May 04

BC Group: A Modern One-Stop-Shop Built on Old-Fashioned Business Philosophies
Q & A by Julie E. Williamson

For more information about BC Group International, Inc.: 1-888-223-6763 www.bcgroupintl.com
eMail: sales@bcgroupintl.com

Many companies claim to operate on integrity and exceptional customer service. Unfortunately, those are often just buzzwords used by businesses that rely more on lip service than solid customer service.

But St. Louis-based BC Group International Inc. isn’t one of those businesses. Since its inception in 1988, this provider of biomedical test and measurement equipment has become a leader in the industry, and an example of the value that quality, honesty and integrity can bring to the marketplace. Here Bill Collier, president and CEO of BC Group International, discusses what is behind his passion for the profession, what sets his company apart from the competition, and where he envisions the industry—and BC Group—in the future.

Q: What led to the development of BC Group?

A. My background as a test equipment calibration technician for the United States Air Force was how it all started. From there, I then went to work for General Electric, where my division performed service and support for test equipment and other electronic and computer equipment. I worked my way from a technician to a management position, and worked closely with GE Medical Systems. They would bring us a variety of medical and biomedical products—some test equipment, some clinical equipment—and then asked if we could provide local support for those products. That’s how I was introduced to the medical and biomedical side.

As I became more involved in the business, I saw a lack of independent distribution companies that would offer both sales and service in regard to biomedical test equipment. I saw an opportunity where someone could step forth and provide a broad lineup of products, as well as calibration and repair services. I took that step in 1988, when I took out a small business administration loan and started this company.

Overall, I really just fell in love with the field. The newness and uniqueness of it was intriguing, and I saw an opportunity where I could really accomplish something meaningful and have the ability to help people. The opportunity to do some worthwhile work in an interesting field was what ultimately led to the development of BC Group.

Q: What products and services does BC Group offer?

A: BC Group is a one-stop-shop for test and measurement equipment and various accessories and tools that people in the medical equipment field need. If someone manufactures, installs, calibrates, services or supports medical equipment in any aspect—whether they’re the end user, OEM or third party service company—then we offer the tools and test equipment needed to do the work. We also service those items of test equipment.

Q: What separates BC Group from the competition?

A: The breadth of our product line is one of the big differentiating factors. We have more than 50 brands represented in our product lineup and we very carefully select products that go in that lineup. We see needs in the industry and then we try to fill those gaps with by adding the right products. We try in each product category to have at least two or three products to choose from, so if a customer wants a higher or lower end product we can accommodate them either way. In addition to offering the more general items, we also specialize in unique products—items you literally can’t find anywhere else. Sometimes, these are $10 or $20 tools and small accessory items, and sometimes they’re pieces of test equipment that costs several thousands of dollars.

Selling the equipment and then being able to service it has been a real strength for us. We have a service center that is equipped to do third party service on test equipment made by just about any manufacturer. We offer that service both onsite and in our service center, whereas most of our competition only services what they have built. Our service center supports our product sales business, but it also is a stand-alone profit center for us. We take pride in the fact that when the manufacturer of test equipment says they will no longer provide service for a particular product, we are often able to continue servicing that product.

Another area that sets us apart is customer service and integrity. We have really pushed the envelope and raised the bar in those areas. Every company will occasionally make a mistake, and what separates a good company from a not-so-good company is the way it deals with that mistake. If we make a mistake, we own up to it and we instantly do whatever it takes to make it right. In some cases, we’ve actually had to give customers a piece of new equipment to replace old equipment. That can cost us thousands of dollars, but we do it because of our commitment to service and our integrity. A lot of companies throw those words around, but we take them very seriously. We have taken it to heart to the extent that we believe we have actually turned it into a competitive advantage.

Q: How has BC Group benefited from your expertise?

A: What I brought to the table was a vision for the company and one that was filtered through my past business and technical experience with the Air Force, some other companies, and then with GE. I saw the way other companies operated, which meant I could see their successes and also some things that I would want to do differently. Being a test equipment calibration technician in my past meant I knew the test equipment not just at a user level, but at a very technical level as well. As I dug further into the biomedical field, I went to great pains and took a lot of time to learn the industry and the equipment, and what makes the equipment tick—all of which were very important in helping us succeed. We have also benefited by bringing in key people who could bring other areas of expertise to the table. We brought some folks in who knew medical gas, anesthesia, respiratory, EKG and physiology, for example, so we have some key people on our team who could supplement areas where I wasn’t as strong. The company we have today reflects that well-rounded approach.

Q: How does new technology impact your business?

A: It impacts us two ways: There’s the technology we use to run the business and then the technology that affects what we sell. In regard to the technology we use, we make very extensive use of technology to run the business in the form of computerized databases and accounting system, and we have a pretty advanced e-commerce online store. Technology in the medical industry has had some effect on the business, but perhaps not as much as one would think. For example, we sell products for testing defibrillators. Some of the older defibrillator testers that we sold—both new and reconditioned—have now essentially become obsolete because defibrillator technology has changed a great deal. The biphasic defibrillator has become the industry standard, and it’s something that an older style defibrillator testers can’t test. There are times when we have to change the test equipment to keep up with technology in the industry.

Q: What are some of BC Group’s core business philosophies?

A: Again, customer service and integrity are first and foremost in my personal and business philosophies. We use that philosophy to choose our business partners as well because we like to do business with other people and other companies that share our interest in providing exceptional service. We also practice what’s called “Open Book Management,” meaning all our books are open to our employees, and we have incentive and bonus programs in place where everyone in the company can to some extent be rewarded for helping the company succeed. Maximum openness and minimal secrecy has always been important to us. My business philosophies also include challenging people to rise to the occasion and do whatever it takes to satisfy the customer. The questions we regularly ask are, “Is it good for the company?” “Is it good for the customer?” and “If we were just starting out today, would we be doing it the same way?” Those three questions serve as a basis for our decision-making. Challenging what we do helps us to maintain our integrity and commitment to quality service.

Q: How do you envision the future of biomedical engineering and test equipment—in say, five to ten years?

A: In general, the industry should continue to thrive. As baby boomers get older, healthcare is going to be an even more critical segment of our economy—and we are part of that segment. The biomedical engineering field itself has changed and will continue to change. Where I see that going is perhaps a little less emphasis on some of the routine preventive maintenance activities because people in the biomedical engineering field are starting to challenge some of the things they do to make sure they are really adding value. Clinical equipment is generally becoming more difficult to repair at the component level because there is such small micro-circuitry, surface-mount technology inside there. Ten years ago, a technician could sit down and troubleshoot, whereas now, they board swap. As far as biomedical test equipment, I believe it will continue to become more computerized and software-driven, and it will probably evolve as fast as the medical equipment it’s used to test.

Q: Where do you see BC Group in five to ten years?

A: We’ve been growing at a steady 15-20% a year and we fully expect that to continue. It’s our goal to grow even faster than the industry. We have already won awards based on that growth. In most cities around the country, the national accounting firm, Deloitte & Touche, sponsors what they call the “Fast 50” award, which recognizes the 50 fastest growing technology companies within a metropolitan area. We won that award in St. Louis in three of the last four years.
As we move forward, I don’t necessarily see BC Group becoming involved in many new areas, but I do see us continuing to refine what we are currently doing to grow revenues and further improve the quality service we provide. Quality has and will continue to be of utmost importance. We earned ISO 9002 certification three years ago and then we upgraded to ISO 9001 in November 2003. Our service center is NIST (National Institute of Standards and Technology) traceable and it is also compliant with ANSI Z540, which is a standard for how to run a calibration lab. In the future, we are seriously considering taking a run at the Malcolm Baldridge National Quality Award.