Case Studies
Issue No. 6 - July/September 2002
Redarc Electronics
a Company Inverted
Redarc Electronics is a privately owned company incorporated in South Australia with over 20 years experience in the research, design and manufacture of a range of electronic voltage converters, inverters, power supplies, battery chargers, electric brake products and associated automotive products for the transportation industry.
One of the star performers in the recently announced Deloitte Touche Tohmatsu Fast 50 for 2002, Redarc now boasts a customer base including major truck companies Mercedes Benz, Iveco, Mack, Volvo, DAF and Isuzu—but it was not always so.
Redarc was established in August 1979 by Bob Mackie, an electronics engineer. The company originally was established as Lab Service Pty Ltd, trading as REDARC Electronics. The business progressed steadily over the years until Mr Mackie became ill and passed away in 1995.
Over the following two years the company’s quality and service steadily deteriorated. Ultimately Redarc was put up for sale and Anthony Kittel and Denis Brion purchased the company in September, 1997. The partners were experienced business people: Denis Brion had owned and operated Australian Vinyl Pty Ltd and Anthony Kittel was the General Manager of ROH Wheels Australia.
The immediate problem was the danger that a major distributor was about to drop Redarc — Anthony later learned Redarc avoided relegation by a whisker — and product returns had reached unacceptable levels.
“The immediate priority was to meet with the major customers and reassure them that this was a company with a long history, one that would continue to be successful under the new ownership,” Anthony says. “We would deliver on time and at the right product quality.”
The first 12 months of ownership were particularly difficult. Anthony, who handles marketing and sales for the firm, devoted a great deal of effort to getting close to the customers and understanding their needs. Redarc used the feedback he collected ...
