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Allen Engineering Opens New Distribution Center, Training Facility

2 min read

Allen Engineering unveiled a new 34,000-SF distribution center along with a 4,500-SF training facility Oct. 11, at its Paragould headquarters and factory. 

The second-generation family-owned and -operated business, which started in Piggott 53 years ago, designs and manufactures concrete placing, finishing and paving equipment that is sold in more than 60 countries.

“We have now moved operations from three remote facilities in to one,” Allen Engineering Corp. President Jay Allen said. “This will give us a better visual and allow us to better manage our inventory and supply chain operations.”

The corporation’s new $1.7 million distribution facility is located next to the Allen Engineering factory and combines finished goods and service parts warehousing, product packaging and shipping operations along with office space for AEC logistics, product support and quality management.  Allen Engineering also launched a new $300,000 training and meeting facility designed to host both internal and industry meetings and training events for up to 100 people. The company also plans to implement a new factory layout in the fabrication and assembly departments to improve work efficiency and accommodate a new $650,000 sheet metal laser. 

“This new machine purchase was really big for us,” Allen said. “We’re a small, family-owned businesses and have never spent that much on one piece of machinery before. It was a company record.”

Allen Engineering is a fully integrated company that designs, manufactures, distributes and markets its own line of concrete and related equipment. The corporation, which was started in 1964 with a $5,000 loan, has seen a consecutive growth rate of 10 percent over the past three years and projects its annual revenue will reach $42 million in 2017. 

The company sells its products through a network of independent agencies. With nearly 120 patents in the concrete industry, the company’s flagship product is a series of riding power trowels, which accounts for about 40 percent of total sales. 

While Allen Equipment is sold in every state in the U.S., its top markets include Texas, Florida, Pennsylvania and New York. International clients account for about 20 percent of the company’s revenue.  

Allen said he looks forward to passing the family business to a third generation and attributes the company’s success to its relationship with the local community, a strong workforce and proximity to major transportation routes. Allen Engineering Corp. employs 165 people, but the expansion will add another 33 jobs by April 2018. 

“We love Paragould,” Allen said. “We try to be good corporate citizens and feel significant community support. Logistically, it is not a bad place to be, either. Even though Greene County has less than 3 percent unemployment, we’ve been able to hire great employees because of the area’s significant manufacturing and agricultural base. We’re grateful for our team and feel very blessed.”

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