Center for Business & Industry
JULY 2007Center for Business & IndustryVOLUME 4 ISSUE 1
performance news

CORPORATE SPOTLIGHT

Entrepreneurial Spirit Endures at Follett Corporation

The company, whose tag line aptly declares “Innovative Solutions, Inspired by Ice,” was founded in 1948 in Long Island, NY, making and selling ice storage bins. It moved to Forks Industrial Park in 1967, after a few years being located in Phillipsburg, NJ. Almost 60 years later, ice is still the focus, but the product line has exploded with an emphasis on ice management solutions, which include making, storing, transporting, and dispensing ice. “Ice is a food product, we never forget that,” says Steve. “Recognizing that it is very difficult for US manufacturers to be the low cost producer, our product development process, which emphasizes a structured approach to invention, focuses on differentiation, customer value add and innovation to supply customers with products meeting specific industry-sector needs. It is the basic principle by which we have abided for many generations of product.”

One of the company's newer products, a high performance, medical-grade, under counter refrigerator, was requested by the hospital engineers who have been specifying Follett ice dispensers for many years. Since this product was introduced almost five years ago, Follett has developed -20 degree C and -30 degree C under counter freezers as well as a blood bank refrigerator all using the same storage box as the original refrigerator. “This new line of refrigeration products has been so well received by hospitals that we're having trouble keeping up with demand,” says Steve. They are an example of line extensions customized to meet specific market needs.” Standard features include durable, stainless interior and exterior, external digital temperature display, locking door and two shelves.

“In order to remain competitive and meet the needs of our global customers, we have to look outward, overseas,” says Steve. “The best way to thwart foreign competition is by being there.” With that strategy, Follett Corporation built a new manufacturing facility in Gdansk, Poland that opened in April of 2005. The 20,000 sq. ft. facility produces ice storage bins and related foodservice equipment for the European and Middle Eastern and markets. Steve notes, "The addition of our Poland facility greatly expands our growth opportunities in the European marketplace and strengthens our position as a global industry leader. We are fortunate to have a skilled and experienced management team from the Gdansk area, who will implement our vision of producing value-added products and services for customers outside the North American market using state-of-the-art fabrication equipment and processes."

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The company recently remodeled all of their existing office space and added 10,000 sq. ft. of new office and conference room space to their Forks manufacturing facility as a part of the company's well thought out growth plan. Privately held, Follett Corporation has seen substantial growth over the last 20 years with a five-fold increase in sales. In the past five years, sales have increased over 50%. In the last three years, Follett has increased its US workforce by 18% and now employs around 200 people in the United States. More than 30 people are employed in its manufacturing facility in Gdansk, Poland.

Two years ago, the company and its employees evaluated its vision and mission. “Much of what we said about our core values and beliefs didn't change,” says Steve. “But the process was important to us because we started to employ strategy mapping, with a ‘balanced scorecard' approach, and that has helped us focus three years out. We developed the scorecard metrics based on economic drivers, customer expectations, internal process development and employee skills development, and it has been very helpful.”

“We have known for a long time that it is not just the product that makes a company great,” Steve continues. “There is a value proposition that customers intuitively buy into, and customer loyalty is reinforced with every action we take to support them in their purchase and use of our product. We must be superior to everyone else.”

With beverage dispensers, ice bins, ice makers, ice transport carts, ice and water dispensers, under counter refrigeration products, ice bagging equipment and much more, Follett Corporation lives up to its tag line, Innovative Solutions, Inspired by Ice. In fact, its website www.follettice.com contains direct access to customers, vendors and users who get right down to basics, writing about their adventures with ice, including their preferences for chewing it. “We know a lot about ice and its applications worldwide,” says Steve.

“The bottom line is that none of this works without an employee base that has the right skill sets and the right attitude towards serving customers in working to grow this business,” says Steve. “We are fortunate to have tremendous employees that exemplify these characteristics every day!”

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