SUCCESS STORY BTMC Corporation INTRODUCTION Home to the headquarters of 15 Fortune 1000 companies, one of the largest universities in the United States and more than 600 international firms, the Columbus Region is an ideal place to start, run and grow a business. The 11county area of the Columbus Region is within one day’s drive of nearly 50 percent of the U.S. population. Columbus 2020, the Region’s economic development organization, is focused on leveraging these strengths to ignite growth and to build a healthier, more sustainable future for the area. The Region’s strong entrepreneurial spirit and support system are the catalysts behind countless business success stories. BACKGROUND Started as a home business in 1980, Columbusbased BTMC Corporation (BTMC) began as an automotive service parts dealer and slowly evolved as a company through the ’80s. By the mid-’90s, BTMC was supporting applications of the U.S. Department of Defense with automotive service parts. BTMC became involved in supplying mine-resistant ambush protection vehicle parts, and the company now is a strategic supply chain partner of the Defense Logistics Agency (DLA). BTMC offers logistics support for the U.S. military as both a direct supplier and a third party logistics provider for manufacturers. A veteran-owned business, BTMC helps suppliers of the DLA fulfill social-economic sub-contracting requirements. ABOUT BTMC CORPORATION A veteran-owned small business located in Columbus, Ohio, since 1980, BTMC Corporation (BTMC) offers a variety of logistics services to government and commercial clients including distribution, vendor-managed inventory, sub-assembly, material services, transportation management and packaging services. BTMC, which employs 15 full-time staff members, is a strategic supply chain partner of the Defense Logistics Agency, specializing in military packaging services to support the U.S. Department of Defense. Albert Wittkopp, BTMC COO Specializing in packaging conversion, BTMC ensures military packaging specifications and government requirements are met. Several end users for BTMC services are U.S. troops in different environments around the world. Packaging may require waterresistant materials or photosensitive containers to ensure products will not be damaged by the climate of the destination. Most companies that ship large quantities use easy-access containers, but shipping military equipment is more complex and highly variable. Major manufacturers choose not to deal with such complicated orders, but BTMC found a niche with this specialization. DLA Land and Maritime, the largest acquisition center in the DLA, is headquartered in Columbus and its defense supply center is located 20 miles from BTMC, making the partnership a logical fit. Its Columbus roots and location are important to the company’s continued growth. WHY THE COLUMBUS REGION? A veteran-owned small business, BTMC employs about 15 full-time staff members and up to 20 temporary employees daily due to the variability of DLA demand. Regardless of drops in demand from the U.S. Government during tough economic times in early 2009 through 2011, due to its scalability, BTMC maintained cost and service balance. In the quarter ending on September 30, 2011, sales were 38 percent higher than the average sales of the previous seven quarters. BTMC attributes much of its success to its location in Central Ohio. “The profound amount of warehouse space available in Columbus has allowed BTMC to increase its size but keep costs down. Central Ohio is conducive to material handling in general. The supporting infrastructure and accessibility to warehouses allows you to successfully handle significant projects in a short time period, which is not the case in several other cities.” — Albert Wittkopp, BTMC COO “People see BTMC as a successful company because we have weathered the storm,” said Albert Wittkopp, BTMC Chief Operating Officer. “Despite the economy, we have maintained our business structure. In fact, BTMC moved to a larger facility during the downturn to prepare for continued growth.” Recently contracting a larger free-standing warehouse space in West Columbus has given BTMC a secure facility near a rail yard, providing the security necessary to constantly protect the U.S. military products being shipped. “The profound amount of warehouse space available in Columbus has allowed BTMC to increase its size but keep costs down,” Wittkopp said. “Central Ohio is conducive to material handling in general. The supporting infrastructure and accessibility to warehouses allows you to successfully handle significant projects in a short time period, which is not the case in several other cities.” Because of its central location in Columbus, BTMC is able to support several different U.S. military bases nationwide, making it an ideal strategic distribution point. Also, there is a large contingency of suppliers supporting the automotive industry in Central Ohio allowing BTMC to benefit from the leaner logistics costs associated with shorter distance to receive products. “Because of its location, BTMC is quickly accessible to and from the Columbus Defense Supply Center. We appreciate BTMC’s weekly visits to DSCC to ensure that critical delivery requirements are achieved. We are impressed with BTMC’s commitment to improving its capabilities and it is reassuring to know that supply chain partners like BTMC can provide as much advantage as our major OEMs. BTMC continues to play a large role in our supply chain.” – Excerpt from June 2009 customer letter of appreciation It was this reaction from DLA that led BTMC to secure improved facilities in the Columbus Region. The logistics environment in Columbus is unique and offers the opportunity for local logistics professionals from different industries to collaborate. A member of the Council of Supply Chain Management Professionals (CSCMP), Wittkopp interacts with professionals in the Region from a variety of industries, including Cardinal Health, The Limited and McGraw Hill, which all have office locations in Columbus. “Most of the large logistics players are involved in CSCMP,” Wittkopp said. “Many of its members are quick to collaborate, sharing insight into what works well, and what does not, in several aspects of their businesses.” LOOKING FORWARD In 2008, BTMC changed ownership and expanded its focus. In addition to supporting the U.S. Department of Defense as a distributor, the company now is serving the packaging needs of other manufacturers that support the U.S. Government. In the future, BTMC plans to more aggressively seek out this new customer base and sees its services continuing to grow. Since BTMC specializes in military packaging conversion, it offers the experience and expertise that many companies supplying products to the government do not. BTMC hopes to continue to capitalize on its niche specialization and use its central Columbus location to serve a larger customer base, offering its services to more government agencies. The abundant logistics environment and strategic distribution point of the Columbus Region have helped BTMC to maintain its business structure and develop a strategy for growth. The Columbus Region continues to give BTMC a competitive advantage for success. “We are very pleased with how BTMC is continuing to evolve in the logistics realm and we expect to continue to be successful here in Central Ohio,” Wittkopp said.