Maximize Mobility Solutions Revenue

While many AIDC (automatic identification and data collection) and POS (point of sale) VARs strive to reach $5 million or even $10 million in annual sales, InfoLogix, Inc. has been able to reach the $55.6 million mark after just four years in business. Specializing in wireless and mobile computing solutions, InfoLogix has purchased five companies thus far that have helped this integrator grow so quickly. For instance, one of its acquired software companies had developed an RFID (radio frequency identification) asset tracking solution for the lucrative healthcare vertical. “We typically focus on new mobility technology and projects that provide growth opportunities for us,” states David Gulian, CEO/president of InfoLogix. “We put 10% of our profits back into research and development for new products and services in markets that are evolving into the wireless world.” In 2006, Gulian expects a 15% sales growth rate. That growth is split almost evenly between enterprise mobile solutions, many of which are in the retail market, and healthcare.

Point Of Care Solutions Are In Demand
Since its inception, InfoLogix has been selling solutions to healthcare clients such as hospitals. Some of the products offered in the company’s Integrated Healthcare Mobility Solutions (IHMS), as they are called, include wired and wireless security systems, point of care mobile carts, fixed mount computer workstations, bar code scanners and printers, RFID asset management systems, bed management systems, and VoIP (voice over Internet Protocol) systems. The company designs, implements, and supports all of the IHMS components. For example, one hospital client turned to InfoLogix for a medication management application. Before installing the system, the integrator conducted a workflow analysis to determine the best devices to install for the new application. A wireless site survey was also completed. InfoLogix then designed customized mobile carts equipped with bar code scanners.

Using these carts, a hospital employee can scan a patient’s wristband and the label of a medication at the point of care. The cart’s computer is wirelessly connected to the hospital’s patient database and hospital information system. If the computer confirms that the medication scanned is the correct type and dose for the intended patient, the hospital employee administers the drug. Gulian says that on average, his company installs one mobile cart for every four patient rooms. With every healthcare facility in the United States concerned about HIPAA (Health Insurance Portability and Accountability Act) compliance, these kinds of solutions are currently in high demand. “Large hospital systems offer the biggest potential for us because they want to increase patient safety and care by implementing the latest technology,” states Gulian.

To attract healthcare clients InfoLogix exhibits at national trade shows such as HIMSS (Healthcare Information and Management Systems Society) and attends regional shows with healthcare ERP (enterprise resource planning) vendors such as Siemens. The key contacts at hospitals for these solutions include the CIO, VP of nursing, and chief security officer. InfoLogix also counts Dell Computer as a customer of its healthcare solutions. Gulian says approximately 13 pages of the Dell Web site are dedicated to InfoLogix solutions.

Develop Ways To Improve Inventory Management
With healthcare, InfoLogix has five years of experience and a reputation in the market that helps drive sales. Retail is another story, though. Retail is the company’s newest market challenge, and according to Executive VP Craig Wilensky, it’s a market with great potential.  “Our concept is to bring the back office to the retail floor,” Wilensky explains. “Our solution is an adaptation of the cart concept we use in healthcare. We call it the Mobile Office.”

It’s no secret that a key pain point for retailers is inventory management. Even with state-of-the art POS systems, most stores know that there are exceptions that occur that cause inventory discrepancies. For instance, in a grocery store, say a customer purchases three different flavors of the same brand and size of dog food. At the checkout, the cashier sees that the three bags are similar, so he scans only one of the bags three times to save himself time. The POS software registers the transaction and updates the current inventory, which now says that flavor X of the brand purchased is three less instead of one less. To alleviate this problem, retailers often have employees walk throughout a store’s aisles and look for overstocked and under- stocked items. The employees use handheld computers to scan the inventory of these items. That data is then compared to the POS system’s transaction data and the store’s back stock inventory. Analyzing this discrepancy helps them determine the correct amount to replenish, instead of relying solely on the POS system numbers, which may cause another overstock.

InfoLogix’ mobile cart solution is designed to help with this process. The carts are equipped with two O’Neil mobile printers, a Lexmark laser printer, a laptop or customized desktop computer, and Intermec or Symbol handhelds. Using these carts, store employees can get a correct inventory count and then immediately price the items accordingly, without having to go into the back room to make labels or signs. (The O’Neil printers are used for printing shelf and item tags, and the Lexmark printer creates the signs.) These carts can also be useful when employees are setting up a new display according to a planogram (i.e. a diagram, drawing, or other visual description of a store’s layout, including placement of particular products and product categories), which can be viewed on the computer screen.

“Our mobile carts are a differentiator for us in retail,” Wilensky says. “We’ve even developed a version of this solution that is an insert for the child seat of a shopping cart if the retailer doesn’t need the whole cart. We had one national retailer purchase 15,000 of these inserts.” He notes that some of the retailers he initially pitched for this Mobile Office solution have begun developing their own versions. That’s why InfoLogix has a patent pending on this product.

Customers Want On-Site Payment Solutions
While large hospital systems and grocery and retail chains are getting the most attention from InfoLogix these days, Gulian notes that he also sees great sales potential coming from smaller specialty retailers. In fact, some of these clients aren’t really retailers. For instance, InfoLogix is currently designing an all-in-one handheld computer that includes a credit card reader and receipt printer. This product is designed for people who need to accept payments on location, such as a woman selling Avon products or a home appliance repairman. “I feel there is a tremendous potential for these kinds of mobile POS applications,” Gulian notes. “We are always trying to invent new revenue sources and products, since we’ll never make big money on mature markets without a differentiator.”