After 35 years in the industry, Bob Moore has learned several irrefutable truths. First, a provider is only as good as the people behind it, which includes employees, partners and suppliers. Second, no entity can last 40 years without adapting to changing technologies and business conditions. That entails keeping an open line of communication with customers to develop product and program solutions that will drive client profitability and enhance their ability to service end users.
Bob Moore, president and CEO, Katun Corp.
Moore is president and CEO of Minneapolis-based Katun Corp., a leading manufacturer and distributor of OEM-compatible imaging supplies and parts for the office technology dealership sector. And he’s proud of the path Katun has forged in its 40 years of operation as a global provider. The company boasts more than 11,000 customers in 120 countries around the world, with approximately 3,700 SKUs in its product catalog. Katun has seven global points in its distribution network, with facilities and satellite offices across North and South America and Europe. Of its 350-employee roster, 150 are focused on sales and customer service, dedicated to delivering the best products and support to its clients.
It’s safe to say that Moore has worked his way up the vocational ladder, beginning his industry career as a service technician at a large office equipment dealer in 1984, which provided a fast education and instilled a customer perspective. He joined Katun in 1988, working first in the lab and then product development, which he would eventually go on to manage. His leadership path escalated as general manager for Katun’s international business in Europe, followed by added responsibilities for Asia Pacific and Latin America. He became president and CEO in 2016.
One-Stop Experience
With Katun’s foundation built on product quality and a mission of providing true value to its customers, a key point of differentiation for Katun is what Moore feels is an unsurpassed portfolio of products. In addressing the needs for copiers or printers, toners or parts, or machines or accessories, Katun provides a true one-stop shopping experience.
“We’re not just selling one part or part number at a time. We work with customers to drive their profitability to the bottom line,” Moore emphasized. “At the core level, we’re really selling profitability, and the best way to attain that is through having the portfolio and programs that offer it.”
It truly takes a team to enable a company such as Katun to thrive for 40 years. Moore points out that Katun is highly mobile, with locations that are close to clients, backed by on-site sales representation and technical support that helps set Katun apart from competitors. Along with a core of vendors that are strategically located globally, Katun boasts a team of engineers and industry experts that help to create that unmatched portfolio of high-quality products.
Speaking of mobility, Katun’s development teams spend a great deal of time on the road to ensure the company’s products are designed to produce to Katun’s specifications and standards. “Customers buy from Katun because we have the best combination of products that are high quality for the market and we provide the best support—all the while adapting to the forces that are driving the industry,” Moore noted. “Moving forward, we have to be able to adapt to those forces and continue to drive value for our customers.”
The company has a number of fun promotions lined up in conjunction with its 40th anniversary, most of which will be disseminated through social media, along with promotional items to trumpet the milestone. Katun is also bolstering its visibility at industry events, including BTA shows, IBPI meetings and users group gatherings throughout 2019.
IP Friendly
Respect is a key element for both Moore and Katun. Quality and reliability are the twin fortes and the backbone of what the company was founded upon, but where the respect truly takes hold is Katun’s quest to ensure that all of its products are mindful of the OEM’s intellectual property. In the world of compatible parts and supplies, having that IP assurance provides confidence and peace of mind.
“All of our products are IP friendly wherever they’re sold around the world,” Moore said. “We have to take our design efforts and work on designing around those protections that the OEMs have.”
This is where the Katun personnel truly rise to the challenge. “Behind the scenes, we have a really amazing team of product specialists, engineers, lab folks and legal department to really deliver that quality and reliability promise we make to our customers,” he said.
Strategic Partner
Katun is also reaping the benefits of having a new parent company. In late 2017, General Plastic Industrial (GPI) of Taiwan acquired Katun from Monomoy Capital Partners. While Katun had done business with GPI for more than a decade, the pairing essentially brings manufacturing capabilities back into play. Katun previously had manufacturing assets that were divested under the private equity ownership.
“The combination of Katun and GPI is really powerful. We have an enhanced working capital structure tailored toward additional investments in the business,” Moore said. “We also have an optimized supply chain, which allows us to deliver better service for our customers. With GPI being an experienced player in our industry, we have a much better long-term view of the industry. Just one year into the deal, I can say that Katun is a much stronger company and a more strategic player in the industry. It’s going to continue well into the future as a result of this change and ultimately benefit our customers.”
Katun is concentrating on increasing its global reach while expanding the number of products in its portfolio. Moore noted the company is developing some exciting new products toward that end. Developing strategic customer relationships enables Katun to demonstrate long-term value and confidence in being able to address an evolving market. The independent dealer channel, he says, is going to be challenged to ensure they continue to push technology forward to optimize their ability to reduce print costs.
The landscape is changing, with independent dealers joining the likes of industry consolidators such as Visual Edge Technology, Flex Technology Group and Marco. This increases their buying power and provides efficiencies not available to independent dealers. Now, with Staples foray into the channel courtesy of its pending acquisition of DEX Imaging, it adds another wrinkle to the landscape, with a potential disruptive impact. In the same vein, Katun’s pairing with GPI has the company uniquely positioned to offer value to a company like Staples in a meaningful way that others cannot provide.
Katun aims to maintain pace with technology, in part, by enhancing the internal efficiencies that translate directly to customer value. “A good example is warehousing and logistics,” Moore noted. “We’re currently putting new technology into our primary distribution sites that is going to help guarantee order and shipping accuracy. This technology should assist in our ability to guarantee time-sensitive delivery to an end-user location. This is going to enhance, end to end, our ability to service customers as they migrate more towards delivered product to the end user’s site.”
Building Blocks
Maintaining customer focus remains the core value for Katun, which emanates from its employee base and extends through the company’s strategic vendors and GPI relationship. Moore hopes to build upon that focus though enhanced time-to-market with new products that can help clients reach their objectives. The partnership with GPI will certainly enable the company to fulfill that mission, and Moore wouldn’t rule out the possibility of expanding beyond consumable products.
In the final analysis, the key for Katun is to provide that end-to-end value proposition that has enabled it thrive for the past 40 years, and having the foresight that will carry the company for the next 40.
“Long term, it’s all about Katun having a rigorous pursuit to the best products, highest quality and the best value,” he said. “When you consider what we do from start to finish, we identify, design, manufacture, sell and distribute. Those things are all wrapped in a package of service and support that improves our dealers’ and distributors’ profitability. The better we’re able to do that, the more we’ll continue our long-term success in the industry.”
