Functional Mobility's rehabilitation business thrives because of highly trained staff.

In the world of mobility, Mark Tucker is big-time investor. No, he doesn't sit on the executive board of a national conglomerate or manage a huge Wall Street portfolio. Tucker is president of Functional Mobility Systems in Baton Rouge, La, and his big investment is in his skilled employees. it is, by extension, an investment in business success, too.

Founded in 1998, Functional Mobility now generates about $2 million in annual revenues, with two locations and plans to open a third in Texas this year. But success has not been driven by volume-based selling or knocking on physicians' doors in search of referrals. Overhead is low, support staff is minimal, and marketing is nonexistent. Tucker maintains a disciplined approach to inventory, stocking very little equipment on the premises.

Instead, Functional Mobility makes its mark through expert patient evaluation and customized equipment solutions. That kind of knowledge can separate a company from others that chase high-profit margins but fall short of delivering high-end rehabilitation in return. But how do you develop and grow that knowledge? It does not come easy or overnight.

TALENT SEARCH
Tucker worked with mobility devices for 2 decades before stepping out on his own. Now he has taken steps to make sure his best people stay with him. He made partners of two ''bread winners- Richard Glynn and Sean Reed. "I could not afford to train them and then have someone hire them away," he says matter of factly "After I have invested a year and a half in training someone, my competitors are more than happy to pay them another $10,000 a year to join their companies.''

Such is the reality of high-end rehabilitation. competition. Tucker recently heard from a headhunter in Chicago, calling on behalf of a client desperate for someone with experience in the field. "I said, 'No, I can't help you, but if you find someone, let me know because I would like to talk to them, too.' That is how scarce qualified people are.''

Tucker has trained everyone who works at Functional Mobility. "Our job is very clinical,'' he says. ''My people are expected to determine how the patient is progressing, what is going to be needed in the future, and how to speak to the physicians and therapists at their level."

That level of training takes unusual commitment. An occupational therapist Tucker hired 3 years ago is only now getting to the point where she can work with children, he says. "The first year she was nothing but a cost it was total training."

SUM OF THE PARTS
Because Functional Mobility's equipment is high-end, the average customer financial transaction is larger than at most HME facilities. As a result, the company shies away from Medicare and focuses on private-insured cases. ''You can't do highend rehabilitation under Medicare guidelines,'' Tucker says. ''A large part of Medicare mobility and positioning is rental. Typically, rental equipment is generic and you do not need experienced, trained personnel to supply the one wheelchair that you stock for everybody. You can pay a driver to do that.''

Functional Mobility, m fact, stocks very little equipment. Instead, it works with a variety of manufacturers, ordering customized units-or customizing them itself-to meet each patients specific needs.

''We sell whatever is appropriate for the client, not what we have in stock,'' Tucker says. ''We will order parts from eight manufacturers for one wheelchair. You may get a seatbelt from Seattle, a seat cushion from Maryland, and a headrest from Germany. That is why we call it a seating system: All the components have to work together. On a custom wheelchair, no component is an island.''

Though the company can build an entire seating system from scratch, it does not have to do so as often. ''Back in the '80s, you couldn't purchase customized units on the market,'' Tucker says. ''Now you can purchase fairly nice custom-built equipment that does the job most of the time.'' 

That allows staff members to concentrate most of their time in the field-a minimum of 8 hours with each patient, not including follow-up visits, according to Tucker. ''Our rehabilitation therapists go out m the field, evaluate, write the justification, design the equipment on paper and deliver it,'' he says. ''if the equipment breaks, we service it.''

Follow-up visits are a fundamental part of the business. ''We may sell an item only once, but we see many patients eight to 10 times with no additional charges,'' Tucker says. It is one of the reasons, ironically that Functional Mobility does not have delivery drivers or vans. ''If the problem. involves the seating or positioning, it is a very intricate process and the rehabilitation therapist has to make those adjustments. I can't send a delivery driver to do that. If the problem was a flat tire or dead battery, they could, but they end up out in the field with a patient who says, 'My back is hurting,' and they have to call in the rehabilitation therapist anyway."

GREENER GRASS
Because Functional Mobility's customizable product lines require a well-trained staff to service and demonstrate, margins are less attractive than some people perceive, according to Tucker. ''People see a $25,000 wheelchair and think we are rolling m the money, but we are a small-margin business because we have to pay highly qualified employees. There are many times when my potential profit margin is less than sales tax.''

While that leaves little margin for error, it also helps deter would-be competitors. ''You do not see national companies doing high-end rehabilitation,'' Tucker says. "You cannot just come in and open a high-end rehabilitation facility, because you cannot buy the experience. It is not as easy as lining up at the physicians door and asking for customers.''

On the other hand, Tucker admits he has more business than he can handle and a stack of charts on his desk to prove it. ''You have to work real hard to prove yourself,'' he says. ''if you get an opportunity and mess it up, you will not get another one. You ... have got to know what you are doing.''

Aaron R. Smith is a contributing writer for Dealer/Provider.

 
Copyright 2006: U.S. Rehab. All Rights Reserved.