From modest beginnings, quality product innovations and demand has allowed the company to expand offerings in more than 60 countries.

At A Glance

On Nov. 22 of this year, Vermeer Corporation will officially mark 60 years in business. From humble beginnings — with one employee constructing wagon hoists in a one-room cement-block building — the company has grown to become recognized as a global leader in forage, tree care, wood-waste processing, composting, compact and underground installation equipment. Vermeer now employs more than 2,000 people and sells products through a vast dealer network that extends to more than 60 countries.

Sixty years ago, Iowa farmer Gary Vermeer created a mechanical hoist to help expedite the process of unloading harvested crops from his grain wagons. Word of the invention quickly spread, spawning considerable interest among area farmers. Everybody wanted one. So the entrepreneurial-minded Vermeer enlisted the help of cousin Ralph Vermeer, constructed a modest cement block building to build more hoists, and the two men went to work.

Today, Vermeer Corporation consists of eight manufacturing plants spanning some 110 acres (44.52 hectares) that occupies more than 1.5 million square feet (139,400 square meters) of space located just outside of Pella, on the same Iowa farmland near where Gary Vermeer designed his first wagon hoist.

Still a family-owned company, Vermeer has brought many innovations to the market, including the stump cutter, tree spade, PTO-powered hammermill, large round baler, hydraulic twin rake, hydrostatic-driven trencher, and reclamation equipment. That pioneering spirit of innovation continues today as Vermeer introduces cutting-edge products and solutions that enhance the productivity of the agriculture and construction industries.

“Vermeer has always been driven by change and a relentless search for a better way to do things,” says Bob Vermeer, chairman and CO-CEO. “It is a process of continuous improvement — in every department, with every employee. To compete in the global marketplace, change is eminent. This is something my dad realized over 60 years ago and has been the foundation of our growth and success since he began offering the very first products.” In the early 1950s, Vermeer invented the Model 12 Pow-R Ditcher, a PTO-driven trencher used in the installation of tile to drain moisture-laden fields. This innovation was responsible for converting thousands of acres of soggy ground into fertile farm land. Prior to the Pow-R Ditcher, trenches were dug by hand, a back-breaking, labor-intensive task that took hours and hours of manpower. In 1954, one of the first self-propelled trenchers was introduced; the 524T became a popular model at a list price of $4,500. In 1955, Vermeer expanded internationally, forming a joint venture with Jan de Bas that created Vermeer Holland (Hoofddorp), the first European-based Vermeer distribution center for U.S.-made products.

In 1957, while testing a new stump cutter prototype, a Vermeer employee accidentally hit the wrong lever, causing the cutting wheel to move horizontally across the stump. The mistake led to the production of a top-of-the-line stump cutter design that is still used today. A couple of years later, in 1959, Art Van Weeldon, a former Vermeer territory salesman, established the first Vermeer dealership in Findlay, Ohio.

In 1965, Vermeer introduced the TM700 tree mover and by the end of that decade, dealerships opened in Iowa, Wisconsin, California, Kansas, Michigan, Florida, Georgia, New York and Maryland. The company had quadrupled in size.

The 1970s was a time of more product innovation and growth. The first Vermeer large round baler was invented in 1972, a unit that forever changed how farmers baled their several summer cuttings of hay for livestock feed. The first baler, the Vermeer 706, was discontinued when a smaller 605 Series (producing 5? wide x 6? diameter bales) proved to be more practical for most operators. A couple of years later, Vermeer introduced the twin rake, an implement that also helped increase hay production. By the late 1970s, the environmental segment was experiencing tremendous growth resulting from sales of the BC1600, the first brush chipper developed by Vermeer. The 1980s were a period of further growth through joint ventures, acquisitions and partnerships. International sales began to boom and dealerships were opened in Argentina, Australia and Portugal. By the end of the decade, the Vermeer manufacturing facility had expanded to six plants, and the company was employing more than 1,000 people.

In 1991, Vermeer produced their first horizontal directional drill, which has been instrumental in helping with the telecom boom. By the turn of the millennium, company sales reached an all-time high with additional international locations opening in New Zealand, Brazil, France, Venezuela, Japan, Turkey, Thailand, Czech Republic, India and China.

Today, Vermeer’s global operations include regional offices in Goes, the Netherlands and Singapore. The company has dealerships located in 54 countries and through a strategic alliance, operates a manufacturing company in Beijing, China.

The Lean Initiative

Over the past 10 years, Vermeer has been on a lean journey, which has resulted in dramatic improvements in production efficiency. The overall effect has reduced lead time, enhanced plant safety, improved quality and reliability, minimized inventory, and enhanced the overall profitability of the company.

“Lean is simply the relentless pursuit of waste,” says Mary Vermeer-Andringa, president and CO-CEO, “taking time, steps and delays out of any process. My dad always used this phrase when he talked about products, that ‘There’s got to be a better way.’ That is what lean is all about — looking for better ways in manufacturing, business, information technology, engineering, even the selling process. It’s not easy, in fact it’s hard work.”