Goodman Manufacturing knows how to cool off a hot situation. The company makes heating, ventilation, and air conditioning (HVAC) equipment for residential and light commercial use in North America. Goodman, which sells its products through more than 140 independent dealers at 600 locations, is one of the largest domestic makers of air conditioners, humidifiers, gas furnaces, heat pumps, and other products. It manufactures its products (under the Goodman, Amana, and Quietflex brands) at facilities in Texas, Florida, Pennsylvania, Arizona, and Tennessee. Founded by Harold Goodman in 1982, the company is the manufacturing arm of Goodman Global, Inc.
Since its inception, Goodman has focused on growing organically, aggressively striving to be the lowest-cost manufacturer in the HVAC industry. Roughly three-quarters of its sales come from replacement products, which are newer, more efficient models built to replace existing heating and air conditioning units in older homes.
The economic downturn led to a drop in demand for Goodman's products. The company experienced a decline in HVAC units being replaced (a major contributor to sales). But the company foresees gradual recovery as consumers increasingly replace their older HVAC units.
As the economy rebounds Goodman is positioning itself for growth. Its hub-and-spoke distribution system allows the company to easily move its products from manufacturing plants to dealers and customers. Its plant network spread around the US is supported by a one-million sq. ft logistics center in Houston. Distribution centers are also set up in targeted markets. The company is looking to expand its distribution network as its market share increases.
Goodman Global was acquired by investment firm Hellman & Friedman in early 2008. Hellman & Friedman announced plans to sell the company in 2010. – less