Jack Bailey / IDC-USA
Staff -- Industrial Distribution, 10/1/2007
Jack Bailey is president and CEO of IDC-USA, a member-owned cooperative of independent distributors serving the power transmission market, www.idc-usa.com. He can be reached at jbailey@idc-usa.com.
What is IDC-USA's mission and how has business been lately?The mission of IDC-USA is to join together independent distributors in a member-owned cooperative that will assist them in remaining independent and thriving within the free enterprise system. In short, we are like an industrial version of Ace Hardware that helps the independent distributor compete against the big boxes. Business is great. As of the end of September we were running well ahead of last year. We are very blessed in that we are in our seventh straight year of growth with all but one being double-digit.
Looking ahead, where are the bright spots on the economic horizon? For some time now the industry has been shooting itself in the foot with price wars. No one ever wins in that game. I think distributors realize that their best offering isn't price, but rather the expertise and service that they bring to the end-user. The more focus and marketing there is on these qualities, the greater [the] sales, profits and customer loyalty.
What are your greatest concerns for the remainder of the year and into 2008? Our biggest concern at IDC-USA is the continuous restructuring we have to do to keep up with our growth. A good problem to have, but deadly if you're asleep at the switch. The minute you can't deliver the same service and quality that created the growth, you will start losing business.
IDC-USA has a private-label program that includes products manufactured in China. In light of recent controversies over Chinese-made products, how do you ensure product quality? IDC-USA owns the “IDC Select” private brand that accounts for a small percentage of our business; the rest is name-brand sales to our member-owner distributors. Of the IDC Select lines that we carry, about half are manufactured domestically, the other half is globally sourced. Regardless of where our IDC Select product comes from it is sent to an independent lab to be comparatively tested for quality with tier-one domestic-manufactured product. It must test equal to or better. This quality control process does not stop after the initial comparative test; it continues with every shipment that we receive, where random samples are taken out and sent to the lab to ensure consistent product quality. The IDC Select products allow our member-owners to offer product choices to end users in the ever-changing competitive industrial marketplace.
On a personal note, how did you get into industrial distribution? My background is law and IDC-USA was a corporate client of mine. I started representing the company back in 1990. In 1997 I was hired as part of a management restructuring implemented by the board of directors. I can honestly say I've had no regrets and can't wait to get to work. The practice of law centers a lot on damage control, whereas now I get to spend my time on growth and creativity in an industry that is filled with some wonderful people.
If you could have any other job, what would it be? Wow, let me think about that. I would probably be a writer or a photographer. I enjoy writing and I love to shoot pictures in my free time. I have written one book and have walls that are covered with photographs in my home. I probably wouldn't make much money, but I'm sure I would have a lot of fun.
















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