Deco Machine Shop, Inc. Keeps Getting Bigger and Better

” We will be known nationwide as a premier maker of high quality gearboxes and other cost-effective and import-substituting machine parts and provider of other machining and welding services.”                  – (Company Vision)


Deco Machine Shop, Inc. was established as Nardo’s Machine Shop by a businessman named Santago Maglana, Sr. in 1969. A conversation with Nardo, his nephew, convinced Santiago Sr., a farmer with no machining background, that there is profitable business in the machine shop industry. He owns a farm and operates a store in the town of Naunturan, now part of Compostela Valley. Being the businessman that he is, he ventured into the machining business that led to the birth of the Nardo’s Machine Shop. Nardo was the one who had the machining skills. Nardo resigned from his job in machining shop and transferred base at the newly opened business. He was taken in as one of the pioneer employees of Santiago Sr.

There were only less than ten employees at that time. At the time of its establishment, Nardo’s machine shop was Located in Jacinto cor. Quezon Blvd. in Davao City. It offered Lathe works, drilling, welding, and engine rebuilding. The machine  shop helped Santiago, Sr. earn extra income for his family, his wife Rosario and nine children, namely: Nolita Nicholas, Winifredo, Angelito, Marilu, Rosalinda, Nelson, Wenceslina, Marilou and Santiago, Jr. More and more people started to know about the shop and its services. In 1974, the business was worth about Php 100,000.00.

Atty. Nelson Maglana, the sixth child of Santiago Sr., joined the company in 1974. Prior to this, he was an AB General student at Ateneo de Davao University. He transferred to the University of San Carlos in Cebu a year after and shifted to Mechanical Engineering. When he got on board, he quickly learned the ropes and was motivated to understand how to manage the business.

Santiago Sr., passed away in 1981. The machine shop was incorporated in 1984, and during this time, Deco Machine Shop, Inc. was already under the able of Atty. Nelson. Deco’s target market grew to include mostly industrial companies, but they also cater to commercial companies as well. Deco has come to be known by the industry as one of the most trusted names where precision machining,  special weldig and engine rebuilding are concerned.

In 1995, Engr. Benjamin V. Estrellado, Jr. of the Metals Industry Research and Development Center, under  DOST Region XI Director  Constancio Canete, facilitated the conduct of seminars for Deco on welding and other machine shop practices both in Davao City  and in Manila. Shortly thereafter, the MIRDC established metal testing facilities in Davao but limited to spectrophotometers, hardness testers and calibrators. This marked the beginning of a “big brother” kind of partnership as the MIRDC, an attached agency of the Department of Science and Technology that supports firms in the metals, engineering and allied industries, provided dependable assistance of the analysis of the composition of the steel materials used by Deco in fabrication. Aside from this, MIRDC assisted the company in terms of calibration of the machine shop’s measuring instruments.

Deco Machine Shop, Inc. lives up to its core values that truly define the business and what it stands for. In the face of demanding and activity-filled operations, the company remains firmly grounded. The business is not just about making profit, but is ore importantly about enhancing commitment to workmanship quality, customer service and concern for employees; maintaining excellent supplier, creditor and investor relations; and promoting concerns for the environment and the Philippines.

Deco recognizes the vital role that these  core values play in their everyday business. Rush jobs are most the greatest challenge the company faces all the time. These are the times when the company’s capability to strategize is put to the test. Deco takes these urgent jobs positively. They are viewed as signs of customer approval, very much like the thumbs up that one gets when people express appreciation for a job well done. The company learned to develop and enhance collaborative relationships. The customer’s trust in the company is repaid quality products and services that can only be possible in a company who is able to come up with the most appropriate solutions to customer’s needs in the ost critical times.

In 2012, when MIRDC offered assistance on ISO 9001 certification, the company decided to establish a OMS based on 9001:2008 standard. The MIRDC was with the company through every step of this experience-sharing of the ideas, conduct of seminars, and sessions for consultant. Deco  went through all of these with the MIRDC’s competent assistance.

Deco received its ISO 9001 certification in 2013. Aligned to its vision, the company showed deeper commitment to its mission of enhancing customer satisfaction through its products and services. Also benefitting from this commitment are Deco’s investors, employees and all of its stakeholders. Pursuing this mission has long been Deco’s purpose in doing business. The ISO certification brought them new opportunities and served to further inspire them to create significant impact  to industry.

Deco Machine Shop, Inc. understands what it means to improve continually because it has been exerting relevant efforts for improvement for these past many years. Its workforce has grown from less than ten employees when it started operations to almost 100 employees at present. They acquire and upgrade equipment and machineries in order to meet customer’s requirements. Quality control procedures are out in place to hel company maintain very satisfied customers. Moreover, Deco makes certain that it promotes creativity and innovativeness among its employees, an important factor that sets the  with all company apart from its competitors.

Honesty is a culture at the Deco Machine Shop, Inc. All these years of being in the business have molded the company to become one that gives fair transactions in all jobs and with all customers. Cheating is not tolerated.  This is perhaps one of the very foundations of the company which led Deco to all its successes.

Deco take care of its most valuable resource, its people. The company recognizes that its dependable people are behind every success of the company. For newcomers in the business, the Deco company shares this advice: “Take care of your employees, customers and business partners through transparent processes. Always be honest.”

As a way of sharing the company’s successes to the staff, Deco Machine Shop Inc., offers production incentives, rice benefits, and hospitalization benefits, among others. The  company also reaches out to a larger community by sponsoring shproximatelyop-related vocational courses at Don Bosco training Center in Mati, Davao Oriental.

Deco is now worth approximately Php 53 million. It has its eyes fixed on growing and giving world-class products and services. Part of their strategy  for continual improvement is to modernize tools and machineries. The company is currently dealing with the enhancement of its management control system. It expresses gratitude to MIRDC for all the assistance it has been extending to them.

The MIRDC is proud to be part of this success story. Deco’s story brings inspiration. It will encourage other local micro, small and medium enterprises to hone their competitive advantages through continual product and service improvement. Deco’s growth and expansion inspires the MIRDC to remain the M & E industries ally’ as it similarly seeks to enhance its productivity and global competitiveness.

– Credits to MIRDC Trends and Events                                                                                                                                                                                                                                                                               vol. 29 no. 3 – issn 1908-9988