Press Release Detail
FOR IMMEDIATE RELEASE
Contact:
George M. Mackie
Insource Contract Services, LLC
5601 77 Center Drive, Suite 240
Charlotte, NC 28217
704-643-3232
gmackie@insourcecs.com
Millennium Resources Announces Acquisition and Name Change
Charlotte, NC (September 22, 2003) – Millennium Resources announced a corporate name change today. The company will now be known as Insource, more accurately reflecting its' unique business model. Insource was formed in May 2003 by Charlotte based Wakefield Group to acquire the assets of Millennium Resources, a successful engineering and contract services firm located in Charlotte. Financing was provided by Petra Capital, a private equity firm based in Nashville, TN and RBC Centura Bank. George Mackie, formerly Entrepreneur in Residence and venture partner with Wakefield, participated in the financing and was named President and CEO of the company.
As a hybrid engineering and contract services firm, Insource offers a total solution bringing full accountability to its clients, with process improvements implemented by an insourced workforce bringing those improvements to life. By offering both engineering services and an insourced labor force, Insource is able to provide comprehensive, turn key labor management solutions to the manufacturing and distribution markets.
"Our total solution business model enables us to take full responsibility and financial accountability for our performance," said Mackie. "We make commitments for improvement, and we deliver. We align our pricing with our customer's performance metrics to guarantee shared success. Working in partnership with our clients our goal is to help them reduce costs, enhance productivity, improve quality, and provide flexibility within their labor management strategy. And with our performance based pricing, we actually pay a penalty if those goals are not met. It's a unique concept in a world where no one wants to take responsibility for their personal performance."
The Company changed its name to more accurately describe the essence of their business model. The name Insource reflects the ability for the client to maintain "internal" control, while seeking "outsourced" engineering consulting and contract services based on performance pricing. Production and distribution processes still take place at the client's site. But it's an externally contracted workforce (from Insource) that come onsite to design the most efficient process and then, take responsibility for implementing and managing that process for the customer. In essence we are "internally outsourcing" our services within the customers facilities.
Insource clearly differentiates itself from third-party logistics companies (3PL's), traditional staffing companies and engineering firms. For example:
  • Third-party logistic companies offer outside production or distribution services, but the client loses control of the processes and has incremental logistics costs. Insource provides a turnkey solution inside the clients existing facilities.
  • Traditional staffing companies provide commodity labor for internal facilities without any performance accountability. Insource partners with its clients, providing a value added service taking full responsibility for our staff's performance by guaranteeing our production and quality goals at a fixed price.
  • Engineering firms provide consulting services that recommend process improvements for greater efficiency, lower costs, and improved quality, but they are not responsible for implementation of these changes. Insource not only conducts analyses and makes recommendations, but the company recruits, trains and manages the labor staff in these new processes offering a fully turnkey solution.
Insource's highly quantitative approach to human productivity is made possible by its depth of engineering expertise, and its adoption and execution of Six Sigma methodologies and principles in its approach to working with customers, becoming an integral part of their team to improve processes and quality on a continuous basis.
"We think Insource's unique value proposition positions the Company for tremendous growth," commented Mike Elliott, the lead partner for the transaction at Wakefield Group. "The Company is in the right space, at the right time, with the right service offering. Coupled with a superior management team, it has all the elements we look for in a successful investment."
About Wakefield Group
Founded in 1988, Wakefield Group is a leading venture capital firm in the Southeast. Wakefield invests in growth companies emphasizing information technology, healthcare, and business services. With more than $100 million of capital, Wakefield operates offices in Charlotte and Research Triangle Park, NC, and is privately owned. For more information, please visit Wakefield's website at www.wakefieldgroup.com or call (704) 372-0355
About Petra Capital Partners
Petra Capital Partners, LLC is a private equity firm based in Nashville, TN with $150 million of capital under management. The most recent fund, Petra Mezzanine Fund, L.P., was formed in 1999 and is a licensed Small Business Investment Company with total investable funds of $80 million. The fund seeks to invest $2 to $4 million in later stage growth companies in need of expansion capital. The fund targets business services and healthcare services companies. For more information, please visit Petra's website at www.petracapital.com or call (615) 313-5999.