If there’s one crucial lesson that 41-year-old Kevin Dougherty has learned during his 22 years in the family business, it’s the importance of embracing change.
Dougherty explains that 56 years ago, his great-uncle, Hubert Dougherty, established Industrial Tool Co. as a Canton hardware-supply business. But over time, the firm had to reinvent itself.
“Back then, a lot of industry was driven by the war effort. We were a commodity supply house — hardware, nuts, bolts, nails, valves, belts and hosing types of items that were used in different manufacturing processes,” says Dougherty, president.
As the nature of maintenance repair and operations (MRO) supply changed, so did Industrial Tool’s focus.
“Manufacturing evolved tremendously over the last 50 years, so we had to go from the paint and hardware business in the ’40s and ’50s to an industrial supply house beginning in 1962,” he says.
When Hubert died in 1976, his brother, Charles, (Kevin’s father) purchased the remaining shares of the business. A strategic partnership with American Saw & Manufacturing Co. in Massachusetts redefined the company’s niche and ensured future viability.
“By 1980, we had migrated into a technical type supplier, becoming involved in the welding of band-saw blades, which became our main focus,” says Dougherty. “We still carried some of the older lines, but as newer products became a greater part of our revenue flow, that’s where we channeled our energies and resources.”
When Dougherty succeeded his father as president in 1991, he focused on partnerships with progressive companies such as Norton Manufacturing Co., Republic Technologies International and The Timken Co.
“In 1991, Timken invited us to become a part of Supplier City. Timken was a significant account, so we committed to the move, which meant consolidating our two locations,” he says.
Industrial Tool’s offices were previously on South Market Street and its warehouse on Garfield Avenue. Now the firm encompasses 30,000 square feet on Faircrest Street S.W. Embracing the change brought unexpected benefits, says Dougherty. Not only did it strengthen the Timken ties and open doors to diverse industry segments, it made it easier for customers to do business with Industrial Tool.
“Logistically, it was a lot simpler for them, having all our employees and products under one roof. There were also a lot of cost savings associated with that,” he says. “And within two years, we went to a fully integrated computer software system, which simplified operations.”
Since then, a strategic scope of technical offerings has enabled Industrial Tool to compete against national names in a big way, says Dougherty. Today, the firm is a multifaceted supply house with a pie chart composed of 40 percent bonded and coated abrasives, 40 percent band-saw blades, 8 percent cutting tools, 7 percent band-saw machines, machine service and parts, and 5 percent coolants. Dougherty reveals that he and his brother, Brian, vice president, closed 1999 with annual revenue of $4.7 million.
“Something else we’ve learned along the way is that, to stay a viable option for these international corporations, we must also provide a high degree of technical and information-based service to the end customer,” says Dougherty.
“Our future lies in being able to show them that they can count on us to be involved in the application of the product — not just supplying it.” How to reach: Industrial Tool Co., (800) 328-7297 or www.itc1usa.com
