MATERIAL HANDLING SPECIAL ISSUE EWP A BETTER APPROACH TO COLLECTIONS
The
MERCHANT
DECEMBER 2014
Magazine
THE VOICE OF THE WEST’S LBM DEALERS & DISTRIBUTORS – SINCE 1922
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Seasons Greetings www.kelleher.com
The
December 2014
MERCHANT
Volume 93 Number 6
Magazine
In Every Issue
Special Features 8 FEATURE STORY
4 HIGH-VALUE STORAGE SOLUTIONS
10 MANAGEMENT TIPS
ANTICIPATING LIFT TRUCK NEEDS
12 PRODUCT SPOTLIGHT
STORING ENGINEERED WOOD
14 MANAGEMENT TIPS
BETTER APPROACH TO COLLECTIONS
20 NAWLA: THINKING AHEAD
BUILDING TOMORROW’S LEADERS
22 OLSEN ON SALES
SELL MORE, GUARANTEED
38 PHOTO RECAP: TRADERS MARKET
Online
6 TOTALLY RANDOM 16 COMPETITIVE INTELLIGENCE 25 ASSOCIATION UPDATE 26 MOVERS & SHAKERS 28 FAMILY BUSINESS 32 NEW PRODUCTS 44 IN MEMORIAM 44 CLASSIFIED MARKETPLACE 45 DATE BOOK 46 IDEA FILE 46 ADVERTISERS INDEX
BREAKING INDUSTRY NEWS, EVENT PHOTOS, & DIGITAL EDITION OF THE MERCHANT
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TOTALLY Random By Alan Oakes
The
MERCHANT
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www.building-products.com A publication of Cutler Publishing
4500 Campus Dr., Ste. 480, Newport Beach, CA 92660
Merry Christmas and Happy Holidays
I
an interesting year! And, the most interesting part of the year has been the most recent. The industry nationally began the year very slow. A long winter gave many companies a late start, and the breakout year that many of us expected did not quite materialize. It was better certainly, but not to the level of most economic forecasts, as housing starts appear to be hitting just over the one million mark. However, any year we make money is a good year, so it has been great to see many more smiley faces of late and the industry beginning to enjoy itself again. Once the year did get underway—and for many that was April—it became quite busy and, from what I heard, stress levels rose higher, as the industry had to deal with supply and freight issues. Many mills were reporting fully sold out. Now when one considers that housing starts were, although up, nowhere near projections, and that it was multi-family not single-family driving the starts, it begs the question of what issues will be created by an additional, say, 20% growth in 2015, which only returns us to traditional building levels. We will realize even more clearly how much capacity has gone out of the industry. The good news, though, is that for many states, the weather has been kinder, helping to make up for the year's late start. Those working outside have continued to frame, and outdoor projects are still getting completed into November. Recent trade events we have visited show growing optimism and high expectations for 2015. Indeed, the mood at recent shows has been the best we have felt since the imaginary years of 2005 and 2006. I think the industry should be gearing up for another good increase next year. That is what we need to feel in this industry—optimism and trust! For many of us, both in our private lives and our business lives, the decisions we make are based on the last seven years or so, therefore we are untrusting and hesitant to move forward and back to normalcy. There is always the fear of what is around the corner. Indeed, when the stock market crashed in October short-term, we all said under our breaths, “Okay, here we go again.” With Ebola, issues in Europe, the slowdown in China, we keep being thrown curve balls. In business, it makes management and company boards shy from investing for the future. Many companies are still reluctant to hire, and that does not bode well for stress levels in 2015. We continue to see acquisitions and mergers, as owners finally, understandably have a chance of cashing in after the rough years. But it makes finding new and keeping current customers more important than ever. Here at The Merchant, we often cringe when we hear someone has been bought by or merged with another company, wondering who will be leading the charge after the dust settles. You hope you are on the side of the winner. As consolidation continues, ensure you are not reliant on a few customers. Some years ago, one client told me that they had lost their best customer—who had represented 40% of their business. Lesson be learned the hard way that you never want one customer representing more than 10% of your business. There is a constant need to seek out and acquire new business, and that is what our magazines are for. Indeed, through my business career, I have tried to never have one client accounting for more than 5%. You never know what is going to happen in life, and I never want to wake up to such news. Lastly, thank you for all your feedback and comments to us during the year. It has been a great year and one of the most rewarding of my 14 years here. Thank you to our advertisers who have supported us—many through thick and thin—and thank you, loyal readers, for your support. I love to hear from you when something we write impacts the way you do business or helps you in your career. The new year will bring many exciting things in our industry—even here at The Merchant. Stay tuned! Merry Christmas and Happy Holidays to you and may 2015 be the year we have been waiting forever for. T HAS BEEN
Publisher Alan Oakes ajoakes@aol.com President/Co-Publisher Patrick Adams padams@building-products.com Publisher Emeritus David Cutler Vice President Shelly Smith-Adams Director of Editorial & Production David Koenig david@building-products.com Associate Editor Stephanie Ornelas sornelas@building-products.com Contributing Editors Carla Waldemar, James Olsen Advertising Sales Manager Chuck Casey ccasey@building-products.com Circulation Manager Heather Kelly hkelly@building-products.com
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SUBSCRIPTIONS Heather Kelly Phone (949) 852-1990 Fax 949-852-0231 hkelly@building-products.com or send a check to 4500 Campus Dr., Ste. 480, Newport Beach, CA 92660 U.S.A.: One year (12 issues), $22 Two years, $36 Three years, $50 FOREIGN (Per year, paid in advance in US funds): Surface-Canada or Mexico, $48 Other countries, $60 Air rates also available.
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Engineered Wood Products Real Wood Siding www.Roseburg.com 800.245.1115
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FEATURE Story By Travis and Clint Darnell, Sunbelt Rack
4 high-value storage solutions for any LBM operation E
VERY LBM OPERATION is different. Some may have multiple yards catering to general construction; others may be smaller operations specializing in high-end homebuilding and remodeling. One might be expanding its product lines; another might think its current site can’t accommodate expansion. Whatever the differences, there’s one thing they all have in common: the need for hardworking, efficient storage. The right buildings, sheds and racks, when selected and planned for an LBM retailer’s particular site, product mix, and objectives, can meet a multitude of storage and space challenges. Plus, they can bring newfound efficiencies, benefits and growth opportunities.
Versatile, High-Density Storage Solutions
When it comes to helping LBM retailers of all types and sizes update their sites, expand their offerings, or open new yards, Sunbelt Rack turns
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to four workhorses that offer outstanding design flexibility, storage capacity, and material handling and organization efficiency.
1. Drive-thru buildings
These covered rack-supported steel structures protect lumber and other building materials not only from weather damage, but from unnecessary product movement as well. Access from one or more drive-thru aisles allows materials to be loaded directly onto the customer’s truck or trailer. Direct access and streamlined handling also reduces time, labor, and risk of damage when loading product into the building. Using rack systems to support the roof increases storage capacity and makes this hybrid set-up a far more cost-effective solution than using separate buildings and rack systems.
2. T- or L-sheds
These offer the same benefits and efficiencies as drive-thru buildings
December 2014
but with a smaller footprint. They can be used when a site can better accommodate multiple smaller structures than one large one, or when the capacity of a drive-thru isn’t needed. T-sheds are ideal for long-length materials like dimensional and treated lumber and engineered wood products, and provide direct, drive-up loading and unloading from two sides. If two-sided access isn’t needed or the site layout doesn’t allow for it, Lsheds, with access from one side, provide the same storage functionality as T-sheds. L-sheds work well along property lines, or against the sides of existing buildings.
3. Umbrella sheds and threesided buildings These are designed for large-quantity bulk-storage of materials like drywall, OSB and other sheet materials, as well as full units of dimensional lumber and studs. The umbrella shed allows loading and unloading from two sides; the three-sided building Building-Products.com
from one. Like the T- and L-shed alternatives, each structure provides the access option that works best for the operation and where it will be located in the yard.
4. Automated systems
When it comes to material handling and storage efficiency, automated systems like Sunbelt’s Power Bin raise the bar. In about one minute, the battery-operated loader device fully and safely loads a bin with lumber, plywood, vinyl siding, MDF moulding, composite decking, metal roofing, or other materials. Picking materials is just as easy: They can be hand-picked directly from a bin or the contents of an entire bin can be automatically rolled out and unloaded onto a truck.
Putting It All Together for New Efficiencies & Growth
The beauty of these systems is their flexibility and how well they work together. Each can be scaled up or down so a lumber yard gets only what it needs and wants. Integrating steel racking and Power Bins to support the roofs of drive-thru buildings and sheds adds valuable storage with
AUTOMATED MATERIAL handling systems, such as Sunbelt’s Power Bin, allow entire loads to be rolled out for easy loading. (All photos courtesy Sunbelt Rack)
the same loading and unloading efficiency offered by the buildings themselves. Using the right building for differ-
ent products organizes materials logically and neatly, making them easy for employees and customers to locate and improving flow throughout the site. The power of these systems is how they maximize an operation’s capacity and efficiency. These benefits readily translate into cost and labor savings, sales opportunities, and increased customer loyalty. Operational savings: With highdensity storage, retailers can open a store on a small or pricey piece of real estate. Easy access to well organized materials reduces time and labor entailed in locating and handling materials. It also reduces losses from material damage and employee and customer injury. Sales drivers: Having the right product mix and enough of it is key to not missing out on sales. When customers know they can quickly and easily get the products they need when they need them, they will be back time after time. In addition, they’re likely to spread the word, driving in more business. – Travis and Clint Darnell own and operate CT Darnell Construction & Sunbelt Rack, Alpharetta, Ga. Reach them via sunbelt-rack.com.
T-SHEDS provide the same efficiencies of drive-thru buildings—with a smaller footprint. Building-Products.com
December 2014
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MANAGEMENT Tips By Ken Brzozowski, Raymond
Consider lift truck fleet evolution in new and retrofit facility planning as necessary in the planning stages of a retrofit project or new facility design to ensure all lift truck-related decisions are sound. An important part of that process is partnering with industry experts, including lift truck manufacturers and dealers, to ensure all goals are met and a reasonable return on investment can be achieved. Leveraging those relationships to ensure astute decision-making will increase the opportunity for project success.
Front-end planning
A
S THE ECONOMY continues to recover in North America, LBM warehouses and distribution centers are beginning to see increased orders and throughput. While this is good news, concerns about suddenly obsolete material handling and space requirements are prompting some owners and managers to investigate a retrofit project to improve workflow and to upgrade their ability to respond appropriately to the improving economy. Some are even planning brand-new facilities with completely updated amenities to meet both current and future needs. No matter the approach, the evolution of a facility’s lift truck fleet should be a key component of planning discussions—particularly when handling lumber and building materials. A warehouse or distribution center redesign is the perfect opportunity to reevaluate the existing fleet mix to replace aging units. However, keep in mind that new truck types may be necessary, especially if storage density and throughput will change substantially. Conversely, an existing fleet may not transfer seamlessly to the design and workflow of a new facility. Additionally, many facility owners and managers are grappling with issues like sustainability and reducing carbon footprint, which means a fleet’s future power technology needs also must be addressed. For these reasons, it’s crucial that owners and managers of warehouses and distribution centers spend as much time
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It can be difficult to know where one is going without a map, and the same is true for a new or retrofit warehouse or distribution center building project. That’s why front-end planning is so crucial and should not be underestimated. This can create a framework for the entire project, including a timeline and milestones that facilitate accountability for all participants. Facets of the front-end planning process include: Clearly defined objectives. Without a well-thought-out set of overall objectives for the project, it will be nearly impossible to ascertain whether it is ultimately successful or not. Too often, facility owners and managers waste time, budget and resources without clearly understood and attainable goals. Must-haves vs. nice-to-haves. Defining project goals and objectives is easier when potential amenities are divided into two categories—those that must be present and those that would be beneficial to have if cost were not a consideration. Once a budget is established, the task of weeding out the optional items is much easier. Note that the project type will often dictate what will fall into a given category—in a retrofit, for example, variables like column spacing, ceiling heights and available floor and dock space will influence what is feasible. With a “greenfield” project, issues such as prevailing building codes, available capital for the project, corporate business objectives and project timelines may dictate the decision between must-have and nice-to-have. Internal checkoff. Individual departments and customers within a warehouse or distribution center will need Building-Products.com
to efficiently interface with the resulting design of a new facility or workflow changes in a retrofit. If a distribution center is part of a manufacturing complex, then the requirements of supporting the manufacturing process become a high priority. Thus, making those departments part of the planning process to ensure their comfort level is crucial. That includes the IT department, which may be responsible for the network infrastructure, such as a lift truck fleet management system. Securing external expertise. The planning process is much less overwhelming when support from external sources is secured. This includes engineering or design firms, of course, but also should include manufacturers of material handling systems and lift truck consultants. Regarding the last point, it’s prudent to use the front-end planning process to carefully review the credentials of all external participants to ensure appropriate experience in similar projects. Keep in mind that special design considerations are necessary for specific facility types. Lift truck fleet assessment. Virtually every decision made during the front-end planning process for a retrofit project or a brand-new facility will affect the existing lift truck fleet. Either project type is a great opportunity to reevaluate the existing fleet mix, but such an evaluation is best completed by a trusted lift truck consultant. With the proper credentials and experience, these individuals can objectively assess multiple issues, such as: The fleet’s age and service condition. That includes not only the mechanical condition of individual units, but also related issues, such as the method of equipment acquisition and the most cost-effective maintenance approach. Note that reviewing a lift truck consultant’s credentials can help determine his or her ability to provide effective ongoing training and support, as well as their ability to be a reliable long-term partner and provide a solutions-oriented approach. The fleet’s ability to meet future needs. The potential of increased demand, new customers and new materials are crucial variables that should be factored into the decisionmaking process. The fleet’s ability to be used efficiently in a new layout or storage configuration. Obviously, a new warehouse likely will differ substantially from an existing facility, but a retrofit project can completely change storage density and workflow as well. A consultant will provide the right mix of lift trucks to accommodate material flow and storage needs within the facility. Recent material handling and storage trends also will affect fleet makeup. To reduce a facility’s physical footprint, especially in larger urban areas where space is at a premium, there currently is a tendency to build vertically and maintain manageable costs. Thus, the planning phase will focus heavily on cube design and racking structure, and the options that are borne from that process will require varying approaches based on truck type, such as whether deep-reach lift trucks or very narrow aisle (VNA) lift trucks are needed. Of course, the chosen design approach will be influenced by multiple factors beyond lift trucks, including everything from building codes to seismic activity to labor pools. A lift truck consultant with extensive experience will be able to account for these variables and recommend changes that result in the best possible fleet mix. Powering the fleet. All lift truck fleets require power to operate at any throughput level, but those that use batteries Building-Products.com
must take into consideration issues like charging and electrical costs in the front-end planning process. A great external resource in this area can be the local electrical utility, which can recommend more cost-effective ways to use electricity based on throughput levels. For example, it may recommend battery charging at times when both peak electrical demand and rates are lower. Remember, it’s in the local utility’s best interest to work with customers to reduce peak electrical demand to avoid brownouts or blackouts, and many provide financial incentives to do so. In addition, a hard look at electrical power needs and efficiencies also can help ownership and management meet sustainability and reduced carbon footprint goals. A lift truck partner also can recommend truck types that are inherently more energy efficient. Some trucks have both a battery and charger on-board, allowing for regenerative energy usage that greatly reduces battery charging requirements. A partner can recommend fast chargers, or craft a transition strategy from electric-powered to fuel cellpowered trucks, based on a careful analysis of all variables, including cost, number of shifts and shift lengths.
Maximizing ROI
No matter whether a warehouse is brand-new or undergoing a retrofit, it’s important to have clearly defined objectives before investing any time or budget. Arriving at those objectives and crafting a project plan that ensures success and maximized return on investment requires consultation and strategic partnerships with companies showing established expertise in developing viable solutions for multiple project and facility types. – Ken Brzozowski is v.p. of national accounts for Raymond of New Jersey, LLC, Union, N.J. Reach him via raymond-nj.com.
LIFT TRUCK needs should be addressed early on when planning to build, expand or retrofit any distribution center. December 2014
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PRODUCT Spotlight Engineered Wood Products
Best practices for storing I-joists and LVL
W
sold in lengths of up to 66 ft., safely handling and storing I-joists, LVL and other engineered wood products around the yard can be a challenge. ITH BEAMS COMMONLY
APA–The Engineered Wood Association provides some tips:
bundle wrap can be slippery, especially when wet.
1. Never walk on EWP. Stacks of I-joists and LVL can be unstable, and
2. Keep EWP wrapped to protect them from weather and dirt. Don’t unwrap bundles until they’re ready to be installed or cut up for delivery. 3. Use stickers to separate bundles, placing them vertically every 8 ft. 4. Always store, stack and handle I-joists vertically and level—never flatwise. 5. Store longest material closest to the ground. 6. Never store I-joists and LVL in direct contact with the ground. In fact, try to keep EWP at least 12 inches up from the ground. 7. Follow good forklift safety procedures, use wide forklifts to handle long-length material, and avoid forklift damage. If the ground is uneven, reduce forklift speed to avoid bouncing the load. 8. When handling with a crane, pick up the load using a spreader, if needed to minimize stresses. Keep Ijoists vertical. 9.
flange.
PROPER STORAGE and handling are critical to protecting engineered wood.
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(Photo by Sunbelt)
Do not lift I-joists by top
10. Post and follow load limits of storage racks. Maintain safe stack heights. Do not stack other material on top of I-joists or LVL. Building-Products.com
Marketing Class Lets Dealers Instruct Pro Customers
Lumberyards and distribution centers now have a new tool to help pro customers increase their sales. Versatex Building Products, Pittsburgh, Pa., has teamed with deckbuilder Bobby Parks to develop a course in marketing and lead generation for contractors and remodelers. “Creating Separation,” a concentrated 60-minute presentation, was a big hit in its debut at the recent Remodeling Show and Deck Expo in Baltimore, Md. The class was led by Parks, founder of Peachtree Decks & Porches, Alpharetta, Ga. After seven years of rapid business growth, he recently sold the business and is now traveling the country to share advice on converting prospects into customers. “It’s like a boot camp designed to show contractors how they can separate or differentiate their businesses— really make them stand out—from the pack of competitors,” Parks said. “The class introduces topics like business philosophies, messaging and effective use of photos, plus easy website tactics he says reduced his marketing costs by 90%.” “By working with Versatex distributors and local lumberyards, we can bring this business-building opportunity directly to contractors, in a casual breakfast or lunchtime format, free of charge,” Parks added. LBM dealers and wholesale distributors can contact Versatex to schedule a class.
Blue Book Expands Online
Lumber Blue Book has introduced several new features to its Blue Book Online Services. Enhanced notes allow members to better track and share information with colleagues. Improved watchdog groups let users quickly assign and display custom flags on specific companies. New custom data fields let users combine Blue Book information with their custom data. With over $1 billion of industryspecific accounts receivable data collected each month, Lumber Blue Book has more than doubled the number of companies it rates with a pay indicator since January.
Building-Products.com
December 2014
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MANAGEMENT Tips By Scott Simpson, BlueTarp Financial
A better approach to collections Getting paid while keeping customer relationships strong
W
OULD YOUR APPROACH to collecting delinquent payments from a customer vary if: • You knew the contractor was going out of business? • Your contractor’s business is about to double and you stand to benefit? • You’re actually losing money on this customer? • Your customer has been a loyal, profitable customer for the last 10 years? Of course it would. Then why do most dealers have a one-size-fits-all approach to collecting late payments? Every situation isn’t the same and we advise dealers to be strategic about how they collect. What we mean is that dealers should take efforts to properly assess the true risk of not getting paid and also understand the relative prof-
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itability (or lack thereof, sometimes) of the customer. Putting those two pieces together gives you a simple, powerful framework for how you should approach collecting. To understand which customers are in trouble, pull credit three times a year and look at trends that matter. There are obvious warning signs such as delinquent accounts with other dealers. A more subtle one might be a contractor whose borrowing amounts are steadily creeping up to historical highs. To understand the true profitability, go beyond looking at gross profit dollars to factor in a customer’s share of your delivery, administrative, borrowing, inventory and other costs. For example, it’s especially important to reflect that someone regularly paying you slowly could be costing you 2%-4% more than your average customer. That can often make the difference between a customer being profitable and unprofitable. Do this analysis at least once a year and then chart where your customers are on a 2x2 risk vs. profitability map. Hopefully many of your customers will fall into the “Love” quadrant. They are low risk—they always pay on time, they don’t have any trade delinquents—and they have good profitability. We would be blessed if all customers were in this box. That’s certainly the aspiration, but unfortunately not the reality. The “Escape” quadrant in the lower-left is the opposite. These customers are not only high risk, they are also zero or negative profitability for you. These are customers that are about to tip over and they are already costing you money. Run far and run fast. The other two quadrants are more challenging. Some customers will be high risk but profitable. These belong in the “Protect” quadrant. They are extending themselves Building-Products.com
pretty far and are causing you concern. The key here is to protect yourself and take the worst case off the table. Your remaining customers are in the “Address” quadrant. These are low risk, but are low or unprofitable customers. They could be well-established companies that don’t have any problem paying you. But they’re paying you slowly or they have price discounts or they have delivery considerations—for these reasons or others you’re actually not making any money on these accounts. So what does it mean to tailor your collections approach? For the “Love” customers that are high profitability and low risk, liberally waive their fees, thank them for their timely payment, and treat any collections call as a polite reminder. Lateness here is often a bookkeeping error or something that got missed. For the “Escape” customers—those that are ready to tip over—suspend the account if you haven’t already. Move them to COD, assess fees, prepare and file liens, and if it gets delinquent enough, consider a collections agency. These are customers that are not likely to continue to be customers and may not be in business much longer. The “Address” customers are low profitability and low risk. Collections calls are always polite reminders here but this is the group where you should confidently assess fees to help improve their profitability. Alternatively, modifying pricing can get these customers to be more profitable ones. Lastly, the “Protect” quadrant is really about taking the worst case off the table. A customer may be 60 days late, bumping into a pre-set line that you’ve set, and looking to buy more. This is the time to ask them to pay down the line. This is also the time to monitor them more frequently.
Building-Products.com
A monthly pull from a credit bureau may be necessary, and be ready to take more aggressive action if the risk worsens. Things might be fine, but if they’re not, you are positioned to take action.
A one-size-fits-all approach is straightforward and easy to execute, but there is a better way. It takes only a little upfront effort to understand customer risk and profitability. The benefits are worth it, I promise you. – Scott Simpson is c.e.o. of BlueTarp Financial, which helps dealers grow and protect their business by professionally managing their credit program from beginning to end. Reach him at (207) 797-5900 or ssimpson@bluetarp.com.
December 2014
The Merchant Magazine
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COMPETITIVE Intelligence By Carla Waldemar
Busy Beaver back in the swim
P
ITTSBURGH ,
P A .- BASED Busy Beaver, a chain of 15 stores, was founded in 1962. Yet when recent customer surveys responded, “Didn’t know you had more stores/were still in business,” they knew they were in trouble. Trouble right here in River City. Trouble with a capital T that rhymes with C and that stands for Competition, to borrow from The Music Man. Big boxes loom on every skyline. C.e.o. Joe Kallen, the sharp, young (30!) gent who bought Busy Beaver just over a year ago, knows that. As someone with a background in commercial real estate—particularly, buying failing companies and turning them around—he saw the problems,
and—this time, to quote Pogo, “they were us.” And mostly arising from the “the way we’ve always done it” stagnation that had set in. Joe knew the company’s bones were strong: the basic positioning and staffing of the 15 stores— so he knew the rest was fixable (especially if you’re the Sleepless in Pittsburgh type who spends 24/7 on the job, as Joe seems to make his habit). During the Eighties, the company had been in and out of bankruptcy proceedings, working with the old warehouse formula for their footprint, in which they led the pack back in the day before the boxes sideswiped them with their own similar concept and
BUSY BEAVER brass was on hand for the new store’s board cutting ceremony, including (l-r) v.p. of merchandising Mike Slobodnik, chairman/c.e.o. Joseph Kallen, v.p. of sales/operations Dave Miller, and v.p. of administration/c.f.o. Nick DeMao.
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simply did it better. So Busy Beaver closed stores where competition had become heavy and opened others in more favorable markets. Today those mid-size markets—which marketing director Stephen Derr calls the B and C markets—still suit the plan. Four stores have undergone remodeling under Joe’s watch so far, and two more are slated in the next few months. Joe has also opened Busy Beaver’s first new store in eight years in the trendy Lawrenceville neighborhood of Pittsburgh and plans two more (“I’d be disappointed if it’s not three”) in the coming year. “We’re not mom-and-pop, but we’re not as big as a box store, either. We’re right in the middle, the best of both worlds in size and product selection. Most of our stores lie in a 250mile radius and are set in small neighborhoods, to best position us to stave off the competition,” explains Steve. “But from a marketing perspective, Joe and I agree we should be better known than we are, because Pittsburghers are loyal to their local brands. Joe understands and supports the store’s image and branding incentives. For years we’ve been playing defense, not offense, as we should be and will be, and that’s why this is an exciting time for us. He comes here as a breath of fresh air, which makes my job easier.” The Lawrenceville store—the new crown jewel—serves as role model. True to Busy Beaver’s practice of improving an existing location rather than building from the ground up, the company took over a former, longBuilding-Products.com
NEW LOCATION in Lawrenceville, Pa., features a prototype (upper) Color Café Paint Center and (lower) tool rental center.
empty supermarket of 23,000 sq. ft. and refigured it to suit the neighborhood. Over 500 locals responded to a survey with a wish list, noting “some things we already knew and some we didn’t,” says Steve. “The best thing is, they felt they were being included.” In response, Busy Beaver added a line of bike accessories geared to this two-wheeler crowd, the metal overhangs for front doors (popular in their home designs), a tool rental department, and the black Dickies work pants they demanded. The parking lot, newly planted with greenery, is now designated as a community gathering place, already utilized for events by the fire department and Boy Scouts. Food trucks are a strong probability, too. “We consulted with local development and community groups in order to place a bigger emphasis on helping our community partners—be part of the Boys and Girls Clubs, Children’s Hospital events,” Steve says. “We not only open new stores, we open with a bang!” exclaims Joe. “Over 1,000 people attended our Lawrenceville grand opening in October, a big neighborhood picnic. Sales were awesome.” Building-Products.com
And inside, don’t expect the same old same old. “We saw lots of inefficiencies and wanted to improve on the customers’ shopping experience: to be more efficient in less space, like long hooks, not top stock; peg holes where there used to be racking. So even though it’s smaller, the store looks much bigger and brighter,” he continues. True to his habit, Joe has analyzed every single 4-ft. stretch of shelf space, adding SKU’s and reorganizing others. (“For instance, the toilets were in one aisle and toilet seats in another,” he laughs.) A wider selection of doors was added, along with longer-length lumber to appeal to contractors—though 90% of Busy Beaver’s business comes from retail trade, where the average transaction is $30. “We’re happy with that, but will work to improve it. We’re budgeting for greater profits, thanks to buying things better. We pass on some of those savings to our customers, too,” Joe adds. “We’re a point and a half ahead of last year in same-store sales.” In some instances, aisles were actually removed to create open floor space for displays, especially seasonal items like patio furniture and holiday items. “We’ll place a lot more emphasis on seasonal from now forward,” Joe vows. The Kensington store has undergone improvements, too, from simple things like placing the bathroom vanity and mirror displays against colored walls so they’ll stand out, to more complicated resets such as adding windows to a blank wall so the nearby garden comes into view. “It’s all aimed at improving the customers’ experience: a fresh set of eyes from the customers’ perspective,” Joe underscores. And that, of course, requires a new outlook by—and set of expectations for—the staff. Joe knew it was vital to translate an existing policy into a formal, written statement. “We call it our ‘We Are Legendary Customer Service Policy,’” Joe says. “We initiated it via conference call with all our general managers. Everyone was asked to go over it, sign it and commit it to memory. What it basically does is, mandate that we interact with customers at every level. Then we sent in secret shoppers to ask about the [posted] pledge and gauge employees’ attitudes. “We’ve had good results so far. The staff not only knows it and could repeat it, but, what’s more important, they know what it means. It acts as a morale-booster, too; they can see positive results of my taking on the business.” He awards a couple of merit prizes each month to drive the message home. “He’s done a good job in changing the culture: plans it, documents it—the goals, the timelines,” Steve testifies. “And he’s relentless in execution. He spends a ton of time in our store. Communication was minimal before, and now it’s 24/7; there’s a different level of commitment.” Relationships with vendors have been upended, too. “That needed improvement as well,” adds Joe. “Now there’s a partnership, not the former vendor/customer model. Both of us were looking for ways to improve.” Well then. What’s next? Resurrect yet another enterprise? No, no, Joe assures us: “I love it and I’m in it for the long haul.” He’s one Busy Beaver.
Carla Waldemar cwaldemar@comcast.net December 2014
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CALIFORNIA DEALERS Photos by The Merchant
WESTERN LBM professionals gathered for the West Coast Lumber & Building Materials Association’s recent annual conference in Indian Wells, Ca. [1] Tom Couch, Bob O’Connor, Marv Askey, Alan Oakes. [2] Shari Brighting, Augie Venezia, Alisha Simpson. [3] Craig Webb, Peter Ganahl. [4] Kellen Driscoll, Del Leutbecher. [5] Steve Page, Jeff
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Squires. [6] Jean Henning, Thom Wright. [7] Rick Deen, Jack Butler, John Allen, Kelly Lyon. [8] Mike Gregory. [9] John Gustafson, T.J. Johnson. [10] Tom Von Moos, Melinda & Mark Ganahl. [11] J.D. Saunders, Sean Fogarty. [12] Charlie Cain, Linda Novy. [13] Stephen Patterson, Daniel Patterson, Tom Couch, Marv Askey. [14] Ted Willoughby, Shawn Cunningham. [15] Paul Short. [16] Rick Richter, Brian Hurdle. [17] Brian Cushing, Jarrett Adams. [18] Daniel Hines, Trip Malopsy. (More photos on next page) Building-Products.com
CALIFORNIA DEALERS Photos by The Merchant
MORE WCLBMA (continued from previous page): [19] Ken Dunham, Jonathan Paine. [20] Andrew Rosie, J.D. Saunders. [21] James Stockman. [22] Eric Rudy, George Hagosian. [23] Chuck & Jen Wert,
Building-Products.com
Crystal & Chris Swanson. [24] Trey & Silvia Allen. [25] Chris Freeman, Brian Bunt. [26] Carolina & Louis Rojas. [27] Matt & Pam Petersen. [28] Mark Mizgorski, Jeff Pardini, Paulo Sitolini.
December 2014
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THINKING Ahead By Grant Phillips, Collins, and Committee Member, North American Wholesale Lumber Association
Building tomorrow’s leaders
D
URING THE GREAT RECESSION and the immediate recovery period that followed, many of us were understandably focused on shortterm company performance. Now that we’re finally experiencing a bounce back, it’s time to re-allocate resources to ensure the continued success of our firms—and our industry—well into the future. This can only be accomplished by identifying tomorrow’s leaders and preparing them to assume that role today. I recognize that there are strategic and technical skills that must accompany this preparation, in areas such as operations, accounting, human resources, and marketing and sales. I would argue, however, that mastering the social side of our business is much more critical for successful leadership. Here’s why: At the end of the day, we do business with other people. Your team only has so much control over pricing, products, regulations, the economy, or technology. Personal relationships are going to drive new opportunities to your company and help you retain them in
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tough times. Leaders with the ability to create and maintain great relationships can be your competitive advantage. And relationship-building can’t be learned solely behind a desk or in a classroom. Observing and following the examples set by others, and developing those talents in realworld situations, are the best ways for your people to augment their inherent abilities. These skills must
December 2014
be built over time, through repeated interactions that reflect lessons learned and incorporate new experiences. So how do you give your newer professionals this exposure, in a lower-risk setting? First, you should find the right events and get them involved. I know there is a tendency to seek out the most educational value for your dollar, but remember that networking events can have an
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A Special Series from North American Wholesale Lumber Association
equally significant impact over time. To help tomorrow’s leaders get the most out of the experience, there should be the opportunity to both meet peers and observe more seasoned professionals. Peers they connect with now will be the colleagues they turn to for years to come, and the veterans will model the best ways to make and foster those connections. Events such as the upcoming NAWLA Leadership Summit, March 22-24 in Scottsdale, Az., provide the perfect blend of networking and relevant education for current leaders and mid-level managers who will be the next to fill those roles. With receptions, breaks, shared meals, roundtable discussions, and traditional presentations from experts in lumber manufacturing, distribution and transportation, the event offers a great first look into the challenges leaders face and relationships they use to overcome them. Associations like NAWLA can also provide year-round leadership development opportunities that benefit your junior staffers, the organization and the industry as a whole. Volunteer committee service provides an introduction to peers of all experience levels from different companies and regions, and the chance to showcase talents, innovative thinking and commitment to industry service. The variety and scope of volunteer projects can be much different than what your junior staffers encounter at your firm each day. The opportunity to direct the work of others, especially those outside of their organizations, builds people and project management competencies while expanding professional networks for
Building-Products.com
your future leaders. Of course, your own involvement in these organizations and event is the best way to demonstrate the importance of being involved throughout your career to young professionals within and outside of your organization. To that point, your responsibility for building industry talent doesn’t end at your company. Each of us has the chance to recognize the developing talents who work for your vendors, suppliers or customers and help them build the professional networks they will need to succeed as well. Your involvement with those professionals, who will recognize and appreciate your support, can also help us retain this talent. – Grant Phillips is a commodities and industrial sales representative for Collins, Portland, Or., and is a member of North American Wholesale Lumber Association’s Leadership Summit Committee.
About NAWLA
NAWLA (North American Wholesale Lumber Association) is the association that delivers unparalleled access to relationships and resources that improve business strategy and performance through sales growth, cost savings, and operational efficiencies for wholesalers and manufacturers of forest products and other building materials that conduct business in North America. Learn more about how NAWLA can help your business at www.nawla.org.
Registration Open for NAWLA’s 2015 Leadership Summit
To expand your network, reconnect with peers from across North America, and provide your rising stars with a similar learning opportunity, register yourself and your future leaders for NAWLA’s Leadership Summit, March 22-24, 2015, at The Westin Kierland in Scottsdale, Az. The event brings together mid-level managers and executives and industry-leading companies to discuss top-of-mind business topics and solutions for driving revenue growth and streamlining operations. View the agenda and register at www.nawla.org.
December 2014
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OLSEN On Sales By James Olsen
Sell more, guaranteed
T
side by side. One seller makes 100 calls and sells two orders. This seller is in the 98% rejection business. The second seller makes 100 calls and sells eight orders. This seller is in the 92% rejection business. Still a lot of rejection, yes, but the second seller is making four times as much money as the first! (Think $200K a year vs. $50K a year!) Both of these sellers are working hard, but working hard at what? They are both generating a lot of calls, but what kind of calls? They are both calling a lot of customers, but what kind of customers? They are both speaking to people all day long, but how are they speaking to them? WO SELLERS SIT
The Popeye Syndrome
Popeye says, “I y’am what I y’am and that’s all that I y’am.” We are not cartoons. We are not a finished product. We are a work in progress, and we can get better. “Salespeople are born, not made” is a myth perpetrated by sales managers who don’t want to train new salespeople and by salespeople looking for an excuse not to get better. The good seller with this attitude doesn’t get any better because she is already “made,” no improvements necessary or possible. The struggling seller lets himself off the hook with this myth. Both of these sellers are plateaued—just at different levels.
It’s Magic!
Some sellers do seem to sell in magical ways. They make it look easy. But making it look easy and it actually being easy are two different things. The professional comedian, athlete and magician make what they do look easy because their skills are at a professional, money-producing level. Lots of people can tell a joke, sing or play sports, but only those who perform at a professional level get paid to do so.
Guaranteed
Master sellers do the basics better and more often. If we do these things, we will sell more, guaranteed. More calls – Inside sales. The master inside seller makes an outbound phone call every five minutes for a total of 96 outbound phone calls in an eight-hour day (60 minutes ÷ 5 = 12, x 8 hours = 96). Often more. Call at this rate and your sales will increase, guaranteed. More calls – Outside sales. The master distribution
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seller spends twice as much time in the field as the distribution seller who struggles. (When they are inside, example #1 above is their output level.) Eight to 10 outside sales calls per day for an outside salesperson is doable, but rare. If you are in distribution sales, generate this kind of activity, every day, and your sales will increase, guaranteed. Ask for the order more often. Most sellers don’t ask. The majority ask only once, master sellers ask five times per closing situation, or more, and make it seem natural. The master seller makes asking for the business part of the relationship. If we ask for the order five times in closing situations, we will sell more, guaranteed. Be at our most charming best. Master sellers are always positive and charming with their clients. Master sellers ask interested and interesting questions and are great listeners. They smile and laugh more with their clients. They treat their customers like their brother, uncle, aunt, grandfather, mom, dad or trusted high school teacher. They are professional, but warm/human with their customers. They are genuine. They are not there only for the deal (even though they expect to get the business—more on this) and the customer feels it. It makes all the difference. If we can be charming and really care about the people we are doing business with, in a genuine way, we will sell more, guaranteed. Assumptive selling. Master sellers expect to get the business and project that confidence in everything they say and do. Tone of voice is always positive. Things are “great,” “busy,” “happening,” “on fire,” not “okay,” “fine,” “fair-ta-middlin’,” “strugglin’ away.” Struggling sellers say similar things all the way through the selling process, without even knowing it. They are subconsciously apologizing and making themselves second-class citizens. There are few guarantees in life, but the above will help us sell more, guaranteed. James Olsen Reality Sales Training (503) 544-3572 james@realitysalestraining.com Building-Products.com
Capital Expands Denver, SLC
Capital, Phoenix, Az., has expanded its Denver, Co., and Salt Lake City, Ut., distribution centers to accommodate product line extensions. In Denver, the company is adding a cantilever rack-supported shed to provide an additional 3,000 sq. ft. of covered storage. In Salt Lake, Capital is converting its warehouse to narrowaisle racking, which will provide an increase of 720 pallet positions and 12,120 lineal ft. of cantilever racking. Founded in 1948, Capital operates eight regional distribution facilities in the West, offering sales, market development, inventory management, and distribution services to the building materials industry.
estimated $5 million into upgrades, including a new debarker and headrig that doubled capacity. Green Creek also operated a 10kiln drying facility in Spanaway, Wa., and a lumber sales office in Bellingham, Wa.
joining his brother, Gary, who retired in 2005. Micklewright, who came on board 18 years ago, will be assisted by his son, Nathan Micklewright, David Stubblefield, and Isaac Lynn.
Family Sells Oregon Yard
Gem Forest Products has restarted the former Emerald Forest Products stud mill in Emmett, Id. Owned by Greenfuels Energy LLC, Birmingham, Al., Gem has an annual capacity of 100 million bd. ft. of Douglas fir and white fir #2 studs. Cat Duemler is handling sales.
Bob Weatherly Jr. has retired and sold the family business, Economy Supply, Lebanon, Or., to a team of employees, led by manager Richard Micklewright. Weatherly’s parents founded the company in 1961. He started in 1979,
Idaho Stud Mill Up & Running
Green Creek Shuts Down
Green Creek Wood Products LLC is closing, starting with its large-log sawmill in Port Angeles, Wa. The mill shut down Nov. 1, primarily due to lack of supply. It was purchased out of bankruptcy in 2003 by Green Crow Corp. and Creekside Trading Corp., who then poured an
DEALER Briefs Morenci Hardware & Supply, Morenci, Az., was opened Nov. 10 by the Owens family, owners of
Safford Building & Ace Hardware, Safford, Az.
Michael Brown manages the new 11,900-sq. ft. location.
Foxworth Galbraith Lumber
agreed to sell 7.2 acres near its Woodland Park, Co., lumberyard to a developer who plans to build a 22,000sq. ft. Tractor Supply. Also in town, Woodland Hardware & Rental is building a 26,000sq. ft. replacement store.
Sustainable Northwest Wood , Portland, Or., received a Forest Stewardship Council
Leadership Award for leadership in building materials supply in the West.
Truckee-Tahoe Lumber Co., Truckee, Ca., was honored as Large Business of the Year by the local Chamber of Commerce. Habitat for Humanity opened its third Los Angeles area ReStore discount LBM outlet in Bellflower, Ca., and its second Boise, Id., location. Building-Products.com
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Treated Wood App Gets Makeover Guided by comments and input from users over the past year, the treated wood industry’s exclusive smartphone app has undergone a complete makeover. Version 2.0 of the Treated Wood Guide app, developed by Western Wood Preservers Institute, is available for free download for Apple iOS, Google Android and Windows smartphones and tablets. The app is designed to put specific information on preservative-treated wood at the fingertips of designers, specifiers, contractors and homeown-
ers so they can select the proper products for their projects. One new feature is a redesigned section on national AWPA standards for treating. Users can get details on the AWPA Use Category system, with an overview of use categories that guide the amount of preservative used in the products to meet performance specifications. The Building Construction and Commercial/Industrial utilities let users select specific wood products and use conditions and see required retentions and sample end tags for the
common preservatives available today. A new Find by Exposure utility lets users select the use conditions and product application to find the required preservative retentions. Other sections provide information on preservatives available in the market today, tips for working with preserved wood, environmental comparisons to alternative materials and a Frequently Asked Questions section providing answers to common questions about treated wood products and their use. For those who want to see how wood is preserved, there’s a threeminute video that shows all the steps of the treating process. A new Treated Lumberyards Nearby utility allows users to find nearby treated wood suppliers who stock the products they need. Users can find nearby lumberyards by using a map or by selecting from 12 different treated wood product types, from decking to round posts and fire retardant lumber. Each listing includes the address, phone number, and website address for the lumberyard and the product types they sell. Users can quickly get driving directions from their current location to the lumberyard. The Treated Wood Guide is the only app available that delivers critical use information on all AWPAapproved preservatives and products available in the market today. Links to download the app can be found at www.wwpi.info/treatedapp.
SUPPLIER Briefs Gemini Forest Products, Los Alamitos, Ca., has added a San Francisco, Ca., sales office (Clint Krueger, regional sales mgr.). Action Wood Products , Turner, Or., has been acquired by Turner Lumber, Turner. Reclaimed Lumber Products , Nampa, Id., this winter is
adding a second production facility—a 7,500-sq. ft. wood processing plant in Emmett, Id. Another shop and warehouses may be added later.
Eco Chemical , Seattle, Wa., was honored as a Safer Chemistry Champion by the Washington Department of Ecology for its leadership in reducing the use of toxic chemicals and finding safer alternatives. 24
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Building-Products.com
ASSOCIATION Update West Coast Lumber & Building Material Association installed Sean Fogarty, Osborne Lumber, Newark, Ca., as president during its recent annual convention in Indian Wells, Ca., replacing Mark Ganahl, Ganahl Lumber, Anaheim, Ca. (see photos, pages 14-15). New 1st v.p. is Victor Fresca, ProBuild/Dixieline, San Diego, Ca.; 2nd v.p. Mark Boone, Champion Lumber, Riverside, Ca.; treasurer Bobby Senften, Friedman’s Home Improvement, Santa Rosa, Ca.; associate director Tom Von Moos, Western Woods, Chico, Ca.; and dealer director Barrett Burt, Ganahl Lumber, Anaheim. Continuing as directors are Rick Deen, Nichols Lumber & Hardware, Baldwin Park, Ca.; Tom Knippen, Diablo Timber Co., American Canyon, Ca.; Dale Verseput, Select Equipment Sales, Buena Park, Ca.; Chris Swanson, Swanson Group Sales, Glendale, Or.; and Augie Venezia, Fairfax Lumber & Hardware, Fairfax, Ca., as government affairs chair. Honored were Seamus O’Reilly, LP Building Products, Fairfield, Ca., as Associate of the Year; Matt Petersen, Mead Clark Lumber, Santa Rosa, Ca., President’s Award; and Peter Ganahl, Ganahl Lumber, Anaheim, Lifetime Achievement Award.
Pacific Building Center, Blaine, Wa., are now v.p.s.; David Stordahl, Triple S Building Center, Butte, Mt., is new to the executive committee; and Jason Crist, Spenard Builders Supply, Palmer, Ak., and Kelly Fox, Lumber Traders, Port Angeles, Wa., are new directors. Tom Sliter, Sliters Lumber & Building Supply, Somers, Mt., received the Distinguished Dealer
Award, and International Wood Products, Tumwater, Wa., won the Supplier of the Year Award. Los Angeles Hardwood Lumberman’s Club is getting ready for its annual holiday party Dec. 13 at the Five Crowns, Corona del Mar, Ca. Southern California Hoo-Hoo Club’s holiday meeting is Dec. 17 at San Dimas Golf Course, San Dimas, Ca.
Western Wood Preservers Institute elected a new 2015 slate of officers at last month’s annual meeting in Waikoloa, Hi. John Davis, McFarland Cascade, Chandler, Az., is now president, succeeding Dwayne Carter, Brooks Manufacturing, Bellingham, Wa. Pat Tymkiw, Bell Lumber & Pole, New Brighton, Mn., is now v.p.; Jerry Farley, J.H. Baxter, Eugene, Or., secretary; and Elaina Jackson, West Coast Wood Preserving, Bakersfield, Ca., treasurer. Dallin Brooks was confirmed as WWPI executive director. Western Building Material Association elected Steve Kerr, Kerr Ace Hardware, Brookings, Or., as president during its 112th annual convention and showcase Nov. 5-7 in Portland, Or. Charley Miller, Miller Lumber Co., Bend, Or., and Kimberly Akre, Building-Products.com
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MOVERS & Shakers Mark Ganahl has been promoted to president of Ganahl Lumber, Anaheim, Ca., succeeding his father, Peter Ganahl, who remains c.e.o. Brad Satterfield replaces Mark as general mgr. in Anaheim. Other newly named general mgrs.: Pete Ganahl, Buena Park, Ca.; Luis Rojas, Corona, Ca.; Mike Shumaker, Costa Mesa, Ca.; Alex Uniack, Laguna Beach, Ca.; Chad Kidder, Los Alamitos, Ca.; and Tom Barclay, Torrance, Ca. Scott Lewis is the new president of Claymark USA Inc., Boise, Id. Bryar McKlveen is now general mgr. Jack Alley, ex-OrePac, is a new trader at Patrick Lumber Co., Portland, Or., handling high-grade western red cedar. Steve Snyder, ex-Action Wood Products, is new to sales at Elk Creek Forest Products, McMinnville, Or. Bryan Beck was promoted to president of The Beck Group, Portland, Or., succededing his father, Tom Beck, who remains chairman. Roy Anderson is now senior consultant.
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Tom Corrick has been promoted to chief operating officer at Boise Cascade Co., Boise, Id. Dan Hutchinson succeeds him as executive v.p.-wood products. Wayne Rancourt is now executive v.p., chief financial officer, and treasurer. David Hannah, c.e.o., Reliance Steel & Aluminum Co., was elected to the Boise Cascade board of directors. Adrian Blocker was appointed senior v.p.-wood products for Weyerhaeuser Co., Federal Way, Wa., effective Jan. 1. Cathy Slater will become senior v.p.-cellulose fibers. Scott Lewis is the new president of Claymark USA Inc., Boise, Id. Bryar McKlveen is now general mgr. Samuel Jauchius, ex-Foxworth Galbraith Lumber, is new to pro sales at Lowe’s, Salem, Or. Steven Erickson is a new domestic hardwood lumber trader at Bridgewell Resources, Tigard, Or. Chuck Dotson is new to sales at Thompson River Lumber, Thompson Falls, Mt.
December 2014
Gene Secco has been promoted to mgr of Parr Lumber Co., Forest Grove, Or. John Bottini, ex-HPM Building Products, has joined International Wood Products’ Specialty Wood Products Division, Clackamas, Or., as territory mgr. David Ledward, ex-National Wood Products, has joined the sales team at Sunwood, Salt Lake City, Ut. Stacy Willard has been appointed chief operations officer at Smith & Fong Co., San Francisco, Ca. John Avila is now in commercial inside sales at American Building Supply, Rialto, Ca. Ron Pedzinski has joined MAX USA, Mineola, N.Y., as western regional sales mgr. Cathy Debes, ex-Atrium Windows & Doors, is a new Temecula, Ca.based strategic account mgr. for Cascade Windows, Spokane Valley, Wa. Tim Stottlemyre, ex-Pacific Coast Building Products, has joined ABC Supply, as district sales mgr. for Sacramento, Ca. Steve Locanto is now corporate controller for Ace Hardware Corp., Oak Brook, Il.
Building-Products.com
Randy Agno, ex-Firefree Coatings, is a new West Coast architechtural consultant for Weather Shield Windows & Doors, based in the San Francisco, Ca., area. Chris Matisse is new to sales at OMG Roofing Products, serving Northern California and northern Nevada. Jason Aufmuth is now covering Utah, Colorado and Wyoming. Sebastian Cremaschi has been named director of marketing for Arauco North America, Atlanta, Ga., after serving as marketing mgr. at corporate headquarters in Santiago, Chile.
Ross McCanless is returning to Lowe’s Cos., Mooresville, N.C., as general counsel, secretary and chief compliance officer. He will succeed Gaither Keener, who is retiring after 30 years with the chain. Leland Hein Jr. has been promoted to c.e.o. of Fastenal, Winona, Mn., succeeding Willard Oberton, who will continue as chairman. Dan Dutton, ex-Stimson Lumber, was inducted into the World Forestry Center’s Forestry Leadership Hall. Kevin Vilhauer, engineering mgr. of testing & certification, Milgard, Tacoma, Wa., was elected to the
GRAND SLAM: Los Angeles Hardwood Lumberman’s Club held its fall round robin tennis tournament Nov. 2 at Anaheim Tennis Center, Anaheim, Ca. Participants: (l-r) Paul Edwards, Bill Fitzgerald, Dan
Building-Products.com
National Fenestration Rating Council board of directors. Bruce Abel, owner, Don Abel Building Supply, Juneau, Ak., has been appointed to the board of the Alaska Aerospace Corp. by Gov. Sean Parnell. Eric Ziedrich, owner, Healdsburg Lumber Co., Healdsburg, Ca., has been re-elected to the local city council, after a four-year hiatus. Millie N. Bux has accepted a generous severance package to gracefully exit Mungus-Fungus Forest Products, Climax, Nv., report owners Hugh Mungus and Freddy Fungus.
Bohannon, Kit Rohm, Randy Porter, David Church, Molly Ondich, Dan Ezra, Katie Church, Leon Richman, Ellie Mendiaz, Stephen Ondich.
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FAMILY Business By Wayne Rivers
What leadership style works worst for family businesses?
L
EADERSHIP — THAT commonly used but nebulous term—is present to one degree or another in all family businesses. New research in the Journal of Family Business Strategy sheds light on which leadership variations are the most desirable in facilitating family business succession – as well as which is the worst. First, a bit about leadership in general. The term itself is very difficult to define although there is no shortage of people trying to do so. Between the years 1986 and 1996, there were 17,800 articles published on leadership, and that number has surely increased in the time since. A quick
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search on Amazon reveals that there are 18,855 leadership books available. And every author has his unique take on what it is, what it does, what makes for the best leader, etc. For our purposes, let’s use John Maxwell’s simple definition and say that “leadership = influence.” The scholarly article at hand identifies three types of leadership, all of which are paternalistic. The author states that paternalism is a defining characteristic of the family ownership model because “…paternalism is like the relationship between a father and daughter or father and son,” so the family leadership model is translated into the family
Building-Products.com
business. Paternalistic leadership is present in founder-led family businesses or in ones where a Generation Two (G2) sibling has assumed a role similar to the one established by her father. As family firms succeed into G3, G4, and beyond, there is less and less likelihood that one would find the same paternalistic leadership styles. Perhaps in the future as more family firms have female executives, academics may comment on maternalistic leadership styles! What are the three leadership styles? Authoritarian: The authoritarian paternalist asserts control and expects unquestioned obedience from subordinates. Benevolent: The benevolent paternalist respects subordinates, cares for them, satisfies their individual feelings and needs, and provides them with support. Moral: The moral paternalist leads with superior personal virtues and by example. Two of the leadership styles are associated with successful intergenerational transition, and one is associated with detrimental succession outcomes. Can you guess which one that might be? You got it! Family business leaders who think they know best, make all decisions unilaterally, and think that the decisions they make on behalf of others are always best contribute to feelings of dissatisfaction and inertia among their successors. They can be characterized as “judge and jury on everything” and tend to meddle in the affairs of even annointed successors. Authoritarian leadership may be acceptable or even desirable at some stage of a family company’s evolution, but when it comes to succession, authoritarians present many difficulties and make the job of continuing the family business and the founder’s legacy much more difficult. What alternatives are available for family firms who are simultaneously interested in successful intergenerational transition and have an authoritarian leader who may harm—consciously or subconsciously—the succession process?
1. Utilize a family business advisory board.
Boards which are comprised of one or more, in Leon Danco's words, “risk-taking peers” are able to look authoritarians in the eye with nothing to lose and give them blunt counsel. It's a very different dynamic when an authoritarian’s peer tells him to go jump in the lake rather than his daughter. A risk-taking peer, ideally from a business larger, more complex, and more successful than the authoritarian’s, is a wonderful balance point between the generations who, while interested in the same long term goal, may propose dramatically different paths for getting there.
2. Hire nonfamily, professional management.
A professional business manager can serve as the bridge between senior and junior generations. Bridge managers should be somewhat younger than the senior generation but a bit older than the successors. In addition to being a management bridge, this executive can be a demographic bridge as well.
3. “Man up” (and this applies to women, as well!).
Grow some courage and stand up to authoritarian behavior. One of the reasons authoritarians utilize this leadership style is that they may sense weakness among the next generation. Standing up to an authoritarian, although (Please turn to page 44) Building-Products.com
WHAT YOU WANT. WHEN YOU NEED IT. Dimension Lumber Treated Products Domestic
Timbers Green & K.D. Export
Manke Lumber Company is familyowned and has been serving the needs of the lumber industry since 1953. We take pride in milling and stocking quality lumber in a full range of commodity sizes and larger dimension timbers. We also answer your market needs for a wide variety of treated lumber products. Our forest products are milled from carefully harvested Northwest trees ready for distribution to you—on time and at the right price. Located in the Port of Tacoma, we have ready access to deep water shipping, rail heads or trucking terminals for longer haul loads. Manke operates its own fleet of trucks and is at your service for straight or mixed loads by truck, rail or sea. We manufacture primarily Douglas fir and western hemlock, including • 2x4 thru 2x12, Lengths 8-20’ • 3x4 thru 3x12, Lengths 8-26’ • 4x4 and wider, Lengths 8-26’ • 6x6 and wider, Lengths 8-26’ • 8x8 and wider, Lengths 8-26’ • Timber sizes up to 12x12
Manke Lumber Company Call 1-800-426-8488
1717 Marine View Dr., Tacoma, WA 98422
Phone 253- 572-6252
Fax 253-383-2489
www.mankelumber.com December 2014
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LOS ANGELES Hardwood Lumberman’s Club enjoyed a dinner meeting Nov. 13 at the Rib Trader in Orange, Ca. [1] Dan Bohannon, Bill Fitzgerald, Stephen Ondich, Dale Bohannon.
[2] Alan Arbiso, Steve Arnold, John Banks, Randy Porter. [3] John Mortati, Carl Henoch, Jim Gaither, Marty Fox. [4] Charlie James, Walter Ralston, Matt Barrass, Nathan Osborne.
APA Revamps Websites
APA–The Engineered Wood Association has reshaped and relaunched several websites, offering simplified navigation and improved search functionality of its EWP resources. Along with sister sites apacad.org, engineeredwood.org, performancepanels.com, and wooduniversity.org, apawood.org has been extensively upgraded for faster, easier access to hundreds of engineered wood resources, including more than 500 publications, 200 CAD details, videos, images, events and more. A new Technical Research section highlights APA’s work in wood product and systems testing. “With our redeveloped site, we’ve made a number of improvements that will make it easier for visitors to navigate the web pages and find information on engineered wood products, design recommendations, and training tools,” said Marilyn Thompson, market communications director for APA.
C&E LUMBER COMPANY 1 1/2” to 12” Diameter in Stock.
SPECIAL QUOTES
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BIS Photos by The Merchant
Alaska Manager Accused of Theft
A longtime employee has been charged with stealing over $25,000 in cash from Sitka True Value Hardware, Sitka, Ak. Former freight manager James Land, 56, was accused of taking the cash some time between 2012 and this summer, according to authorities.
BUILDING INDUSTRY SHOW of Southern California held its 25th conference in Riverside, Ca. [1] Bill Andersen, Ken Goodnough. [2] Ian Murphy, Jeff Sturdivan. [3] Keith Hitchcock, Eddie Meek, Joe Morin. [4] Bob Taylor, Denise Bough, Mike Bland. [5] Gary Crowel, Dave Bufe, Randy & Kim Richards. [6] Landon Boucher, Al Potter.
Respecting the forest, honoring the past, building the future. A nation’s pride you can build on.
Manufacturers of 6 million bd. ft. monthly of • 5/4 & 6/4 Ponderosa Pine Shop • 4/4 Premium Pine Board Programs State-of-the-Art Hewmill & Headrig Mill
From everyone at Fontana Wholesale Lumber Inc.
Contact Sheldon Howell
(509) 874-1163
Yakama Forest Products
3191 Wesley Rd., White Swan, WA 98952 Fax 509-874-1162
www.yakama-forest.com
Building-Products.com
P.O. BOX 1070 – 15500 VALENCIA AVE., FONTANA, CA 92335 PHONE 909-350-1214 – FAX 909-350-9623 WWW.FONTANAWHOLESALELUMBER.COM FWL-FWP@PACBELL.NET
December 2014
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NEW Products
Durable Vinyl Railing
Durables, a USA Vinyl brand, has introduced The Kirklees vinyl railing model, featuring round aluminum spindles, with both the top and bottom rails reinforced with aluminum inserts for added strength and durability. The Bradford model features square spindles. With advanced vinyl technology, Durables railings are strong and durable, weathering the years beautifully, to look like new even after years of use. IRC/IBC code compliant, they are easy to install and maintain.
DURABLES.COM (888) 743-3673
Aluminum Railing Kits
Feeney's new DesignRail Aluminum Rail Kits are made for easy installation of railings with CableRail stainless steel infill between wood posts. Available in two types: kits for level railing and kits for stair railings, the customized, componentbased aluminum railing system is ideal for deck railings, fences, privacy panels, and barriers.
FEENEYINC.COM (800) 888-2481
Multi-Directional Laser
With the ability to quickly and accurately measure nearly any construction site, ELaser by ETemplate Systems measures in full 3D and up to a 160-ft. radius, recording as-built measurements in minutes. The system contains a fully rotational laser head and measures various conditions, including how level the floor and ceiling are, and how plumb the walls are. This results in fewer errors during installation.
ETEMPLATESYSTEMS.COM (866) 877-6933
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Building-Products.com
Sustainable Openings
Sustainability takes the forefront with Masonite’s Safe ‘N Sound collection, which now meets green certifications such as LEED and the NAHB National Green Building Program. The doors are manufactured with DorCor, a low-density fiberboard made from renewable wheat straw that offers reduced sound transmission while retaining the heft and feel of solid wood.
Efficient Nailers
The world’s first gas-free, dual-speed, cordless framing nailer by Dewalt offers a unique option for users, eliminating the need for costly gas canisters. With extreme runtime, the tool drives up to 700 nails per charge and works in cold weather where gas cartridges fail.
MASONITE.COM
DEWALT.COM
(770) 518-1000
D-I-Y Storm Window
Red Devil’s new Snap-N-Seal interior window insulator system allows homeowners to easily create an energy-saving, low-maintenance interior storm window. It is virtually invisible, so it maintains the beauty of the existing window, while keeping out insects, pollen, mold, humidity and UV rays, and reducing exterior noise. When not needed, the storm window is easily removed and reused. Frame kits come in four sizes, and can be cut or combined to accommodate any size window.
REDDEVIL.COM (800) 423-3845
(410) 716-7544
Happy Holidays and Thank You.
With All Our Best Wishes for 2015. building ROCKLIN DISTRIBUTION CENTER
Tel. (800) 348-1400 • (916) 624-9293
products SANGER DISTRIBUTION CENTER Tel. (855) 348-1500
www.taigabuilding.com
Cal Coast Wholesale Lumber, Inc. Pressure Treated Forest Products Alkaline Copper Quat (ACQ) Custom Treating Selected Inventory Available
P.O. Box 673 • 3150 Taylor Drive • Ukiah, Ca. 95482 Phone 707-468-0141 • Fax 707-468-0660 info@wetreatwood.com
Sales for Coast Wood Preserving Building-Products.com
December 2014
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Co-Extruded Railing
Seals the Openings
TimberStack siding from Champion Home Exteriors is reportedly lighter, stronger, more resistant to impact, and easier to clean than fiber-cement products, as well as more resistant to rot and decay than wood. Custom-manufactured for a virtually seamless appearance, it features an advanced color-application process that prevents fading, blistering, peeling and flaking. Offered in 29 colors, it is backed by a 30-year, no-fade warranty for its finish and a 50year warranty on materials.
Deckorators’ ALX Classic aluminum railing features smaller profile rails, maximizing the view from a deck or porch. The product is available in satin black, matte black, and textured white, with a durable, powder-coated finish. The railing is predrilled for easy installation.
DECKORATORS.COM (800) 332-5724
Improved Insulation
Increasing building longevity can be easier with The BlueskinVP100 air barrier membrane by Henry. The product produces an airtight, watertight and weathertight membrane that will eliminate air leakage, while functioning as a water-resistant barrier and rain barrier. The product improves building thermal performance for reduced energy costs, while enhancing occupant comfort by eliminating drafts.
US.HENRY.COM (215) 440-9800
GETCHAMPION.COM (888) 296-7788
Siding with Stability
Irwin Tools has expanded its line of Vise-Grip cutting pliers. New models include Max Leverage diagonal-cutting and end-cutting pliers with PowerSlot technology for twice the cutting power and half the effort, lineman’s pliers, bent-nose pliers, and ErgoMulti long-nose pliers, featuring an angled head for reduced wrist strain.
Boral is expanding on its range of poly-ash products by introducing its new Boral TruExterior Trim Skirt Board. Designed to complement a variety of siding products including pine, cedar and fiber cement, the product creates the required clearance between siding and grade. The product is suitable for ground contact; won’t rot, crack or split with moisture; and maintains the utmost level of dimensional stability. Available in two thicknesses 6” and 8” wide, the skirt board comes with either a smooth or wood grain-textured face.
IRWIN.COM
BORALAMERICA.COM
Cutting Pliers
(800) 464-7946
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(404) 524-3075
December 2014
Brazilian-Look Deck
Sophistication meets durability with MoistureShield’s newest composite decking color, Brazilian Chestnut. The new hue features a vast range of rich color variations, from a light understated brown to sultry deep brown. MOISTURESHIELD.COM (253) 661-7333 Building-Products.com
Dependable Floor Underlayment
Sturdy floor underlayment from Dependable, LLC will ensure sound deadening results and crack isolation, as well as floor reinforcement. KeedeRoll 100 and 300 uncoupling mats provide both waterproofing and non-waterproofing options. A self-furred fiberglass lath used as reinforcement for self-leveling products or thin-set mortar over plywood.
PVC Bonding Adhesive
New HydroBond water-based PVC bonding adhesive from Mule-Hide Products delivers a highstrength, long-lasting bond, while giving contractors the convenience and time savings of a one-sided, wet lay-in application. Formulated to bond PVC membranes to a variety of porous and non-porous substrates, it can be used on clean, dry horizontal surfaces with slopes of up to 2:12, and as a contact adhesive in applications with steeper slopes or in vertical applications. The adhesive can be applied to the substrate quickly and easily using a medium-nap roller or a 3000-psi sprayer. The membrane is then immediately rolled into place and smoothed out, with no flash-off time.
FLOORPREP.COM (800) 227-3434
MULEHIDE.COM (800) 786-1492
Happy Holidays from all of us at
Comfortable Detail Sanders
The compact Mouse sander by Black + Decker is ideal for all types of sanding projects and can be gripped in three ways, providing maximum versatility. Its palm grip is ideal for sanding surfaces, a precision grip provides extreme maneuverability, and a handle grip adds accessibility into ultra-tight spaces. BLACKANDDECKER.COM (410) 716-3699 Building-Products.com
Distributor of Medford, OR. • (541) 535-3465 • FAX 541-535-3288
(800) 365-4627 www.normandist.com
December 2014
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L.A. HARDWOOD GOLF Photos by Cliff Robbins
LOS ANGELES Hardwood Lumberman’s Club recently held its Alan Bohnhoff Memorial golf tournament. [1] Scott Legros, Matt Barrass, Russell Hullinger, David Tritz. [2] Jim Burns, John Gregory, Ian Suiza, John Wiesen. [3] Stephen McEwen, Al Reed, Dan May, David Frick. [4] Boyd Becker, Bruce Hutchinson, Andrew Nuffer. [5] Chris Skibba, Joe Canale, Mike Hammer, Greg Hexberg. [6] Jeff Elliott, Aaron Paris, J.J. Jebejian, Corey Dickey. [7] Darrel Covey, Dave Holder. [8] Nathan Covery, Todd Gleason. [9] Sean Shedlar, Scott Jones. [10] Tom Urquizo, Dan Jones. [11] David Hall, Bob Payne, Jim Favreaux, Nathan Simon. [12] Marty Fox, Jason Brettingen, Roger Reyes, Craig Jordan. [13] Steve Arnold, Mark Brothers, Jake Brosterhous. [14] Jim Gaither, Kevin Trussell. [15] Mark Huff, Dan Bohannon, Mike Walters. [16] Kip McCleary, Deonn Deford. [17] Joe Morin, Keith Hitchcock. (More photos on next page)
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L.A. HARDWOOD GOLF Photos by Cliff Robbins
BLACK GOLD Golf Course in Yorba Linda, Ca., was the site of the Oct. 2 L.A. Hardwood Club tourney (continued from previous page). [1] Alan Arbiso, Tim Barnes. [2] Byron Grabinger, Chris Manning. [3] Kim Cruz, Graham Metzinger, R.J. Boyd, Johnny Utah. [4] Sam Stenerson, Keith
Smith. [5] Pete Lang, Randy Smith. [6] Ryan Standberg, Joel Hutak. [7] Robert Ellis, Mike Finan. [8] Stephen Ondich, Mark Michie, Carl Henoch. [9] Dan Levin, Mark Gray, Ken Wilcox. [10] Craig Devereaux, Randy Porter.
Holiday Greetings from Parr on our 39th Christmas Raul Aldrete Lucero Aviles Antonio Avina Paul Blevins Norm Boucher Edward Butz Jose Chicas Rosario Chicas Karen Currie Nick Ferguson
Vince Galloway Ricardo Garcia Fidenceo Gomez Larry Greene Chris Hexberg Joe McCarron Bert McKee Reynaldo Merlan Luis Moreno Brad Mortensen
Rafael Pantoja George Parden Timoteo Paredes Michael Parrella Peter Parrella Kurt Peterson Eduardo Pierre Janet Pimentel Nestor Pimentel Yolanda Rodriguez
Leticia Roman Alex Romero Bill Sharp Lois Tavenner Melinda Taylor Peter Ulloa Enrique Vargas Oscar Villegas Robert Williams Pamela Winters
Thank you to our Customers and Suppliers Building-Products.com
December 2014
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NAWLA TRADERS MARKET Photos by The Merchant
EXCITEMENT WAS BUILDING at the North American Wholesale Lumber Association’s annual Traders Market in Chicago. [1] Chris Burr, Ann Evans. [2] Ken Trainor, Konrad Tittler. [3] Patrick O’Donnell, Michael Pompeo. [4] Hunter McShan, Dina Fuller. [5] Jeff Wolgemuth, Lori Dewitt. [6] Lillian & Rick Ekstein. [7] Mike Lerner, Bill Griffith. [8] Garth Williams, Mason Anderson. [9] Brad Futton, Ben Meachen, Guy Burrell. [10] Shelley Spencer, Marc Pratt. [11] Clint Darnell, Chuck
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Casey. [12] Larry Schmedding. [13] Robin Gardner, Alan Oakes, Emily James. [14] Dale Burns, Jim Moses, Josiah Wilfong. [15] Gerry Gluscic, Carl Lamb. [16] Darren Richardson, James Gibson, Drew Homan. [17] John Smart, Jack Wickham Jim Tittle. [18] Danny Osborne, Dianne & Tom Franklin. [19] Jay Bishop, Doug Willis. [20] Ed Langley, Jack Chase, Jim St. John. (More Traders Market photos on next five pages) Building-Products.com
NAWLA TRADERS MARKET Photos by The Merchant
MORE NAWLA (continued from previous page): [21] Dan Paige, Patrick Adams. [22] Michelle Burbank, Tom Rogers. [23] Mark Grube, Kaycee Hallstrom, Al Gedroez, Joe Honochick. [24] Jennifer Raworth, Carol Green, Barry Bauman, Dave Jara, Doug Clitheroe. [25] Rick Benton, Lou Kurcsics. [26] Steve Clitheroe. [27] Chuck Gaede, Brent Wooster. [28] Wes Bush, Wayne Jordan. [29] Ryan Schaefer, Mike Moran. [30] Vince Jordan, Robert Harris. [31] Chris Building-Products.com
Bergin, Laila Bradwell, Wayne Knutson. [32] Lee Jimerson, Frank Stewart. [33] Andrew Goodman, Sarah Madonia, Bryan White. [34] Philip Flemming, Michael Nielly. [35] Troy Lundquist, David Hanson. [36] Al Fortune, Michael Mitten, Bryan Lundstrom. [37] Chris Boyd, Peter Stroble, Joe Penrod, Norm Toews, Mike Pedersen, Jeff Cook. [38] Holly Elliott. [39] Win Smith. (More Traders Market photos on next four pages) December 2014
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NAWLA TRADERS MARKET Photos by The Merchant
TRADERS MARKET (continued from previous two pages): [40] Kim Glaeser, Shana Gonda, Alan Oakes, Nikki Robbins. [41] Dave Wildeman, Kristie McCurdy, John Lentz, Richard Mills. [42] Tim Elbers. [43] Lucas Howard, Kayla Wicks, Scott Purdue, Devin Stuart, Jared White, Joey Inskeep. [44] Mike Limas. [45] Thomas Plasschaert, Bryan Kirit. [46] Larry Petree, Raymond Luther, Joe Petree. [47] Reed Rediger. [48] Blake Keitzman, Marty Thomson, Todd Davis. [49] Janne & Max
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Jones. [50] Jim Brady, Mike Boone. [51] Cat Duemler, Devon Lindquist. [52] Dillon Forbes, Jim Olsen. [53] Jeff Haley, Alex Darrah, Rose Ann Loranger, B. Manning, Megan Burch. [54] Lowell Crossley, Bill Anderson, Eric Anderson. [55] Steve Killgore, Pat Lynch, Tom Gennarelli, Gary Pittman, Gary Hayes. [56] Steve Firko, Robin Little. (More Traders Market photos on next three pages) Building-Products.com
NAWLA TRADERS MARKET Photos by The Merchant
ATTENDING the NAWLA Traders Market (continued from previous three pages): [57] James Robbins, Phillip Humphrey, Curt McLeod, Tonia Tibbetts, Alden Robbins, Aron Kurlander, Roger Champagne. [58] Mark Westlake, John Morrison, Chase Morrison. [59] Ted Dergousoff, Deepak Rai, Darcy Jahal, Richard Paci, Joshua Kaye. [60] Scott Jarrett, Larry Boyts. [61] Jim Walsh, Sue Snuggs, David Smith, Michael Kirkelie. [62] Randi Walker, Michael Mclnnes. [63] Greg Haupt, Matt Weaber. [64] Building-Products.com
Rick Rakoczy, Bryan Schuyler. [65] Mike Gerstenberger, Robert Hafner. [66] Eric Swanson, Dennis Ebel, Jim Edinger. [67] Patrick Hanulak, David Jeffers, Dave Siteman, Robert White, Fabio Amendola. [68] Terri Collins, Jimmy Swanson. [69] Brad Morrow, John Pace, Chris Hedlund, Mike Kelly, Rick Kapres. [70] Mike Pidlisecky, Tim Folster. [71] Natalie Macias. (More Traders Market photos on next two pages) December 2014
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NAWLA TRADERS MARKET Photos by The Merchant
After
BIG TURNOUT for Traders Market (continued from previous four pages): [72] Eddie Pratt, Tim Svarczkopf. [73] Tim Gabriel, Bob Loew. [74] Marshall Lauch, Tim Atkinson, Pete Henningfeld. [75] Trevor Ewert, Sean Nason, Steve Barth. [76] Kim Pohl, Lisa Martin. [77] Jim Vandegrift. [78] Mark Tucker, Edward List. [79] John Branstetter, John Walcott, Ron Gorman. [80] Scott Elston, Kathi Orlowski, Mark Erickson. [81] Brenden Heyberg, Tim Hummel. [82] Jeff Herscovitz, Chris Leslie,
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Yvonne Jacobs, Ryan Wolters. [83] Joe Farr, Christopher Webb, Donna Allen, Rob Latham. [84] Ryan Chitwood, Robert Hoffman, Anthony Panzarella, Tom Merkert. [85] Leslie Southwick, Carter Stinton, Brad Hatley. [86] Gary Snider, Tom Baldauff, Casey Epperson, Kris Owen, J.R. Yirnich, Jeff WIlson. [87] Mike Goodman, Josh Goodman. (More Traders Market photos on next page) Building-Products.com
NAWLA TRADERS MARKET Photos by The Merchant
NAWLA Traders Market (continued from previous five pages): [88] Leo Colantuono, Todd Askew, Mark Heyboer, Doug O’Rourke. [89] Vincent Micale. [90] Helena Jehnichen, Darrell Hungerford. [91] Kevin Grindy, Stuart Ralston, Steve Anderson. [92] Bobby Byrd, Joe Mackay. [93] Wendy Gay, Chuck Smith. [94] Todd Nodine, Mark Richardson, Greg Fitz. [95] Gary Arthur, Rob Tam. [96] Andrea Kennedy, Griffin Augustin. Building-Products.com
[97] Carlos Furtado, Robert Jones, K.K. Sangara. [98] Jerry Huber, Steve Getsiv. [99] Rick Palmiter, Jack Draper. [100] Matthew Duprey. [101] Matt Caissie, Bruno Lebel, Joe Hanas, Brett Shuler. [102] Tracy Trogden, Richelle Gall. [103] Rob Mitchell. [104] Kalvin Eden. [105] Brian Johnson. [106] Glen Frazeur, Tom Taylor, Tom Amderson, Bert Hewitt. [107] Aly Kingsley, Eric Schooler, Cameron Waner. December 2014
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IN Memoriam Barclay Simpson, 93, founder of Simpson Strong-Tie parent Simpson Manufacturing, Pleasanton, Ca., died Nov. 9. After serving as a fighter bomber in the South Pacific during World War II, he returned to U.C.-Berkeley, but in 1946, three credits shy of graduating, he took over his ailing father’s business, Simpson Screen Co. He grew and transformed the company into a structural connector giant, with offices and factories across North America, Australia, Europe and Asia. He continued to serve on the board and as head of investor relations until 2012, and retired last year. Christopher Ernesto “Chris” Re, 58, trader at Patrick Lumber Co., Portland, Or., died Oct. 28. During his 40-year career, he worked for a number of wholesale firms, including Timber Products, Seneca Wholesale, and MaywoodAnderson Forest Products, before joining Patrick. John William Bacon Sr., 84, prolific Bay Area lumberyard owner, died of cardiac arrest Nov. 13. He started his lumber career in the early 1950s at San Bruno Lumber Co., San Bruno, Ca. In 1964, he purchased San Mateo Lumber, San Mateo, Ca., with his father-in-law,
William W. Jackson. In 1971, he left San Bruno Lumber and acquired South City Lumber & Supply, South San Francisco, Ca. In 1975, he bought Economy Lumber Co., Oakland, Ca., and in 2010 added Piedmont Lumber, Oakland—now Economy Lumber Piedmont. Donald L. “Don” Murphy, 84, former president and co-owner of the old Plains Building Supply, Torrington, Wy., died Nov. 17. After serving in the U.S. Army in Japan during the Korean War, he joined his brother, Lowell, working for McCreery Lumber Yard, Torrington. He and his brother struck out on their own and opened Plains in 1962, operating the business for several decades. Doug Cashin, 69, salesman for Tyee Timber, Coquitlam, B.C., died Oct. 23. After receiving a degree in forestry from the University of British Columbia in 1969, he began his 40plus year industry career, spending the bulk of it with Cattermole Timber, Vancouver, B.C. James E. Johnson, 69, former maintenance supervisor at Champion International, Bonner, Mt., died of cancer Nov. 1 in Polson, Mt.
CLASSIFIED Marketplace Rates: $1.20 per word (25 word min.). Phone number counts as 1 word, address as 6. Centered copy/headline, $9 per line. Border, $9. Private box, $15. Column inch rate: $55 if art furnished “camera-ready” (advertiser sets type), $65 if we set type. Questions? Call (949) 852-1990. Deadline: 18th of previous month. Send ad to Fax 949-852-0231 or david@building-products.com. Checks payable to Cutler Publishing.
FOR SALE
FOR SALE
LUMBER CARRIERS from Berkot
• Several models available • Balanced for ease of handling • May be modified to your specifications See our full product line at www.BerkoftMfg.com
BERKOT MFG. CO., INC.
11285 Goss St., Sun Valley, CA 91352 • Phone (818)767-5555 Manufactured in the U.S. since 1954
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A U.S. Army veteran, he joined the Bonner mill—then Anaconda Forest Products—in 1963, first as a millwright and then a machinist. He stayed on when the mill was acquired by Champion in 1993, but let go when it was purchased by Stimson Lumber in 1993.
Family Business (Continued from page 29)
he may not appreciate at the time, is about the only way to demonstrate that the next generation has the backbone and moxie that it takes to continue the senior generation leader’s success. Strong leaders appreciate and expect strength in their successors.
4. Walk away.
There are times when that most wonderful, essential quality for family business succession is missing, and if that’s the case, NextGen family members should have the courage to recognize the situation for what it is, put aside foolish hopes that “Mom and Dad will see the light if we just take them to one more seminar,” and find employment in a place where they can get their economic needs met without all the weeping and gnashing of teeth present in the family company. Oh, by the way, that wonderful, essential, often missing quality is reasonableness. It’s awfully hard to reason with people who insist on behaving unreasonably! In most contexts, the term paternalistic leadership tends to be used in a derogatory way. However, paternalistic leadership doesn't have to be a negative and may be a great blessing if the senior generations’ hearts are in the right places. Irrespective of the leadership dynamics of the senior generation, it’s incumbent on all stakeholders from all generations to come together and do the hard, sometimes dirty work necessary to assure succession planning bears fruit in the family business. – Wayne Rivers is the co-founder and president of the Family Business Institute, Raleigh, N.C., and author of such books as The Top Nine Reasons Family Businesses Fail. Reach him at wayne.rivers@familybusinessinstitute.com or (877) 326-2493.
Reprinted with permission of the Family Business Institute. No portion of this article may be reproduced without its permission.
Building-Products.com
DATE Book Listings are often submitted months in advance. Always verify dates and locations with sponsor before making plans to attend. Oregon Wood Innovation Center – Dec. 8-10, how to dry lumber for quality & profit workshop, Oregon State University, Corvallis, Or.; oregonstate.edu/conferences. Los Angeles Hardwood Lumberman’s Club – Dec. 13, holiday party, Five Crowns, Corona del Mar, Ca.; (626) 445-8556; lahlc.net. Oregon Wood Innovation Center – Dec. 16-18, quality control in wood products manufacturing workshop, Oregon State University, Corvallis, Or.; oregonstate.edu/conferences. Southern California Hoo-Hoo Club – Dec. 17, meeting, San Dimas Golf Course, San Dimas, Ca.; (323) 559-1958; hoohoo117.org. Seattle Remodeling Show – Jan. 2-4, Washington State Convention Center, Seattle, Wa.; www.homecentershow.com.
REEL
1321 N. Kraemer Blvd. (Box 879), Anaheim, Ca. 92806
Fax 714-630-3190
(714) 632-1988 • (800) 675-REEL 3518 Chicago Ave., Riverside, Ca. 92507
(909) 781-0564
Wholesale Industrial Lumber • Pine
Los Angeles Hardwood Lumberman’s Club – Jan. 8, meeting, Heroes, Fullerton, Ca.; (626) 445-8556; lahlc.net. Colorado Springs Home Building & Remodeling Show – Jan. 911, Norris-Penrose Event Center, Colorado Springs, Co.; (800) 374-6463; www.homecentershow.com. Portland Build, Remodel & Landscape Show – Jan. 9-11, Oregon Convention Center, Portland, Or.; (800) 374-6463; www.homecentershow.com. San Diego Home Show – Jan. 9-11, San Diego Convention Center, San Diego, Ca.; www.homeshowsandiego.com. Black Bart Hoo-Hoo Club – Jan. 14, industry night, Broiler Steakhouse, Ukiah, Ca.; (707) 621-0485; blackbarthoohoo181.org. Humboldt Hoo-Hoo Club – Jan. 15, annual crab feed, Elks Lodge, Eureka, Ca.; (707) 621-9128. Guardian Building Products Dealers Show – Jan. 16-19, Indiana Convention Center, Indianapolis, In.; (800) 569-4262; www.guardianbp.com.
LUMBER SERVICE
• Plywood • Mouldings • Hardwood Lumber
y p p a H ! s y a Holid
Western Pallet Association – Jan. 16-20, annual meeting, Rancho Las Palmas Resort, Rancho Mirage, Ca.; (360) 335-0208; www.westernpallet.org. Western Building Material Association – Jan. 20, introduction to building materials sales; Jan. 21-22, estimating workshop, DoubleTree, Salem, Or.; (360) 943- 3054; www.wbma.org International Builders Show – Jan. 20-22, sponsored by National Assn. of Home Builders, Las Vegas Convention Center, Las Vegas, Nv.; (202) 266-8610; www.buildersshow.com. National Kitchen & Bath Association – Jan. 20-22, annual show, Las Vegas Convention Center, Las Vegas, Nv.; (800) 843-6522; www.nkba.org. Surfaces – Jan. 20-23, Mandalay Bay Convention Center, Las Vegas, Nv.; (972) 536-6358; www.surfaces.com. Tacoma-Olympia Hoo-Hoo Club– Jan. 21, board meeting, Tacoma, Wa.; (253) 531-1834; tbilski614@aol.com. Truck Loggers Association – Jan. 21-23, convention & trade show, Victoria Conference Center & Fairmont Empress Hotel, Victoria, B.C.; (604) 684-4291; www.tla.ca. Do It Best Corp. – Jan. 22-24, winter conference, Walt Disney World Swan Resort, Orlando, Fl.; (260) 748-5300; doitbestcorp. Wood Solutions Fair – Jan. 27, Oakland Marriott City Center, Oakland, Ca.; (253) 565-6600; www.woodworks.org. National Association of Wholesaler-Distributors – Jan. 27-29, executive summit, Fairmont, Washington, D.C.; (202) 872-0885; www.naw.org. Western Forestry & Conservation Association – Jan. 27-29, Western Forest Industry Conference, Heathman Lodge, Vancouver, Wa.; (202) 872-0885; www.westernforestry.org.
Building-Products.com
Specialists in Hardwood Milling • Oliver Straitoplaner • Straight Line & Multiple Rips • Stickers • Newman Straight Knife Planer
REGAL CUSTOM MILLWORK
301 E. Santa Ana St., Anaheim, Ca. 92805
(714) 632-2488 • Fax 714-776-1673
www.reellumber.com Reel Lumber Service and Regal Custom Millwork are affiliated companies
December 2014
The Merchant Magazine
45
IDEA File Riding through the Holidays A holiday tradition that involves a massive model train display can increase foot traffic and attract new customers both near and far, Bevell’s Hardware in Blackstone, Va, has learned. Up and running until the second week of each January, Bevell’s annual Hardware Christmas Holiday Train Display has been known to provide a special holiday experience for the city of Blackstone as well as it’s neighboring cities, counties and states. Thousands of locals and visitors make it a point to see the display every holiday season. “What started out as a small idea has brought so much to the community,” said owner Bobby Daniels. He went on to explain how the idea was inspired by his own unique hobby over 30 years ago as a small train display on a 4’x8’ sheet of plywood with two trains and very little scenery. “Because it’s gotten so popular over the years, we’ve grown. It has now grown into a 18’x56’ train display, featuring more than 10 trains, with realistic town-like features,” Daniels said. The unique display has not only made Bevell’s a well-known hardware store, it’s also increased foot traffic and has brought in new customers that the store wouldn’t normally reach. “Model railroading is an interesting hobby for all ages. The kids love it and they come with their parents who not only enjoy the display, they are also fond of our store, which is great for business,” Daniels explained. Bobby and his team have also managed to attract local and surrounding area schools. Teachers request to bring their classes to the hardware store as one of their field trips each year. Along with seeing this display, the students can visit with Santa and take a ride on a train, which includes an engine, flat bed car and caboose. “It’s brought a sort of uniqueness to our store, and it makes us stand out,” said Daniels. Since opening 30 years ago, the display has attracted over 30,000 visitors to the city. “Model railroading is my hobby and our hardware store has only benefitted from the display by attracting new customers from all walks of life,” Daniels added. “It’s also a holiday treat for our local everyday customers and they love it. I would not be able to do this working anywhere else.” 46
The Merchant Magazine
December 2014
ALL ABOARD: The annual train display helps Bevell’s Hardware stand out and attract new customers every year. (Photo courtesy of Bevell’s)
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December 2014