On a growth trajectory

BITO UK increased operating profit in 2013 by over 20% compared to 2012 while the quantity of orders increased by almost a third within the same period. Order intake was up to £9 million for the Nuneaton-based provider of storage solutions.

BITO UK is a multi-faceted business with a Solutions arm, a Direct business and BITO Engineering, which deals with systems integrators.

BITO Solutions is driven by a relatively small sales team but Edward says their skills mean the division is punching well above its weight.

"Our guys are well trained and experienced, offering concepts and solutions, they are not foot in the door guys,” says Edward.

"We’re different to our competitors in that we employ salespeople who will discuss a project with the client and also lead the design, estimating and presentation process. In many other companies, the salesperson passes this task on to the head office.”

There is a number of reasons why BITO UK prefers this method. The company feels this approach leads to less time wasted.

Edward explains further: "When a salesperson finds a project, its his time. Otherwise, often a salesperson may pass on ‘might-be’ leads, unconcerned about wasting the time of colleagues.”

"Also, if you put a concept and design down on paper, you will understand it. When you come to sell it, you’ll present it with more conviction and be able to field questions better as you’re aware of the work and decisions that have gone into the design.”

BITO UK’s quote to order ratio is very high because of this factor. Once an order has been acquired, the project is then passed to the after-sales department.

Edward says: "We’re very transparent, we offer trust and job satisfaction, we don’t have a hire and fire culture.”

 

BITO UK also makes use of the Experience Centre at its Nuneaton headquarters as a sales tool. The facility allows customers to try out solutions in configurations that closely resemble real-life warehouse situations.

Edward explains: "Just before Christmas, a major retailer came to us. We were involved in one of their projects as they were using our pick and pack stations. Our objective was to get them here, build up their confidence in us and let them know all we can do. 

"We had a conversation with them about space utilisation, how many SKUs they needed etc. At the Experience Centre we were able to demonstrate a range of space saving solutions that also helped them lower costs and speed up picking.”

In addition, customers have taken their own pickers to test layouts and workstations. One customer brought along its most ‘awkward pickers’ -  short, tall, fussy, quiet, loud, experienced, inexperienced etc. 

The exercise was critical for the customer’s change management process, when the pickers went back to the depot they sang the praises of the new system and made the transition from the old to the new method faster and easier.

In fact, as a result of feedback received from a similar session, BITO introduced a step to one of its workstations to help shorter warehouse operatives more comfortably reach higher items.

BITO Engineering is another key sales channel for the company and is focused on servicing systems integrators, who are frequently engaged in huge warehouse and distribution centre fit-outs in the UK.

BITO Direct accounts for around 20% of sales and focuses on smaller orders, driven through catalogue and the internet. This side of the business has grown from 1,000 orders to 2,500 orders over 2 years. Deliveries are provided from the UK on a three day lead time, which the market finds acceptable, says Edward.

BITO is certainly targeting ambitious growth, not just in the UK, where Edward sees plenty of room for expansion, but worldwide.

The company has a 2020 plan to reach revenue of €300m. To put that into perspective, in 2009, the company had turnover in the vicinity of €150m.

Edward explains: "The company plans to grow organically rather than by acquisition and is investing for the future.

"We have recently spent in excess of £10m in plant, tooling and new manufacturing techniques. 

"At CeMAT, we will showcase both new products and new concepts, including light duty AGVs, designed to transport containers and replace long-run conveyors.

"Mr Bitmann (BITO’s owner) puts the profits back into the business. It’s great to work for a company that is constantly re-investing.”