etitive ligence Mentored by one in amillion

By Carla Waldemar

LUMBER& IIARDWARE

p ACK in high school, Shawn Roehr drew up a proposal l)for a dreamed-up lumberyard-he called it Arrow-as a project for his business class. Today, he's working there.

That hypothetical classroom exercise was solid enough to carry his entry from small-town Buckley, Wa., to the state competition and then on to the nationals, passing the strict judgment of real-life business people, who vetted each entry to assure the hypothetical "new business" stood solid enough to secure a bank loan.

"I knew since high school that I wanted to work in a lumberyard"-how crazy is that?-"because that's all I'd done," Shawn recounts a decade later. "I worked under Barney Wagner, who was also a friend and neighbor, at Lumbermen's. He helped me prepare the proposal because, while I knew the yard part, I had no idea about the financials."

So when Wagner left Lumbermen's in 1997 to pursue his own dream of launching a mini-empire of independent lumberyards on his own (see "Competitive Intelligence," Sept.2007), he nudged young (very young) Shawn (he's 32 at the moment) to come along: "Let's start something new."

Voila, as they say in cities a whole lot bigger than Buckley: Arrow Lumber (nice name!) was born, "using a lot of the same principles as we use today," says Shawn, now v.p. "I wanted to get in on the new venture, help it grow, give it our best. And work with Barney," he adds, an important factor-a mentor in a million.

Not only their best, they gave it their all. Coming from a behemoth corporation with what Shawn calls a "huge" staff, Arrow's fledgling crew of six (including Shawn and Barney) "had to do everything that had to be done. For instance, when a customer needed something we didn't have, we'd drive miles to Home Depot or Eagle every night and bring it back, so they would have it first thing in the morning.

"We didn't offer more types of services per se, we were just willing to do things faster. When the guys down the road would take two weeks for a materials list, we'd have it in a day or two. As a small, new business, we'd do anything to set ourselves apart from the competition. If needed, we'd be outside, building loads or running deliveries. Barney'll still drive a truck-how many presidents do that?" poses Shawn, in admiration.

But then, how many presidents resist the temptation to micro-manage and instead encourage their promising people to rise as fast as they demonstrate they can? "If a competitor turned a job down, saying they were too busy, we'd get it done. Still do," Shawn professes.

Six months later, Shawn was promoted to store manager. "Things kind of progressed," he offers with an awshucks humility akin to that of his boss. In fact, Shawn was just named North American Retail Hardware Association's Young Retailer of the Year for multiple locationsbecause, in the 10 years Arrow has been up and running, the company has acquired four more stores, all also in small Washington towns, and a sixth is about to join the roster.

Arrow grew fast. "And the larger you get, the harder it is to keep the same attitude," Shawn acknowledges. The key, he feels, is "to hire like-minded people who want to keep customers happy. People tend to get stuck in their roles, but we'll push 'em outside their comfort zones. We look for attitude first, and experience second."

"In many businesses, it's the other way around," he's found. "For us, willingness in the most important thing."

Shawn became the go-to guy when it proved time for a new computer system, as, in 2006, Arrow acquired additional locations. "We eliminated the manual paperwork in favor of emailing invoices and using signature captures. No more filing and un-filing, which saves a lot of time and money. It wasn't cheap, but it was well worth it," he declares.

At the original Buckley store, Shawn designed the floor plan (drawing on that high school business project) and built the shelves-the only operation Arrow has built from the ground up.

At Eatonville, he tripled existing floor space by removing walls; which also allowed him to add new product lines based on listening to customers' feedback. Same for Port Orchard, "another old building to which we added on." By redesigning and remodeling one yard after another under Shawn's eye, Arrow multiplied sales. In fact, they're now nine times what they were initially-no small impact on the bottom line.

"We took the good features from each store-what works for one will probably be good for all-and also implemented our own ideas, such as offering package sales. We started out small, with decks, and have expanded to other categories, like garages and pole buildings. We really have a good program for people who like to buy projects complete; they may not have the vision, ar architect, so we eliminate the work and stress and do it for them. Plus," he adds an important aside, "the margins are good."

But, cookie cutters? Never. "Each store retains its own business niche; different markets require different identities, he explains. "For instance, in communities where there's little retail competition, we focus on the builder, and vice-versa. Our ideal store would be 50/50, d-i-y and pro. We work toward that split," aiming to distribute the eggs into different market baskets.

Other services that help Anow hit the target: free material takeoffs and free delivery for pros. ("We'd love to charge for delivery"-Wouldn't we all these days?-"but none of the competition does. As soon as they start, we'll jump right on it!" Shawn insists.

And, yes, there's plenty of competition out there"some good operations we have a lot of respect for, and others where we think we can do better; they get big and bullish and start telling their customers what they can and cannot do. We, however, believe the customer is boss; they tell us what whey want and need."

And right now, what they seem to need is-a sixth store. Coming right up. Count on Shawn to be on hand to nurture its staffers, prodding them to tap what's within them, just as he's been guided, and given lots of rein. He's not going anywhere anytime soon, he says. And why should he? He's fulfilling his high-school dream, rising from assistant manager to general manager to v.p. in the time it takes to say, "Stand out of his way."

And the key to that success story, Shawn is quick to remind us: "Barney." For independent dealers around the country looking at the future of their own operations, encouraging a young hire to achieve his best for the company isn't such a bad idea.

Rrrln:rs

Lumber Plus True ry'alue, Kanab, Ut., celebrated the grand re-opening of its newly renovated store July 25-26 ...

Stringham Lumber, S. Salt Lake City, Ut., suffered a July 30 fire that caused $100,000 in damages; one employee was taken to the hospital for smoke inhalation

Anderson Hardware will hold a grand opening Sept. 12-14 for its new 229OO-sq. ft. Ace Hardware store in Wellington, Co.; Vicky and Doug Anderson, owners

General True Value Hardware, Denver, Co., is liquidating after 98 years, so the owners can sell the property...

Ace Hardware, Woodland, Wa., moved into larger, newly remodeled quarters next door ...

Home Depot opened new stores Aug. 21 in Warrenton, Or. (Lori Sarancik, store mgr.), and Aug. 14 in Pahrump, Nv. (Justin T. Keedy, mgr.)...

Home Depot signed a 35-year lease for a site in Ontario, Ca.. and hopes to break ground in Spokane, Wa., in the spring ...

Lowe's Cos. opened a new store Sept. 2 in S. Chino Hills, Ca.; has begun construction in Pacoima, Ca.; got the go-ahead to build in

Send us your news!

Have your recent expansion, promotions or other company changes published in the next issue o{ Ihe Merchant Magazine.

Just Fax your news to 949-852-0231 or send by email to kdebats@buildingoroducts.com.

(a trce seruice)

Rialto, Ca., and has abandoned plans to add a unit in Rocklin, Ca., due to planning commission restrictions...

Habitat for Humanity recently opened ReStore discount LBM stores in Temecula, Ca., and Portales, N.M.; is moving its Maui, Hi., ReStore from Happy Valley to a larger facility in Wailuku, and is adding a 4,000-sq. ft. second level to its 9,000-sq. ft. store in Carbondale, Co.

Wolseley plc. is reportedly considering selling off 302-unit Stock Building Supply ...

BMC West, Boise, Id., received a Partner of Choice Award from DavidWeekley Homes ...

Hines Horticulture, Irvine, Ca., has filed for Chapter 11 bankruptcy protection as it works to sell its assets to Black Diamond Capital Management, LLC ...

Wror:rlrrns/trrurrtrurrrs

Peery Brothers Lumber, City of Industry, Ca., installed a milling operation and expanded its FSC inventory to include timbers, fire treated, and preservative treated

Warm Springs Forest Products Industries, Madras, Or., has entered into an agreement with Vanport Internationnl, Boring, Or., to custom cut logs for the international market; roughly 80Vo of the production will be for export

Crown Building Materials, Portland, Or., has been acquired by Norandex Building Materials Distributio,n, Hudson, Oh., which hopes to move the operation to a larger facility

North Pacffic's Napa, Ca., distribution center is now stocking FSC-certified OSB from Roy O. Martin's new mill in Oakdale, La., including Tuff Strand, StrucWall,

StructWall XL. and The Grid brands, for next-day delivery throughout Northern California

Allied Building Products is now distributing ZP SmartSide trim and siding nationwide from its 140 branches...

Boise Cascade has eliminated one shift at its La Grande, Or., sawmill for an indefinite period

Jeld-Wen, Klamath Falls, Or., is closing its window and door manufacturing plant in Gainesville, Ga., and will use the facility as a sales and distribution office ...

Reid & Wright,lnc., Broomfield, Co., has earned triple chainof-custodv certification-from the Forest'stewardship Council, Sustainable Forestry Initiative, and Programme for the Endorsement of Forest Certification

Forest Products Marketing received FSC chain-of-custody certification for its offices in Oroville and Woodland. Ca. ...

Mary's River Lumber Co., Corvallis, Or., was presented the 2008 Best of Corvallis Award among lumber companies by the U .5. Incal Business Association

Anniversaries: Dixieline Lumber Co., San Diego, Ca., 95th ... Tirnber Products, Springfield, Or., 90th ... Nelson's Ace Hardware, whitefish, Mt., 60rh ... Reid & Wright, Inc., Broomfield, Co., 60th EarthSource Forest Products (formerly PALS), Oakland, Ca., 25th...

Housing starts in July fell IlVo to a seasonally adjusted annual rate of 965.000-the lowest level in more than 17 years single-family starts slipped 2.9Vo to 641,000 annual pace ... permits dropped I7.7Vo to a rate of 937.000.

- CORRECTION -

West Coast Juniper, Chiloquin, Or., does not export juniper logs to China for processing into flooring products (as reported on pg.40, Aug.2008), but does ship cants or larger blocks for remanufacture into flooring or furniture.

Listings are often submitted months in advance. Always vertfy dates aid locations with sponsor before making plans to attend.

Srprrilsrn

Lumber Association of California & Nevada - Sept. 10, 2nd Growth meeting, Red Lion, Redding, Ca.; (916) 369-7501

Sierra Pacific Industries - Sept. 11, open house, Anderson, Ca.; (530) 378-8000.

BC Wood - Sept. 11-13, global buyer's mission, Whistler Conference Center, Whistler, B.C.; (877) 422-9663

Mountain States Lumber & Building Material Dealers Association - Sept. 12, Western Slope golf tournament, Rifle Creek Golf Course, Rifle, Co.; (303) 292-9500.

Hoo-Hoo International - Sept' 12'17, annual convention, Murano Hotel, Tacoma, Wa.; (800) 979-9950.

Lumber Assn. of California & Nevada - Sept. 16, PAC baseball night, McAfee Coliseum, Oakland, Ca.; (916) 369-'15Ol

Willamette Valley Hoo-Hoo Club - Sept. 17' trap shoot, Sportsman's Club, Creswell, Or.; (541) 485-5979

Los Angeles Hardwood Lumberman's Club - Sept. 18' 8th annual golf tournament, Costa Mesa Country Club, Costa Mesa, Ca.; (626) 445-8556.

Jensen Distribution Services - Sept' 18-20, fall market, Spokane Convention Center, Spokane, Wa'; (509) 624-1321

Ace Hardware Corp. - Sept. 19'22,fall market, St. Louis, Mo.; (630) 990-'7662.

APA-The Engineered Wood Association - Sept. 20-23, annual meeting & expo, Ritz Carlton Lake Las Vegas, Henderson, Nv.; (253) 565-6600.

Lumber Quality Institute - Sept. 22-23,lumber quality & process control workshop; Sept. 24'25, leadetship workshop,

Corvallis, Or.; (541) 231-8628.

Setzer Forest Products - Sept. 26,25th annual golf tournament, Sacramento, Ca.; (916) 442-2555.

Lumber Association of California & Nevada - Sept. 30, safety/ risk management day, Marriott Sacramento, Rancho Cordova, Ca.; (916) 369-7501.

Ocrorrn

Building Component Manufacturers Conference - Oct. 1'3, Colorado Convention Center, Denver, Co'; (608) 310-6722.

California Forestry Challenge - Oct. 1'4, Sly Park Environmental Center, Pollock Pines, Ca.; (916) 369-7501.

Lumber Assn. of California & Nevada - Oct.2, safety/risk management day, Marriott, Riverside, Ca.; (916) 369-7501

Mountain States Lumber & Building Material Dealers Associ' ation - Oct.2-4, fall conference, Sonnenalp Resort, Vail' Co.; (303) 292-9sOO.

National Lumber & Building Material Dealers AssociationOct.2-4, industry summit, Westin La Palma Resort & Spa, Tucson, Az.; (800) 634-8645.

Lumber Association of California & Nevada - Oct. 8, LBM testing seminars, Marriott, Riverside, Ca.; Oct. 9, Marriott, San Diego, Ca.; (916) 369-7501.

National Hardwood Lumber Association - Oct. 8-11, annual convention. Marriott. San Francisco, Ca.; (800) 933-0318.

Remodeling & Decorating Show - Oct' 10-12, Los Angeles Convention Center, Los Angeles, Ca.; (818) 557-2950.

Do It Best Corp. - Oct. 11-14, fall market, Indiana Convention Center, Indianapolis, In.; (260) 748-5300.

Association of Millwork Distributors - Oct. 11-16, annual convention, Gaylord Palms, Kissimmee, Fl.; (727) 372-3665.

True Value Co. - Oct. 17-20,fall market, Atlanta, Ga'; (7'13) 695-5000.

Mountain States Lumber & Building Material Dealers Association - Oct.22, operations management seminar; Oct.23, outside sales seminar, Grand Junction, Co.; (303) 292-9500.