CASE STUDY
Technology’s Role in Successful Mergers & Acquisitions: A Case Study with Tomas Steenackers
Introducing Tomas & His Entrepreneurial Journey
Tomas Steenackers has carved a niche as an entrepreneur focusing on consolidating smaller, independent practices into larger, more streamlined operations. His entrepreneurial journey began when he left the corporate sector, dissatisfied with the processes and systems in these monolithic organisations that slowed progress and hindered successful outcomes and team morale. As he put it, he ‘bet on himself’ to become an entrepreneur and prioritise the efficiency and culture of the businesses he obtained.
“I worked in a lot of larger organisations, and I was never really impressed with how they managed different functions. In 2014, I just had enough. I decided to back myself, and I left the corporate world and started my entrepreneurial journey.”
Tomas kicked off this new direction in his career with a significant venture in the veterinary industry. He started with 35 clinics across Australia. Under his leadership, this venture rapidly expanded, acquiring an additional hundred practices over 4 years and expanding operations to New Zealand.
Following his success in veterinary services, Tomas applied his proven roll-up strategy to the optical sector. He again aimed to optimise operations by minimising the time optometrists spent on administrative duties, thereby maximising their time spent with their customers. His business model consistently prioritises operational efficiency, focusing on the back end to enhance the customer-facing front line.
“I always like to push boundaries because I hate people typing or doing manual stuff, so a lot of the time, I try to leverage technology, making sure the systems are doing a lot of the heavy lifting.”
His tried and tested approach leverages economies of scale to centralise critical backend services like IT, marketing, HR, and finance while enriching the workplace culture by empowering staff with the right tools and streamlined systems. This strategic centralisation allows frontline clinic staff to focus entirely on providing top-tier customer service, unburdened by the complexities and tedium of repetitive and manual administrative tasks.
Tomas’ ventures streamline operations and support the professional growth of the practices involved. By offloading the administrative overhead, professionals such as veterinarians and optometrists can concentrate on what they do best—caring for their customers. This has been a hallmark of Tomas’ success, driving growth and profitability across his business endeavours.
“We specialise not necessarily doing work on the front end with the clients, but being in the back end and making sure we optimise everything for them so that people in the front line don’t have to muck around with systems or HR or administration. They can really focus on the customer.”
This narrative of transformation under Tomas’ leadership demonstrates a robust model of business consolidation that not only scales operations efficiently but also enhances the quality of service provided to the end customer.
The Situation
“When we reached 50 practices, I quickly realised we were getting out of control in terms of IT capability. So that’s when we started looking for the right organisation to outsource to.”
The need to hire BITS Technology Group stemmed from a crucial turning point in Tomas Steenackers’ entrepreneurial ventures. Despite the success of his roll-up strategy in consolidating veterinary and optical practices, Tomas consistently faced operational hurdles due to inadequate IT support. While his team was more than capable of delivering other integral parts of their roll-up strategy, like HR and marketing, the internal IT teams often lacked the expertise and agility required to manage the complex, rapidly evolving technological landscape of multiple acquisitions and integrations.
As his business portfolio grew, the inefficiencies of his existing IT infrastructure became glaringly apparent. Time and again, he was confronted with acquired or soon-to-beacquired clinics with inadequate IT support, hardware, and systems. This resulted in frustrated staff hamstrung in their operational capacities to deliver their best work for their customers. Frustrated with recurring downtime and technological setbacks that adversely affected productivity and client satisfaction, Tomas recognised the need for a change.
He sought a specialised external partner, one capable of overhauling his IT strategy to align with the dynamic needs of his expanding operations. This partner needed to offer not just maintenance and troubleshooting but strategic foresight in integrating diverse systems across new and existing practices without disrupting their unique operational dynamics.
In BITS Technology Group, Tomas found a responsive and innovative IT provider adept at crafting tailored solutions that could grow and adapt with his businesses. This decision to outsource to BITS was driven by his strategic goal to enhance backend efficiencies—thus ensuring that his frontline staff could remain focused on providing exceptional service to their clients, free from the operational inefficiencies that had previously hampered these pre-acquisition companies.
The BITS Partnership
As Tomas Steenackers’ network of practices burgeoned, BITS Technology Group stepped in to address the escalating IT demands. The scope of BITS’ work was extensive, encompassing both tactical and strategic elements of IT management that were essential for supporting Tomas’ rollup model in the veterinary and optical sectors.
Through partnering with BITS, Tomas aimed to transform his prior IT woes into a competitive advantage. He leveraged their expertise to facilitate smoother operations and enable more rapid expansion and integration of new practices. This move was a pivotal step in his strategy to prioritise and enhance operational efficiency and service quality across his business portfolio.
Cost is a crucial element of any successful roll-up. BITS provided consistent and predictable pricing that allowed Tomas to know exactly what an acquisition would cost in terms of IT upfront at the acquisition stage and into the future. Additionally, having a single provider for IT management, hardware, software, security, and telecommunications meant much less time spent coordinating and engaging many different providers.
BITS’ first major task was to streamline and standardise the IT infrastructure across all acquired clinics. This included upgrading outdated hardware, consolidating various software platforms into cohesive systems, and ensuring that each clinic’s IT setup aligned with the overarching operational goals of Tomas’ companies. Their role was not merely reactive but proactive, anticipating potential IT challenges and addressing them before they could impact the business operations.
The real test for BITS was their ability to deliver customised IT solutions rapidly and effectively. Each new acquisition brought unique IT challenges, from outdated systems to incompatible software. BITS excelled in creating solutions that not only fixed immediate problems but also enhanced the overall IT capabilities of the practices, making future integrations smoother and less disruptive.
Managing key vendors of line of business software was also brought under BITS purview. Their focus on solutions first meant that when some vendors said something was not possible, BITS made it possible and delivered custom integrations and solutions for complex systems with a focus on being cost-effective. Throughout managing these vendors, BITS builds strong relationships to ensure authentic and effective communication between all stakeholders.
One of Tomas’ primary frustrations was operational downtime, which was caused by inadequate IT support. BITS tackled this issue head-on by implementing robust IT protocols that minimised downtime. They introduced advanced monitoring tools that allowed them to detect and resolve issues quickly, often before the clinic staff were even aware of them. This approach significantly boosted the operational efficiency of the practices, allowing staff to focus on their core responsibilities without IT-related interruptions. In addition to these direct interventions, BITS also provided ongoing support and training to the staff at each clinic. This educational support was crucial in ensuring that staff could fully utilise the IT resources provided, further enhancing efficiency and service quality.
With the expansion into multiple regions, including international markets like New Zealand, BITS also ensured that all IT systems complied with the varying local data protection regulations. They bolstered cybersecurity measures to protect sensitive patient data, a critical aspect given the confidential nature of veterinary and medical records.
Through their comprehensive and agile approach, BITS not only resolved the immediate IT challenges faced by Tomas’ businesses but also laid a strong foundation for future growth. Their work with Tomas Steenackers exemplifies how strategic IT support can transform operational capabilities and contribute to the overall success of a rapidly expanding business enterprise.
The Outcomes
The partnership between Tomas Steenackers and BITS Technology Group has produced transformative results, significantly enhancing the operational landscape of his businesses across the veterinary and optical sectors. Through strategic IT management and proactive service delivery, BITS has enabled Tomas’ companies to not only meet but exceed their operational goals, resulting in substantial improvements in efficiency and client service quality.
“The clinics see BITS’ super fast response times and all the problems that used to be problems before our time get fixed, and suddenly the culture starts changing. No one’s complaining anymore about IT because BITS stepped up, adapted, and learned quickly, and they’ve just become an integral part of our operation.”
Enhanced Service Delivery and Client Satisfaction
One immediate benefit of BITS’ involvement has been a noticeable improvement in service delivery. With a more reliable and efficient IT infrastructure, clinic staff have been able to concentrate more on client care and less on troubleshooting technical issues, thereby improving overall client satisfaction. As a result, Tomas’ businesses have seen increased customer retention and enhanced reputational strength in competitive markets.
Scalability and Growth
BITS’ support has been pivotal in enabling the scalability of operations. The tailored IT solutions provided by BITS made it possible for Tomas to continue his aggressive acquisition strategy without being bogged down by the logistical challenges of integrating new clinics. This scalability has been critical in maintaining momentum and achieving rapid growth, positioning Tomas’ businesses as leaders in their respective sectors.
“They’re a great bunch of people. No ego, no agenda, just a focus on getting things done right and making sure they’re part of the team. They don’t just work for us; they work with us, and that’s made all the difference.”
Operational Efficiencies and Cost Savings
One of the most significant outcomes has been the increase in operational efficiencies. BITS’ proactive measures—such as implementing advanced monitoring tools and conducting regular IT health checks—have drastically reduced system downtimes and IT-related disruptions. These efficiencies have translated into cost savings, with a reduced need for emergency IT interventions and better utilisation of IT resources.
“Whenever there’s an issue, it’s never a disaster because BITS is on it—they handle it before it becomes a problem. They take every call with a smile, respond to every challenge, and always ensure that things are sorted by the next morning.”
Data Security and Compliance
As Tomas’ operations expanded into new regions, including international markets, BITS ensured that all IT systems were compliant with local data protection regulations. Their robust cybersecurity measures have protected sensitive patient data, a critical factor given the confidentiality required in medical and veterinary practices. This has not only safeguarded the businesses legally but has also built trust with clients.
“If you have any IT issues, you should be calling BITS. That’s how confident I am in their ability to solve problems and help not just my business but any business. They’re that good, they’re that responsive, and they’re that committed.”
Long-Term Strategic Partnership
Beyond the tangible benefits, the partnership has fostered a deep strategic alignment between Tomas and BITS. BITS’ role has evolved from an IT service provider to a strategic partner integral to the planning and execution of business expansions. Their ability to adapt and respond to the changing needs of Tomas’ companies has been a cornerstone of this successful partnership.
The BITS and Tomas relationship has extended beyond their successful roll-updriven partnership with additional projects with two other Tomas-helmed companies, PetPA and VetXtend, with successful B2B and eCommerce-focused projects.
In summary, the ongoing collaboration between Tomas Steenackers and BITS Technology Group has markedly improved IT operations across his ventures. This enduring partnership has successfully addressed pressing IT challenges, ensuring smoother day-to-day operations and robust support for Tomas’ ambitious growth strategy. BITS has not only solved existing problems but has also proactively anticipated future technological needs, ensuring continual improvements and adaptations in its service offerings.
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