Omega Apparel: Growing and Diversifying

Omega Apparel is on the move again.
For twenty years the Smithville based manufacturing company had just one customer, the U.S. Military. Today, in addition to supplying dress trousers, slacks, and skirts for the nation’s men and women in uniform , Omega is doing business with thirty six other clients producing almost everything from oxford shirts and satin robes, to bullet proof vests. Recent clients include Nashville bridal designer Olia Zavozina and actress Reese Witherspoon, who will launch a clothing line, Draper James, later this spring.
With the military downsizing in recent years, Dean Wegner, Omega President and CEO, told WJLE Tuesday he knew it was only a matter of time before it affected his operation. ” What has been painful over the last eighteen months is the contraction in our business. When I bought Omega three years ago we had one customer. It was a great customer. The military. The Department of Defense. I’m sure you’ve read about a shrinking military and shrinking contracts. We have not been immune to that. Our military business has been off by fifty percent. And for somebody that loves job creation and is passionate about creating jobs, it has been painful because we’ve gone from 220 jobs at a peak, down to 128. We saw that coming. We didn’t sit idly by and wait for it to happen. We put a strategy in place to expand and diversify beyond just the military. Beyond just dress pants and skirts. That strategy is now starting to come to fruition which is why we’re now looking to add more jobs. We are now currently up to 165 jobs. Over the last few months we’ve added another 30-40 jobs and I believe over the next three to six months we’ll add another 50-100 jobs. What is really fueling that growth is the diversification from one to 37 customers,” said Wegner.
To meet the demand, Wegner said Omega has added new equipment, much of which has been purchased within the last few months. One machine can fasten an entire row of buttons at a time. Another, a screen printer, can print 1,000 items per hour. There’s a massive embroidery machine as well as a precise laser cutter. Another device can digitize any pattern or object and create a pattern. Each machine bears a sticker reading, “Sew it and own it.” It’s a testament to the pride Wegner wants each employee to take in his or her work.
In addition to expanding his production capabilities, Wegner has incorporated cutting-edge technology and a pod concept that will allow for smaller batches. “We’ve now added a capability to design and develop prototypes and samples for new customers who are in the middle of that process which usually takes them three to four months to go through that process,” said Wegner.
While his previous output averaged 5,000 to 7,000 items of clothing per week for one customer, he now has a couple dozen clients, with runs starting as low as 50 items per week.
Last week, the DeKalb County Industrial Development Board approved new loans through UCDD for Omega totaling $550,000 to purchase more new equipment for the Smithville operation. “They are purchasing $500,000 in new equipment to upgrade and this will allow them to be more productive and profitable. They have two loans with us now, EDA and USDA. Our new loans will be for $250,000 USDA and $300,000 EDA. This is new funds plus their payoffs on their current loans. Our Loans are to the DeKalb Industrial Development Board with guarantees from Omega and Dean Wegner. Our Collateral will be the same as the first loans, first on two buildings owned by the IDB, first on all the equipment with the exception of an automated cutting machine that is leased through US Bank,” said Wallace G. Austin, Program Director for the Cumberland Area Investment Corporation.
County Mayor Tim Stribling told the Industrial Board that the UCDD loan committee and CAIC board of directors have also approved the loans.
Wegner said as the Smithville facility continues to grow, he is looking to expand by opening another location in Nashville. “We are looking to max out our facility in Smithville and that will probably be about 200-250 teammates at Omega but we are also looking to open up a second facility in Nashville,” he said
Company Overview: Omega Apparel Incorporated is military veteran owned and the #1 supplier of dress trousers, slacks, and skirts for the US Military. Over a 20-year partnership with the Defense Logistics Agency (DLA), Omega Apparel earned a reputation as one of the most consistent, dependable, and high quality producing manufacturers for the US Military. Omega has a long history of always delivering on time and with the highest level of quality. Omega’s production facility is located in Smithville, TN, and includes a highly trained workforce of skilled operators and supporting staff. Omega is a principles and values based organization centered on 5 Foundations of Ownership, Customer, Quality, Efficiency, and Teamwork. In 2013, Omega leveraged their depth of knowledge and expertise in the military apparel industry to enter the commercial market and provide a full range of cut and sew manufacturing capabilities to service multiple industries. In 2014, Omega established a Dress Shirt Production Line and an Assembly Division. Omega will continue to be 100% Made in the USA.
Wegner, a resident of Brentwood, TN is a 1993 graduate of West Point and a 7-year Army helicopter pilot and Army Ranger veteran.

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