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DEVELOPERS JOURNAL

Summer 2009

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GENESYS SYSTEMS INTEGRATOR A Custom-Made Company

THE MAGAZINE FOR CONSTRUCTION EXECUTIVES

National Association Tower Erectors GENESYS SystemsofIntegrator

A Custom-Made Company

By Rebecca Czarnecki

On the home page of the GENESYS Systems Integrator Web site, a few unique features stand out that say volumes about what kind of company GENESYS is. Bordering the catchy intro about the business, you notice the header picture is of a path through the woods, and along the bottom are banners regarding an upcoming blood drive and Bike MS, an event sponsored by the National Multiple Sclerosis Society. For founders Matthew and Patrick Perry and Steve Lusedico this is business as usual.

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The Perry brothers come by entrepreneurism honestly—it seems to be in the family genes. Their grandfather, Austin Dunville, was founder of a major Detroit-based conveyor company in the 1940’s Dearborn Fabricating and Engineering Corporation, what is now known as DMW, Dearborn Midwest.

Their uncle and mother started a similar company, Idea Engineering and Fabricating in the 80’s. So when Matthew Perry, vice president of GENESYS, and his brother found themselves working in Kansas City for a company on the verge of bankruptcy, starting their own business in 1997 seemed like a natural step.

When describing what GENESYS does it would likely be easier to ask what they don’t do. It is an incredibly diverse and flexible operation. According to its Web site the company is a “material-handling systems integrator that specializes

in engineering, design-build and construction.” Some of its customers are household names like Philips and Whirlpool.

In terms of the company’s niche, an enthusiastic Matthew Perry explains, “We do not have a product line. We are one of the few to operate that way. So we are not in a position to have to push our own product line.” This allows the company to be completely in the customers’ corner to help them find better solutions, or as he puts it, GENESYS helps manufacturers build their products better, faster, safer and at less cost GENESYS specializes in custom design, build installations, but Perry clearly takes pride in the role of consultant that it also plays.

“We are in the business of selling ideas, ingenuity, creativity; selling improvement.”When working with customers, GENESYS looks at what it can buy to complete a project and what needs

to be custom made. However, Perry realizes that bringing customers back is determined by what customers come away with after an experience with the company. Considering the numerous letters on the company Web site from customers thanking GENESYS for a job well done it is obvious it lives up to expectations. The goal for every project GENESYS performs is simple: “Letters in The Lobby.” Every letter represents happy customers and happy customers represent opportunity for continued business.

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Both Ford and General Motors (GM) are on the list of letter writers and GENESYS currently has contracts with both. As if sensing a question, Perry says of GM, “Yes, we will continue to work with them even during their bankruptcy. They need our support now more than ever.”

GENESYS is trying to help Ford “bridge the gap” so it might survive this crisis. The company is currently working on revamping the Ford Michigan Truck assembly plant but also consulting with Ford to send certain components of the construction overseas to China and then have the components delivered back for GENESYS to install.

As for GM, GENESYS is currently helping the business reorganize one of its projects for a high gas efficiency vehicle in Lords Town Ohio. Another recent project includes a multiple product line addition for a German based company, Knauf Fiberglass where the GENESYS team spent the last several years designing, fabricating and installing several new fiberglass insulation manufacturing systems involving suppliers from around the globe.

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GENESYS has a large geographical footprint that spreads over 26 states in the U.S. and overseas. Currently operating with 75 full-time employees, Perry says this number fluctuates throughout the years as they are a union based company with the ability to efficiently ramp up and down with demand. In 2007 the company’s average annual revenue was nearly $60 million. In 2008 the company revenue was $35 million. Perry is expecting 2009 to be a repeat of 2008 but anticipates less of a profit margin considering the economic slowdown. Perry says they are prepared for the storm, and have been preparing for well over a year. He believes that the great US companies will survive these hard economic times, and many of the good companies may not.

“We’re hanging in there; it’s definitely a bit of culture shock,” he comments. On an up note, he mentions that the company has been able to rehire a few former employees who had been laid off, and the company has managed to secure several sizable orders “that will keep us moving in the right direction over the next year.”

GENESYS is a union based company but keeps a balance by also utilizing non union suppliers in order to be competitive in today’s market. To that end, GENESYS recently joined The Association of Union Contractors (TAUC). As a relatively new member of TAUC, GENESYS is looking forward to the myriad of benefits the association provides. The company was also motivated to join TAUC because some customers require installations to be performed by union members.

There is no doubt that GENESYS’ main asset is its employees which is evident in the unique company culture. Among the many indicators is the company marathon. Matthew Perry attributes this event to his brother Patrick, the company president, stating, “He has a God-given gift to influence people.” He goes on to talk about how his brother got into running and “connected it to our culture at GENESYS in good health, and started getting other employees and even customers to join him. “[You are] chit-chatting while running it really makes strong relationships and the added bonus is that it contributes to the bottom line,” attests Perry. From paint ball outings, to the bike rides for MS, to the “ugly sweater” holiday parties it is crystal clear that GENESYS realizes that good people and healthy relationships are what make GENESYS a great business.

Thanks to these strong company relationships, employee retention is not hard for GENESYS, especially once people make it past their 90 days. During those initial three months the company measures five different aspects of employee performance including attitude and safety performance.

He also emphasizes the importance of listening to both employees’ needs and ideas.

When asked about recruitment, Perry mentions that while they certainly look for people with relationships and education in the industry he adds, “People do business with people they like. We look for people with the right attitude, who are willing to change, listen, learn, and who are easy to get along with. Then we do a gut check with the individual’s education and experience and vouch for people we like. The most educated employee is worthless to the company if he or she can’t get along with the other employees or our customers.” GENESYS also turns to some of the area colleges

for new recruits and Perry asserts that some of the company’s best recruits come from these programs.

In the same vein of valuing its employees, GENESYS has invested in a top notch safety manager. Perry boasts, “Our safety manager has a PhD. So in addition to knowing safety procedures he also knows the costs, legalities and procedures needed. He knows how to deal with doctors. He spends a lot of time in our manufacturing facility and on our job sites throughout the country getting involved first hand.”

On top of that, GENESYS’ general field supervisors have 30 hours of OSHA training, way above the standard 10 hour. All employees are given written expectations of how they are supposed to promote safety and are regularly evaluated by

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their peers and managers on their performance. Perry says that everyone within the company has a responsibility toward safety, even their accountants have expectations to meet in safety awareness. It’s a culture that has taken time to build, but it is the culture, and it is very evident within GENESYS. These efforts allow the company to have a remarkable EMR rating of .68. The industry average is 1. This means customers are over 30 percent less likely to have an accident or injury in their facility when utilizing GENESYS as their systems integrator.

As for what the future holds for the company Perry says he sees GENESYS continuing to evolve and diversify. He is passionate about GENESYS and talks about how he loves being a part of a company that is known for helping manufactures be better.

With so much global change, manufacturers need GENESYS now more than ever.

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“The average person does not realize what it takes to make a light bulb, to get it in a box and to the shelf in the store; or what it takes to make insulation for a home; or what is involved in the mass assembly of an entire automobile. We get to be a part of all that. There is a great deal of satisfaction when you walk through a Home Depot and see these products on the shelves, or jump into a vehicle knowing you helped make it all possible.” Given the uniqueness, enthusiasm and dedication

of the entire GENESYS team, there is no doubt that GENESYS will keep bridging that gap for a long time to come.

Check out their web site at www.GENESYScorp.net

COMPANY AT A GLANCE Established : 1997 GENESYS Members : 450 CEO : Stephen Lindauer

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Genesys Corporation

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