market condition,” Sanders said. “During the next six months, we will manage our business closely to ensure we are running our operation to meet the demands of our customers.”

Sanders began his position as general manager in September 2015 after serving on the team to help transition Allmand Bros. into the Briggs & Stratton family, which purchased Allmand Bros. in August 2014. Sanders has been with the Briggs & Stratton company since 1987. The Holdrege location retains the name Allmand Bros., a subsidiary of Briggs & Stratton Corporation.

“I do want to recognize the great leadership the Allmand family has provided for this business and community,” Sanders said. “It is through their legacy that we are able to carry forward the great business, product and brand into the future.”

Sanders said he is proud of the Allmand team and how employees have acted and reacted to the changing business environment and markets.

“We are making the right moves in product development and operations to ensure future success and will continue to adjust our business accordingly,” Sanders said. “I am very confident about the future for Allmand Brothers and am proud to be part of this great team!”

By Kristine Jacobson for PCDC