Wednesday, May 06, 2009

Welcome to the Mutant Factory

Since being jettisoned from Patagonia's empire twenty years ago, Salt Lake City—based Black Diamond Equipment has prided itself on breaking all the rules. They eschew advertising, take enormous risks, and employ a team of superfit athletes who do their only "market research" skiing and climbing in the Wasatch backcountry. And it's working. Have a bunch of gear fanatics created the recession-proof business model of the future?

By:
Carabiners coming out of the hot forge; opposite, Bill Belcourt, director of climbing product Photo: Photographs by Michael Kelley

ONE OF THE LAST THINGS Yvon Chouinard told me before we left," says Peter Metcalf, the CEO of Black Diamond Equipment Ltd., raising his voice over the factory's din, "was 'Keep it small, keep it simple, and sell it out of the back of your car. That way, the law can't get ya.' "

Metcalf, 53, is showing me around BD's 85,000-square-foot manufacturing center and office complex, retrofitted into a former Bavarian-style shopping mall in east Salt Lake City. The plant cranks out about a fifth of the company's 4,500 climbing and skiing products (the rest are made in Asia and Europe), and our tour is accompanied by a concerto of buzzes, clanks, and a thrumming bass note. Equipment in various stages of completion is strewn everywhere, glinting under the fluorescents ice axes, skis, bindings, backpacks, telescoping poles, headlamps. So this is where gear junkies go when they die, I think, as Metcalf points out a stamping press, a laser cutter, and a drop-bottom furnace that was salvaged from a Boeing plant in Washington State.

 

He pauses in front of a huge vat in which hundreds of oval carabiners churn like metallic cake batter.

"Obviously," Metcalf says, "we didn't stay very small."

I've come to Salt Lake to find out how, exactly, Black Diamond has morphed from Patagonia founder Chouinard's one-man blacksmithing operation into what's arguably the most successful mountain-sports-equipment maker on the planet: a $90-million-a-year, 400-employee brand with offices on three continents. More curious is how BD, an improbable congregation of diehards and iconoclasts, has built such a formidable empire on an arcane assortment of hard goods. If you believe the creation myth, Metcalf didn't take a bunch of climbing bums and make them conform to business; he took a business and made it conform to climbing.

"They do it all wrong," says Jonathan Blum, a business analyst who's written about the company. "They make decisions by committee. They don't optimize short-term profit. They centralize risk by designing, producing, and distributing their own products. And they specialize in a very strange niche with small margins and limited appeal."

Black Diamond's unorthodox culture has been called a "rope team," a "wolf pack," and a "hippie commune" all fair appraisals and all in accordance with Metcalf's grand plan. During his late teens and early twenties, he spent most of his time clawing up outrageously difficult routes in the Alps and Alaska, sleeping in cars and, at times, inside storm drains. When he relaunched Chouinard Equipment as Black Diamond in 1989, he surrounded himself with employees who'd also lived the dirtbag dream. Today, his staff includes so many unheralded but freakishly accomplished outdoor athletes that the Salt Lake headquarters is often referred to as the Mutant Factory.

More at Outside

Free Newsletters

Dispatch This week's featured articles, reviews, and videos. Sent twice weekly.
News From the Field The most important breaking news from around the Web. Sent daily.
Gear of the Day The latest products, reviews, and editors' picks. Coming soon.
Outside Partners Outside-approved deals and special offers from select partners. Sent occasionally.

Subscribe
to Outside
Now with
iPad Access

Magazine Cover

Plus 2 Outside Buyer's Guides included with your purchase!

News

May 25, 2013

Current Issue Outside Magazine

Subscribe and get a great deal! Two free Buyer's Guides plus a free GoLite Sport Bottle. Monthly delivery of Outside—your ultimate resource for today's active lifestyle. All that and big savings!

Free Newsletters

Dispatch This week's featured articles, reviews, and videos. Sent twice weekly.
News From the Field The most important breaking news from around the Web. Sent daily.
Gear of the Day The latest products, reviews, and editors' picks. Coming soon.
Outside Partners Outside-approved deals and special offers from select partners. Sent occasionally.

Ask a Question

Our gear experts await your outdoor-gear-related questions. Go ahead, ask them anything.

* We might edit your question for length or clarity. If it's not about gear, we'll just ignore it.