Soaring Precision

It was 1986 when Lidia Gorko took a chance on the aerospace manufacturing industry and purchased a small business with one location in Van Nuys. Two years later the company moved to a larger location in North Hills. Alpha Aviation Components, Inc. has been in business long before it got its name. The company began in 1954 as Precision Quality Products, Inc. and was changed upon acquisition of another company to Gorko Industries before its current title became official in 2008. “I decided to change the company name to reflect and recognize the industry that we’re serving rather than it being [my] last name,” said Gorko, who is president, CEO, and sales executive of the company. Alpha Aviation serves as contract manufacturers for a variety of customers in the aerospace, defense, commercial, and medical industries. They have also broadened their market to manufacture parts for military units and even race car engines. “Our primary focus is to serve the aircraft and aerospace companies that do both large and small assemblies of the different parts of an aircraft,” said Gorko. “Whether it’s fuel systems or other components, it is the largest industry we serve.” What sets Gorko’s business apart from others in the highly competitive commercial market is the different industries it works with. Most companies model themselves to serve one specific market while Gorko manufactures for many different ones. Back in 2001, Gorko consolidated everything into the company’s main location in North Hills so orders from telecommunications, transportation, automotive, aviation, medical, energy, and space industries could be manufactured from one location. “It is much easier to manage with all of our equipment and production in one place. Everyone can put in one hundred percent quality for each order to be one hundred percent right,” said Gorko. Production Process The production process often starts with Alpha Aviation quoting a job for a customer seeking quality, engineered components or assemblies. The customer then provides detailed blue prints and specifications while the company analyzes the cost of materials needed to make the finished product a work of perfection. “Once a customer chooses us, the process starts with much detail and planning. We manufacture the parts which will go through different machine processes and to outside processes like heat treatment or special testing,” said Gorko. The company uses a process known as lean manufacturing which reduces the lead time of the completion of a product. Machines in the warehouse are prepared for operation before the ordered parts even arrive. Operators will also run similar parts in close proximity so they can utilize their time more efficiently. By the time Alpha Aviation is finished, a customer’s order has gone through multiple inspections during production and a final inspection before it is delivered to make sure the parts continue to meet the requirements of the customer. “What makes them unique to work with is the level of service we receive from all the people we deal with at Alpha,” said Joe Lopez, a member of the manufacturing department at Columbia Helicopters, Inc. in Portland. “Lidia Gorko has set the tone in that customer service is important.” Columbia Helicopters has been a customer of Gorko’s company since the mid-90’s and has had over fifty different parts made by them. They classify Alpha Aviation as a “Class A Vendor” which means they have passed on-site quality audits and are allowed to make flight critical parts. It is the most stringent level of quality many companies look for in their vendors. Getting Through Recession The last few years have been challenging for many contract manufacturing companies including Alpha Aviation. Gorko continues to view the recession as a learning experience and looks positively toward the future of her business. “We had to evaluate some of the jobs within the company to make sure they were in line with profitability,” said Gorko, who saw a $800,000 decrease in revenues from 2008 to 2009. “The most important factor is to maintain some sort of profit margin so that the company maintains itself through difficult times and can be ready when business picks up again.” The company is already noticing signs of recovery and the company predicts revenues for 2010 will be close to $3 million. Gorko views the increase as a sign of a brighter future in the years ahead. Alpha Aviation Components FOUNDED: 1954 Location: North Hills CORE OF BUSINESS: Contract Manufacturing Aerospace, Defense, Commercial & Medical NUmber of Employees: 30 Revenues in 2007: $3.5 million Revenues in 2008: $3.5 million Revenues in 2009: $2.7 million Projected Revenues in 2010: $3 million