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®

By Giles Lamberston

CEG CORRESPONDENT

Phil McCoy, president of RoadBuilders Machinery & Supply Co.,

credits great employees and excellent products for the company’s unin-

terrupted record of success over the first 30 years of its existence — but

Bob Fischer believes there is more to it than that. He also credits hard

work… and Phil McCoy.

“I was impressed with him from the start,” said Fischer of his boss

and colleague. Fischer is RoadBuilders’s most senior salesman and an

employee of the company from day one. “His leadership skills. His man-

agement expertise. His philosophy, which is to treat people fairly and

then some. That’s the cornerstone of RoadBuilders Machinery.”

As for the hard work, Fischer said launching the company was stress-

ful for everyone. “Any time you start something new, there is going to

be a little nervousness about it, but you just work harder and make it

work. The phrase people use now is ‘24-7.’ We didn’t know the term

RoadBuilders MachineryReflects on 30 Years

Company Credits Success to Hard Work, Success

Phil McCoy, president of RoadBuilders Machinery & Supply Co.

The original Road BuildersKansas City facility.

Already selling Bomag compaction equiupment, RoadBuilders made Komatsu its core productline and steadily added to it. Among the other major brands in the lineup today at Sandvik,Terex-Fuchs, FINN and Ingersoll-Rand, as well as several leading attachment manufacturers.

When a struggling three-store equipment company became available there in 2000, RoadBuilders took it over, thereby

gaining Omaha (shown above), Lincoln, and Grand Island markets.

Midwest Equipment

6

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then, but that was what we did.”

The hard work has produced a diversified company that today oper-

ates in three states, employs 165 people, and is setting records year after

year business-wide. “We knew after about five years that we had a for-

mula that was working and it continued to get better,” McCoy said.

“Then we obtained the contract to represent Komatsu and we knew we

were well on our way.”

RoadBuilders celebrates its 30th year in business ranking at the top of

the Komatsu dealer network — the dealership with the leading market

share in North America. McCoy acknowledges the significance of the

ranking: “When you have the number one market share, you are doing

something right.”

Building A CompanyIn 1969, after earning an engineering degree from Wichita State

University, McCoy went to work for Wichita’s major employer, Boeing.

He left the giant aerospace firm in 1977 after tiring of “working in a

building without windows” and entered the machinery business. Eight

McCoy acquired the assets of an International Harvester company-owned dealership as the foundation of his new construction equip-ment outlet in the KC metropolitan area.

Heavy Equipment Services’s paint shop.

The paint shop averages three or four final coats a week — heavytrucks, tractors, and construction equipment of all kinds — with out-side customer requests outnumbering inside work.

years later, the 37-year-old McCoy, along with Fischer and a couple of

others, headed east to Kansas City, Kan., to start his own firm.

McCoy acquired the assets of an International Harvester company-

owned dealership as the foundation of his new construction equipment

outlet in the KC metropolitan area. The IH connection turned out to be

a promising one. International Harvester had sold its construction equip-

ment division to Dresser Industries in the early 1980s. After Komatsu

swallowed up Dresser in 1988, the Japanese company turned to fledg-

ling RoadBuilders Machinery & Supply to represent its product line.

Already selling Bomag compaction equipment, RoadBuilders made

Komatsu its core product line and steadily added to it. Among the other

major brands in the lineup today are Sandvik, Terex-Fuchs, FINN,

Gradall, Takeuchi, Etnyre, and Ingersoll-Rand, as well as several lead-

ing attachment manufacturers.

“We think we represent some of the best equipment on the planet,”

said Doug Murray, general manager of RoadBuilders’s three Nebraska

locations. “The manufacturers we represent produce world-class equip-

ment. In some cases, it is unrivaled and superior equipment. Not just as

good as something else, better than. That makes us better. World-class

products have to have world-class service to go with it.”

Besides reconditioning equipment for rental and resale, RoadBuilderscommitted to the used parts business three years ago with a publicwarehouse devoted to second-hand and after-market heavy equip-ment parts.

The Lincoln, Neb., facility.

To serve customers in the southwest quadrant of that state,RoadBuilders opened Midwest Equipment and Supply in Springfield.

11

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RoadBuilders’s expansion into Nebraska illustrates the company’s

organic growth. When a struggling three-store equipment company

became available there in 2000, RoadBuilders took it over, thereby gain-

ing Omaha, Lincoln, and Grand Island markets. Murray was the dealer

representative at Komatsu for RoadBuilders and lived in Nebraska at the

time. He became so involved in RoadBuilders’s Nebraska operation that

McCoy lured him away from Komatsu to manage it.

And what did RoadBuilders bring to the Nebraska stores that turned

them around? “Everything,” said Murray. “Honestly, everything —

equipment inventory, parts inventory, service capabilities, salesmanship.

And the company brought tremendous integrity from Kansas City, the

habit of doing the right thing every day.”

The trio of Nebraska markets differ — mostly agriculture out west

and construction work in the eastern cities, for example, more rental in

the east and used equipment sales in the west. The company flexes to

meet the demand. “We give customers what they want,” said Murray.

Used Equipment PushBefore its Nebraska acquisition, McCoy built out the company in KC. Phil McCoy (L) and Gerry Buser.

Gerry Buser, senior vice president and chief operating officer.

Today, Bryan McCoy is company vice president with principal respon-sibility for accounting functions and regional and retail finance, butwith some responsibilities in parts and services.

To complement its inventory of new equipment, the company developed

an engine and mechanical rebuild facility in 1992 and began to aggres-

sively enter the used equipment market beyond merely pushing trade-

ins. “We really, really concentrate on the used side of the business,”

McCoy said.

That’s really, really true. Besides reconditioning equipment for rental

and resale, RoadBuilders committed to the used parts business three

years ago with a public warehouse devoted to second-hand and after-

market heavy equipment parts. Then it opened an off-road equipment

paint and body shop for outside customers as well as for company use.

Tech-savvy equipment shoppers can even download a RBused.com app

to stay in touch with RoadBuilders’s used equipment inventory. What

else? Does it operate a used equipment online auction service? Yes

indeed.

“We try to take care of our customers any way we can,” said David

Mehrtens, who manages used equipment operations, including paint,

parts and machines. He ramped up the segment when he joined

RoadBuilders 15 years ago. The warehouse still is being stocked, with

salvaged parts from upwards of 50 pieces of equipment on the racks so

The trio of Nebraska markets differ — mostly agriculture out west andconstruction work in the eastern cities, for example, more rental in theeast and used equipment sales in the west. The company flexes tomeet the demand.

In 1992 the company began to aggressively enter the used equipmentmarket beyond merely pushing tradeins.

Doug Murray, general manager of RoadBuilders’s three Nebraska loca-tions.

Because Midwest is not an authorized Komatsu dealer, a mix of most-ly used equipment is offered, along with full access to KC’s parts stock-pile, and a full-service shop.

15

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17

far. The paint shop averages three or four final coats a week — heavy

trucks, tractors, and construction equipment of all kinds — with outside

customer requests outnumbering inside work.

The reconditioned and repainted equipment doesn’t sit around long

either, according to Mehrtens: On average, one machine is sold each day.

The three-year-old auction company (RBusedauctions.com) focuses on

moving RoadBuilders’s second-hand equipment, but it also handles cus-

tomer consignments. More than 50 machines were auctioned last year.

A company embracing a different business philosophy might balk at

offering customers both new and used parts, there being a distinct possi-

bility of one cannibalizing the other. But Mehrtens said, “We are just

helping out customers.”

Mike Hink agrees. Hink is new parts manager and a RoadBuilders

veteran of 22 years. “Having both parts departments gives a customer an

option to buy… new or used,” he said. “Whereas before, we only gave

the customer one option.”Tech-savvy equipment shoppers can download a RBused.com app tostay in touch with RoadBuilders’s used equipment inventory.

The hard work has produced a diversified company that today operates in three states, employs 165 people and is setting records year after yearbusiness-wide.

19

Hink joined RoadBuilders shortly after Komatsu did, so he is steeped

in Komatsu knowledge. He said customers appreciate his product mas-

tery. “If you know the machines and can get customers parts in a timely

manner, it makes for happy customers. The least amount of down time

is what they are looking for. Taking care of customers is not just rheto-

ric around here.”

A Growing BusinessSeven years ago, McCoy and other company executives — including

senior vice president and chief operating officer Gerry Buser, whom

McCoy calls “a key, key guy”— took the company east into Missouri.

To serve customers in the southwest quadrant of that state, RoadBuilders

opened Midwest Equipment and Supply in Springfield. Much of the

region is wooded, with rocky outcrops, and lumber and quarry business-

es located there needed another equipment source.

Jason Baer, Springfield’s territory sales manager, has seen a maturing

Besides reconditioning equipment for rental and resale, RoadBuilderscommitted to the used parts business three years ago with a publicwarehouse devoted to second-hand and after-market heavy equip-ment parts.

“The least amount of down time is what (customers) are looking for. Taking care of customers is not just rhetoric around here,” said Mike Hink,parts manager.

21

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Machineryon 30 years

Grand Island, Neb.(L-R): Clarence Brooks, Brad Jensen, KyleKult, Carrie Shepard and Josh Halte. NotPictured: Tony Randone, Clayton Brooks,Luke Anderson, Russel Jacobitz and JayJohnson.

Lincoln, Neb.(L-R): Scott Kilpatrick, Jim Lock, DarrellAndelt, Craig Arehart, Charles Miller, AaronCollins, Don Walker, Chris Johnson andMichelle Braunsroth.Not Pictured: Dru Davidson.

Heavy EquipmentServices, LLC (PaintShop) — Kansas City(L-R): Jeremy Lapka,Tom Bledsoe, DanielGonzalez, SteveHorning and RonJohnson.

Machine Shop — Kansas City(L-R): Scott Smith, Darrell Williams, Jay Bullock, Caleb Patterson, Mike Chapman and Jaime Morche.

Parts Department. — Kansas CityBack Row (L-R): Rick Woodson, Bill Dycus, Robert Dorsel, Luke Wiman, Mark Colwell, TimStonebrook, Mike Hink and Bryan Carrell.Front Row (L-R): Deborah Wilson, Travis Price, Nelson Cline, Luke Taylor and Jill Gilreath.

of the business in his seven years at Midwest. “First we were trying to

build the business. Now we are working to maintain it. That changes the

dynamics of the work. It took us a couple of years to get where cus-

tomers were coming in on a regular basis, but we have a pretty large cus-

tomer base established now.”

Because Midwest is not an authorized Komatsu dealer, a mix of most-

ly used equipment is offered, along with full access to KC’s parts stock-

pile, and a full-service shop. With construction projects on the horizon,

activity at the area’s rock and lumber industries is expected to pick up…

and keep Midwest busy.

Vince McBride, KC-based general operations manager, oversees the

company’s Springfield outlet. That task is on top of monitoring

RoadBuilders’s parts and service departments and IT functions. His

unofficial title is “jack of all trades.”

Eighteen years ago, McBride started at RoadBuilders as a service

writer and migrated into warranties and eventually became the de facto

With construction projects on the horizon, activity at the area’s rockand lumber industries is expected to pick up...and keep Midwest busy.

(L-R): The father and son team of Bryan and Phil McCoy, Road Builders Machinery and Supply Co. Inc., visit the IronPlanet booth and speak withCarson Erickson, sales manager, IronPlanet.

25

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CONGRATULATIONSRoad Builders Machinery on your 30th Anniversary!

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Rental Department. — Kansas City(L-R): Brian Burkert, Phillip Kitterer, BryantGetz-Reel, Noah Montgomery, BrandonMarsh, Brock Chaltas, Brian Rosendahl,Rocky Shatto and Kim Reiter.

Used Equipment and Parts – Kansas City(L-R): Charlie Brown, Jennifer Vogts, DougMehner, Jay Thorne, Justin Reece, MikeJohnson, Todd Russell, Kyle Eitel, GarrettCrane, Early Hughes, Barry Maddock,David Mehrtens, Raul Pacheco, JackWilliams and Jerry Yanez.Not Pictured: Bill Warren, Troy Long, ChrisHolman.

Midwest Equipment &Supply LLC —Springfield, Mo.(L-R): Jimmy Christian,Nick Kirkland, MackHarmon, JustinWard, James Broom,Anthony Coffman,Mike Wood,Dewayne Thornton,Jason Baer, TomKing, David Brill,Butch Core andTom Everett.Not Pictured:Steve Gaynor,Nick Spickard,Lonnie Williams.

Omaha, Neb.(L-R): Todd Kelsey, Casey Porter, Rusty Kilpatrick, Aran Alley, Ty Sutherland, Doug Murray,Becky Anderson, Carter Herold, Carl Simmons, Dean Alfers, Fred Grote, Chuck Walters,Marty Hagemann, Eddie Miranda, Chuck Page, Chris Sutherland, Jeff Smith, Bob Williby,Dave Meyerring, Warren Kutz, Ryan McCardle, Pauline Siderewicz, Jake Riesberg and TedChristensen.Not Pictured: Al Hoggatt, Don Wilmer, Chris Murphy, Tim Grubb, Garret Desautels, RayBorchers, Dennis Anderson and Steven Borchers.

The Kansas City Service Department (L to R Back Row): Murray Penaia, Kevin Pride, MelissaPatterson, Vince McBride, Tim Keagy, Mike Jenkins, Joey Burger, Mary Smith, JeffMcConnell, J.D. Carson. (Front Row): Corey Blair, Brandon Lees, Tao Paletaoga, Brian Elwell,Joe Drummond.Not Pictured: John Bannister, John Brummett, Kevin Colwell, Rusty Coons, Doug Curry, SteveDutton, Steve Griffeth, Julie Lynn, Richie Stevens, Jesse Stewart and Loren Werth.

IT guy. Besides keeping an eye on the flourishing parts departments, he

watches over equipment service, including shop work, field calls, and

fleet management packages. He said the service work — which

accounts for about 20 percent of total sales — is managed relatively sim-

ply thanks to the company’s credo.

“When our owner gave me the job, he told me to tell the truth and do

the right thing and you won’t have to worry about any consequences,”

he said. “Occasionally there will be a service issue where you have to

make it right, and that’s what we try to do. If it sounds like we should

have done something a little better, we try to rectify it.”

The Next GenerationBryan McCoy was 10 years old when his father started RoadBuilders.

Just a few years later, when a fire melted the wiring on a Bomag roller,

he was given the assignment of rewiring it. “I put it back together and,

after that, I was hooked.” Following graduation from Wichita State in

1998, he plunged into the business full time, beginning as a rental man-

ager.

Today, Bryan McCoy is company vice president with principal

responsibility for accounting functions and regional and retail finance,

but with some responsibilities in parts and services. He attests to how the

various company units perform at a high level in tandem with one anoth-

er and with minimal oversight from above. He credits his father for the

smooth functioning of the company’s interrelated parts.

“I think the biggest factor is that Dad has always surrounded himself

with people who are fully able to take care of their responsibilities. They

are given freedom to run their departments or areas,” he said. “I have

learned from that, learned to get involved only when you need to.”

The company is not standing still — a fourth Nebraska branch will

open this year in Norfolk, for example, and bar-coding systems are com-

ing to parts warehouses — and Bryan McCoy said standing pat is not an

option. “The only way to keep the company going is to grow. There is

nothing immediately available, but we are going to have to expand to

keep moving ahead.

“I don’t know what direction that will be… a new product line, serv-

ing our customers in a better way, maybe a new territory will open up

down the road. Whatever it is, we always are open to new opportunity

and willing to look into it.”

(This story also can be found on Construction Equipment Guide’s Web

site at www.constructionequipmentguide.com.) CEG

29

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CONGRATULATIONS ROAD BUILDERS ON 30 YEARS OF BUSINESS

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We think we represent some of the bestequipment on the planet. The manufacturerswe represent produce world-class equipment.In some cases, it is unrivaled and superiorequipment. Not just as good as something

else, better than. That makes us better. World-class products haveto have world-class service to go with it.

- Doug Murrary, general manager of RoadBuilders Machinery and Supply Co., Inc.“

31

www.thomasmcgee.com(816) 842-4800 | (800) 423-9044

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www.roadbuildersmachinery.com