The Merchant March 2014 by 526 Media Group

MERCHANT

CEDAR & REDWOOD REPORTS  FSC MADE EASY  NAILS & FASTENERS

The

MARCH 2014

Magazine

THE VOICE OF THE WEST’S LBM DEALERS & DISTRIBUTORS – SINCE 1922

The

March 2014

MERCHANT

Special Features

In Every Issue

9 PRODUCT SPOTLIGHT

WESTERN RED CEDAR PERGOLAS

10 FEATURE STORY

CEDAR HEATING UP FOR THE SUMMER

12 INDUSTRY TRENDS

CERTIFIED WOOD EASIER TO FIND

14 MARGIN BUILDERS

REDWOOD DEALERS READY TO RESPOND TO NEW GREEN STANDARDS

16 PRODUCT SPOTLIGHT

CALIFORNIA REDWOOD HITS THE SURF

18 MARGIN BUILDERS

GET A HANDLE ON FASTENER TRENDS

37 PHOTO RECAP: BOISE CASCADE GOLF 48 PHOTO RECAP: IBS

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March 2014

6 TOTALLY RANDOM 20 COMPETITIVE INTELLIGENCE 22 OLSEN ON SALES 30 APP WATCH 32 MOVERS & SHAKERS 40 NEW PRODUCTS 45 ASSOCIATION UPDATE 46 FAMILY BUSINESS 52 IN MEMORIAM 52 CLASSIFIED MARKETPLACE 53 DATE BOOK 54 IDEA FILE 54 ADVERTISERS INDEX

 Volume 92  Number 9

Magazine

Online BREAKING INDUSTRY NEWS, EVENT PHOTOS, & DIGITAL EDITION BUILDING-PRODUCTS.COM

CHANGE OF ADDRESS Send address label from recent issue, new address, and 9-digit zip to address below. POSTMASTER Send address changes to The Merchant Magazine, 4500 Campus Dr., Ste. 480, Newport Beach, Ca. 92660-1872. The Merchant Magazine (ISSN 7399723) (USPS 796560) is published monthly at 4500 Campus Dr., Ste. 480, Newport Beach, Ca. 92660-1872 by Cutler Publishing, Inc. Periodicals Postage paid at Newport Beach, Ca., and additional post offices. It is an independently-owned publication for the retail, wholesale and distribution levels of the lumber and building products markets in 13 western states. Copyright®2014 by Cutler Publishing, Inc. Cover and entire contents are fully protected and must not be reproduced in any manner without written permission. All Rights Reserved. It reserves the right to accept or reject any editorial or advertising matter, and assumes no liability for materials furnished to it.

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TOTALLY Random By Alan Oakes

The

MERCHANT

Magazine

www.building-products.com

A publication of Cutler Publishing

4500 Campus Dr., Ste. 480, Newport Beach, CA 92660

Busy and boisterious!

Y ALL ACCOUNTS, the recent IBS show in Las Vegas was a great success. I heard of sold-out exhibit space, although I am sure they could have fit a few more in. But for the first time in years, the show was fun again. From the morgue of about three years ago, the aisles were full pretty much non-stop for the two days I was there. Everyone (yes, everyone) I spoke to was positive about the year ahead. The atmosphere was almost giddy. I believe the official numbers will show about 80,000, proving the decision to combine it with the KBIS show was a good one. People I met at booths and in the aisles, even those who had been hit by the bad weather in the East and Midwest, reported that despite the weather they were surprised how good business has been. After what we have all gone through, for those that have survived, at long last something to crow about! My preceding trip—to the Hoo-Hoo Crab Feed in Eureka—had its best attendance in years. My calls across the country suggest the industry will grow 10% to 15% again this year. In the last few months here at The Merchant, we are starting to see investments again with new products hitting us in a barrage—again a great sign the industry has turned. I am sure some companies are taking some risks, but as I have often written, business is not for the faint of heart. You have to be willing to take risks to succeed and to stay ahead of your competitors. Keep them coming! That all being said, it is interesting to hear some negative feedback and concerns within the industry. On the lumber side, many mills are telling us that they are 100% sold out—good for them but not necessarily good for the industry. When the industry starts growing again, then what? I am not hearing about too many plans to open new mills, bring back on line mothballed mills, or even add new shifts. Perhaps this is a reflection of not getting ahead of the game because of the fear we have lived through the past few years. In decking, I have heard from many on the non-wood side that prices are in a skid —mostly due to one or two producers. In the end that is not good for the industry, although it might be their way of getting rid of competition. There are a lot more issues to overcome when you become a commodity. We have seen an increase in merger activity—not sure what that means, but my interpretation is that all those who wanted to get out and retire and could not do so the last five to six years are now getting a price for their business they can live with. So look out for more. For me, mergers and acquisitions are both good and bad—certainly bad when I see good companies being carved apart and usually emerging worse off. One comment I have heard a half-dozen times now concerns the effects of the Affordable Care Act. I will stay away from the rights or wrongs, but have heard that a number of smaller companies will not go over 50 employees. That says to me that there will be little hiring, not only in this industry, but in many others, too. Not good for employment numbers, considering 96% of all companies are under 50 employees. Yet, overall, signs point to a positive year—as confirmed by most every economist I’ve listened to over the past six months. Lastly, thank you for the emails and comments about my last column, “Unlocking You” (Feb., p. 6)—particularly those agreeing with me! A good reader of ours, W.C. Litzinger, sent me two quotes that he often shares: “What you put up with is what you end up with” and, my favorite, “Everything that has ever happened in your life is preparing you for a moment that is yet to come.” I think that all our industry has gone through since 2006-2007 has indeed prepared us for the future. I have learned more these past distressing few years than at any time in my career, and I suspect that is the same for many of you.

Publisher Alan Oakes ajoakes@aol.com Publisher Emeritus David Cutler Director of Editorial & Production David Koenig dkoenig@building-products.com Editor Karen Debats kdebats@building-products.com Contributing Editors Dwight Curran James Olsen Carla Waldemar Advertising Sales Manager Chuck Casey ccasey@building-products.com Administration Director/Secretary Marie Oakes mfpoakes@aol.com Circulation Manager Heather Kelly hkelly@building-products.com

How to Advertise

Chuck Casey Phone (949) 852-1990 Fax 949-852-0231 ccasey@building-products.com Alan Oakes www.building-products.com Phone (949) 852-1990 Fax 949-852-0231 ajoakes@aol.com CLASSIFIED David Koenig Phone (949) 852-1990 Fax 949-852-0231 dkoenig@building-products.com

How to Subscribe

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.

SINGLE COPIES $4 + shipping BACK ISSUES $5 + shipping

Alan Oakes, Publisher ajoakes@aol.com

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March 2014

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Signs are pointing to recovery. NAWLA has designed its 2014 Leadership Summit for those who want to move ahead boldly and wisely at this crucial time. We’ve gathered eight industry leaders under one roof to help us better understand emerging outlooks, opportunities, and critical issues. Now is the time of tapping into the wisdom of our community and casting new visions. We know you’re busy, so we’ve packed a lot into a day and a half. You’ll come away better prepared to navigate pitfalls and pursue new opportunities.

Gustavo Jon Biotti Kimmo Jarvinen Don Kayne President/CEO, Secretary General, Managing Director, Grodnitzky, Ph.D. Leadership & Charlesbank EOS Canfor Capital Partners Org. Development Consultant

Marc A. Brinkmeyer Chairman, Idaho Forest Group

Jack Koraleski President/CEO, Corporation

Peter Alexander CEO, BMC

Curt M. Stevens CEO,

PRODUCT Spotlight

Photo by WRCLA

Western Red Cedar Pergolas

Western red cedar a perfect choice for pergolas

F THERE’S ONE

thing dealers and distributors can count on this summer, it’s a surge in homeowners looking to construct their own detached garden features—think gazebos, planters, benches, arbors and pergolas. Lots of pergolas. In fact, building plans for pergolas are the number one download on RealCedar.com. Yep, when it comes to creating a backyard sanctuary, d-i-yers just love their pergolas—or more specifically, they love their western red cedar pergolas, and for good reason, too. Western red cedar lumber really is the ultimate building material for every kind of backyard project—be it an outdoor kitchen pergola with climbing vines, a classically arched walkway arbor, or a freestanding gazebo with builtin benches. For starters, cedar’s a dream to work with. It lays flat, stays straight, and holds fastenings tightly. But that’s not all. This structurally solid wood is surprisingly light, meaning less heavy lifting, and let’s face it—nobody wants to be messing around with cumbersome materials that make their outdoor projects more labor intensive. They want to enjoy the creative process from beginning to end. Speaking of creative process, customizing these kinds of outdoor structures just got a little bit easier—thanks to RealCedar.com. Paul Mackie (a.k.a. Mr. Cedar) from the Western Red Cedar Lumber Association explains: “WRCLA is going to be adding a sketch-up application to the RealCedar.com site so consumers can create their plans in 3D, look up the materials required, specify grades, and then, last, but not least, find the nearest premium retailer simply by using our defined cedar locator network.” Another reason so many people request western red cedar for their outdoor projects is because of its undeniable Building-Products.com

durability. “Western red cedar is naturally resistant to rot, decay and insect attacks,” says Mackie, “which means WRC structures last a very, very long time and require minimal maintenance. That’s something the indigenous people of the Pacific Northwest can attest to with their centuries-old cedar long houses.” In terms of environmental performance, eco-minded pergola builders can rest easy knowing western red cedar is renewable, biodegradable and boasts a net carbon sink— i.e., while other building materials generate greenhouse gasses, western red cedar actually removes greenhouse gasses from the atmosphere. As for variety, western red cedar customers are spoiled for choice. Real cedar offers a wide range of lumber dimensions, surface textures, as well as a grade for every design palette—from a sleek, clean premium clear to a rustically charming, cost-effective knotty to everything in between. Additionally, western red cedar is pitch- and resin-free, so it’s ideal for accepting and holding a wide range of beautiful finishes. Another way to go is au naturel. That’s because if left untreated, western red cedar just gets better with age, taking on a stunning silvery patina. Of course, at the end of the day, it’s western red cedar’s innate beauty that makes it the preferred choice for outdoor structures. “Aesthetically, there really is no substitute for the natural beauty of real cedar,” says Mackie. “Imbued with decidedly crisp, yet superbly rich, tonal properties, real cedar can create truly inspirational garden features.” March 2014

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FEATURE Story By Western Red Cedar Lumber Association

Count on cedar heating up this summer comes to sustainable outdoor building materials, western red cedar is pretty much “the chosen one.” Independent studies have shown that wood outperforms composites, as well as concrete and steel, in the following categories: energy expenditure, environmental impact and renewability.

Price Point for Every Budget

While clear grades of WRC remain relatively affordable, the readily available knotty WRC is even easier on the wallet. This gives consumers choice: They can opt for the crisp contemporary appeal of grade “A” or better or go a somewhat more costeffective route and choose the distinctly rich, deep luster of select knotty grades. Either way, they’re likely to save money by choosing western red cedar over other materials, resulting in happy customers. KNOTTY WESTERN red cedar provides an even more affordable option for outdoor projects. Photos by WRCLA

PRING IS (ALMOST)

in the air and we all know what that means: Homeowners are gearing up to tackle some of those outdoor projects they didn’t get around to last summer. Suffice to say, this annual burst of backyard inspiration will invariably lead to an increased demand in building materials. Not just any building materials, mind you. Due to a renewed interest in natural living and clean design, western red cedar is fast-becoming the darling of the R&R

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industry, and there’s no sign of this trend slowing down any time soon. At this rate, dealers and distributors can expect WRC’s growing popularity to reach all new heights this season. Here’s why:

Growing Awareness in Green Architecture

There’s a whole new wave of highly respected publications, writers and bloggers who strictly focus on green architecture and design. And when it

March 2014

Rise in Pinterest Popularity

Like it or not, this particular social media network wields a lot of persuasive powers over potential consumers looking to update their backyard and/or improve their curb appeal. Furthermore, women (who, incidentally, make a majority of home design decisions) rely on Pinterest for inspiration, and it just so happens this is one arena where western red cedar continues to outshine composite knock-offs. Why? Well, as the saying goes, a picture’s worth a thousand words, and right now, there are countBuilding-Products.com

less photos of western red cedar circulating on the site—each one illustrating WRC’s unsurpassed natural beauty and versatility.

Heavy Traffic on RealCedar.com

The new and improved RealCedar.com website currently boasts a record amount of unique visitors every month, with a substantial increase in the number of architects requesting sample kits and d-i-yers trying to locate a retailer near them. That’s because more and more people are realizing there is no substitute for the real thing. The look, the feel, the smell—you just can’t beat WRC and

the R&R consumer is getting quite hip to this fact.

No Brainer for Builders

Contractors have come to rely on western red cedar’s high-performing characteristics. The species’ naturally occurring organic chemistry, for example, prevents decay, rot and insects. As well, cedar’s unique cell structure minimizes shrinking and swelling, so it stays flat and is structurally solid—which, in turn, makes the contractor’s work look that much better. So it’s no wonder why so many builders are choosing western red cedar for their upcoming projects.

Why Dealers Should Join WRCLA As the voice of the cedar industry, the Western Red Cedar Lumber Association has worked hard to increase cedar usage and quality standards for the construction and repair and remodelling industries. In addition to the fact that more members mean a stronger, more influential voice in the industry, there are several reasons why retailers should think about joining this year:

guided through a qualifying process that provides information on ideas, plans, building and maintenance information, and then leads them directly to the nearest certified cedar distributor (CCD) defined retail network, where members have preferential listing and ranking. It’s worth noting that the webpage directing consumers to the closest member retailer receives over 7,500 visits monthly.

• Dedicated advertising, marketing and public relations campaigns The WRCLA is strategically targeting prospective consumers in the R&R sector with a unified message and promotional programs to create a consumer pathway to member retail locations. In addition to traditional advertising, the WRCLA is also very active online and in social media.

• Training Cedar is a high margin product, and having the right skills to sell it means higher profits. Member retailers benefit from a variety of online training programs, tools, support and resources designed keep product moving.

• New, robust web presence All programs direct consumers to RealCedar.com, where they’re

Building-Products.com

• It’s an affordable advantage Manufacturers, remanufacturers and distributors all contribute to making the tools and resources provided by the WRCLA possible. As a retailer, you get the advantage of profiting from all of these, but at a much lower cost. As the WRCLA continues to build a presence in the market for its members, retailers will benefit from an assurance of quality, best practices, resources, assured supply lines, and support. Look into membership today, and see how the WRCLA can increase your cedar margins.

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INDUSTRY Trends FSC Certification

Staying on top of evolving FSC markets “‘I

T’S SO MUCH BETTER now than it was’ is a phrase commonly heard during visits with our new members,” says Paul Vanderford, manager of Sustainable Northwest’s Forest Stewardship Council certification

group, a program that provides group rates and assistance to small and midsized wood products companies in the western U.S. seeking certification. Wood markets are constantly evolving. The market for FSC-certi-

fied wood is a prime example. According to Vanderford, five years ago, the availability, quality and expense of certified material limited involvement. A frustrating audit process and the high cost of certifica-

Top 10 myths about chain-of-custody certification By Paul Vanderford, Sustainable Northwest

1. FSC chain-of-custody (CoC) certification is expensive. Not so. The number of certification bodies has grown and FSC has innovated with changes in group certification programs that improve access and affordability. The big innovation was raising the annual revenue cap to $5 million, which allowed many more firms to qualify, improving accessibility of affordable FSC certification services together, with FSC brand and network access for an increasing share of the woodworking industry. Sustainable Northwest’s FSC group program offers certification on a sliding scale between $500 to $2,500 a year. Companies too large to qualify for group membership can expect to pay $3,200+ a year, based on the complexity of their operation. 2. Putting an FSC system in

place is time consuming and hard. Group certification programs make getting certified much easier than going in alone. New group members can create efficient FSC

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systems on site as part of a two-tofour-hour certification visit by the administrator.

3. Certification requires significant lead time. Getting FSC certified requires very little lead time. In the Northwest, new group members take an average of two weeks. If a regional group or certification body is not available in your region of the country, getting certified may take longer. 4. Not all wood products are available as FSC. Several supply chain issues have created limitations in the past, but most historical issues have been resolved. Paper laminates, liners, backers, dowels and even some exotic woods can now be sourced as FSC. Today, homebuilders are building entire homes with 100% FSC-certified wood. 5. FSC is a flash in the pan.

FSC certification has mirrored

March 2014

the exponential growth of green building since its inception in 1993, despite the recent recession. There are now 27,457 certified companies in the world and 446 million acres of certified forest land. The number of certified companies has grown by over 5,000 in the past two years, representing a 25% growth rate.

6. LEED is getting rid of the FSC wood MR7 point. The U.S. Green Building Council (USGBC) continues to uphold its commitment to the FSC. Last year, the council voted to reject alternative wood certification programs. Additionally, The Living Building Challenge (the next generation of green building standards) has a prerequisite for FSC wood. 7. There is no demand for FSC.

Building with FSC-certified wood, holds valuable and demonstrative weight. Fortune 500 companies like Walmart, Kimberly-Clark, Home Depot, Staples, International Paper, Hilton and Unilever are getBuilding-Products.com

tion forced out many interested companies. It was bad for business, the market, and FSC. A lot has changed in five years. The FSC market is maturing. Scale is lowering costs and increasing supply. Construction and design companies are now aware of FSC, know their regional FSC suppliers, and commonly specify an FSC preference. Entire commercial buildings and custom homes are now sourcing 100% of their wood materials from FSC vendors. Group certification programs have spearheaded the change by simultaneously providing affordable access to certification and critical support. The evolution has created an opening for proactive companies. “Companies that could be using certified wood to strengthen their businesses are staying away because of outdated cost and market information,” says Vanderford. The cost of certification used to be $5,000 a year. Now, the average cost is closer to

ting involved using and selling FSC products and currently all have FSC purchasing policies. LEED certification has built a solid market for FSC materials. There are now 50,000 LEED projects worldwide, representing 10.1 billion sq. ft. of commercial and institutional construction space. About 1.5 million ft. are added each day. About 60% of LEED construction is happening inside the U.S. Companies not seeing FSC demand represent a shrinking segment of the wood products industry.

8. Fabricators that install don’t need FSC certification. Fabricators who substantially modify wood products prior to installation to meet LEED MRc7 point criteria are required to possess and use FSC chain of custody. This issue was clarified by a 2010 USGBC addenda, which states, “facilities that fabricate or alter product beyond that which is necessary for installation are required to hold FSC certification.” 9. FSC material costs more and is lower quality. Many examples of competitive pricing exist. Many suppliers find some of their FSC product lines cost Building-Products.com

$3,000 and certification with group programs like Sustainable Northwest’s average $1,500. There are now over 3,387 certified companies in the U.S. There is no question LEED is a major player in creating FSC demand. LEED has grown into a key market for structural and custom interior wood products. About 1.5 million sq. ft. of new commercial projects are registered each day. The standard continues to award points for FSC certified and reclaimed wood. Many regions have a bonus “regional priority point” for the FSC materials credit. The future is bright. As LEED approaches 50% of the commercial building market, the standard is driving significant wood materials demand. FSC certification may not be for every company, and owners should only join if they see market opportunity. However, companies that have stayed away will find themselves pleasantly surprised at the options now available to them.

the same as non-FSC options. In addition, FSC wood exists in all quality grades. The FSC standard does not assign or evaluate grade. If a supplier sells wood that doesn't meet ANSI quality or equivalent specifications, the goods are not fit for commerce as advertised. FSC certification is a subset of a firm’s quality management approach.

10. FSC certification provides market access and differentiation. True! Many businesses see FSC certification’s main value as market access and differentiation. With over 4,500 certified companies in North America, more and more businesses are deciding to join in and take advantage of the growing FSC wood products market. FSC logos can help provide cost-effective brand recognition and acceptance by consumers. The brand is now seen daily in grocery stores, home improvement centers, and in mailboxes. – Paul Vanderford is forest stewardship manager for Sustainable Northwest, a non-profit organization helping to certify and support companies in Oregon, Washington, California, Idaho and Montana with less than $5 million in annual wood products sales. Reach him at paulv@sustainablenorthwest.org.

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MARGIN Builders By Charlie Jourdain, California Redwood Association

Redwood dealers can respond to new green standards with long-standing practices

ONCERNS OVER environmental issues have spurred action across multiple audiences in the building industry. From consumers insisting on certified green projects to the architects who design them, to the communities that embed them into building codes, building products providers know they need to do more than just say they offer environmentally friendly products. They have to put their certifications where their mouths are. In many industries, such as the redwood industry, environmental stewardship and careful management of natural resources that provide our products is a business practice that precedes much of the “greenwashing” found in the marketplace today. But simply saying we do is no longer enough. That’s why it’s so important to show and tell our progress, and prove through our transparency the solid foundation of our product claims.

REDWOOD LUMBER is a naturally green product, well suited to capitalize on the trend toward eco-friendly standards. Photo by CRA

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A survey commissioned last year by the California Redwood Association showed how consumers desire a greener home front. Our survey showed that three-quarters of homeowners said that it’s important for their deck to be eco-friendly. That’s probably why more than 90% of them believe a deck should be recycled or reused, and not wind up in a landfill. That shifting mindset is also what provokes their insistence on certifiably green designs and asking their architects to design to the newest LEED guidelines. In fact, with the most recent LEED v4 guidelines, new materials and resources credits were added. The credits are intended to show users how to get information for evaluating the safety and environmental impact of products and help manufacturers to compile the information. Such green building certifications remain voluntary (so far), but local and state governments across the country have begun issuing their own mandates for green building to establish minimum, enforceable sustainable construction requirements. Sustainability goals—not even a consideration a generation ago—are already set in many communities. This trend will continue driving the development of codes and ordinances for green building. In perhaps the ultimate “good green cop, bad green cop” scenario, the financial impact for following these laws are tempered by tax credits and other incentives that reward green building strategies. The path of this trend is pretty clear. Members of the California Redwood Association are more than ready to answer the challenges raised by these sustainability goals. That is why the CRA commissioned a Life Cycle Assessment (LCA), a scientific technique commonly used to quantify the environmental footprint of producing and consuming products we use in our everyday life. And it is also why the CRA and American Wood Council have released an Environmental Product Declaration (EPD) for redwood decking (view the PDF at www.calredwood.org). EPDs are standardized tools that provide information about the environmental footprints of the products they cover. The redwood decking EPD goes one step further by obtaining independent third-party verification of our claims from Underwriters Laboratory Environment. CRA’s LCA quantified the environmental impacts of Building-Products.com

redwood decking production and use over a 25-year life span, in what is known as a cradle to grave LCA. The results, compared to the environmental footprint of plastic decking, are revealing. • Recycling: Plastic decking is made from recycled materials, but did you know you cannot recycle plastic decking? On the other hand, the lumber from a redwood deck is completely recyclable and biodegradable. • Air Pollution/Carbon Footprint: Redwood trees absorb more carbon than they produce (actually reducing carbon emissions), and continue to store that carbon once it is harvested and milled. Plastic-composite lumber by contrast introduces 26 times more particulate matter into our air. • Water Pollution: Introducing too much nitrogen into a pond or stream can produce algae blooms that destroy the habitat for many species of fish, creating what are known as “dead zones.” It’s called eutrophication, and plastic lumber is nine times more damaging to marine habitats. • Energy: Plastic decking processes use 10 times more energy than a lumber mill producing redwood decking. To learn more about the CRA’s new LCA, which compares redwood decking to plastic-composite decking and to learn the eco facts, view CRA’s new brochure at www.calredwood.org

(“CRA Life Cycle Assessment Brochure”). If analyzing the life cycle of a product still isn’t enough, certification proving our resources are managed to some of the strictest, most respected standards is one more way we prove the impact of our products and ensure they will continue to be available for future generations to enjoy. All the members of the California Redwood Association are committed to sound forest management practices to ensure that our forests will remain healthy, beautiful and productive. We take pride that 100% of CRA memberowned timberlands are certified as well-managed by the Forest Stewardship Council. When your customers see the FSC icon in your store, they can rest assured that the lumber they are building with comes from healthy forests. That means responsible harvesting at sustainable levels as well as the protection of natural habitats. To learn more about one of nature’s most environmentally friendly, beautiful and strong building materials and to find redwood locally through our member mills, visit the CRA at www.realstrongredwood.com. – Charlie Jourdain is president of the California Redwood Association. Reach him at charlie@calredwood.org.

Selling Smarter When selling redwood, what you don’t know can hurt you. Make sure you and your employees have all the answers with “Redwood Basics for Sales and Marketing.” This award-winning, eight-lesson correspondence course from the California Redwood Association covers everything from wood chemistry to grades and patterns to installing and finishing tips. It’s a thorough grounding in redwood basics that will make your staff more effective and productive on the sales floor. According to one student, Ganahl Lumber Co.’s Victoria Foucault, “I was someone who had no lumber background when I started this course, but after finishing each and every lesson I was able to utilize that knowledge, and apply it with an understanding to real life

Building-Products.com

situations.” Ganahl Lumber, a redwood retailer with nine stores throughout the greater Los Angeles area, has had a number of employees become redwood experts by completing CRA’s course. “Victoria should be particularly commended because she achieved perfect grades throughout the entire course,” says CRA’s course administrator Anita Mac Kusick. The lessons, approximately two hours each, include technical and scientific overviews, practical project-oriented information, and valuable merchandising techniques. Graduates of the course receive a certificate and manual. For more information, contact your redwood supplier or Anita Mac Kusick at (925) 935-1499, ext. 10, or anita@calredwood.org.

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PRODUCT Spotlight California Redwood

California redwood hits the surf C

is a popular choice for decks, fences, pergolas and other beautiful outdoor structures that help create the perfect escape at the end of long, work-filled days. Yet there are countless unique and even unconventional uses of the species. From redwood bars, tabletops and bookshelves to jewelry and speaker boxes, the material is extremely versatile. However, one of the coolest ways redwood has been used is in the making of surfboards. California native Dana Blocksage, started making surfboards in college to help pay for college tuition. In 2010, he decided to start his very own company, Dana Surfboards, in Oxnard, Ca. The first wooden surfboard Dana ever shaped was modeled to resemble a 1960s vintage surfboard and was made from pine, with the stringers, nose and tail block made from solid redwood. “This surfboard was much different from the ones I make today,” Dana explained. “But I was stoked when I sold it for $200 and then I quickly realized there was a market for decorative, wooden surfboards.” Since then, Dana has shaped hundreds of wooden surfboards and has shipped them all over the United States, as well as to Canada and nearly a dozen other countries. ALIFORNIA REDWOOD

SURFBOARD MAKER Dana Blocksage primarily uses California redwood. Photos by California Redwood Co.

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Dana mainly uses California redwood when building his surfboards, although he still uses a variety of other wood from around the world as well. Each surfboard is so unique that none of them are exactly the same, which is one reason Dana enjoys working with redwood. He looks at the color, grain and the unique character of each type of wood and then laminates them together to make a beautiful and completely distinctive product. “Redwood is beautiful and unique to California,” Dana said. “It ranges in color from very light, to a deep rich red and since no two pieces look exactly alike it is a wonderful medium to work with when creating surfboard art. There are just so many different ways to manipulate it.” Confirmed Kelly Lusa, marketing manager for California Redwood Co., Eureka, Ca.: “California redwood is strong and durable, but woodworkers really appreciate how easy it is work with. Redwood’s natural resistance to shrinking, warping and checking make it an ideal choice for any project.” The majority of Dana’s surfboards are for decorative purposes, yet are built to look very authentic. However, on occasion, he still creates surfboards made for riding. Dana also produces coffee tables, bookshelves, and skateboards, among other things. He even makes guestbook surfboards, a great idea for those California weddings on the beach. Building-Products.com

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MARGIN Builders By Warren Corrado, Paslode

Getting a handle on fastener trends

undergone a major evolution over the last few decades, meaning there are now a wide range of options with various ASTENERS HAVE

features and designs. Not only do these new advancements offer superior performance, but many can increase productivity for your cus-

COMBO PACKS now bundle fastener and fuel sales for cordless nailers.

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Photo by Paslode

tomer’s crew by allowing for easier, more consistent drives that require less hammering. However, not all building and remodeling professionals are aware of these advancements, so they may be choosing the wrong nail for the job, costing them money and time in the process. By learning about the innovations and attributes of each nail type, you can help builders select the right nails for each job to ensure superior performance and durability. With the introduction of new and varied building materials over recent years, fasteners have evolved to deliver the performance needed for each unique building product that enters the marketplace. For example, engineered lumber nails have been specifically developed to offer superior drive performance in laminated veneer lumber, laminated strand lumber, and parallel strand lumber. By eliminating standing and bent nails in these types of engineered wood, these fasteners save labor time and reduce waste for maximum productivity and profitability. By helping your customers choose nails that deliver superior performance with the materials they’re working with, their crews can run at lower compressor pressure, save fuel, and reduce wear and tear on their equipment. Leading manufacturers also continue to introduce advancements that solve common issues with various fastener types. One example is with Building-Products.com

hot-dipped galvanized nails. While many traditional hot-dipped galvanized nails tend to stain and streak wood, top manufacturers have introduced new designs and head tip coatings that reduce the likelihood of unsightly streaking, staining and nail discoloration. Another recent innovation is the offering of fuel and nail combination packs for cordless nailing systems. These combo packs, which come with the appropriate balance of nails and the fuel needed to drive them, add efficiency and productivity to the jobsite. This systems approach is a convenient option since remodelers often buy only what they need for each job and, therefore, never need to run short on supplies. As fasteners continue to evolve, it’s important to stay ahead of the curve on new advancements that can help your customers increase productivity, performance and profitability. – Warren Corrado is marketing manager for Paslode, a division of Illinois Tools Works Inc., Vernon Hills, Il.

Nail It

A guide to specifying the right fasteners to ensure durability, quality and confidence in any job The nail is a small but mighty factor, and it’s essential that building and remodeling professionals choose a nail they can trust. As an industry expert, your insights on the top nails for each job type can help deliver superior performance for your customers. The following overview helps to simplify the selection process:

Brite Nails: Since brite framing nails do not have a surface coating, they are best suited for interior applications and are not recommended for weather exposure or use with acidic or treated lumber. Some manufacturers add special tip coatings to their brite nails, which make driving the nail easier and increase its holding power.

Galvanized Nails: Coated with zinc, galvanized nails are ideal for exterior uses since they offer resistance to the elements. Hot-dipped galvanized nails are manufactured with a rough finish that deposits more zinc than other methods, resulting in very high corrosion resistance that is suitable for some acidic and treated lumber. By contrast, electro-galvanized nails contain less zinc, which can result in surface corrosion for exterior applications.

Metal Connector Nails: Offered for use in applications with metal hardware, metal connector nails are ideal for installing joist hangers, straps, framing anchors/ties and seismic/hurricane ties.

Turning Good

Fuel + Nail Combo Packs: Some manufacturers now offer combination packs for use with cordless nailers, which include the ideal balance of fuel and nails for a standard job. This allows the customer to buy the exact quantity they need.

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COMPETITIVE Intelligence By Carla Waldemar

Grooming the next generation

OB G ABRIEL ’ S GRANDFATHER , of Ponchatoula, La., launched Gabriel Building Supply in the early 1900s. He passed the torch to his son when Bob bought out his dad and brother and became Gabriel’s sole owner in 2008. And now, after 40-plus years in the enterprise, the boss is starting to think of his own retirement and turning the operation over to his own two—daughters. Two girls, that’s right—and right as right can be. Jasmin Sziber, 33, and her younger sister, Devin Hayden, 26, were born with sawdust instead of sparkly headbands in their curls, and never gave a second thought to a more “girlie” industry. Jasmin manned the floor after school and summers before heading off to college and a course in finance. “I’m back here because it’s fun. I enjoy retail and the people,” she declares. Devin also took business courses in college and adores working full time for dad, first as a cashier, then in the cabinet department, and now in purchasing—and more. “They’re teaching me a lot,” their father professes. He himself began by helping remodel the original store, bumping up staff from six to 15, then in 1992, moving the operation to a new location they built on Main Street, providing expansion room and increased visibility. Cheered on by his two daughters, he assumed sole ownership in 2008 and last June added a second store, 20 miles north of Ponchatoula, in Amite (pronounced, not as this reporter tried to Frenchify it to fit into Cajun country, but like this: Ah-meet). “Two daughters, two stores,” Bob explains the launch with a laugh: “I got bored; I wanted to re-energize myself.” But it’s not always been full steam ahead. Nothing bor-

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ing about the downspin in 2005, when Hurricane Katrina— called the worst natural disaster in U.S. history—blew in. Ponchatoula (pop. 5,500 with 30,000 in the surrounding parish) lies 50 miles north of New Orleans, so it was all about location, location, location. “Things were real good right after the hurricane, then real bad soon after that,” Bob reports. “Business doubled overnight, with a big influx of people moving out our way. Reports told us we’d have a good six or eight years’ window of opportunity. But”—so much for expert opinions— “it lasted 15 months, then plummeted even farther down. We suffered from the bad economy, but the influx of tract builders was even more devastating. We opted to stay with the builders we’d had, over the years, not get in bed with the tracts. But we’ve lost a lot of contractors around here in the past seven or eight years—from 50 to less than half. Yet,” he figures, “in the long run, it paid out. “We’re turning now more to the retail trade—quadrupled the size of the retail area and added thousands of SKUs, thanks to my daughters. The girls have different ideas than an old guy,” he laughs, “things that bring ladies into the store, like Christmas gifts, gardening supplies, knickknacks—items we’d never have carried 30 years ago. Yet the volume of our pro business is still the biggest.” Sure, there’s plenty of active competition, both from independents and chains like Lowe’s, but Gabriel outshines them in service. “That’s where our focus is. And we keep the staff trained in new-product knowledge.” There are far fewer rivals in Amite, 20 miles north of Ponchatoula. “We’d served them fairly well already, but they’d been without a lumberyard in town for quite some time. We had friends and relations there, knew a lot of people,” Bob explains. “And their market’s different, which is amazing, being so close together,” Devin adds. “Amite is more rural, so different things, like stock tanks, do very well.” Gabriel built the 50,000-sq. ft. Amite facility from the ground up, with traffic and visibility a big consideration in choosing its location. “It cost us more than other sites we looked at, but it’s worth it,” Bob is convinced. Devin points out the differences between the two stores: “Amite is a different mix of people, a lot more walk-ins, di-yers, and our staff there is trained and ready to help them with their projects.” Jasmin is the family techie and the go-to girl for Building-Products.com

LOUISIANA DEALER is headed by father and daughters—(l-r) Devin Hayden, Bob Gabriel, and Jasmin Sziber.

Gabriel’s advertising. She oversees the website, conducts direct email campaigns, buys radio ads, and is initiating a new quarterly mailed circular. She’s leaning on Facebook, Twitter and Pinterest to lure her own demographic: younger and female. “The girls have taught me a lot about good use of the Internet,” Bob, the self-proclaimed Old Guy, allows. These days, one-stop shopping is the drill. Gabriel always handled building material, electrical and plumbing, hardware and paint—duh—but, thanks to the pressure of the femmes, has branched into gifts, pet supplies, and outdoor recreation. “We’ve always had some garden stuff— soil, mulch, fertilizer,” Jasmin says, “but now we’ve beefed it up by adding décor, patio furniture, and outdoor cooking to bring in the ladies.” Next up: a recharging of the Ponchatoula store “to make

Building-Products.com

it fresh and new, like Amite: update the product line. Expand business through Facebook. Add more women’s items,” Devin lobbies. And they’re not the only women aboard at Gabriel, no ma’am. “There’s a good mix in all departments. When I started,” Jasmin remembers, “I was the ‘little girl who knew nothing’ (in the eyes of the old-timers). But that’s changed.” Devin, who handles inventory for Amite, agrees: “In the beginning, the old guys would ask to ‘speak to a man.’ Over the years, they got to know us both and things started to change. We’re accepted by the younger generation.” And the sisters rarely squabble. “We each have our own areas and don’t overlap or get on top of each other. Same with Dad! Then, after work, we get together a couple of times a week for dinner and weekends. I’m in it for the long haul,” Devin testifies. Just like her sister, “It’s something I always wanted to do.” Bob still loves the business, too. “But I’ll also love being around a little less, turning things over to the girls. I’ve had a lot of fun doing what we’re doing,” he swears. “But it’s getting time to pass things along to the next generation. Neither girl has children yet, but….” A granddaughter as c.e.o. down the road wouldn’t be such a bad idea, would it? Carla Waldemar cwaldemar@comcast.net

March 2014

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OLSEN On Sales By James Olsen

Account management

UST AS THE discoveries a scientist makes while working for a research company belong to the company, the accounts that are brought in and sold by your sales team are the company’s assets. This is a sensitive subject. Salespeople feel that accounts they bring in or even accounts that are given to them to work are their accounts. We want salespeople to feel this way. We want them to have a personal stake in the success of the relationship with the customer. But we must be clear that there are no “lifetime assignments.” Accounts must be worked and developed—or reassigned. Complacency of ownership will lead to a stagnation of your team’s sales increases and calcification of their sales skills. No one on your team, even and sometimes especially the most experienced, will know how to find, much less, grow new business. When we create a culture of account rotation, sales activity will intensify. Salespeople will know that they can’t “desk-drawer” potentially great accounts for their individual rainy day. New sellers will feel they have a chance to grow—hoarding accounts is real and demotivating to your new sellers and experienced sellers alike—even those currently abusing the system.

Key Account Management

The sales manager should have a personal relationship with the “Pareto’s Peak” of your total account base. Eighty percent of your company’s sales are coming from 20% of the total accounts worked. If the salesperson is the only one paying attention to the account, then the loyalty will be only to the salesperson. The sales manager’s ongoing relationship with these key accounts will help the seller. Customers like attention from all levels of our company—it makes them feel important— and will create loyalty to your company, as well as the salesperson. How long should we work an account before we reassign? Master sellers work accounts for much less time than their struggling counterparts. Master sellers know they are good—they are already selling others successfully. They take rejection less personally and move on more quickly.

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We should do the same as companies and make account rotation a part of a sales growth culture. I have asked thousands of salespeople, “How long did it take you to begin to do some business with your best accounts?” Nearly 99% say less than six months. We invert the math: If an account isn’t doing solid business with us in six months, they never will. We cannot delude ourselves otherwise. There are exceptions, but we cannot build a business on exceptions. Play ’em or trade ’em. Letting your sales team (letting is the same as making it “company policy”) work accounts unprofitably for more than six months is costing you and your team money. One hundred percent of the lumber salespeople in North America—be they mill, distribution or office wholesale sellers—make 80% of their sales to five accounts or less. Ninety percent of their business comes from less than 10 accounts! The crazy thing is, if you ask a salesperson how many accounts they are working, they will tell you 30 to 50. Think of this terrible loss of potential. Each of your salespeople is profitably selling less than ten accounts. How much growth are you leaving in the field unworked and untapped? How can this be? There is a big difference between having an account “on your screen” or “in your account box” and being profitable. Creating an environment where everyone on the team knows that accounts will be sold, grown or rotated—there will be no hoarding of accounts—is the number one thing managers can do to create a culture of growth, period. James Olsen Reality Sales Training (503) 544-3572 james@realitysalestraining.com Building-Products.com

Weyerhaeuser Beefs Up Distribution Weyerhaeuser’s distribution division continues to make significant capital investments in infrastructure, technology and personnel. “At a time when some building material distributors are scaling back or proceeding cautiously, Weyerhaeuser recognizes that investing in its infrastructure and team are vital to steady growth during the housing rebound,” said vice president Nate Jorgensen. “These improvements and enhancements will allow us to continue to serve our dealer customers efficiently and cost effectively. They also

will help accelerate our market share on a regional and national basis.” At the end of 2013, the company relocated its location in Stockton, Ca., to a new site seven miles away. The move consolidated two existing facilities, to boost efficiencies and expand capacity. The new facility is convenient to major north-south transportation lanes and accommodates up to five box railcars—three more than previously allowed. The company is in the process of moving its distribution center in Eugene, Or., to a larger facility 40

miles north in Albany, Or. The relocation, expected to be complete by the end of the first quarter, will expand the operation’s capacity from 66,000 sq. ft. under roof to 300,000 sq. ft. under roof, providing covered storage for nearly all supplied products. During the past two years, the company has hired 146 new associates in sales, operations, and support functions, including a director of commodities. Nationwide, Weyerhaeuser is upgrading the wireless technology used to track products in each facility and has replaced all phone systems to enable better call routing and overflow management. The company also added nine new high-capacity lifts to its fleet and completed a $500,000 investment program in steel fabrication equipment.

Flakeboard to Shutter SierraPine Particleboard Mill

THE OUTDOORS REAL TURN INTO THE GREAT CEDAR OUTDOORS For outdoor structures like decks, pergolas and BBQ areas, there’s just no substitute for real western red cedar. Real Cedar is naturally beautiful, light and easy to work with, and has physical properties that give it a natural durability and longevity that make it the ideal building material for outdoor applications. What’s more, Real Cedar is available in a variety of profiles, dimensions and grades, from the rustic charm of select knotty to clear, so you can get the exact look you want. And it’s entirely sustainable and renewable. Not bad for such an affordable product. Turn the outdoors into something great with naturally beautiful Real Cedar. For more information contact: QUALITY | SUSTAINABLE | CERTIFIED

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For your local distributor contact: 604 648 4500

1 866 778 9096

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Arauco subsidiary Flakeboard America Ltd. anticipates shutting down the particleboard plant in Springfield, Or., it is acquiring from SierraPine, Roseville, Ca. (see Feb., p. 18). The purchase, which also includes a particleboard plant in Martell, Ca., and MDF facility in Medford, Or., should close by the end of March. The Springfield mill is scheduled to close April 4, eliminating 87 jobs.

DEALER Briefs Parker Lumber, Beaumont, Tx., opened its 4th California location late last month in the former Barr Lumber , Twentynine Palms (Lori Jensen, mgr.). Mike’s Hardware & Paint , Gillette, Wy., closed Feb. 14 after more than 40 years. Owners Mike & Robynn Rothleutner bought the store from his father in 2003. Kroegers Ace Hardware , Durango, Co., has remodeled its paint department. Home Depot was forced to temporarily evacuate its Albany, Or., store Feb. 9 as a precaution, due to days of snow and ice weighing down the roof. The weight broke the building’s sprinkler system and bent several electrical conduits. Building-Products.com

ProBuild Revives San Lorenzo Lumber ProBuild will rebrand its locations in Santa Cruz, Felton and Salinas, Ca., and millwork centers in Santa Cruz and Soquel, Ca., to their original name, San Lorenzo Lumber. “We made a decision to revert back to the historical name in the Santa Cruz area,” said Jennifer Thurman, v.p. of communications at ProBuild, Denver, Co. “It has more familiarity in that community.” She noted that ProBuild’s business model in this area is different than in other markets, with more d-i-y and repair-and-remodel sales. San Lorenzo

Lumber was acquired by ProBuild predecessor Lumbermen’s in 2004.

Trinity River May Retrofit Mill

Trinity River Lumber Co. is seeking approval to partially convert its existing green lumber sawmill in Weaverville, Ca., to a dry lumber mill using a wood-fired boiler system to generate power. The manufacturer has hired a consultant to help develop the project and identify ways to ensure the long-term viability of the sawmill, which was rebuilt following a 2009 fire.

SUPPLIER Briefs Elk Creek Forest Products, McMinnville, Or., has taken over the former Forest Grove Lumber Co. property in McMinnville, Or., and will invest $400,000 in machinery to upgrade manufacturing operations. Forest Grove shut down in 2010. Universal Forest Products, Riverside, Ca., is now offering high pressure laminating services and custom solid surface fabrication. UFPI’s DCs in Riverside and Thornton, Ca., are now stocking distributors of AERT’s MoistureShield composite decking. Conifex Timber, Prince George, B.C., has completed its $4-million acquisition of distributor Lignum Forest Products, Vancouver, B.C. Boral TruExterior Trim has been certified as a Wildland-Urban Interface Product by the California Building Commission. Random Lengths released the latest version of its Big Book, an annual reference guide to the North American softwood forest products industry. NyloBoard has repurposed over a million lbs. of scrap carpet fiber to produce NyloDeck decking. APA-The Engineered Wood Association teamed with the International Code Council to publish a free, 20-page guide, “IECC Compliance Options for Wood-Frame Wall Assemblies.”

CertainTeed added five new colors to CedarBoards insulated vinyl siding and eight new colors to Monogram 46 double 5” and double 5” Dutch-lap vinyl siding. Darant Distributing, Denver, Co., and DMSi Software, Omaha, Ne., were honored for 25 years of membership in the North American Building Materials Distribution Association.

Benjamin Obdyke, Horsham, Pa., has redesigned its website, www.benjaminobdyke.com.

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March 2014

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to thank our customers for rating Ace Hardware ‘Highest in Customer Satisfaction with Home Improvement Retail Stores,’ seven years in a row.” All seven trophies will be transported in a special truck decorated with the co-op’s name and logo, plus that of J.D. Powers. Stores that participate in the tour will offer in-store promotions and incentives tied to the appearance.

Eastman Ending Perennial Wood

CO-OP will show off its hardware—trophies for seven straight customer satisfaction survey wins—during a 100-store tour.

Ace Hardware Taking Victory Lap

Ace Hardware, Oak Brook, Il., will tour more than 100 of its stores in 24 states, to celebrate its seventh straight win of J.D. Power’s Home Improvement Retailer Satisfaction Study. “We’re committed to delivering a more personal kind of helpful to our neighborhood customers each and every day,” said Ace spokesperson Lou Manfredini. “Our J.D. Power Award Neighborhood Tour gives us the opportunity

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Eastman Chemical Co., Kingsport, Tn., is discontinuing its thermally modified Perennial Wood product line and business operations. “This decision was not made based on product performance, but rather on the challenging economics of the product market,” said Tim Dell, v.p.-innovation, marketing, sales & pricing. Perennial Wood will remain available in the market while supplies last, and Eastman will honor the products’ 25-year limited residential warranty. In addition, a small number of other manufacturers— notably Accoya—will continue to produce acetylated wood. Perennial Wood distributor Snavely Forest Products, Pittsburgh, Pa., remains committed to the category and will pick up a new brand later this year once it exhausts its remaining inventory. “I have never seen a product launch as successful as Perennnial Wood,” said Clark Spitzer, v.p.-marketing for Snavely, which began supplying the product to the Carolinas in 2012 and in Maryland, Virginia, Pennsylvania and Delaware in 2013. “The market is ready for this technology, and we believe that acetylated wood is the next big thing in our product line.”

Building-Products.com

BMC Unveils New Design Division BMC, Boise, Id., unveiled its new design division with the opening of its first BMC Design Center, in Salt Lake City, Ut., and the launch of an online “inspiration gallery” on its company website, at www.BuildWith BMC.com/design. The new service, BMC Design, offers top-quality finish products with elevated customer service, additional support, and a mobile experience that builders can share with their buyers as

a valuable project-development tool. “BMC Design is all about product selection and customer experience,” said c.e.o. Peter Alexander. “You’ll be working with certified product specialists in millwork, windows and cabinetry to select your options. BMC handles everything else, with service you can count on from order to delivery.” The company plans to have design centers in each of its 16 markets

across 10 primarily western states, within the next two years.

Weyco Closing TJ Tech Site

Weyerhaeuser is closing its Trus Joist Wood Products Technology Center in Boise, Id., consolidating R&D at the tech center at its Federal Way, Wa., headquarters. TJ will vacate the building by August, and the building will be put up for sale late this year or early next, according to spokesperson Shannon Hughes. Of the center’s 77 employees, 34 will relocate to Federal Way, 23 will move to the adjacent distribution center in Boise, and 11 will remain at the tech center until new positions are identified. Nine jobs were eliminated.

APP Watch

Application: OMG INTERACTIVE Produced by: OMG Roofing Products Price: Free Platforms: iPhone, iPad, iPod Touch, Android A new app from OMG Interactive allows roofing professionals to estimate labor and materials quickly and accurately whether they are onsite, in a meeting, or at the office, simply by entering the roof parameters. Results can be shared immediately via email. The app has separate calculators for RhinoBond non-penetrating insulation, RhinoTrac automated insulation attachment tool, AccuTrac standup insulation attachment system, and RetroDrain systems. Download from www.omgroofing.com

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Building-Products.com

Deliver more deck sales. Many lumber dealers are seeing their annual deck sales increase with the use of DeckTools® software. The program is simple to learn and easy to navigate – in fact, dealers can design a deck in a few minutes, keeping them on the show ﬂoor (rather than in the backroom designing by hand). Your customers also will be impressed with your DeckTools software as they see a professional, 3D photo-quality image of their deck attached to their house. The program is customizable and includes many brand-name decking manufacturers, which makes it easy to show and sell upgrades that you stock. And it takes care of all the paperwork with quotes, take-offs and plans. DeckTools makes it easy to deliver more deck sales. Learn how by signing up for a free demonstration at (800) 999-5099 or www.strongtie.com/decktools.

Strong-Tie Company Inc. DECKTOOLS12-D

MOVERS & Shakers Ken Laughlin has resigned as president of West Coast Wood Preserving, Bakersfield, Ca., to join Nisus Corp., Rockford, Tn., supporting sales of QNAP copper naphthenate and Cellutreat DOT borate. He joined predecessor Pacific Wood Preserving Cos. in 1988. Jim Enright, ex-Murphy Engineered Wood Products, is new to Pacific Woodtech Corp., Burlington, Wa., as chief operating officer/senior v.p. Scott Eilefson, ex-Sherwood Lumber, and John Stembridge, ex-Swanson Group, have joined Pelican Bay Forest Products, Bend, Or., as traders specializing in panels, studs and lumber in California. John Neel, ex-Reliable Wholesale Lumber, has joined ProBuild, in outside sales to production framing contractors in Southern California. Kelly Brown, ex-Western Lumber, is new to sales at Norman Distribution, Medford, Or. Connie Phillips, ex-Gayle Mfg., is new to sales at Boise Cascade, Homedale, Id.

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Wade Mosby, senior v.p.-marketing, Collins Cos., Portland, Or., has retired after 43 years in the industry, the last 24 with Collins. Brandon Bowe, ex-Western Buyers, has joined the contractor sales team at Golden State Lumber, Stockton, Ca. Andrew Perkins, ex-Reliable Wholesale Lumber, is new to framing hardware sales at Grove Construction Hardware, Vista, Ca. Mark Preece and Rosa Medrano, both ex-Weyerhaeuser, have joined the sales team at Redwood Empire, Carlsbad, Ca. Bob Handegard, exGeorgia Pacific, is now handling commodities purchases at the Lake Oswego, Or., office. Dave Halsey has been promoted to president of Patrick Lumber Co., Portland, Or., succeeding Jim Rodway, who is retiring at the end of the year after 35 years with the company. Chris McCasky has been appointed regional mgr.-Southern U.S. for SCS Forest Products, Englewood, Co.

March 2014

Paul Haas is now western Washington territory sales mgr. for Northwest Door, Frederickson, Wa. Brian Bruley is store mgr. of the new Lowe’s in Yakima, Wa. Jesse McLean, Roseburg Forest Products, Riddle, Or., has been promoted to hardwood plywood sales. Mark Warriner, Simi Valley, Ca., is now repping Milgard Windows & Doors in Southern California. Rick Wissmiller, ex-Canyon Creek Cabinet Co., is now Portland, Or., district sales mgr. for VELUX. Denise Merle has been appointed senior v.p.-human resources for Weyerhaeuser, Federal Way, Wa., replacing John Hooper, who has left the company to join StanCorp Financial Group, Portland, Or. John Enlow, ex-Rayonier, is new as v.p.-Southern timberlands. Dustin Petty, ex-Younger Brothers’ Builders Express, is the new operations mgr. at window manufacturer Avanti Industries, Scottsdale, Az. Minara El-Rahman is now social media marketing mgr. for Simpson Strong-Tie, Pleasanton, Ca.

Building-Products.com

Rachel Gawley is a new merchandising operations coordinator for Orchard Supply Hardware, San Jose, Ca. Todd Buehl has been promoted to chief financial officer and treasurer of ABC Supply Co., Beloit, Wi., effective April 1. He succeeds Kendra Story, who is retiring after 32 years with the company. Chad Hurliman, ex-Boise Cascade, has been named production support mgr. for Marvin Windows & Doors, Baker City, Or. Nathan Weibel, ex-Henry Co., is new to insulation sales at Service Partners division Apec Supply, Tumwater, Wa. Elijah Wilkes, ex-Newell Rubbermaid, is new to Henry Co., as San Mateo, Ca.-based western regional sales mgr. Meagan McCoy Jones has been promoted to senior v.p. and chief operating officer at McCoy’s Building Supply, San Marcos, Tx. James Lewallen is now v.p. of culture & customer experience, and Waylon Walker, v.p. of store operations. Dallin Brooks has been promoted to executive director of the Western Wood Preservers Institute, Vancouver, Wa., succeeding Ted LaDoux, who has retired after 11 years with WWPI. Butch Bernhardt, ex-Western Wood Products Association, is now program & communications mgr. Dominic Gammiero has retired as chairman and director of Western Forest Products, Vancouver, B.C. Lee Doney is the new chairman. James Arnold has been named Denver, Co.-based director of product development for Kemper System America, W. Seneca, N.Y. Brad Finck has resigned as senior v.p.-business development at Cadsoft, Guelph, Ont., but remains on the board, while joining Renoworks, Calgary, Alb., as v.p. John Williams, president/c.e.o., Domtar, was elected chairman of the American Forest & Paper Association. Milt Herbert, founder of Herbert Lumber Co., Riddle, Or., was honored with this year’s Legacy Award from the Douglas County Museum, Roseburg, Or. Earl Lee Riser has joined the opening crew at Mungus-Fungus Forest Products, Climax, Nv., report coowners Hugh Mungus and Freddy Fungus. Building-Products.com

Call It The Fun Side of Cedar. Who says siding has to be all about straight lines and uniform color? Specialty profiles of Western Red Cedar siding such as Haida Skirl add personality and individuality to your home. And that’s something no cement or plastic siding can do. Western Red Cedar gives you natural durability, long lasting street appeal and surprisingly little maintenance. Which leaves more time for the fun things in life. Make the right choice for your business, your customers and your environment. Western Red Cedar offers dependable performance, unmatched beauty and superior environmental credentials to composite decking and other man-made products. The choice of discerning builders and consumers alike, Western Red Cedar adds warmth, character and value to projects and significant returns to your business.

1.866.778.9096 www.wrcla.org To learn more about Haida Skirl or to place an order, contact us at 604-437-3434 or info@haidaforest.com

www.haidaforest.com THIS AD WAS DEVELOPED AS PART OF THE WRCLA’S JOINT PROMOTION PROGRAM. FOR MORE INFORMATION CONTACT THE WRCLA.

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NAWLA Changes Leadership Gary Vitale has stepped down after five years as president and c.e.o. of North American Wholesale Lumber Association, and the board has appointed association management group SmithBucklin, Chicago, Il., to provide short-term support. SmithBucklin’s Marc Saracco will serve as interim executive director. Plans regarding permanent management of NAWLA will be announced following the board meeting later this month. NAWLA chairman Rick Ekstein,

Weston Forest Products, said the change was made “to support NAWLA’s continued growth and evolution.” He explained, “Consolidation in our industry and the recent downturn in the housing market have forced us to look inward, and really determine what services our members require, and evaluate our ability to deliver them. Our goal has been to modernize our technology and communications efforts, develop alternative revenue sources, and bring continuously improved educational and net-

working opportunities.” SmithBucklin previously has provided full-service management services to National Lumber & Building Material Dealers Association, North American Building Material Distribution Association, North American Association of Floor Covering Distributors, and Window & Door Manufacturers Association.

Lumber Supplier to Hollywood Fades into Sunset

After nearly seven decades in business, Southland Lumber & Supply Co. shut down early last month. Based in Inglewood, Ca., the company was one of the leading suppliers of lumber to the entertainment industry. “It has become too difficult to keep going with the big features being taken out of state,” said co-owner Johnny Crowell. “It became too much for us to overcome.” Crowell’s father started the company in 1946 and by the late 1970s was selling lumber not only to contractors, but also to studios building sets for filming in the L.A. area. By the time movie production in the area peaked in the late 1990s, Southland was generating as much as $7 million a year in lumber and hardware sales for film and TV projects—including Jurassic Park and Pirates of the Caribbean. According to Crowell, annual sales have fallen to $3 or $4 million because film production has left California to take advantage of more generous tax breaks in other states. “I would love California to wake up and think how important this industry is to small businesses like us,” he said.

Wood Windows Keep Pace

Wood window production is forecast to rise 12% from 8.2 million to 9.2 million units this year, capturing 18% of the total U.S. window market, according to the recent Wood Products Almanac. Of the 2014 total, 4.1 million units will be used in new construction, 5.1 million for remodeling or replacement. The total U.S. window market is predicted to rise from 46.1 million units in 2013 to 52.5 million in 2014 and 57.5 million in 2015, with the biggest gains in vinyl and fiberglass. The U.S. wood window market remains relatively fragmented, with the top 50 manufacturers holding 70% of the market. The top suppliers are Andersen, Jeld-Wen, Masonite, Pella and Marvin.

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March 2014

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50-Year-Old Reno Yard Closes

Valley Building Materials, Reno, Nv., closed Feb. 28, with the retirement of 90-year-old owner Romeo Rosaschi. Rather than sell the business he bought in 1964, Rosaschi decided to instead auction off the property and remaining inventory through Baxtin Auctions on March 15.

Weyco Upgrades Software

Weyerhaeuser, Federal Way, Wa., has released version 4.5 of its Stellar dealer operations software, with changes that extend cut optimization and inventory management capabilities to all Trus Joist stocking dealers. Weyco also has added a fourth saw option—EasyPack—to its line of NextPhase Site Solutions, a comprehensive package combining Trus Joist products, services, software, and fabrication equipment to optimize component manufacturing for dealers.

Interfor Buys Tolleson Mills

International Forest Products, Vancouver, B.C., has agreed to purchase southern yellow pine manufacturer Tolleson Lumber, Perry, Ga., for $180 million in cash and stock from

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Ilim Timber Continental SA. The addition of Tolleson’s mills in Perry and Preston, Ga., will increase Interfor’s capacity by about 20%, to 2.6 billion bd. ft. The deal, set to close in the first quarter, includes $129.9 million plus 3.68 million shares, giving Ilim a 5.5% stake in Interfor. As a result, Ilim will nominate its recently retired c.e.o., Paul Herbert, to the Interfor board.

Home Improvement Stores Trail Other Retailers

Compared to other retailers, the home improvement and remodeling industry scored below-average marks in Planese Inc.’s 2014 Consumer Satisfaction Survey. The survey, which asked questions about quality, convenience, stress and ease of researching the purchase, found that grocery stores offer the most predictable consumer experience. Markets also ranked first in “meeting expectations” (84%). Home improvement/remodeling (36%) finished second to the last, outpolling only the government (32%). Dan Fritschen, founder of www. remodelormove.com, explained,

“Home improvement and home remodeling have fewer consumers reporting that the product and service met their expectations frequently because consumers are inexperienced with buying these goods and services. Therefore, they haven't calibrated their expectations with the realities of the remodeling process and typical results.”

CertainTeed Airs Web Series

CertainTeed, Valley Forge, Pa., has launched a webisode series featuring the grand-prize winner of its 2013 Living Spaces contest. The series will document the $75,000 exterior makeover of the Bielfelt family’s 100-year-old home in Mentor, Oh. To get the project going, the family will select which CertainTeed products to use, including Cedar Impressions and Monogram siding, Restoration Millwork trim, EverNew decking and railing, Bufftech fencing, and Landmark Pro roofing. CertainTeed also released a new music video, “Sleeping on My Porch,” which was created in conjunction with the webisode series to showcase the homeowners’ excitement about the transformation of their home.

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Sierra Pacifc Repaid for Moonlight Fire Case Costs

A judge has ordered the state of California to pay more than $24 million to Sierra Pacific Industries, Redding, Ca., for attorneys’ fees and costs incurred while defending against the Moonlight Fire lawsuit. “This is a significant victory for SPI and the other defendants in the case” said spokesman Mark Pawlicki. “Although the vast majority of Cal Fire employees conduct themselves with professional integrity, the inves-

tigators on this fire did not live up to that high standard.” The state and several private plaintiffs had alleged that a contract logger hired by SPI had negligently started the Moonlight Fire on Sept. 3, 2007, on private property, which spread to the Plumas National Forest and other private holdings. The court also found that the California Department of Forestry and Fire Protection (Cal Fire) “engaged in the pervasive and systematic abuse of California’s discovery rules in a mis-

TREATERS

guided effort to prevail against these defendants.” The court added that had Cal Fire “testified truthfully from the start, as required, defendants would have likely spent nothing, or very little, as the case most likely could not have advanced.” SPI’s lead attorney in this case, William R. Warne, said that, “after four years of litigation, we are relieved and thankful that justice has finally been done. The court’s orders speak for themselves.”

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March 2014

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BOISE CASCADE GOLF Photos by The Merchant

BOISE CASCADE Building Material Distribution, Riverside, Ca., hosted its 3rd annual golf tournament Feb. 21 at Black Gold Golf Course, Yorba Linda, Ca. [1] Eric Grandeen, Scott Whitman, Chris Wischmann, Craig Larson. [2] Jason Womack, David Abbott, Dave Miller, David Frick. [3] Mark Farrow, Josh Lewis, Mike Kuntzman. [4] Bill Sullivan, Bob Golding. [5] Sergio Paz, Troy Staufenbeil, Dave Vigil. [6] Ryan Mitchell, Don Leisy, Darin Myers, Javier Medina. [7] Bryan Schuyler, Paul Corso, Building-Products.com

Miguel Hernandez, Scott Middaugh. [8] Ed Miron, Clayton Mattox, Robert Clarke. [9] Debbie & Chris Quezambra, Ed Russell. [10] Chris Thoman, Ashton Avarell. [11] Jeff Stevers, Tom Martin. [12] Matt Latendresse, Danny Caccavale. [13] Tom Foote, Kevin Ulibarra, Pat McCumber, Bryan Callaw. [14] Nick Smith, Charmaine Jennings, Josh Sneckner. [15] Alan Schall. [16] Bill Shadden, Lynn Bethrum, Dave Simpkins, Tom Hoffmann. (More photos on next two pages) March 2014

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BOISE CASCADE GOLF Photos by The Merchant

BOISE CASCADE GOLF (continued from previous page): [1] Fernando Gonzalez, Cipi Covarrubias, Joe Lozano, Jose Covarrubias. [2] Ron Hillman, Kathy Rutledge, Dan Croker. [3] Randy Jackson, Mike Mische. [4] John Cook, Steve Sadler, Marshall Gremard, Ron MacAskill. [5] Brett Van Matre, Pete Nevins,

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Jeff Van Matre, Kirk Van Matre. [6] Tyrone Smith, Shawn Knight, Rex Klopfer, Jim Nicodemus. [7] Brad Moultin, Joe George, Gina Alvarado, Stuart Mann. [8] Brad Lynn, Ryan Bailey, Pat Hawthorne. [9] Mike Caputo. [10] Angel Cano, Brian Armstrong, Chris Gross, Glenn Freeman. [11] Nate Johnston,

March 2014

Joe Morin. [12] Tom Kantzalis, Greg Kantzalis. [13] Kim Wood, Matt Deitchman, Bob Derham, Lance Devol. [14] Neil Eibeler, Bill Wagter, Jay & Holly McArthur. [15] Dale Struiksma, Mike Struiksma. [16] Brad Struiksma, Matt Struiksma. (More photos on next page) Building-Products.com

BOISE CASCADE GOLF Photos by The Merchant

BC GOLFERS (continued from previous two pages): [1] Chuck Casey, Mike Bland. [2] Jim Moss, Jesse Jackson. [3] Mike Olsen, Chris Rebolledo. [4] Dick Strachan, Mike Leon. [5] Rolando Noriega. [6] Ian Murphy, Heath Stai, Craig Huendorf, Bob Organ. [7] Jeff Dahl, Carlos Gonzalez, Steve King. [8] Gavin Morris, Omar Diaz, Chris Johnson. [9] J.C. Lopez. [10] Brian Nakao, Lan Vu. [11] Wayne Murray, Sam Spaulding. [12] Gary Carpendale, Erik Ackroyd. [13] Mikael Cook. [14] Greg Bates. [15] Rock Lee.

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With Cascadia decking, the unsurpassed natural beauty of Western Red Cedar is matched with Terminal Forest Products’ renowned manufacturing quality. This creates a product that is beautiful, functional, and eco-friendly. Cascadia decking is made from a 100% renewable and sustainable North American resource unlike PVC and composite decking, which is largely made from non-renewable petroleum products. Third-party life cycle analysis clearly shows WRC decking as the best environmental choice for decking: WRC significantly outperforms sustitute products in every environmental measure. Distributed by

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Superior Service, Products & Support March 2014

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NEW Products

Expanded Views

True-Look Composite Shakes

Arcella composite shakes from Inspire Roofing Products carry a Class A fire rating. Four colors—aged cedar, new cedar, cedar brown, and weathered gray—have shade variations for a natural look. To enhance the natural, handcrafted look, 5”, 7-1/2”, and 10” shake widths are available.

 INSPIREROOFING.COM

Kolbe’s VistaLuxe collection now includes a multispan sliding door. Intended for large openings—up to 24’ wide and 10’ tall—the doors help erase the boundaries between inside and outside living spaces. They can either stack open or pocket into a wall. On request, doors can also be manufactured as custom corner units. The extruded aluminum-clad exteriors can be painted in standard, custom, and new mica colors. Interiors are made of wood, including bamboo and other sustainably harvested species..

 KOLBE-KOLBE.COM (715) 842-5666

(800) 971-4148

Upgraded Sizing Software

Smarter Insulation

Weyerhaeuser has launched Forte 4.5, a free program that performs load calculations and identifies sizing for Trus Joist engineered wood products and other material for use in joist, beam, post and stud applications. New features include expanded hole analysis capabilities, concentrated live loads, and product updates.

SmartBatt fiberglass insulation from CertainTeed uses MoistureSense technology to adapt to changing humidity. The product blocks moisture when humidity is low and releases moisture when humidity becomes high. It is ideal for crawlspaces, basements, bathrooms, laundry rooms, kitchens and exterior walls—any place traditional kraft-faced insulation is typically used.

 WOODBYWY.COM

 CERTAINTEED.COM (800) 233-8990

(888) 453-8358

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March 2014

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Priming into Wood

Stainable Primer from Arnon Fasteners transforms any surface into a stainable wood surface. The product contains real wood, so the treated surface can be stained or painted. It can even be used on an existing finish, without sanding.

 STAINABLEPRIMER.COM (770) 728-1661

Versatile Hex Screw

TimberHex screws from Screw Products are designed for log homes, trusses, and other interior and exterior applications. The 5/16” hex-head screws range in size from #14x4” through 14” long and #17x5” through 11” long. Made of heat-treated, hardened steel, the fasteners are corrosion resistant and compatible with treated lumber.

 SCREW-PRODUCTS.COM (877) 844-8880.

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Respecting the forest, honoring the past, building the future. A nation’s pride you can build on.

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Sturdy Mounting Blocks

SturdiMount blocks from The Tapco Group offer a solid, even, crack-proof surface for the mounting of outlets, vents, gas lines, and light fixtures. Pre-assembled and pre-flashed, the blocks are secured into place before installation of fiber cement siding, stucco, and wood cladding, to ensure architectural uniformity and optimum water management. Available in white, with a realistic woodgrain, the blocks can be painted to match or blend with any siding material.

 THETAPCOGROUP.COM (800) 521-8486

Bright Deck & Porch Lighting

Feeney’s new LED rail light kit is designed to recess into the underside of the top and bottom rails of the company’s DesignRail product. Two lengths are available: 21” and 32”. Snap-on frosted lens on each LED lamp evenly diffuse light over outdoor porch and deck areas. A power kit, required for installation, includes either a 35-watt or a 60-watt, 24-volt driver.

 FEENEYINC.COM (800) 888-2418

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Composite Deck Tiles

Deck-A-Floor outdoor flooring kits from NewTechWood can turn any flat, solid surface into a professional-looking deck. The capped, composite deck tiles don’t need sanding, painting or staining. Individual tiles snap into premade grills, without the use of joists or screws. Colors include teak, walnut and gray. Borders and designs can be made using multiple kits and colors.

 NEWTECHWOOD.COM (866) 723-5673

Moisture-Resisting Subfloor

RigidCoat plywood underlayment from Roseburg Forest Products has a water-repellant coating that blocks up to 40% moisture absorption. The coating extends from the top of each 8’-long panel to the tongue-and-groove edges. Floor coverings can be applied directly over the underlayment. Made from Douglas fir and other western species, the veneer is fully sanded for uniform thickness.

 ROSEBURG.COM (800) 245-1115

Thicker Exterior Trims

Boral TruExterior Trim now has a 2x profile (1-1/2” actual thickness) in nominal widths from 4” to 12”. The proprietary fly-ash and polymer blend helps prevent rotting, splitting and termite damage, but does not require additional priming or end-sealing.

 BORALTRUEXTERIOR.COM (888) 926-7259

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Gap-Free Deck Tool

Capstock Decking

MoistureShield Pro capstock composite decking from AERT resists fading, staining, scratching and is slip-resistant. An exclusive manufacturing process encapsulates wood fibers in polyethylene plastic, ensuring moisture protection to the core of each board and allowing installation on the ground, in the ground, or underwater. Resistant to slips, scratches and stains, the boards come in 12’, 16’ and 20’ lengths, plus coordinating trimboards, and three variegated colors: ipé, Brazilian chestnut, and graystone.

Simpson Strong-Tie’s StrongWall SB shearwall provides greater lateral-force resistance for garage portals, large openings, and other residential and multi-family applications. Dimensions range from 12”x7’ to 24”x20’ for standard, portal, two-story stacked, balloon-framing, and rake-wall uses. Each one is field-trimmable. Convenient drill zones and a chase for wiring make it easy to fasten to headers.

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Stronger Shearwalls

National Nails’ CAMO Marksman Edge delivers no-gap installation of treated wood decks. The tool attaches to any drill to provide secure, side-angle fastener entry, with no splinters. It can also work with secondary spacers when a project requires gaps. A built-in driver bit controls the depth of drive.

 NATIONALNAIL.COM (800) 968-6245

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Fiberglass Entries

ProVia’s 8’ Signet fiberglass entry door has a solid, integrated frame with hardwood stiles and rails that are dovetailed and glued at each corner. A 4-1/4” fingerjointed fourply hardwood strike stile provides a solid mounting surface for decorative hardware. It comes in a variety of styles and hand-applied finishes (cherry, mahogany, fir and oak).

 PROVIAPRODUCTS.COM (877) 389-0835

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ASSOCIATION Update Mountain States Lumber & Building Material Dealers Association named Bill Moore, Moore Lumber & Hardware, Bailey, Co., 2013 Lumberman of the Year. Dan Lowe, Alpine Lumber, Parker, Co., was named president. Other new officers are president-elect Richard Goering, ShingleCorp, Lakewood, Co.; immediate past president Dennis Gardner, Orepac Building Products, West Valley, Ut.; secretary Paula Ervin, Randall Lumber & Hardware, Taos, N.M., and treasurer Dena Cordova, BlueTarp Financial, Colorado Springs, Co. New board members are national director Max Guetz, Alpine Lumber, Parker, Co.; national 1st chair Scott Yates, Denver Lumber, Denver, Co.; director & national alternate Walter Foxworth, Foxworth-Galbraith Lumber, Plano, Tx.; director Richard Goodman, Probuild, Grand Junction, Co.; director John Martin, A.D. Martin Lumber, Riverton, Wy.; associate director Jim Disaverio, Allweather Wood/Humboldt Redwood, Loveland, Co., and council chairman Sam Yates, Denver Lumber, Denver.

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Western Building Material Association will present an estimating workshop March 11-12 at the association’s Kincaid Learning Center, Olympia, Wa. During WBMA’s recent convention at Tulalip Resort, Marysville, Wa., Mike Werner, Builders Alliance, Bellingham, Wa., was installed as the new president. New 1st v.p. is Steve Kerr, Kerr Ace Hardware, Brookings, Or., and 2nd v.p. Charley Miller, Miller Lumber, Bend, Or. The Dealer of the Year Award was presented to Bill Mackie, Madison Lumber, Ketchikan, Ak. Tom Rider, BlueTarp Financial, was honored as Supplier of the Year. West Coast Lumber & Building Material Association will host its annual Southern California golf tournament April 10 at Black Gold Golf Course, Yorba Linda, Ca. The annual dealer/associate golf tournament is scheduled for June 5 at Rancho Solano Golf Club, Fairfield, Ca. The association will add an online buyers guide to its website. A printed

edition of its membership directory will be available, in addition to an online version. Western Hardwood Association has scheduled its 2nd annual international convention and expo for May 19-22 at Holiday Inn Airport, Portland, Or. Mike Snow, American Hardwood Export Council, will deliver the keynote address on markets and economic outlook. Other speakers will be Gordon Culbertson, Forest2Market, on export markets, and Scott Leavengood, Oregon State University, on innovation in wood use. Structural Insulated Panel Association will meet April 29-May 1 at Marriott Pampano Beach Resort & Spa, Pampano Beach, Fl., for its annual meeting and convention. The keynote speaker will be Ron Jones, president and co-founder of Green Builder Media. Architect Sam Rashkin, Department of Energy, will discuss net-zero-training. Other highlights are announcement of the winners of SIPA Building Excellence Awards and a trade show with industry suppliers.

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FAMILY Business By Wayne Rivers

Are you frustrated with the younger generation?

generation family business members report that they’re frustrated, even disillusioned, with their potential successors. They say their successors just don’t seem to have the necessary levels of commitment to the business, and don’t appear to be inclined to learn all the things they need to know. In comparison to the senior generation, they’re lazy and disinterested in learning or coaching. When young people agree to join their parents or grandparents in the family enterprise, they may or may not realize that in doing so they’re immediately 100% vested with the hopes, fears, and aspirations of the senior generation. They become the foundation upon which the legacy of both the family and the business will be constructed. That increases the pressures the senior generations feel when they begin to consider backing off and slowing down. Let’s take a quick look at some of the common frustrations family business parents feel and, more importantly, what to do about them. ANY SENIOR

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“My kids don’t seem to have the same work ethic I did when I started out. They’re just not willing to put in the hours necessary.” Today’s young people definitely have a different view of the amount of work hours it takes to be successful in business. This lament is almost universal in family enterprises when the generation gap becomes apparent. There is a different societal norm for today’s 30-something family business executive. They are expected to be every bit as dedicated as their parents were, while simultaneously being expected to be at every dance recital, Little League game, and school pageant. They also expected to help out around the house with the children, the chores, the car pooling, etc. Here are two simple suggestions. First, develop the measurable, or metrics, by which you’ll evaluate your successors in their jobs. If they can get all the requirements of their jobs done at an acceptable level in 40 hours a week, they shouldn’t necessarily be

March 2014

expected to hang around an additional 20 or 30 hours. If they’re coming up short in their job performance, you’ll have objective criteria for evaluation and corrective action. Second, help your kids understand your position by exposing them to senior generation peers in a different family business. We’re not suggesting you send them there for employment, just talk. Hearing the perspective of other senior generation family business leaders could be valuable in opening the eyes of your children so they can understand the kind of work effort it truly takes to manage a thriving, growing enterprise. Senior generation family business members must understand that it’s a different day. Today’s spouses won’t tolerate husbands or wives who are workaholics and rarely participate in normal, everyday family activities. This is already apparent to some family business leaders. One commented that he was torn between his desire for his son to be in the office 80 hours a week and wanting him to be at home taking care of the grandchildren. By virtue of the amazing amount of hours and hard work you put in, your kids may not have to work as hard as you did. That’s a part of your gift and legacy to them. “My kids just don’t seem to get it. They understand the operations side of the business, but they have no clue about the financials and the needs for a healthy balance between customer fulfillment and the bottom line.” This frustration could stem from a simple lack of training or low skills development. The first step for improvement is to give your kids a skills assessment, or engage in gap Building-Products.com

analysis to figure out where they’re weak. Create a formal training plan for them to strengthen areas that need improvement. It could be something as simple as having your children sit down with your chief financial officer for one hour per week for tutoring, or you can engage in a more formal training plan by having them attend evening MBA classes or take other training courses. It’s also important to chart out a career path for your successors so they’ll know what jobs they’ll need to master in the family business before they’ll be eligible to be senior managers. They’ll need immersion in all three functional areas: operations, sales and marketing, administration and finance. If they’re subpar in their understanding of any area, they’ll have a hard time maximizing the family company’s success. “Frankly, I’m not sure my kids have what it takes to be successful in this or any other kind of business.” This is a difficult thing for a parent to consider, but it may be that your kids are simply not competent to run a business on their own. A family business owner who was a football coach in a previous career put it this way: “When I coached football, I learned that parents aren’t objective about their children. Every parent thought their kid should be the star quarterback.” It’s awfully hard to be genuinely objective about our own children. If that’s a concern, you should undertake formal and informal analysis of your children’s competence. There are many types of assessment tools for testing intelligence, business aptitude, personality type, problem solving ability, etc. You can also talk bluntly about your children’s futures (quietly and respectfully, of course) with your advisors and board members. If you come to the conclusion that your children may not be competent to run the business successfully, it’s incumbent on you as a steward to tailor your succession plan so it’s not dependent on your kids. You must take steps to protect your own financial future, as opposed to taking the grave risk of turning your company over to children incapable of running it.

always having minor differences over what to watch on television, where to sit at the dinner table, or whether or not the other’s acquaintances were appropriate. Mom and Dad were always around to referee and buffer between the children. When things got out of hand completely, parents exercised their moral authority, coupled with their physical size advantage, to march the children off to their rooms or ground them. Unless the children have received formal conflict resolution training, they have few real tools for getting along with their siblings now that they’re grown. The fact is they have a lifetime of experience of not getting along with their siblings and having someone else mediate a solution. Get them formal communications education, and maybe even a coach, to help them understand each other better and find common ground. One surefire observation about frustrations between the generations in family companies: It always relieves stress on the family and the business to take decisive action. Whether it’s formal financial training, communication skills training, developing specific and measurable criteria by which you can evaluate your successors, or simply having your children talk to a senior generation family member from another company, taking action is the best recipe. The worst thing the family can do is to have both generations stew in their frustrations over long periods of time, with no resolutions in sight. That’s a prescription for both family disharmony and business disaster. – Wayne Rivers is president of the Family Business Institute, Raleigh, N.C. 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.

“My kids are very smart, and I know they have the ability to run this company, but they just have a different level of desire. I’m worried about their lack of passion for the business.” This frustration has several different sources. First, your successors may have a very different personality from you and may express their passion in ways that seem unclear or even strange. Some personalities, while they feel emotions as strongly as anyone else, simply don’t express them outwardly. Second, successors could be unclear about their own goals. They may not be sure about their own long-term career aspirations or whether or not they want to start a family now or later. Third, they may not see a clear path for themselves. While the senior managers may have a mental outline of a career path for junior executives, that doesn’t mean it’s been effectively communicated. It could be a case of definitions that aren’t well aligned. Understanding a successor’s personality and having clear, well-defined career goals will allow you to get a better handle on a successor’s commitment. “My kids are smart and ambitious, but they can’t get along. They are always bickering over one little thing or another.” Why would you expect your kids to get along? They didn’t when they were young. If you look back, they were Building-Products.com

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IBS Photos by The Merchant Magazine

INTERNATIONAL BUILDERS SHOW hit the Las Vegas Convention Center, Las Vegas, Nv., Feb. 4-6. [1] David Crandall, Hugh Paarmann. [2] Alan Tindall, Tony Groh, Toby Bostwick. [3] Jack Hudson, Tom Taylor. [4] Scott Wills, Dave Peterson. [5] Peter M. Busichio, Brent Gwatney, Peter W. Busichio.

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[6] Dan Carter, Denise Bough, Ralph Guthrie. [7] Tom Angel, Shannon Mott, Jerry Higman, Dave Bufe, Randall Richards. [8] Kevin Brennan, Craig Hyatt. [9] Chuck Rigoni, Dan Beatty, Craig Young, Rick Sanders. [10] Drew Kappus, Mike Carver, Tom Hart. [11] Jim Gross, Jason Grommen. [12] Tom

March 2014

Zimmerman, Allyson Ludewig, Sid Taylor. [13] Chris Salvador, Brent McCutcheon, Dustin Schroeder. [14] Larry Boyts, Loren Graber, Steve Cripe, Ken Hotchkiss, Scott Jarrett. [15] Doug Morse. [16] Bill Nugent, Jon Bailey. (More photos on next three pages) Building-Products.com

IBS Photos by The Merchant Magazine

IBS IN LAS VEGAS (continued from previous page): [1] Ian Murphy, Jeff Sturdivan, Jim Reyes. [2] Garnett Douglass, Melissa Morinelli. [3] Joel Cone, Richard Lam. [4]

Craig Jacks, Heather Sandoval, Derrick Morris. [5] Tony Saad, Simon Adnet, Jean-Marc Dubois. [6] Shari Bell, Marty Ruch. [7] Bruce Bunn, Kalvin Eden, Kylie Kessell, Chris Strong.

[8] Jackson Chen, Stan Kao. [9] Jocelyn Gomez, Alan Oakes. (More photos on next two pages)

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IBS Photos by The Merchant Magazine

MORE IBS (continued from previous two pages): [1] Chris Johnson, Uli Walther, Frank Grynkiewicz, Jacek Romanski. [2] John Assman, Matt Klone, Mike McDonnell. [3] Bill Bevacco, Julie Rathjen, Jerry Leddin, Tom Cook, Dave Nixon. [4] Jim MacInnis, Ed Mikowski, Mark Challinor. [5] Brianne Franchi, Joe Russell, Kirk Evanov, Carol Lyn Groce. [6] Gary Hayes, Robert Spaulding. [7] Howard Rothstein, Kim Pohl. [8] Greg

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March 2014

Wells, Amy Warren, Heather Crunchie, Katy Tomasulo. [9] Nicole Hill. [10] Kristina Steeves, Alan Oakes, Tess Lindsey. [11] Arvy Chadha, Laryssa Rose, Matt Sisman, Mike Pidlisecky. [12] Mike Booth, Traci Rizzo, Brett Collins. [13] Brian Orchard, Bo Bryant, Phil Lail, Jay Lattanzio. [14] Jim Miller. [15] Barry Schneider, Chuck Casey. (More photos on next page) Building-Products.com

IBS Photos by The Merchant Magazine

Gangemi. [7] Patrick Slarko, Dr. Pete Mrosik, Robert Thiroff. [8] Miguel Gonzales, Gaby Huerta, Tom Tamlyn. [9] Daryll Martin. [10] John Cooper, Brendt Dudley, Shawn

Herrington. [11] Albert Renaud. [12] Rich Maurer, Pam Corn. [13] Jessica Nacascues. [14] Katy Heaton, Jonathan Wierengo. [15] Brett Kelly.

MORE IBS (continued from previous three pages): [1] Vanessa Carrano, Mike Rodenhaus, Dan Ivancic, Katie Linkens. [2] John Forbis, Ken Logue, Dennis Coffey. [3] Marc Maniaci. [4] Jim Seeger, Brian Stuk, Joe Holt. [5] Joe Biss, C.W. St. John, Jens Busse. [6] Dave Hughes, Amy O’Hara, Adam Building-Products.com

March 2014

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IN Memoriam Donald Phillip Thom, 85, retired owner of Bruce Bauer Lumber & Supply, Mountain View, Ca., died Jan. 26 in Mountain View. Mr. Thom bought the business— then located in San Carlos, Ca.—from his father-in-law in 1966. In 1971, he acquired a second location when he bought out Bickell Brothers Lumber, Mountain View. He retired in 1989 and the San Carlos location closed in 1991, due to a railroad expansion. Frank Franciscovich, 82, longtime Pacific Northwest lumberman, died Feb. 9. A graduate of the University of Oregon, he spent two years as an

artillery lieutenant in the U.S. Army. On his return to the Northwest, he joined U.S. Plywood/Champion International, wholesaling building materials for 35 years from 10 different cities and six states. In 1991, he became general manager of Exchange Lumber, Spokane, Wa., retiring at the end of 1995. Jean Agnes Bjorn, 87, retired coowner of Langley Building Supply, Whidbey Island, Wa., died Feb. 7 in Edmonds, Wa. She operated the store with her late husband, Phillip. Greg Riley, 64, industrial sales technical rep at RedBuilt, Boise, Id.,

died Jan. 25 of an apparent heart attack. After earning a business degree at Western State University, he worked for uranium mining companies in Colorado, New Mexico and Idaho. Before joining RedBuilt, he worked for Trus Joist MacMillan. Lorrayne Violet Simonson, 90, former co-owner and bookkeeper for Simonson Lumber Co., Smith River, Ca., died Feb. 13 in New Meadows, Id. She started the company with her husband, Leland, in 1950. They sold the business in 1979 and began a land development company, Simpco Lands.

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DATE Book Listings are often submitted months in advance. Always verify dates and locations with sponsor before making plans to attend. Western Building Material Association – March 11-12, estimating workshop, Olympia, Wa.; (360) 943-3054; www.wbma.org. Budma 2014 – March 11-14, international construction fair, Poznan, Poland; (317) 293-0406. Greenprints – March 12-13, Atlanta, Ga.; www.greenprints.org. Pacific Northwest Association of Rail Shippers – March 12-13, conference, Portland, Or.; pnrailshippers.com. Redwood Region Logging Conference – March 13-15, Redwood Empire Fairgrounds, Ukiah, Ca.; (707) 443-4091; www.rrlc.net.

Pasadena Home Show – March 22-23, Pasadena Convention Center, Pasadena, Ca.; (888) 433-3976; acshomeshow.com. North American Wholesale Lumber Association – March 30April 1, leadership summit, Lodge & Spa at Callaway Gardens, Pine Mountain, Ga.; (847) 870-7470; www.nawla.org National Lumber & Building Material Dealers Assn. – March 31April 2, spring meeting & legislative conference, Arlington, Va.; (202) 367-1169; www.dealer.org. Window & Door Manufacturers Assn. – March 31-April 2, legislative conference, Arlington, Va.; (800) 223-2301; www.wdma.com. Contra Costa Home & Garden Show – April 4-6, Sleep Train Pavilion, Concord, Ca.; www.capitalshowcase.com. American Coatings Assn. – April 7-10, show, Georgia World Congress Center, Atlanta, Ga.; (888) 433-3976; www.paint.org.

Mountain States Lumber & Building Material Dealers Assn. – March 14, products expo, Crowne Plaza Denver Interna-tional Airport/JQ Hammons Convention Center, Denver, Co.; March 15, board meeting, Denver; (800) 365-0919; www.mslbmda.org.

Dubai WoodShow – April 8-10, international wood & wood machinery show, Dubai International Convention & Exhibition Centre, Dubai, UAE; www.dubaiwoodshow.com.

Washington Contract Loggers Association – March 14-15, annual meeting, Spokane, Wa.; www.loggers.com.

North American Wholesale Lumber Assn. – April 10, regional meeting, Vancouver, B.C.; (847) 870-7470; www.nawla.org

Inland Empire Home Show – March 14-16, Ontario Convention Center, Ontario, Ca.; (888) 433-3976; www.acshomeshow.com.

West Coast Lumber & Building Material Association – April 10, golf tournament, Black Gold Golf Club, Yorba Linda, Ca.; (800) 266-4344; www.lumberassociation.org.

Sonoma County Home & Garden Show – March 14-16, Sonoma County Fairgrounds, Santa Rosa, Ca.; www.sonomacountyhomeshows.com.

Home & Garden Show – April 11-13, San Mateo Event Center, San Mateo, Ca.; www.worldclassshows.com.

International Home & Housewares Show – March 15-18, McCormick Place, Chicago, Il.; (847) 292-4200; www.housewares.org.

Transload Distribution Association – April 12-14, conference, Hilton, Rosemont, Il.; (503) 656-4282; www.transload.org.

Panel & Engineered Lumber Conference & Expo – March 20-21, CNN Hotel, Atlanta, Ga.; (334) 834-1170; www.pelice-expo.com.

Western Forestry & Conservation Assn. – April 16, access & easements workshop, Springfield, Or.; www.westernforestry.org.

South Bay Home & Garden Show – March 21-23, Long Beach Convention Center, Long Beach, Ca.; www.homeshowconsultants.com.

National Wood Flooring Assn. – April 16-19, wood flooring expo, Music City Center, Nashville, Tn.; www.woodfloors.org.

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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

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March 2014

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ADVERTISERS Index

IDEA File

For more information on advertisers, call them directly or visit their websites [in brackets].

Going to the Dogs

Allura [allurausa.com]......................................................................3

A family-owned dealer has learned that “going to the dogs” can be very good for business. “The annual drive gets bigger and better every year,” says Geoffrey Webb, director of marketing and advertising for Rocky’s Ace Hardware, which is based in Springfield, Ma., and has 32 stores in Massachusetts, Connecticut, New Hampshire, Rhode Island, and Florida. “The program supports organizations that provide shelter, veterinary care, and comfort for homeless animals in five states.” For the past three years, each of Rocky’s stores has collected food and other pet-related supplies for local animal shelters. This year, more than four tons of pet food—along with beds, leashes, treats, toys, and cleaning supplies—were collected and delivered. The annual drives are also good for Rocky’s. “Definitely, the annual drive has brought not only awareness that we are in the pet food business, but also bolstered sales,” says Webb. “Sales rose 12% to 15% during each four-week drive.” Here’s how the program works: Nutro Pet Foods— one of the brands featured in the chain’s newly expanded pet sections—donated more than $1,500 worth of premium dog and cat food to kick-start the drive. Then customers—and animal lovers who hear about the program—bring donations of pet food and other items to their local Rocky’s location. “The emphasis is on being a good community neighbor. Stores select their own local shelter/humane society to work with,” says Webb. “Many shelters promoted the drive to their email lists and posted it on their Facebook pages. A few shelters also came out to our stores on a Saturday and brought pets ready for adoption.” Rocky’s also sends out emails about the drives, to customers who have signed up to receive alerts and sales notices. Press releases are sent to local TV stations and newspapers. These same news outlets cover the final tallies for each store, bringing even more positive attention. Once the campaign ends, each store delivers the donations to a local shelter. “Our team members often make donations of their own and many volunteer at a neighborhood shelter,” says Rocco Falcone, president and c.e.o. of the chain. “We are honored to be a catalyst in achieving these outstanding results for homeless and abandoned animals in our communities.”

Allweather Wood [www.allweatherwood.com] ..................Cover III Big Creek Lumber Co. [www.big-creek.com]...............................21 Black Talon Universal [www.blacktalonuniversal.com] .............44 Blue Book Services [www.bluebookservices.com] ....................47 BW Creative Wood [www.bwcreativewood.com] .......................19 Cal Coast Wholesale Lumber ........................................................53 California Redwood Association [www.calredwood.org ............49 California Redwood Co., The [californiaredwoodco.com]..........23 Capital [www.capital-lumber.com]........................................Cover I C.T. Darnell Construction [www.ct-darnell.com].........................26 DeckWise [www.deckwise.com] ...................................................32 Diacon Technologies [www.diacon.com]...................................5, 7 Eco Chemical [www.ecochemical.com] .......................................34 Fasco America [www.fascoamerica.com]....................................43 Fontana Wholesale Lumber [fontanawholesalelumber.com].....36 Haida Forest Products [www.haidaforest.com]...........................33 Huff Lumber Co. .............................................................................30 Humboldt Redwood [www.getredwood.com]....................Cover III Jaaco Corp. [www.jaaco.com].........................................................4 Jones Wholesale Lumber [www.joneswholesale.com] ..............35 Keller Lumber .................................................................................51 Maze Nails [www.mazenails.com].................................................17 Mendocino Forest Products [www.mfp.com] ....................Cover III Norman Distribution Inc. [www.normandist.com].......................39 North American Wholesale Lumber Assn. [www.nawla.org] .......8 Redwood Empire [www.redwoodemp.com].................................29 Reliable Wholesale Lumber Inc. [www.rwli.com] ........................36 Roseburg Forest Products [www.roseburg.com].............Cover IV Screw Products [www.screw-products.com] ..............................28 Simpson Strong-Tie [www.strongtie.com].................11, 13, 15, 31 Siskiyou Forest Products [siskiyouforestproducts.com]...........41 Skyreach L&S Extrusions [www.skyreachls.com] ......................45 Straight Line Transport [www.straight-line-transport.com] .......53 Swanson Group Sales Co. [www.swansongroupinc.com].........27 Universal Forest Products [www.ufpedge.com]..........................25 Viance [www.treatedwood.com] ..........................................Cover II Western Forest Products [www.westernforest.com] ..................24 Western Red Cedar Lumber Association [www.wrcla.org] ..24, 33 Woodway Products [www.woodwayproducts.com] ...................42 Yakama Forest Products [www.yakama-forest.com]..................42

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March 2014

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Randy Sturgill Coquille Plywood Plant Manager 31 years