Q&A talks with Lou Auletta, president and CEO of Bauer Inc.
Bauer is a designer and manufacturer of high-quality test and support equipment for the commercial and military aviation industries.
Its products and services include test equipment for fuel, oil, hydraulic, pneumatic and electro-mechanical components; advanced data acquisition and control systems; electronic test systems; test equipment upgrades and modifications; aircraft component overhaul and repair tooling; aircraft wheel shop support equipment; and a range of additional ground support equipment.
How did you get into this business? What motivated you?
My dad was an engineer and was president of Bauer when I was going through high school. I became familiar with the business and decided to follow in my dad’s footsteps by going to college for engineering.
Soon after I graduated from college, my dad acquired Bauer and I joined the company. This is now my 42nd year with Bauer.
How has your business grown in the past year? What have been your company’s biggest accomplishments?
Bauer has been growing steadily at a rate of around 10% per year for the past 10 years. Although Bauer has been doing business internationally for decades, we continue to expand into new markets and grow in markets we’ve been in.
This past year, we received the most orders ever from China, we did a project in Qatar for the first time, and we received orders from Ethiopia, which were significantly greater than ever in the past.
We received orders that set a record for one year and 50% of the equipment ordered will be installed overseas.
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Bauer also achieved $30 million in revenues for the first time. In house, the company’s employee retention was nearly 100% over the past year and our engagement with partners (e.g., universities) and in our community has been stronger than ever.
What’s a major challenge your business has overcome in the past year?
Our biggest challenge has been handling the growth in our operation. We have facility capacity, but the increased demands of engineering and manufacturing in particular have driven more emphasis than ever on project management, continuous improvement and other efficiency and productivity gains, which are necessary for the company to advance to the next level.
What major strategic plans do you have in the next few years?
Bauer’s strategic plans in the next few years include expanding partnerships with aerospace original equipment manufacturers; establishing a sales and service partnership in Europe; developing additional product lines focused on electrical/electronic testing; establishing an aircraft component repair service business; and creating further organizational improvements to increase employee engagement and margins.