In 2022, Australia’s Office Choice decided that a leap of faith was needed to future-proof the dealer group and its members. Spearheaded by long-serving CEO Brad O’Brien, its new ‘2024 & Beyond’ strategy kicked off with a corporate restructure. It took another big step in the first half of this year when, for the first time and in quick succession, the group acquired two of its own dealer members. According to O’Brien, it was a case of either waiting for the inevitable ‘endgame’ or going on the front foot and proactively driving change in an increasingly competitive and consolidating industry environment.
SPOTLIGHT: AI IN THE REAL WORLD
There are a few pointers to make sure you’re venturing down the right track. First, check every single department to understand the work being done. Where are the pain points, the bottlenecks? Go down several layers to get to the root cause if there is a problem. [...]
Second, [...] complete a report with recommendations and decide with your teams which initiatives to implement. Commit to those, from the top down, and make sure you really start to integrate AI into your workflows. Last but not least, beware: AI makes mistakes. You need to understand how it works before putting it out there, especially for your customers.
20 Big Interview
With dealer group consolidation seemingly off the table, Office Choice has taken a different path and its new journey has begun
28 Focus
With the introduction of SecuReuse, is HP Inc truly – and comprehensively –embracing the use of remanufactured cartridges?
30 Category Update
Facilities and jan/san is one of several adjacent categories with plenty of potential and lucrative opportunities for resellers
36 Interview
Tork, the professional hygiene brand of Essity, highlights how proper hygiene management can reduce waste, increase efficiency and improve sustainability
42 Category Update By and large, the furniture sector is a good place to be right now, catering to diverse audiences and reaping the benefits that are a by-product of a still dispersed workforce
47 Spotlight
OPI’ s recent deep-dive AI summit has unveiled some tangible, practical tips for the business supplies industry
50 Preview: NAOPA
Shortlist revealed for the North American Office Products Awards. Nine prizes are up for grabs in the 14th edition of the annual awards
REGULARS
5 Comment 6 News 16 Green Thinking News
60 5 minutes with... Renee Starr
62 Final Word Mike Maggio
COMMENT
The OPI team
EDITORIAL
Editor
Heike Dieckmann
+44 1462 422 143 heike.dieckmann@opi.net
News Editor
Andy Braithwaite +33 4 32 62 71 07 andy.braithwaite@opi.net
Assistant Editor
Kate Davies kate.davies@opi.net
Workplace360 Editor
Michelle Sturman
michelle.sturman@workplace360.co.uk
Freelance Contributor
David Holes david.holes@opi.net
SALES & MARKETING
Chief Commercial Officer
Jade Wilson +44 7369 232590 jade.wilson@opi.net
Head of Media Sales
Chris Turness +44 7872 684746 chris.turness@opi.net
Commercial Development Manager
Chris Armstrong chris.armstrong@opi.net
Digital Marketing Manager Aurora Enghis aurora.enghis@opi.net
EVENTS
Events Manager
Lisa Haywood events@opi.net
PRODUCTION & FINANCE
Head of Creative
Joel Mitchell
joel.mitchell@opi.net
Finance & Operations
Kelly Hilleard kelly.hilleard@opi.net
PUBLISHERS
CEO
Steve Hilleard +44 7799 891000 steve.hilleard@opi.net
This issue of OPI tackles many topics and – we hope – is an informative, thought-provoking read which serves as a real call for action. What action, you may ask. For a start, to wholeheartedly embrace verticals offering respite from and opportunities beyond the downward spiral that is traditional OP.
I’m talking, of course, about the jan/san and furniture sectors. You only have to look at the News pages (from page 6) to see how important these categories have become to our industry. Hospeco, Steelcase and HNI, for instance, are manufacturers which play an ever-growing role in the fortunes of progressive resellers
Our two Category Updates tackle the same segments (pages 30 and 42 respectively) and present an overview of the challenges and the vast potential they afford – substantiated by experts in the field.
Talking of experts brings me to another call for action: AI. If OPI’s recent AI Online Summit taught us anything, it’s that the journey really is the destination, for the simple reason that technology in this environment is moving at a rapid pace with no finite end point. It wouldn’t be wrong to say wherever you are on the curve, you’re inevitably trailing behind.
This being said, it’s imperative to get started and AI guru West McDonald – one of the presenters at the summit – tells you how to in our Spotlight (page 47). There are some easy wins to be had which neither break the bank nor drain brain power. Indeed, there was so much useful – and mind-blowing – content in this webinar that OPI readers can now buy a recording of it (see Spotlight for details).
My final shout-out to get involved concerns this year’s North American Office Products Awards (NAOPA). The shortlist is out (page 50) and another potent reminder of just how far we’ve come in our interpretation of ‘business supplies’
Who wins a NAOPA is largely down to our expert judging panel, which has whittled down a record number of entries. But it’s not just up to the judges! The popular People’s Choice award is our readers’ chance to pick their favourites from all 26 products. You have three votes, so take a look, consider aspects such as innovation, demand, functionality and profitability, and make your opinion count at www.opi.net/vote2024
HEIKE DIECKMANN, EDITOR
Analysis: Gunning for growth
OPI reports back from Amazon Business’s ABX event that took place in the UK in June
Approximately 300 delegates attended the Amazon Business ABX event in London on 20 June. Perhaps an indication of just how far the B2B arm of Amazon has come in the past few years, ABX was held at the prestigious London Hilton on Park Lane hotel in the UK capital’s exclusive Mayfair district.
Earlier this year, the online giant announced that Amazon Business’s annualised sales at the end of 2023 were $35 billion, an increase of $10 billion in just two years. At ABX, Russ Grandinetti, SVP of International Stores at Amazon, described it as “one of our most successful investments”.
In Europe, where Amazon Business is present in five countries, the organisation is growing at an annual compound rate of 25% and has promised further expansion – although it is not saying where this might be.
While Amazon Business typically goes to great lengths to highlight it serves all types of customers – from sole traders to multinational conglomerates – ABX 2024 was predominantly focused on the procurement needs of the public sector and mid-market and large organisations. The attendee list was impressive, including the likes of Bayer, BP, INEOS, Michelin and Siemens.
The benefits of the platform for these international enterprises still largely revolve around the reining in of ‘rogue’ tail spend –expensed purchases that are made outside of negotiated contracts. This is not a new topic, but still one that appears to be a pain point for buying executives.
PURCHASING REVOLUTION
One of the most eye-opening sessions at ABX involved Liz Bordi, Procurement Operations Manager at Sony Pictures Entertainment Group. Her company’s needs are complex because they often involve film crews working
on location. She said Amazon Business had “revolutionised” procurement at Sony Pictures, describing the set-up of a dedicated ‘Studio’ catalogue developed by Amazon Business which works via a punch-out process on the Ariba purchasing platform.
Bordi also discussed other features her team uses. These include a request for quote (RFQ) tool, designed for bulk purchases of 1,000 items and above or orders in excess of $10,000. This function centralises an organisation’s RFQ activity by generating quotes from Amazon Business marketplace sellers as well as other suppliers on the Sony buying platform. The feature – currently available in the US – is set to be introduced in Europe shortly.
There is hardly an event in 2024 that does not include a component on AI and ABX was certainly no exception. Amazon Business CTO Doug Gray led a panel comprising consultants and purchasing leaders on the role of AI in procurement.
The overriding message was that AI is another tool in the toolbox. Use cases included contract and supplier compliance, transaction monitoring and the development of category strategies.
The overriding message was that AI is another tool in the toolbox
NEW LEADER
ABX was also an opportunity for people to get to know the new person in charge of Amazon Business. Shelley Salomon was appointed Worldwide VP in March after Alexandre Gagnon began a leave of absence to spend more time with his family. Announced then as an interim appointment, Salomon is in fact in the role on a permanent basis, it was revealed; when Gagnon does return, he will take on a different position in the organisation.
Shelley Salomon
An Amazon veteran of over 20 years, Salomon has a strong financial background and has also been involved in developing new business areas. For example, in the 2000s, she led the launch of Amazon UK’s DVD rental business – in itself a reminder of how quickly things change in a tech-driven world.
The final session of ABX 2024 was an interview with Baroness Karren Brady, a well-known UK entrepreneur and TV personality. She was quizzed by Fabricio Pedroza, Country Manager for Amazon Business in the UK, on a number of business topics and amused the audience with her anecdotes. It was a great way to end a busy, informative and very well-organised day.
New categories for EOPA 2025
The European Office Products Awards (EOPA) opened for entries and nominations on 1 July – and two new awards are up for grabs.
Entering their 24th year, the annual EOPA recognises the most exceptional products, companies and people in business and workplace supplies. A panel of industry executives from all channels will judge the entries, scoring each one online before coming together in person early next year to determine first a shortlist and then the winners.
A total of 13 EOPA trophies will be awarded during a presentation dinner in Amsterdam, Netherlands, on 11 March 2025 – and there are two brand new categories.
The Best Workplace addition acknowledges the growing understanding and appreciation of a positive workplace culture. Judges
will consider strategies that have been implemented to benefit employees, customers and the wider community.
Online Reseller of the Year, meanwhile, has been introduced to highlight exceptional players that primarily operate online. With web-driven business now playing a fundamental role within our industry, the panel will judge evidence of strong online sales performance, use of new technology, creative marketing initiatives and a positive customer experience.
To ensure the very best people are recognised, four individual awards will be presented to executives at various stages of their careers. The full list of award categories is:
• Best Workplace (New)
• Business Product of the Year
• Vendor of the Year
• Reseller of the Year
• Wholesaler of the Year
• Online Reseller of the Year (New)
• Sustainability Excellence – Reseller
• Sustainability Excellence – Vendor
• Marketing Campaign of the Year
• Young Executive of the Year
• Executive of the Year
• Business Leader of the Year
• Industry Achievement
For more EOPA information and how to enter, visit www.opi.net/EOPA2025
HNI to consolidate furniture production
Leading office furniture manufacturer HNI is to close its HBF factory in the US state of North Carolina.
The company has confirmed it will close the plant in Hickory – HBF stands for Hickory Business Furniture –during the first half of 2025 and consolidate production into its other North American facilities. HBF has been based in Hickory since it was founded in 1981. HNI acquired the company from Furniture Brands in 2008 for $75 million.
Staples completes debt refinancing
Staples Inc has said it has successfully completed its debt refinancing.
The North American reseller’s financial situation has been in the news in recent months, with reports in the press saying it had total debt
While the decision will affect approximately 200 production and operations staff, HNI said it will maintain a commercial presence in Hickory with its HBF brand of workplace furnishings and textile products. HBF’s headquarters will remain in the town, as will its marketing, customer experience, product development and product engineering employees.
“HNI expects the consolidation to improve productivity and strengthen operations, without sacrificing capacity or creating disruption. Customers and trade partners will benefit from production efficiencies, coordinated delivery logistics and rigorous quality assurance,” the group stated.
“Moving production to HNI’s manufacturing centres of excellence was partially enabled by the strategic integration of [Kimball],” it added.
Improving profitability at its Workplace Furnishings division has been a key priority for HNI. The company has been moving in the right direction in that respect, with the acquisition of Kimball in 2023 being an important factor.
in the region of $7.5 billion. In May, Staples confirmed it had launched an exchange offer which included issuing new notes carrying an interest rate of 12.75%.
In mid-June, the company put out a press release announcing “comprehensive debt refinancing”, resulting in a reduction of its outstanding debt and an extension
of its maturities to over five years. “These actions have positioned Staples to further extend its position as the country’s leading distributor of workspace products and logistics services,” the reseller stated.
It added: “This successful refinancing was driven by Staples’ strong financial performance and operational execution in recent years.”
New era at Weeks Lerman
Leading New York independent dealer
The Weeks Lerman Group is under new ownership.
Industry icon Sid Lerman – who became CEO of the company in 1996 following the merger of Weeks Office Products with The Lerman Company –has been given the title CEO Emeritus and will still be providing high-level guidance to the management team. The new owners of the business comprise a key group of – unnamed –managers and salespeople.
Two long-standing Weeks Lerman execs – COO Rob Paar and CFO Harris Meth – are now jointly responsible for the day-to-day running of the company. Paar’s focus is on operational aspects, while Meth is handling the financial side of things.
“This strategic move marks a pivotal moment for The Weeks Lerman Group, reinforcing our commitment to driving forward with renewed vigour and strength,” the company stated
in a press release. “The infusion of capital from investors not only validates our vision and potential, but also provides the resources necessary to fuel potential expansion plans and pursue exciting new opportunities that are on the horizon.”
Lerman added: “We are delighted to announce the successful recapitalisation of The Weeks Lerman Group made possible through the partnership and support of our new investors. This marks a significant step forward for our company, enabling us to unlock even greater value for our customers and employees.
“I feel confident that the new management team of Rob Paar and Harris Meth will provide stability for the organisation for the foreseeable future, aligned with this new ownership structure.”
Speaking to OPI, Paar and Meth said the immediate goal was to revitalise volumes and the top line.
Fellowes expands portfolio following acquisition
Fellowes Brands has announced a category-expanding launch of markerboards to complement its line of contract interiors products. The strategic move follows last year’s under-the-radar acquisition of North Carolina-based supplier Springboard Working Surfaces.
Since then, Fellowes has expanded the markerboard product range to include custom and quick-ship programmes for its contract customers under the Fellowes brand.The new offering will comprise multiple series falling under mobile boards, wall-mounted boards and accessories. It will include premium materials, such as magnetic and non-magnetic glass, while porcelain wall boards will also be available.
“Adding yet another important accessory to our portfolio is a testament to our dedication to providing businesses with the tools they need to create inspiring and efficient workspaces,” said Todd Holderness, General Manager of Fellowes Contract Interiors.
Their strategy includes growing the sales force, winning new business and, potentially, making acquisitions. Weeks Lerman’s core market of New York City has witnessed great change in the past four years. Return-to-office (RTO) numbers are hovering at around 70% of their pre-COVID levels.
There had also been concerns that a proposed $15 congestion charge for vehicles entering Manhattan’s business district could slow down RTO trends. The fee was due to come into effect on 30 June, but the plan faced legal challenges and has been indefinitely postponed.
Hamelin makes Germany announcement
Hamelin has confirmed its plans to close two Pelikan distribution facilities in Germany. The France-based vendor has announced that, from 1 January 2025, its German Hamelin GmbH subsidiary will distribute all group products and brands in the country. These include Pelikan and Herlitz, which were acquired in 2023.
As a result, the Pelikan Vertriebsgesellschaft (PVG) business will cease to distribute products under the Pelikan and Herlitz brands on 31 December 2024 and its facilities in Falkensee (near Berlin) and Hanover will be closed. A consultation process with works councils is now underway in relation to the 230 staff members who will be impacted by the closures. Hamelin said it aims to find “socially acceptable solutions” for these employees.
The changes at PVG will not affect the Pelikan production unit located in Vöhrum, southeast of Hanover. Meanwhile, Hamelin GmbH will continue to be headquartered in Gronau, which is also near Hanover.
Harris Meth
Rob Paar
EON adds tech expertise
US independent dealer EON Office has made two technology-related hires. Experienced MPS exec Adria Abeyta has joined as VP of Tech Sales, while Chad Teters – previously with fellow Colorado dealer Source – has been named VP of Service.
All change at Hopax Europe
Hopax Europe Sales and Marketing Director
Stuart Seymour retired at the end of June after 34 years in the business products industry. Taking on the role of European Sales Director is Sylvia Wu. She is supported by Alistair Hughes-Rixham (bottom), who has been promoted to European Sales and Marketing Manager.
New leadership at Grand & Toy
Sumit Luthra is the new President of Canadian B2B distributor Grand & Toy, a subsidiary of The ODP Corporation. Luthra has around 25 years of experience in the FMCG sector in Canada and has worked for the likes of P&G, Nestlé, Mars and Weston Bakeries. Recently, he was a VP at food manufacturer Campbell.
Pukka Pads names MD
Pukka Pads has promoted Darryl Corbin-Jones (left) to the role of Managing Director. He will oversee all of the company’s territories, freeing up more time for Group CEO Chris Stott to focus on strategic initiatives.
Senior appointment at Codex
Ireland’s leading independent dealer Codex has promoted Aisling Murray to the role of Head of People and Culture. She joined the company as an HR Business Partner in 2020 and was instrumental in establishing the company’s in-house HR department.
New role for Lyreco’s Köhler
Falko Köhler – winner of the Young Executive of the Year prize at the 2022 European Office Products Awards – has been named Customer Commercial Director at Lyreco Germany following a reorganisation of the business that included some divisional consolidation.
Watson joins RAJA
RAJA Office has named former Lyreco Group Marketing Director John Watson (left) as Purchasing and Assortment Director for its businesses across Europe. The role became available earlier this year following the departure of Rogier Koning, with ex-Staples purchasing and merchandising exec Sharon Tan filling in on an interim basis.
Leadership change at EO Group
Simon Drakeford has stepped down as CEO of UK business products operator EO Group.
Drakeford joined the business – then known as Euroffice – in 2007, succeeding founder George Karibian as CEO. Three years later, he led a management buyout backed by private equity firm Darwin.
Since then, the organisation has evolved into the EO Group. It includes UK Office Direct, Office Power and, more recently, Ctrl Commerce. Revenues currently stand at almost £50 million ($63 million).
During his time in charge, Drakeford was actively involved in helping to develop and shape the business products industry. He served as Chair of UK trade association BOSS Federation and has been a regular speaker at OPI events in Europe and North America.
EO Group will now be jointly led by two experienced execs: CFO Nick Wilson and COO Richard Sinclair have been appointed as co-CEOs. Drakeford – still a shareholder – is not stepping away entirely, but will stay on as a Senior Advisor.
Omnia Partners expands online marketplace
Leading US group purchasing organisation (GPO) Omnia Partners has announced a major expansion of its online marketplace, OPUS.
OPUS – described as the “next generation of procurement technology” – was launched last year. It allows customers to search across and purchase from multiple Omnia contracts at the same time.
Now, the GPO has announced the addition of more than four million items – including MRO, office and safety products – from eight new suppliers. The new resellers are: ODP Business Solutions, Global Industrial, Grainger, Lawson, MSC Industrial Supply, Quill and Safeware.
Omnia said county governments covering nearly 25% of the US population are using OPUS, along with almost 5,000 city governments, school systems and non-profit organisations. In total, OPUS users have access to products from approximately 300 suppliers.
Simon Drakeford
Steelcase discusses RTO trends
Steelcase’s quarterly earnings conference call in June provided the opportunity for senior management to talk about what it is seeing in terms of return-to-office (RTO) momentum. Below is a round-up of the key trends outlined by CEO Sara Armbruster and CFO Dave Sylvester.
Desire for office presence
There is a strong desire from CEOs and executive teams to bring employees back to the office. This has been persistent, with a shift towards more organisations actively taking steps to make this happen.
Incremental RTO initiatives
Many firms are gradually increasing their in-office days. For instance, some have recently moved from four to five days in the office or from three to four days. This steady, albeit slow, increase indicates a continued trend towards more in-person work.
Hiring and space needs
There are companies that hired thousands of employees during the pandemic. With RTO, even a fraction of these employees going back requires additional office space.
Focus on hybrid work models
The discussion highlighted a shift in focus from merely getting people back to the office to implementing and enhancing hybrid work models.
Office space redesign
There is a movement towards reducing open-plan benching applications in favour of more private, freestanding furniture and pods. This reflects the need for privacy and the ability to conduct video calls effectively.
Management shake-up at The Warehouse
Interim CEO John Journee has wasted no time ringing the changes at New Zealand retailer The Warehouse Group (TWG).
Just weeks after taking over from Nick Grayston – who departed suddenly in May – TWG has announced plans to reshape its business around its three core brands, resulting in changes to the executive leadership team.
Journee said: “We’re not where we need to be, and we must act decisively to fix that. We need to be leaner and focused on our core brands – The Warehouse, Warehouse Stationery and Noel Leeming.”
As a result, six of the nine senior group positions have been “disestablished”. In their place are five new retail leadership roles reporting directly to the CEO. Four of these are Executive
John Journee
General Manager (EGM) posts at The Warehouse and Warehouse Stationery, along with a dedicated leadership role for Noel Leeming.
Jason Bell has been named COO of Noel Leeming. The recruits for The Warehouse/Warehouse Stationery, meanwhile, are:
• EGM Operations – Ian Carter
• EGM Merchandise – Tania Benyon
• EGM Supply Chain and Sourcing –Mark Anderton
• EGM Marketing and Digital – TBD
Hospeco makes acquisitions
North American jan/san manufacturer Hospeco Brands has announced two acquisitions in the past few weeks.
In mid-May, the company entered into an asset purchase agreement (APA) with Supply Source Enterprises (SSE). SSE was established in 2014 by S.P. Richards (SPR) and comprises jan/san, safety and PPE brands The Safety Zone and Impact Products. It was purchased by private equity firm HIG Capital in 2020 at the same time as Genuine Parts Company’s divestment of SPR. In 2022, Impact and Safety Zone became one fully integrated streamlined provider under the SSE brand.
The company ran into trouble post-COVID after erroneously predicting continuing elevated demand levels for PPE. This led to it racking up debts of more than $140 million and losing lender support. As a result, HIG put SSE up for sale, initiating a Chapter 11 bankruptcy process to facilitate a transaction. Hospeco remains in a prime position to be the acquirer, with the deal expected to be closed shortly.
Meanwhile, at the end of June, Hospeco expanded its chemical processing capabilities with the acquisition of Nuance Solutions, a Chicago, Illinois-based manufacturer of branded and private label household and industrial chemical cleaning products.
Nuance complements Hospeco’s chemical processing capabilities following its previous purchases of Innocore, Chemcor and NILodor. These entities combined now have manufacturing capacity on both US coasts, in Canada and in the US Midwest. Hospeco said this geographic spread means reduced transportation costs, more efficient delivery times and fewer supply chain risks.
Nuance’s leadership and team – led by Sean Hoffman – will stay in place and help manage the combined businesses under the Hospeco Brands Group umbrella. Financial terms of this deal were not disclosed.
Key board changes at ODP
Business products industry veteran Joe Vassalluzzo has stepped down from the board of The ODP Corporation.
Joe Vassalluzzo
The former Staples exec joined the ODP (then Office Depot) board back in 2013 as part of the team at activist shareholder Starboard. He became ODP Chair four years later when Gerry Smith was appointed CEO. At the end of 2023, Vassalluzzo took on Smith’s responsibilities while the CEO was on a medical leave of absence.
Vassalluzzo’s departure became effective on 10 June, with Wendy Schoppert – an ODP board member since 2020 – taking over as Chair.
At the same time, two new board members have been added, taking the number to eight. They are experienced financial execs Amy Schioldager and Evan Levitt. Schioldager’s career includes 25 years at leading ODP shareholder Blackrock, while Levitt is a former CFO at industrial distributor HD Supply.
Opal transformation a priority for Nippon Paper
Restructuring its Opal business in Australia is a top focus for the company’s Japanese owner, Nippon Paper Group. In a presentation outlining its medium-term strategy, Nippon revealed that Opal recorded an operating loss of A$151 million (US$100 million) in the 12 months to 31 March 2024 (FY2023). The bulk of that – A$128 million – was due to the Maryvale mill, where office paper production was permanently halted last year.
Nippon is aiming for Opal to edge back to profitability in the year ending March 2026, with improving results in its packaging business forecast to more than offset continued – but narrowing – losses at the Maryvale facility.
The company said it will “explore additional profit improvement measures” for Maryvale over and above the plans it has in place for the next two years. These include headcount reductions.
It’s not just overseas where Nippon has challenges to tackle. In the past five years, shipments of graphic paper (newsprint, print and communication papers) in Japan have declined by 33%, according to the local paper association. In FY2023, Nippon’s business communication paper volumes fell by 8.1% to 378,000 tonnes, and the company is forecasting a further 4% drop this year.
Mega water tie-up in the US
US bottled water giants Primo Water and Blue Triton (formerly Nestlé Waters North America) have announced they are to merge.
The transaction – which is expected to close in the first half of 2025 – will create a $6.5 billion, publicly listed water distribution business. This includes the Water Direct and ReadyFresh home and office delivery service, plus a whole host of regional brands.
Described as an “all-stock merger of equals”, Blue Triton’s current shareholders will own 57% of NewCo, with Primo’s shareholders holding the remaining 43%.
The business will be led by Primo Water CEO Robbert Rietbroek, with Blue Triton COO Rob Austin earmarked for the COO role. Dean Metropolous, one of the main investors who acquired Nestlé Waters in 2021, will become non-executive Chairman.
Essendant makes strategic 3PL announcement
US wholesaler Essendant has unveiled Connected Commerce, its fulfilment and third-party logistics (3PL) solution for brands.The company has been working on this 3PL initiative for some time.
Now Connected Commerce has been officially launched, promising “out-of-the-box integrations, e-commerce services with analytics and tools to increase store traffic, and fast order fulfilment”.
Benefits for customers highlighted by the wholesaler include connections to the majority of sizeable online marketplaces and nine of the US’s top ten retailers as well as its national distribution network of more than 20 fulfilment centres.
“For brands to succeed today, they must meet customers wherever and however they shop. That means selling beyond their own websites to include access to major marketplaces like Amazon, social commerce sites and top retail and wholesale channels,” said David Boone, interim CEO at Essendant.
The OPI European Forum is designed to help you better understand and analyse the changes to our sector in these rapidly changing times. Practical takeaways will enable you to make informed strategic decisions to ensure your business continues to succeed
11-13 NOVEMBER 2024
RADISSON BLU EDWARDIAN BLOOMSBURY STREET HOTEL, LONDON, UK
The only senior executive event for the business supplies industry addressing our unique challenges alongside matchless networking opportunities
SPEAKERS
• Alex Bonarius, Global Sales Director, Pukka Pads
• Henry Coutinho-Mason, Author of The Future Normal and Trend-Driven Innovation
• Andrew Gale, Group Chief Executive, evo
• Adam Huttly, Founder, Red-Inc
• Greg Liénard, CEO, Lyreco Group
• Chris Paton, Managing Director, Quirk Solutions
• Nicolas Potier, CEO, Bruneau
• Andreas Reuter, CEO, Schäfer Shop Group And more confirming all the time...
TOPICS
• Designing a people-first AI strategy
• The state of the industry review
• Navigating strategic uncertainty: tools and mindsets for effective decision-making
• The impact of the future of work
• How sustainability can offer a path to higher margins and loyal customers
• Young executives in a changing industry: insights and strategies for recruitment and retention
• Navigating the B2B marketplace revolution View the whole agenda at www.opi.net/ef2024
Moving towards flexible work demands a re-evaluation of how we measure work itself […] Technology stands as a key enabler, fuelling a shift towards a dynamic, resultsoriented work culture
Will Hale, Senior Group Director EMEA, monday.com
Staples first-ever ‘cable’ sweater
Customers who recycled old cables and other tech at any Staples store from 20 May to 10 June were eligible to win a ‘cable knit’ sweater vest crafted from cords woven into the fabric. Staples offered the one-of-a-kind solution for unused cables in honour of Father’s Day on 16 June.
75 years of Novus staplers
First developed by Erwin Müller in 1949, Novus staplers have been in production for 75 years. The Lux (later Novus) was the first hooded stapler to reach the market and quickly outperformed staple presses.
$5.5 trillion
Losses expected from IT skills shortages by 2026
66%CFOs using AI for data analytics and business intelligence in the US
Office Depot unveils marketing campaign
Office Depot – the retail arm of The ODP Corporation – has launched ‘OD Does It’, a campaign that highlights its products and services using Montell Jordan’s 1990s hit This is How We Do It
£400 million
Estimated value of the UK government’s Office Solutions contract over three years
Two industry veterans marked their retirement in June. Italy’s Adriano Alessio (pictured far left) stepped down as CEO of In Ufficio after 27 years of running the business. Meanwhile, in the UK, Langstane Managing Director Colin Campbell (right) hung up his OP boots following 50 years at the independent dealer.
GREEN THINKING
RAJA and Ranpak expand partnership
RAJA, Europe’s largest packaging distributor, and Ranpak – a leading provider of sustainable, paper-based packaging – have signed a new commercial agreement to grow their sales of paper-based cushioning solutions in Europe.
Manutan opens circular furniture hub
European reseller Manutan held an opening ceremony for its office furniture circular hub on 13 June in Bourget, France. The facility – with 3,000 sq m (30,000 sq ft) of floor space – was opened by Executive Chairman Xavier Guichard and Group CEO Pierre-Olivier Brial. The hub’s three main objectives are:
• To meet the needs of businesses and public sector organisations looking to upcycle their used equipment and reduce the carbon footprint of their purchases.
• To pre-empt legislation – at both French and European levels – on reducing carbon footprints and purchasing reused or recycled goods.
• To contribute to Manutan’s sustainability goal of achieving net zero emissions by 2050.
Currently, 7% of furniture collected from customers is reused. The reseller recently launched a web page –www.manutan.fr/fr/maf/seconde-main – where clients can buy refurbished furniture.
Under the agreement, the two companies will cooperate in the development of cushioning products. These are used in e-commerce and industrial supply chains to protect goods from external shocks and temperature variations during shipping.
In addition, there are plans to market new packaging solutions for temperature-sensitive products (including food and medicines), such as the RecyCold climaliner.
The cooperation will entail the use of Ranpack’s R&D centre in Kerkrade, Netherlands, informed by feedback from RAJA’s customers. RAJA will further recruit 20 additional specialists to advise its customers on the tailored implementation of paper-based protection and cushioning packaging.
Both organisations say the deal is designed to meet the growing demand for alternatives to plastic packaging. In March 2024, the European Union agreed on new rules targeting 100% recyclable packaging by 2030 and boosting the circular economy.
RAJA and Ranpak are long-standing partners. In the 1980s, RAJA was the first distributor to market Ranpak packaging systems in Europe. Since then, RAJA has sold and installed thousands of these systems across 17 European countries.
Japanese manufacturers develop recycled plastics
Konica Minolta has teamed up with fellow Japanese manufacturer NEC Platforms on a recycled plastics initiative through which the organisations will supply recycled plastics derived from polycarbonate (PC) water bottle waste.
The first product to use the material is a new wifi router from NEC Platforms. About 40% of the exterior plastics of the Aterm WX5400T6 are made from recycled PC. While using recycled plastic from bottles is not new, Konica Minolta said the product it has developed with NEC Platforms has flame-resistant and strength properties which are mandatory for the router casing.
Konica Minolta has employed similar technology over the past few years to increase the recycled content of the exterior materials of its multifunction printers. Recycled plastics now account for about 35% of the total resin content by weight in the main body of these devices.
For products such as toner bottles, Konica Minolta has facilities in Mexico and Malaysia that recycle old milk containers made from polyethylene.
Ranpak’s Werner Meier-Ansari (l) & RAJA’s Catherine Cambier
Shred-it owner to be acquired
WM – formerly known as Waste Management – announced it is to acquire Stericycle for $7.2 billion. The transaction, which still requires regulatory and other approvals, is expected to close in the fourth quarter of this year.
Stericycle is best known for its medical waste solutions but also operates secure document disposal firm Shred-it. As of 31 December 2023, Shred-it operated in 11 markets: Belgium, Canada, France, Germany, Ireland, Luxembourg, the Netherlands, Portugal, Spain, the US and the UK.
Last year, Stericycle reported sales of $2.66 billion, with Shred-it contributing around $880 million. During this period, Shred-it collected 462,000 tonnes of sorted office paper for recycling – a year-on-year decline of almost 12%, adjusted to -9% (or 42,000 tonnes) after taking into account market exits.
Shred-it has been undergoing a portfolio optimisation process in recent years and has exited countries such as Australia. WM, meanwhile, conducts business only in North America, so it will be interesting to see what happens to Shred-it’s European units (roughly $100 million in annual sales) once the deal has closed.
TD SYNNEX targets SBTi approved
TD SYNNEX has become one of the first technology solutions aggregators to have its net zero targets approved by the Science Based Targets initiative (SBTi). The company’s emissions reduction targets include the following:
• Overall net zero goal: reach net zero greenhouse gas (GHG) emissions across the value chain by FY2045.
• Near-term aim: reduce absolute Scope 1 and 2 GHG emissions 42% by FY2030 from a FY2022 base year. TD SYNNEX also pledges that, by FY2028, 90% of its suppliers by spend (covering purchased goods and services) and 58% of its customers by revenue (covering use of sold products) will have science-based targets.
• Long-term target: to reduce absolute Scope 1, 2 and 3 GHG emissions 90% by FY2045 from a FY2022 base year.
Lyreco provides update on recycling scheme
Lyreco has published an update on its Recyclable waste collection initiative in France. Over the past five years, approximately 150,000 collection boxes have been sold to customers and nearly 3,000 tonnes of waste recovered under the scheme.
The Lyreco Recyclable range has expanded to ten types of containers for various waste types. These comprise used printer cartridges, disposable masks, paper, cups, batteries, lightbulbs, neon tubes, electronic waste, ink stamp pads and hard hats.
Lyreco’s first container – for used toner cartridges –was launched 20 years ago. With an average of 9,000 boxes put into service annually, nearly 2,000 tonnes of cartridges have been collected by Lyreco teams over the past five years. Partnering with social enterprise Les Ateliers du Bocage, these IT consumables are refurbished for resale or dismantled to separate the plastic, metal and toner powder.
Another collaborative effort, which spearheads Lyreco’s circular strategy, is one with Fellowes Brands. This tackles office paper, which tops the list of waste types generated by businesses and the public sector in France.
Used paper containers, launched at the end of 2021, have already enabled the collection of more than 250 tonnes of paper, with a further 144 tonnes expected this year. The waste paper is then used by Fellowes to make archive boxes, which are sold by Lyreco.
HP shines a light on digital equity
HP Inc released its latest Sustainable Impact report on 12 June. The research, conducted with economic advisory firm Oxford Economics, surveyed more than 1,000 business executives and government officials across ten countries. The results demonstrated a strong belief in AI’s potential to drive economic, social and environmental progress. Key findings include:
• 76% of leaders believe AI technology is vital for expanding economic opportunities.
• 76% think AI will help achieve sustainability and social impact goals.
• 90% are either using AI or planning to use it within one or two years to increase access to digital education.
• 89% intend to use AI for workforce development.
• 86% plan to leverage AI to enhance workforce diversity.
Stephanie Dismore, SVP and Managing Director of HP Northwest Europe, emphasised AI’s potential to accelerate the company’s sustainability efforts. She highlighted HP’s goal to enhance digital equity for 150 million people by 2030. As part of this effort, the OEM has already reached 45 million people since 2021 through partnerships and community-focused programmes.
Nancy Powell, the company’s UK & Ireland Sustainability Lead, pointed out that HP’s digital equity initiatives, such as providing laptops and digital skills training to underprivileged children, are critical in bridging the digital divide.
Fujifilm opens remanufacturing facility in Europe
Fujifilm Business Innovation has opened a new toner cartridge remanufacturing plant in Tilburg, Netherlands. Using toner cartridges from printers sold in Europe, the 1,000 sq m (10,000 sq ft) Circular Manufacturing Centre will disassemble, clean and inspect cartridges after collection before remanufacturing them into new toner cartridges for shipping across the continent.
All electricity needs of the Tilburg location are met by on-site and purchased wind power sources, with the company claiming it can achieve “virtually zero CO2 emissions” from its electricity.
In the future, Fujifilm plans to expand its remanufacturing processes to other products, such as remanufactured multifunction printers and spare parts for production printers.
ENTRIES ARE NOW BEING ACCEPTED IN THE FOLLOWING CATEGORIES:
l Business Product of the Year
l Sustainability Excellence – Vendor and Reseller
l Marketing Campaign of the Year
l Best Workplace - NEW!
l Online Reseller of the Year - NEW!
l Vendor of the Year
l Reseller of the Year
l Wholesaler of the Year
l Young Executive of the Year
l Executive of the Year
l Business Leader of the Year
l Industry Achievement
HOW TO ENTER
Winning an award can make a real difference to your business, so be sure to get involved. Simply complete an entry form online at www.opi.net/EOPA2025 or email your nominations to awards@opi.net The closing date for entries is 13 November 2024
Transformative TIMES
With dealer group consolidation seemingly off the table, Office Choice has taken a different path and its new journey Down Under has well and truly begun
After dealing with the specific challenges of a pandemic, Australia’s Office Choice in 2022 decided that a leap of faith was needed to future-proof the dealer group and its members. Its new strategy kicked off with a corporate restructure and, in the first half of 2024, took another big step when, for the first time and in quick succession, the group acquired two of its own dealer members.
As CEO Brad O’Brien tells OPI’s Steve Hilleard, it was a case of either waiting for the inevitable ‘endgame’ or going on the front foot and proactively driving change in an increasingly competitive and consolidating industry environment.
OPI: You’ve been with Office Choice well over a decade now I think. Can you give us a quick recap of your time in the group?
Brad O’Brien: It will actually be 12 years at the end of 2024. I would probably break those years up into different phases. When I first joined, I inherited a strategic plan and spent the first couple of years understanding the nuances of the industry and the buying group world. Then, between 2016 and 2020, we worked on the first major strategic plan. One of the key focus areas at the time was a serious investment in the brand with our ‘Making Local Work’ message.
Next, of course, the pandemic. We navigated our way through this difficult period as best we could – with a highly member-focused lens that incorporated fee support and fast-tracked technology upgrades, the latter with the aim of accelerating digital transformation, including a national e-commerce solution, and driving member efficiencies.
The most recent development of the ‘2024 & Beyond’ strategic plan was a significant milestone for Office Choice. We identified the trends, challenges and opportunities for the future of the independent sector. As a result, the business committed to a transformation which – among other things – entailed undertaking a corporate restructure.
OPI: With this restructure in mind, what did you do – did it impact the group ownership?
BO’B: We introduced a new constitution which positioned the business to be able to invest purposefully and focus on growing shareholder value in addition to the ongoing development of member services.
The shareholders of the business are still our tier-one members and contribute to board representation and strategy.
OPI: Where is the group now in terms of numbers, footprint, staff, revenues, etc?
BO’B: Membership-wise, we have over 100 outlets across the country. Like most resellers in Australia, we are heavily indexed on the eastern seaboard and in Victoria, but we certainly have national representation across
Our landscape is as competitive as I’ve seen it in my time [at Office Choice]
all the states and territories, and are well represented in regional and remote areas.
Office Choice’s national support office has a hard-working, passionate team that I am proud to work alongside. The introduction of our CFO and CMO in early 2023 had an immediate and valuable impact on the business and our strategic execution. Our dealers’ combined revenues are in the A$250-A$300 million (US$166-US$200 million) region – from north of A$20 million at one end of the spectrum to sub-A$1 million at the other.
We remain predominantly B2B – 80% versus 20%. But we do have really strong regional businesses and in those markets, dealers have a showroom and a retail offering.
OPI: Have membership numbers changed substantially during your period as CEO?
BO’B: They have reduced, driven by broader industry consolidation. Around six years ago, there were some 350 independents across the country. The count is now sub-300.
The challenges in Australia are the same as or similar to those articulated by other interviewees you’ve had – the likes of Codex, Lomax, PBS Holding, etc: core product and category declines, the imperatives of diversification – not limited to product – and the drive for market share in a heavily contested environment.
OPI: What are the specific issues you as a group and your members need to address? Cost duplication, logistics, technology, adaptability, capability?
BO’B: All of the above. Our landscape is as competitive as I’ve seen it in my time. And there’s another factor coming into view: Amazon Business. Its arrival is imminent – if not later this year, then certainly early in 2025. We’ve had Amazon in B2C for some years; however, it’s noteworthy that this operator is currently building the single largest DC in the country in Melbourne.
A key point of difference in the online versus our model is relationships with ‘boots on
the ground’ and keeping dollars local. But the online space is where the competitive landscape is at its most ferocious – and everyone is fighting for a piece of that pie. You only have to look at Officeworks: out of its colossal A$3.4 billion in annual sales, over one-third come from online.
We’re doing a lot of work with our tech stack now, taking costs out of dealers’ businesses with efficiencies – in the supply chain and otherwise. It’s all wrapped up in our strategy.
OPI: You’ve referred to consolidation. There has been plenty of it in Australia, creating some very large operators such as COS and Winc. And then you have Officeworks you’ve just mentioned, which is something of an enigma in our industry globally. It’s David versus Goliath in the extreme, isn’t it?
BO’B: I guess you could view it that way. But from a survival perspective, absolutely we can, as long as we collaborate effectively within the group and utilise the tools we have invested in. It’s also about brand strength and execution.
Years ago, when we were part of BPGI, I went on a whirlwind world tour and spoke to all the major players – in North America, Europe, South Africa – to get an understanding of the global picture. While branding wasn’t the leading or even a major contributing factor then in other markets, I had a strong view it was going to be the foundation of our point of difference, so we invested deliberately in the Office Choice trading brand.
In doing that – and it sounds a bit ambitious when you think about the size of our business versus Officeworks, but we have done the research – we’ve become the clear number two in brand awareness and recall in the SME sector. The context here is obviously the SME environment, but our brand recall is 70%, meaning seven out of ten small- to medium-sized businesses know who Office Choice is and what it stands for.
We also know that once customers try us, they stay for the service and the way we go the extra mile, which is underpinned by our core brand principles of ‘Making Local Work’ and ‘Consider it Sorted’.
We’ve carved out a powerful niche – a business solutions partnership model for SMEs – and it’s strengthening. In addition, there’s a deep loyalty component: customers feel committed to Office Choice and what we’re doing, and more often than not we get a look-in because of those relationships, even if Officeworks knocks on the same door.
We know a key point of difference is opening the door with stationery, but we’re then driving growth with all the other products and services
we can deliver. It’s part of our ‘Did you know…?’ customer education method – creating awareness in the market that we are not just OP, but business solutions and much more.
OPI: Are all your members dual branded Office Choice – is that compulsory?
BO’B: There are two types. We have an Office Choice-branded quasi franchise model and an unbranded option. About 80% of our members are Office Choice branded and therefore have obligations as regards signage, uniforms, trucks, etc. But they also benefit from all the advantages such as promotional support, digital platforms and, of course, national pricing and product promotion.
OPI: Why do 20% not go down this route?
BO’B: It’s sometimes driven by territory complexity where we occasionally have more than one member in a catchment area, with only one allowed to be branded. In addition, we have some old-school members that prefer their independence and own brand.
OPI: I guess these overlaps happen in the most populated areas. On that note, in a country the size of yours, delivery must be a massive headache.
BO’B: Certainly in some of the more sparsely populated states, we have real challenges geographically, not dissimilar to Canada. Western Australia, for example, albeit large geographically, is sparsely populated and has a relatively small footprint of branded dealers. Because of these and other obstacles, our national wholesale relationship is critical and includes DCs across the country in all states.
OPI: How would you describe your capabilities in terms of product range and price? How do your dealers stack up against some of the bigger guys?
BO’B: I reckon we’re punching above our weight. When you look at Officeworks, the whole perception is that it operates with an
You have to be creative in your approach to providing solutions
‘every day low price’ proposition: “Find it cheaper elsewhere and we’ll beat it by 5%.”
It’s a standard tactic with a small basket of goods. The rest? Margins are bumped up. We are competitive in the SME sector, so it’s not a major concern and we invest in cyclical pricing intelligence and competitor analysis. But we’re not engaging in a race to the bottom.
As regards range, we manage 14,000 SKUs for our members and we have a broader SPL range with 60,000 SKUs. I’ve never subscribed to the one million SKU endless aisle principle.
OPI: Independents always talk about the famed white glove service and personal touch. Would you concur with that?
BO’B: Absolutely, but anyone who tells you they offset competitiveness in the market by providing an exceptional service is not fully in touch with reality. Make no mistake – price competitiveness is mandatory but it’s not about being the cheapest.
As I mentioned earlier, our brand is positioned as ‘Making Local Work’, so first and foremost, it’s about being invested in and engaged with the community, the suburb, the market we’re in. Furthermore, our tagline
explains how we go about doing business: whatever you want, whatever you need it for –‘Consider it Sorted’.
And it’s not just office supplies – we changed that mission statement a few years ago. It’s business solutions – essentially anything SMEs consume in their organisations, they should be able to get from us. We’re not there yet, but are very much working towards that goal.
OPI: Diversification is probably one of the most used words in our sector right now. To what extent are your dealers venturing into adjacent categories?
BO’B: We have some very entrepreneurial, proactive members which diversify their business, putting in shop-within-shop concepts, for instance – particularly in those regional markets. Some of the services they offer are not just non-core, but positively left-field.
We had a great story recently. One of our dealers was doing a delivery to a customer; there had been heavy rainfall and the place was flooded. The customer said to our dealer: “I wish you guys sold towels.” The dealer replied: “Of course we do. How many do you want?” The upshot was that our member jumped back in the van, drove to a mass merchant and came back with 100 towels.
You have to be creative in your approach to providing solutions. All this was heightened during the pandemic. Community, relationships and supporting local – all under the Office Choice brand – became such a focus. And it has carried forward and really amplified this differentiation point for us as a group.
As the national support office and corporate entity, we are doing a lot in the tech space – not only expanding the category with products such as tech accessories and consumables, but also in terms of tech solutions including cardless payment systems.
We’ve been doing furniture for three or four years now, moving it from a single to double-digit mix of overall business, partially as a result of first work-from-home (WFH) and then hybrid working; a lot is happening in the fit-out and full support services space. Workwear and safety is something else we continue to expand on. The supply chain is key here, making sure you can get everything end to end.
Our job as the buying group and support office is to build the programmes and the tools for members – the rest is up to them.
OPI: You’ve just mentioned hybrid working. What does the landscape look like from a return-to-work point of view? We recently published something in OPI which referred to Sydney as being quite slow in that regard.
BO’B: It’s difficult. As you know, we’re based in Melbourne, which has the lowest occupancy rates of CBD businesses in the country. The last figure I read was in the 40-50% region. We, for example, are based in South Melbourne in a well-established business park. But at least two days a week, it sits mostly empty.
We have a passionate appetite for growth, for market share and for horizontal and vertical initiatives
WFH has created enormous opportunities for our dealers but only if they are visible and able to execute the last mile. Office Choice has heavily invested in its e-commerce capabilities to allow for multiple delivery locations, sub-accounts and so on. We had to, as the notion of a flexible working environment is continuing with some vigour in Australia.
The reconfiguration of workspaces to suit hybrid working and entice employees to collaborate in person is also driving continued growth in the furniture/fit-out category. We are seeing strong trends in product segments such as acoustics for sound and noise management.
OPI: Let’s talk about this new strategic direction you’ve come up with – 2024 & Beyond. What prompted that review and what is at its core?
BO’B: As I mentioned at the beginning, it started back in 2022 – about nine years into the job for me. I was sitting down with the then Chairman, Daniel Kelly. As an organisation, we’ve always stayed on the front foot with trends, analysis and data, and it was pretty clear that consolidation was fast tracking and the declines in core categories were going to become increasingly apparent.
Implementation of diversification strategies across buying groups is always a slow burn. I often joke that one calendar year equals three stationery reseller years. Engaging our stakeholders and getting buy-in take time.
So we could see where the market was going, what was happening – and what was not. Yes, we could keep going for a while and eke out our current business model, but the endgame was definitely in sight.
We decided we needed to actively influence that endgame. The investment we made in the Office Choice brand is not being fully realised in the market. There had to be more emphasis on effectively commercialising and maximising the strength of our brand as well as focusing on market share growth.
There are a few components to this: one is to amplify and streamline the traditional business model – we are a buying group and that remains critical.
The next is driving market share, which can be done through our new corporate ownership model. This was the intent when we bought both Rosebud Office Choice and
Global Office & Warehouse Solutions – to be rebadged as Global Office Choice – over the past few months.
These are the two pillars of our strategy which are immediately visible and which we’re executing. There are three others we’re working on that haven’t yet come to light. We will share those in due course.
Overall, we have a passionate appetite for growth, for market share and for horizontal and vertical initiatives that support our members from a buying group perspective and drive shareholder value.
OPI: You refer to the acquisitions of Rosebud and Global. Were these strategic or opportunistic purchases?
BO’B: We’ve been talking about this type of move in two contexts: market share opportunity and the underutilisation of the brand.
We carried out a full study of the country with an industry-specific national footprint. We shared this with our members and said: “The market size is X based on these metrics and your volume is this. Here’s your opportunity.”
We also identified 60 key markets we’re not represented in with a profile that fits the Office Choice service offering really well.
One fundamental challenge is to protect our existing markets where we are strong. There are too many examples where operators just close their doors or sell their customer list. It means, from a brand or community engagement perspective, they just disappear.
I want to emphasise that we’ve always had a focus on supporting members’ end-to-end ownership in a traditional sense – meaning when they are ready to sell, we help them get their business prepared to exit, introduce them to a broker, facilitate negotiations and so on – typical dealer group stuff.
Now we want to do more than that. We will actually acquire the business and formally go through the appropriate procedures – valuation, market relativity, opportunity, alignment to market share objectives and so on.
Rosebud was the first dealer that popped up in this context. The owner, Richard Brown, had been there for 30 years and said: “I’m ready to exit.” During the process, it became apparent that Global was also suitable to take through our evaluation and review procedure.
OPI: Is this a sign of things to come?
BO’B: The market can expect to see varied activity from us as we continue to execute on our strategic plan.
OPI: Do you pitch yourself as an acquirer at the top of the list or are you the last resort?
BO’B: It’s circumstantial. But you’re right, there are many means to an end. We want to protect the Office Choice footprint and the representation in key markets, but we are not going to buy every business that comes to the end of its ownership cycle.
OPI: When you first announced the Rosebud deal, you said you would “not only participate in the market but lead it and redefine it”. What does that mean?
BO’B: With the acquisition of Global most recently, hopefully that statement makes more sense now. We can amortise cost across two businesses which are corporately owned versus one, so there are some legitimate synergies across areas such as supply, logistics, marketing, sales, etc.
The integration of Rosebud and Global into the Office Choice family will drive greater operational efficiencies while enhancing our service delivery through combined expertise and resources. We will also pilot programmes with key suppliers with a view to rolling out successes across the group.
We’ve gained first-hand experience about the challenges of running a dealership and there’s been a lot of testing and learning. We had previously built some powerful operational tools for our members to help them streamline processes and reduce costs, but it would be fair to say that their utilisation is not at the levels we’d like them to be. I guess now we have a greater appreciation of the obstacles and become a little more insight driven. This has resulted in some tweaking of our approach to local area marketing and preferred supplier arrangements, among other things.
Rosebud has already overdelivered – proof that the Office Choice tools and systems work.
OPI: How did your overall membership respond to this new path you’re taking?
BO’B: Really well, in the main. I put it down to the fact we’d been talking about it for almost two years. This has always been my philosophy since I joined: if there’s any significant change, communicate it well and give members time to absorb it before actually doing it.
OPI: Typically, the Chairman of Office Choice was also a dealer member of the group – you referred to Daniel Kelly earlier. Your new Chair Mark Ashby is not. Why the change of emphasis here?
BO’B: We needed finance and investment capital expertise as well as high-level commercial experience to support our revised strategic approach and Mark has plenty of both. Daniel has been awesome for the past
seven years in supporting me as the CEO and in our transformation as a business. He continues to provide his invaluable support and direction now as Deputy Chair.
OPI: Let’s talk about Office Brands and your relationship with the group. Adam Joy last year said in an interview with us that he thought there was no way Office Choice and Office Brands would be operating separately in three years’ time. I believe that prompted some lively commentary?
BO’B: (Laughs) It did. I was as surprised as anyone to learn that apparently we’re engaging in conversations and collaborating on what the future might look like.
Over several years, I invested a significant amount of time in the concept of broader cooperation and dealer group consolidation without much reciprocation or vision.
We are now exclusively focused on our own strategic plan and execution. As part of this, I am looking at the broader independent channel; there are a number of high-quality businesses driving interesting activity as regards market share and national footprint, irrespective of what dealer group they are aligned to.
OPI: Your last OPiX event included Office Brands, which presumably ties in with your independent community point.
BO’B: It does. When setting up our inaugural event in 2019, we invited Office Brands to the table, but it chose not to participate. It was difficult to put together an industry event purely on a buying group basis, so we organised
OPiX in collaboration with GNS Wholesale Stationers and also received great support from the suppliers.
For 2023, having seen the success of previous events, Office Brands approached us and we were happy to welcome the group into the partnership, as an industrywide get-together had been the vision from the outset. It made sense and was a success.
OPI: You postponed your plans for the next event, due to take place this August. Why?
BO’B: We wanted to engage all the stakeholders and reinvigorate the event. I’m conscious of the cookie-cutter, rinse-repeat approach we sometimes have in this industry.
We’ve done an extensive survey of suppliers and members, asking questions along the lines of: “What do we need to do differently to maximise value for all stakeholders?”
OPI: Are those questions being driven by a reluctance of some sponsors to fund it?
BO’B: Suppliers, rightly so, are looking at ROI, as participating takes significant time, resource and funds. These events need to deliver value for all stakeholders and require a shift from the traditional buying group type of thinking.
It’s just timing. We need an industry event to recognise the important role of the independent channel, I’m convinced.
OPI: Speaking of get-togethers, I remember having dinner with you and a bunch of other dealer group heads in London back in 2018 as part of the International Office Products Alliance (iOPA). Is that entity still going?
BO’B: It is – not quite as formally as we had started out, but there’s a great collaborative relationship among several of the groups. And great things can spring from them.
In May, Office Choice and South African iOPA partner Inovocom signed an international licensing deal whereby Inovocom has secured the right to license the Office Choice trademark within the 16-country Southern African Development Community. The initial focus will be on the South African market.
This deal gives us an international presence and creates an Office Choice branded dealer group as a key pillar for Inovocom’s offerings.
OPI: Time to wrap up. You’ve had a pretty busy past couple of years, with plenty more to come. No rest for Brad O’Brien, it seems.
BO’B: Absolutely not. The board’s commitment to our new vision to transform the group and its structure, really take ownership, invest and drive market share has reinvigorated me. I see a bright and exciting future ahead.
Recently, we interviewed HP Inc SVP and Managing Director for Northwest Europe Stephanie Dismore (see Interview, OPI June 2024, page 28, and opi.net). While we asked her about the potential for the OEM to reuse – rather than recycle – print consumables, she kept the lid on an initiative the company subsequently revealed which took many in the print industry by surprise.
At an event in the Belgian capital of Brussels, two executives from HP gave a presentation announcing a solution called SecuReuse. This is aimed at facilitating the reuse of its toner cartridges by remanufacturers, something that HP has not discussed publicly – until now.
REMAN COLLABORATION
The OEM is initially working with three remanufacturers – Altkin, KMP and Peach – that will result in used HP original supplies with a genuine HP chip being available in the remanufacturing value chain.
SecuReuse was pitched as having three main goals: to expand sustainability options, increase reuse possibilities and improve the customer experience. It sits alongside HP’s EvoCycle consumables – which are made from recovered or refurbished components –as a reuse option.
In a statement, HP said: “In response to customer feedback, we’re pleased to announce the expansion of reuse options for European consumers through our SecuReuse solution for select remanufacturers on ink and toner cartridges.
“With SecuReuse, remanufacturers can now reset HP chips in select reused cartridges so consumers can easily monitor ink and toner levels, receive alerts when they are running low, and keep their printers up to
The CHIPS are DOWN
Is HP truly ‘embracing’ the use of remanufactured cartridges? OPI’s Andy Braithwaite investigates...
date. This initiative also reflects HP’s ongoing collaboration with the European Union to support its Circular Economy Action Plan (CEAP) and represents the latest step in HP’s commitment to a circular economy that benefits consumers and the environment.”
Tests with the remanufacturers will begin in late 2024 and continue into early 2025, HP confirmed. SecuReuse will first be available for several HP OfficeJet Pro and LaserJet devices, although this will involve just three toner cartridges: 963, 967 and 220. Key features and requirements include:
• Chips must be unmodified HP originals.
• Empties must have originated in, and be encoded for, the EMEA region.
• Cartridges can be used in HP+ devices.
• There is some flexibility for remanufacturers to choose ink refill quantity in line with established HP parameters.
The legislation requires HP to provide chips and resetting to all remanufacturers; it cannot pick and choose who it works with
HOW IT WORKS
SecuReuse uses a combination of hardware and software. HP will provide a reference design for a chip interface system and sample code. Remanufacturers then build their own factory tool using off-the-shelf equipment which enables secure data exchange with the chip via a cloud platform.
The system monitors the number of times a chip has been reset and there is a validation step before the encoding process. The maximum number of permitted resets per
Javier Martinez
chip is three, according to HP, with encoding blocked should this be exceeded or if a chip is ineligible for other reasons. Verification also takes place post-encoding. A chip can fail, for example, if the target cartridge is a used item. Resets are not free and one of the talking points is how much the OEM would charge.
As one industry source told OPI: “There is a question mark about the price, but it must be both competitive [for the remanufacturer] and make financial sense for HP.”
The OEM did refer to pricing in its presentation, stating this would be “reasonable and proportionate to the value of the cartridge”. This is clearly something that will be worked on in the coming months but is also a topic covered in upcoming EU legislation.
PLAYING BY THE RULES
HP confirmed in Brussels that it had been working for the past five to six years to address the remanufacturing of its cartridges. It goes back to the days of a voluntary agreement (VA) between OEMs and remanufacturers in Europe that was closely aligned with the CEAP.
The VA – established in 2011 – ended following the European Commission’s decision in 2022 not to endorse the latest revised agreement. Despite negotiations and revisions, the document was deemed insufficient to meet the EU’s ambitious environmental targets. As such, there is currently a transition process underway from the VA to formal legislation.
One person who has been closely involved in drafting the new rules – known as ‘ecodesign requirements’ – for imaging equipment and cartridges is Javier Martinez, Chairman of the European Toner & Inkjet Remanufacturers Association (ETIRA).
A draft of the final document has recently been published (see ‘Feeling the draft’). This now needs approval from EU member states, but Martinez is not expecting any major modifications to be made – especially as no print OEMs are headquartered in Europe.
According to Martinez, the ecodesign requirements should come into force in approximately 12 months’ time. Once this happens, he believes HP’s SecuReuse proposals will be “dead on arrival”.
“It demonstrates that HP does not understand the process of regulation in Europe,” he told OPI. “The legislation requires HP to provide chips and resetting to all remanufacturers; it cannot pick and choose who it works with.”
Other OEMs will have to adhere to the new regulations too, of course. The likes of Brother – with its facilities in Slovakia and Wales – and,
Below are some key elements of the latest EU ‘ecodesign’ draft proposals relating to toner cartridges:
• Manufacturers must provide the means to reset or replace cartridge chips to professional remanufacturers for seven years after the cartridge’s market entry.
• Toner cartridges must meet minimum page yield requirements, based on the printing speed of the device. The regulation specifies different thresholds for page yields which incrementally increase over time, ensuring cartridges become more efficient.
• Plastic components heavier than 25 g (0.9 oz) or measuring more than 50 sq cm (8 sq inches) must be marked to specify the type of polymer used, following standard symbols. This marking facilitates the identification and separation of materials during the recycling process.
• Chip reset fees must not discourage access by failing to consider the extent of the remanufacturer’s use of the information.
• Software and firmware updates should not result in non-compatibility with cartridges unless the end user explicitly consents to such non-compatibility.
• Users should be able to revert to the previous software or firmware version after installing an update.
more recently, Fujifilm Business Innovation (see Green Thinking News, page 16), have developed remanufacturing centres. And while these efforts are to be applauded, they are closed loop solutions which will not meet the chip availability requirements of the new EU regulations.
Meanwhile, Martinez is already fighting a different battle. For him, the main threat to the European remanufacturing industry is the widespread availability of China-made, new-build compatibles – or ‘clones’.
According to the ETIRA Chairman, none of these products comply with EU plastics regulations. It’s a controversial statement but, as they say, that’s perhaps for another time.
CATEGORY UPDATE
A clean SLATE
The jan/san sector continues to be a lucrative element of business supplies and healthy competition is brewing between seasoned facilities resellers and fresh-faced players – by Kate Davies
Sales of facilities and jan/san products have naturally shifted in response to a series of global developments. This trend began with the COVID-19 pandemic, which led to a soaring interest in employee health and well-being, as well as new workplace dynamics as a result of work-from-home and hybrid working.
While all this has meant considerable volatility, jan/san remains an essential category in our sector. When it comes to healthcare, sanitation, infection control and food safety, these products will always be on purchase orders in some shape or form. Broadening their portfolios is therefore a popular path resellers are going down.
Consolidation [...] is going to force some players to speed up their jan/san sales strategy
As S.P. Richards (SPR) Senior Director –Jan/San Distribution Raimey Whittle asserts: “Consolidation in the reseller community is going to force some players to speed up their jan/san sales strategy, while the early adopters or traditional resellers battle for business. This healthy competition will create opportunities for all if it’s viewed with a wide lens.”
SPR is confident its wholesale model helps resellers to sell outside their traditional base. Along with expanding product lines and adding new suppliers, it is also providing
category-specific support which guides suppliers to become more comfortable selling jan/san products to new types of end users.
SOLID NUMBERS
Overall, sales for facilities and jan/san resellers have been solid for the past few years and are even balancing out declines in other categories. Whittle comments: “This sector will help dealers push through the current environment and is a key driver of growth.
“We need to remain aggressive and pursue new end-user business to offset the softening of existing business and overcome the deficit left by those not returning to the office. Fortunately also, many products in this category are somewhat resistant to economic pressures.”
Jan/san and foodservice redistributor RJ Schinner, meanwhile, has been engaged in supporting the traditional independent dealer channel (IDC) to secure further opportunities in the category. Says President Steve Schultz: “With the vast majority of foodservice, paper and janitorial purchases delivered to end users in full-case quantities by market share holders that largely stock product, the IDC will face an inevitable evolution of its business models to fully embrace the prospects. It’s in this evolution where RJ Schinner will create new partnerships and wholesale alternatives for dealers.”
Worldwide cleaning association ISSA anticipates the facilities and jan/san categories will grow over the next year. EVP Jon Adkins refers to two key growth areas in particular: equipment and dilution control systems.
US-based OEC Workplace Solutions
CEO Tom Bramlett concurs, adding: “The use of concentrated cleaning products is increasing due to their cost and storage benefits. Concentrates can reduce packaging waste, lower transportation costs and offer an environmentally friendly option, thereby aligning with sustainability goals.”
ELIMINATING BARRIERS
One category sub-segment that is part of a growing area of focus for resellers is feminine hygiene. In 2023, the US introduced the Menstrual Equity For All Act, which expanded access to menstrual products. It includes a requirement for employers with at least 100 employees to provide free sanitary products.
Pads-on-a-Roll by Egal Pads were created on the principle that period products should be where they’re needed – next to the toilet, as opposed to missing from vending machines or discreetly hidden in bags (see also Event Preview, page 46)
Adding free period products where they’re most needed shows staff that employers care
Founder and Chief Technology Officer Tom Devlin explains that more and more companies are responding to the need for these items: “Pads-on-a-Roll are easy to implement and the idea is spreading. We’re finding that once a town has installed the product in schools, it’s then implemented in offices and private companies are also starting to notice.
“The payback for workplace management is formidable. Traditionally, periods have been considered an individual’s problem, so pads have been manufactured in single packets; adding free period products where they’re most needed shows staff that employers care.”
The notion of employee well-being isn’t gender specific, of course. Businesses are increasingly aware that addressing distinct needs and differences is crucial to achieving an inclusive environment and the benefits which come with a truly diverse workforce.
Essity’s B2B cleaning and hygiene brand Tork conducted a survey in March 2024 to discover just how inclusive toilets are in the US. The results revealed that as many as 34% of respondents have concerns when it comes to washing their hands.
Jenny Turner, Communications Director at Essity Professional Hygiene, explains: “Our aim is to eliminate visible and invisible barriers to hygiene so everyone can have comfortable access to public restrooms, regardless of health conditions, disabilities, neurodiversities or general hygiene concerns.”
To this end, Essity has been involved with the Global Handwashing Partnership and Swedish Rheumatism Association to incorporate inclusive designs into its products. For example, auditory sensitivity such as tinnitus and hyperacusis can make some people more easily affected by loud noises. Offering paper hand towels can help ensure a quiet environment and reduce sensory overload. Similarly, the Tork Sensitive soap range is certified allergy-friendly, benefitting those with skin sensitivities.
BREATHE EASY
The pandemic highlighted the risk of illness from airborne contaminants and this remains to be a common concern today. People want to be as healthy as possible, it’s that simple. Additionally, pollution exacerbated by wildfires and smog has intensified the need for equipment which creates clean, healthy air.
A UK Health Security Agency study, Health Effects of Climate Change in the UK: 2023, stressed the impact of wildfires based on information from Europe, Canada, Australia and the US. Given wildfire smoke can travel thousands of miles, it can trigger cardiovascular problems, asthma and other breathing difficulties for countless individuals. Air purification solutions have become more refined as a result.
Fellowes Brands’ Global General Manager of Air Quality Management, Arti Lyde, notes: “The air quality solutions market is growing increasingly sophisticated, demanding not only effective purification but also advanced sensor and monitoring capabilities. Occupants and facilities managers want to feel confident in their indoor air quality and the intelligent utilisation of real-time data for maximum effectiveness and efficiency.”
Earlier this year, ACCO Brands pulled its TruSens brand from the category, citing pricing pressures from the flood of cheaper alternatives on the market.
Fellowes notes similar difficulties and is not immune to the challenges. “The market is becoming saturated with cheaper alternatives,” Lyde acknowledges.
“However, there’s a growing segment of commercial customers who prioritise effective air purification solutions, reliability and value-added services such as complimentary site surveys, which Fellowes consistently delivers. Advanced sensors and intuitive displays with status information give occupants peace of mind and enable facility managers to monitor and maintain systems with ease.”
The [US] is catching up with the EU in terms of prioritising sustainability initiatives
SUSTAINABLE OUTLOOK
A sustainable mindset has a myriad of benefits for more than just the planet. Tork’s new compressed option for the Tork Xpress Multifold Hand Towel Dispenser is an innovative solution that reduces packaging and emissions, yielding multiple advantages. According to the brand, the compression technology for Tork Xpress reduces the air in hand towel bundles, resulting in up to 27% less packaging, reduced storage needs, increased stock per transport vehicle and fewer refills.
Egal Pads’ Devlin is mindful that Pads-on-a-Roll is a single-use product and therefore potentially damaging to the environment: “We’re committed to minimising our impact. By the end of 2024, we will be switching to paper packaging instead of our existing PE plastic wrapper. Following this, we aim to offer a plant-based pad which uses crop by-product such as banana plant leaves.”
ITW Pro Brands Market Segment Manager
Matthew Shepard believes sustainability is fast becoming a minimum expectation rather than a differentiator. He challenges vendors to look at the full range of chemicals, packaging and other product components to help customers meet their environmental goals.
Scott LeCalsey, National Accounts Manager at personal care product manufacturer Uplift Brands, concurs, adding: “Some of the biggest areas of opportunity are in reducing plastics as well as the weight and size of our products to lower carbon emissions from freight. We also participate in the Roundtable on Sustainable Palm Oil to develop global standards for sustainable palm oil.”
In the EU, customers and service partners in the Tork PaperCircle Programme (see Category Update, OPI December 2023, page 44) now have access to a new application that provides greater visibility of sustainability data. The self-service application offers site-specific information about the waste collected for recycling, allowing users to efficiently integrate waste reporting into their workflows.
ISSA’s Adkins agrees that sustainability reporting is a key opportunity to help its members: “It can be a complex issue and challenging for small- and medium-sized businesses to compete with larger companies that are subject to mandates.
“We have a chance to assist members in overcoming this with reporting tools and guidance that allow them to participate effectively in the sustainability movement.”
CATCHING UP?
While there are no reporting regulations in the US, and no federal ban on single-use plastics, 12 states and around 500 municipalities have enacted their own regulations. Adkins is confident more plastic packaging bans will come as environmental concerns grow among the public and policymakers.
“One way to adapt is to implement closed-loop systems for packaging, where distributors and manufacturers reuse and recycle materials,” he advises. “The EU has more experience with this approach and could serve as a model for the US market.”
According to Aubrey Baumann, Director of Sales and Marketing at Durable in the US, the country is catching up with the EU in terms of prioritising sustainability initiatives. She comments: “There will be an increased focus on recycling, waste separation and renewable materials.The challenge is cost. Consumers don’t want to pay more for environmental products but will choose them if they’re the same price.”
OEC’s Bramlett notes sustainability hasn’t fundamentally penetrated the southeast US market but sees more awareness in corporate and government customers. Although he acknowledges that sustainable solutions may not always benefit the immediate bottom line, the chance to expand into new customer bases that align with growing regulatory demands will be a positive in the long term.
AI and robotics offer opportunities to meet hygiene needs despite limited resources
From a dealer perspective, Schultz agrees that the heightened environmental focus creates a host of opportunities. For RJ Schinner and its partners to meet sustainability mandates with compliant product alternatives, he believes deeper knowledge on the part of sellers is required. They must appreciate which products work in any given case, which are cost-effective and whether these are readily available with a reliable supply source.
“In the US market, we have moved into a place where leading with alternative solutions, mandated or not, will create positive potential,” he says.
AI PROSPECTS
The facilities and jan/san sector has traditionally lagged behind other verticals in its adoption of digital technologies, but AI may present welcome solutions soon.
“A significant challenge in the cleaning sector is the shortage of workers and this is expected to worsen,” explains Greenspeed Marketing Executive Eva Meerts. “With too few cleaners available, AI and robotics offer opportunities to meet hygiene needs despite limited resources.”
Bramlett also sees potential in AI, particularly as regards inventory and stocking issues. For
instance, he expects AI to accurately forecast disruption patterns and future customer needs to pre-emptively address supply chain issues, ensuring smoother operations and maintaining customer trust.
He continues: “We’re monitoring the early adopters of AI in industries like healthcare, finance and manufacturing. By analysing the successes and strategies in these sectors, we can make quick but informed decisions on implementing AI solutions that drive competitive advantages for our business. As the saying goes, pioneers take the arrows, settlers take the land.”
FORWARD THINKING
The supply chain is a crucial component of a category’s success – as was starkly demonstrated during the pandemic. Schultz is certainly keenly aware that manufacturers and wholesalers are never truly immune to variables in this regard, whether they concern import or domestic challenges. “I ask our suppliers to evidence robust systems that help insulate or mitigate the direct impact of any supply issue,” he says.
“I like the term ‘effective redundancy’ to describe how this should play out – in other words, don’t over or underengineer everything, but have systems to manage disruptions in the most important areas. Merchandising category offerings that provide realistic substitutes and cost-effective alternatives further create actual redundancies.”
On a positive note, recent supply chain disruptions have been less challenging than they were during COVID-19. Resellers have also learned from the past and are now better prepared for interference.
For example, LeCalsey explains that Uplift Brands has taken action to guarantee its services, including investing in forecasting tools, securing dual supply of key components and partnering with reliable carriers.
For Schinner, managing its own fleet is an integral part of its value proposition, affording some protection from both freight cost and capacity challenges.
Working environments continue to evolve and the jan/san segment with all it entails – products, equipment and entire cleaning schedules – has moved with the times.
And there’s likely further change to come in this dynamic environment. “The workspace is moving towards more flexible and activity-based layouts, effecting how employees navigate their space,” Essity’s Turner highlights. “It’s a demanding task to ensure consistent cleaning in this type of landscape but operating proactively rather than reactively is key.”
Tork the TALK
Following new regulations, businesses are under growing pressure to boost their sustainability initiatives. Hygiene is one area where efficiency can reap environmental rewards too
Environmental issues are in plain sight. Deforestation, textile waste, and plastic and air pollution are some of the big problems of 2024.
According to Deloitte, one-third of UK consumers would trust brands more if they were recognised as ethical. Meanwhile, 25% would pay more for products and services from sustainable suppliers – and the incentives to ‘go green’ don’t stop there.
The EU’s Corporate Sustainability Reporting Directive (CSRD) came into effect in January 2024. It requires large companies, listed SMEs and non-EU businesses – provided they generate over €150 million ($160 million) in the EU market – to publish regular reports on their social and environmental impact.
In the specific category of health and cleanliness, Tork, the professional hygiene brand of Sweden-headquartered Essity, highlights how proper hygiene management can reduce waste, increase efficiency and improve the sustainability of a business.
OPI’s Kate Davies spoke to the vendor’s Philadelphia, Pennsylvania-based Regional Marketing Manager for Commercial and Public Interest, Rachel Olsavicky, and her colleague, Customer Marketing Manager for Sustainability Jill Trider.
They discussed how leaders can ensure their hygiene protocols are sustainable and how new reporting rules will affect the sector.
OPI: Can you tell me about the role sustainability plays at Essity?
Jill Trider: We’re committed to developing innovative and sustainable hygiene solutions and have set high ambitions within our B2B brand, Tork. For example, we are looking at how to use more renewable and recycled content in our products and packaging. Also, whether we can control consumption and reduce waste.
Leaders must understand their business and its unique needs, and then consider the environmental targets
Rachel Olsavicky: Sustainability has been an issue for facility managers for years, driven by end users. With mandates like the CSRD and the environmentally conscious younger generation entering the workforce, it’s become a responsibility Essity is helping to ease.
OPI: You mention the CSRD. Does this affect you in the US – does Essity have a global perspective in this regard?
Jill Trider
JT: Although sustainability seems to be more of an elective in North America currently, Essity is focused on it from a global perspective. There are currently circular solutions in Europe and we are continuing to see more regulations and compliance in the US.
OPI: Last year, OPI hosted a podcast with Tork’s Nancy Farrell about data-driven cleaning. How prominent is this strategy among your customer base?
RO: Data-driven cleaning is all about end customers; it reduces complaints and makes
their lives easier. The strategy communicates to facility managers when and where an office is consuming products, which ties back to sustainability because it works smarter – only cleaning areas that need to be cleaned and freeing up vital resources.
While they’ve been around for over ten years, data-driven solutions are growing. Labour shortages have become a harsh reality, with staff retention and retraining two more tasks pulling on financial resources.
JT: The cleaning business is a huge industry with a large impact on commerce. Making it more efficient – in terms of products, cost effectiveness and training – improves the well-being of employees.
OPI: Why do customers choose data-driven cleaning – is it mainly to reduce costs or to increase sustainability?
RO: Cost is always going to be a factor, but it’s definitely a worthwhile investment. People see the critical labour saving it provides, especially in an environment with high turnover. By deploying employees available in the most practical way, their jobs hold more purpose. Staff experiences are therefore improved, as are retention figures, benefitting the human side of sustainability.
OPI: How can business leaders ensure their hygiene practices are sustainable?
JT: They need to consider the combination of delivering hygiene in tandem with sustainability. These are integrated goals, not separate intentions.
Leaders must understand their business and its unique needs, and then consider the environmental targets. Once these boxes have been ticked, they can discover what third-party accreditations provide the corresponding validation. It’s also important, when you achieve endorsements, to be transparent with employees and customers.
Sustainable practices can often be invisible or very subtle, but categories such as cleaning are an excellent way for leaders to elevate the conversation. The incoming workforce is increasingly passionate about the environment; these recruits want an employer that feels the same way.
RO: In 2022, Tork published The Tork Eco Office Survey US, revealing one in eight workers have considered leaving their job due to the lack of sustainable practices in their workplace. This should be a concern for a leader and enact change, whether that’s improving sustainable targets or enacting clearer communication of them.
OPI: We’ve only briefly touched on sustainability awareness in the US. Is there a similar initiative to the CSRD there – or is anything coming down the road?
Rachel Olsavicky
JT: In the US, one of the latest initiatives is the Securities and Exchange Commission (SEC) ruling. The new guidelines, passed in March 2024, requires the largest US listed companies to publish their Scope 1 and 2 greenhouse gas emissions along with other climate-related financial information.
Businesses may think they can deliver on the SEC ruling, but they also have to meet state requirements to do business in certain locations. For example, the state of California has its own carbon accounting and recycling goals and is much more stringent than the SEC’s rules.
The challenge for global businesses in North America is first to understand federal, state and European mandates, and then try to meet each of them. That’s a lot of rules to digest, plan for and meet, all of which places a tremendous drain on resources.
Regulators efforts to standardise corporate sustainability regulations will help businesses better understand various guidelines and how to conform to them.
Avoiding greenwashing is about knowing your organisation and truly acknowledging what it’s capable of
OPI: What, in your opinion, needs to be done to stamp out greenwashing?
JT: Avoiding greenwashing is about knowing your organisation and truly acknowledging what it’s capable of. Set targets that are smart, measurable, actionable – and continuously track and report on them.
Positive progress is often made; but changes in either the business itself or the environment can make it difficult. By being transparent in their reports, companies can have honest conversations about where they have succeeded, whether there are any obstacles and how they plan to move forward.
We need to appreciate that sustainability is a journey where the finish line is constantly moving. Learning how to shift to a more sustainable format is a tough ask and I warn against judging any company too harshly. We’re all moving from one baseline to another and there are iterations in between.
OPI: Is independent verification the answer?
RO: It can certainly go a long way towards diminishing greenwashing. When firms achieve recognised accreditations, they’re proving they can talk the talk and walk the walk.
JT: Finally, it’s not just choosing the right product. What is it packaged in? How is it transported? Where does it end up once it’s been used? It’s crucial to assess the entire life cycle of your hygiene offerings and purchases.
CATEGORY UPDATE
CHANGING rooms
Vendors in the furniture category are adapting their offerings to meet the changing needs of customers as spending patterns shift – by David Holes
Throughout the tumult of the past few years, the layout of office spaces and the very way we work have gone through dramatic changes. This has impacted the business supplies industry as a whole; but within it, it has perhaps affected the furniture sector more than most.
Category specialists have had to modify their approach to accommodate the new realities. In the main, it’s been a positive development.
UPWARD TRAJECTORY
US-based S.P. Richards (SPR) reports that Q1 sales got off to a slow start, but subsequently began to pick up. There was a marked difference between the transactional and project-based sides of the business: while the former has softened, the latter has proved resilient, with activity remaining stable.
The wholesaler maintains a positive outlook for the category looking forward, with growth predicted for the rest of the year.
Also in the US, The HON Company says 2024 is shaping up well, with VP of Sales Ric Andersen observing strong year-on-year growth across its dealer channel business. He expects this to continue, adding: “Our Independent Suppliers Group [ISG] network has seen a strong double-digit rise. Plus, the education vertical continues to perform exceptionally, which positions us well for continued expansion.”
Across the Atlantic, UK-based furniture specialist Bisley had to cope with a tough trading period following Russia’s invasion of Ukraine, but has since recovered, with domestic sales now ahead of forecast. Exports to the Middle East are buoyant, although trade
with parts of Europe and the rest of the world remains under pressure.
On the reseller side, Irish B2B supplier Codex has a wholly positive tale to tell, having witnessed massive category growth over the past three years. According to Furniture Category Manager Kate Nelligan, this is partly due to work moving off-site as a result of the pandemic shift, with the company able to offer bespoke furniture solutions, coupled with a countrywide home installation service.
[WFH and hybrid working have] fundamentally transformed the office furniture industry
Now that the tide is turning again, with the flow of staff directed back towards the office, Codex is tapping into this reverse cycle as businesses seek furniture offerings which facilitate or encourage a return to work. Nelligan is optimistic in her market assessment of the next year.
Perpetua Malta
HOME COMFORTS
All those OPI spoke to indicated that this shift from office-based employment to work-from-home (WFH) or hybrid working has had a major impact on this sector.
“It’s fundamentally transformed the office furniture industry,” says Perpetua Malta, Global Sales Director at Portugal-based Bi-silque. “As more professionals work remotely, we’ve observed a pronounced shift from traditional, commercial office furnishings to
home solutions which prioritise ergonomics, space efficiency and aesthetic harmony within residential spaces.
“Customers are looking for furniture which is both functional and contributes to a healthy and productive domestic work environment. This includes chairs which support posture, desks with height adjustability and storage solutions that help organise the workspace efficiently.”
Meanwhile, she adds, home office set-ups with limited space create demand for compact solutions: “Foldable desks, wall-mounted workstations and multipurpose products have risen in popularity. As virtual collaboration has become essential, furniture with integrated technology – such as built-in charging stations, cable management systems and arrangements for video conferencing – have also gained traction.”
SVP for Furniture at SPR Eddie Baird agrees WFH has had a transformative impact on the industry and also changed the mindset of consumers when purchasing products: “Often end users, rather than companies, are personally selecting items online, so digital content is paramount.
“However, by bypassing the specialist furniture supplier, they need to be aware they are taking on all the responsibility for their selection. The services a dealer can offer –design, delivery, installation and follow-up – are not provided by e-commerce platforms and remain a differential USP for independent operators,” he asserts.
Among all this optimism, Kyle Friedrich, Marketing & Sales Associate at US-based Victor Technology, offers a word of caution, having observed a decline in the WFH market recently. He explains: “Many workers who bought home office furniture in recent years did so when employers were supplying the necessary budget. That time has passed. Now new employees are required to cover the costs themselves, they are more reluctant to do so. Consequently, spend in this area is dropping.”
THE NEW OFFICE
The modern office space is evolving too, also somewhat related to new work patterns. According to Bisley CEO Richard Costin, employees want workplaces which resemble their homes, complete with biophilic designs, vibrant colours and leisure amenities such as pool tables and beanbags.
He adds: “It’s encouraged us to move beyond traditional, low-margin, commoditised offerings, such as the ubiquitous four-drawer filing cabinet. We still sell thousands of these, but our strategy now emphasises more fashionable wood and steel products.
FIFTY SHADES AWAY FROM GREY
Bisley’s Creative Director Jeanine Goddard offers her take on why grey is not the way to go in the modern workplace I’ve been an interior designer for a long time. I trained as a cabinet maker in Germany, studied interior architecture and went on to work with several of the world’s biggest interiors companies.
I have been with Bisley for about seven years and in 2021 assumed the responsibility of Creative Director. For me, a significant part of that role is colour and its application.
If you ask most people what colour springs to mind when describing corporate life, they will probably say grey. Bisley has been making workplace furniture solutions for almost 90 years and during that time, we’ve produced our fair share of grey products. In fact, the first Bisley MultiDrawer we ever manufactured was grey. It remains our most popular colour and comes in many shades.
But the corporate world’s obsession with all things grey is changing. In fact, you’d be hard-pressed to find a new office project which sticks solely to this dull palette. Designers are now embracing the entire spectrum, while employing concepts such as colour psychology and the ‘homification’ of the office.
Customers are becoming more adventurous with their choices –choosing bolder shades and demonstrating a desire to experiment more. Additionally, the post-pandemic workforce has no desire to spend their days sitting in soulless grey boxes.
I’ve seen some incredible technicolour office spaces in recent years: from bold primary-coloured concepts with bright shades splashed across every surface to more tonal and muted earthy shades of greens, browns and warm neutrals, coupled with copious amounts of plants. Another aesthetic includes workplaces that are more akin to a five-star hotel, with dark, rich tones, high-end burnished metal fixtures and jewel-hued banquette seating.
As a designer, it’s thrilling to see and it’s a trend which has been driving Bisley for some time – both to enhance the brand and to respond to customer demand.
So, is the grey era coming to an end? In reality, it will probably be with us for a while longer, as there’s a lot of it out there. But when it comes to new-build and reimagined workspaces, they are being designed with colour firmly in mind. A revolution is underway – one shade at a time.
Jeanine Goddard
“The fastest growth we’re seeing is in locker wall storage, including smart technology locks with barcodes, QR codes or PIN readers –similar to the Amazon Locker service.
“This range also delivers a wealth of data about office attendance and reservation frequency. It costs far more than a standard product, so the average order value is exceptionally high, representing a great opportunity for dealers to generate revenue.”
Roger Clark, EVP Business Development at PS Furniture in the US, meanwhile, says that while the outdated cubicle-style office is long gone, the open-plan office concept which replaced it has now morphed into what he calls the ‘fluid’ or ‘liquid’ workplace. Here, flexibility is key as layouts are continually reworked to adapt to the task in hand.
Facility managers, he adds, are asking for furniture which can cope with these challenges, helping them deal with multiple requests from staff to switch things up throughout the day.
The fastest growth we’re seeing is in locker wall storage [...] similar to the Amazon Locker service
Codex’s Nelligan confirms that multifunctional furniture is becoming increasingly popular as firms seek practical solutions for their ever-changing office spaces. However, for her, the stand-out trend over the past year has been products that provide sound absorption and privacy, with pods for individual work or collaborative/ meeting purposes in high demand.
In addition, the concept of the ‘human-centric workplace’ is gaining traction and driving purchasing patterns, according to Bi-silque’s Malta. Products which foster interaction, communication and collaboration are keenly sought after. In addition, modular, mobile-friendly furniture, with flexible configurations that can easily be rearranged to accommodate different activities, is popular.
She adds: “The lasting effects of the pandemic are also driving the integration of health and safety elements into office furniture design. There’s a rising demand for antimicrobial surfaces in some verticals and this is likely to persist as awareness of infection control continues to grow.”
THE GREEN SCENE
Historically, the furniture industry has had its environmental challenges. These remain to some extent, with issues around
greenhouse gas emissions, waste and the use of non-sustainable materials. However, all operators OPI spoke to were clear about their efforts to mitigate negative output.
For example, Kieran Keohane, Compliance & Sustainability Officer at Bisley, stresses that its design team considers the environmental properties of every new product from inception to delivery. This encompasses not just its manufacture, but also longevity, reuse and recyclability at end of life.
Similarly, HON’s Andersen says the company closely examines every step in a product’s life cycle to minimise its footprint. This starts with incorporating recycled material and includes pursuing zero waste to landfill, reducing greenhouse gas emissions and sourcing 100% renewable electricity.
BOOSTING THE CIRCULAR ECONOMY
Some respondents also mentioned burgeoning interest in the use of second-hand and upcycled furniture, aligning with the principles of the circular economy. In this regard, Michael Pritchard, VP Western Region for BOSS Office Products in the US, notes an interesting knock-on effect from firms downsizing their office space as hybrid working remains so common.
He explains: “The main beneficiary of this is the ‘pre-owned’ category. Dealers are charging a hefty amount to decommission a building and haul its contents away, but are also getting a lot of A-grade furniture for free which can then be sold onwards.”
Kate Nelligan
As Malta summarises: “Success in the furniture space hinges on the ability to provide holistic solutions that enhance productivity, communication and well-being. By staying attuned to market trends, offering innovative, sustainable products and providing exceptional support, you can position your dealership as a trusted partner for creating effective and collaborative workspaces.”
IT’S A NeoCon WRAP
Now in its 55th year, NeoCon is renowned as one of the world’s leading platforms focusing on all aspects of commercial space design. Held from 10-12 June 2024 at The Mart in Chicago, Illinois, it’s become an essential gathering point for architects, creators, manufacturers and other professionals who want to learn about the latest trends, products and innovations in interior design.
BROAD APPEAL
The theme this year was ‘Design Takes Shape’, with around 400 leading and emerging brands showcasing their ideas. NeoCon reported a huge attendance of more than 50,000 people from across the globe, with packed keynotes and well-attended presentations, product launches and networking events.
While representing an incredibly wide cross-section of the industry, several key themes ran through the show, all highlighting the zeitgeist influencing the practices and decisions made by businesses today.
The shift to hybrid or work-from-home has clearly affected the style of offering on display. The impact was twofold: vendors showcased products suitable for use in a home set-up, while also catering to those employers looking to entice workers back to the office. The latter manifested itself in styles which had a more comfort look or feel.
Exhibitors focused more on lounge furniture, for instance, rather than workstations or storage products. In terms of design, shapes were rounded, with softer lines, while colours were more vibrant and welcoming.
Flexibility was another core theme. Mobile products and those which can quickly be rearranged to meet the needs of different tasks were widely on display. Multipurpose seating and tables, together with visual and acoustic screening, were common, as were pods suitable for either individual or small-team collaborative work.
The integration of technology in furniture to facilitate online meetings and presentations was omnipresent.
EMERGING THEMES
Sustainability was promoted by many companies. And perhaps a relatively new development at NeoCon is that much greater emphasis is being placed on the importance of designing for a neurodiverse population. Neuroaesthetics is a nascent field that explores how elements like colour, sound and art impact individuals’ brains, emotions and spatial experiences on a subconscious level.
Lastly, NeoCon noticeably highlighted outdoor solutions in response to growing demand for spaces which can incorporate open-air environments to promote mental and physical well-being.
The next NeoCon will take place 9-11 June 2025 at The Mart in Chicago, US
AI in the REAL WORLD
AI is omnipresent nowadays. But how does it affect our sector? OPI’s recent practical deep dive investigated how AI is changing the business supplies industry – and the workflows within it
In late May, OPI held a half-day AI Online Summit, discussing how AI technology can be applied in our space. The webinar covered several facets of AI and began with an overview by The Future Normal author Henry Coutinho-Mason of how AI and robots could radically improve the world of work in the future. Less (work) is more (results) was his conclusion.
It also included hands-on experiences from industry leaders, such as Robbie Clark, Kenneth Borup, Caitlin Graham-Pederson, Kevin McGirl, Patrick Donnelly and Christian Langvad. They gave advice on navigating the AI landscape and explained what they had learned from their successes and mistakes.
West McDonald, founder of AI advisory and consulting firm GoWest.ai, meanwhile, presented a highly informative strategic blueprint for ‘Empowering the office products channel with AI’.
OPI’s Heike Dieckmann caught up with McDonald post-event for a potted version of his insights and a highlight reel of practical
OPI: West, I would argue that AI excites and scares people and businesses in equal measure. Would you agree?
West McDonald: Definitely. Similar to the very early days of the internet, people were – and some still are – terrified of AI and thought it was going to take away so many jobs. But they are figuring out now how to take that new access to knowledge and turn it into an opportunity.
I see it every day in my work – the possibilities AI brings. But you have to look at it in the right way and educate businesses and their employees on what the innovations are, to establish how – even if it’s not today – they could positively impact our work in the future.
The first step is to establish AI maturity levels in an organisation
OPI: What is the overriding ‘task’ of AI in our industry – where is it most useful?
WMD: I’m very familiar with the business supplies sector, having worked in the managed print space. In my time in the office equipment channel, working with OP dealers, I conducted a lot of management assessments. The idea was always to help people with their workflows.
A recording of the full OPI AI Online Summit is available to purchase. For more information and to buy, visit https://opi.net/ai2024
AI is the same – it can help us to work better and make our professional experience more rewarding. But before this can happen, we need to have a really good understanding of where the bottlenecks are, where work is difficult, where we stumble – and then figure out whether and how AI can assist.
The first step is to establish AI maturity levels in an organisation. Is there limited awareness of AI and, consequently, zero use? Or does AI feature in some existing tools, but is used in a random fashion? Perhaps staff use large language models – ChatGPT, Bard, Gemini and the like – but in an unstructured way.
On the more advanced side of the spectrum, firms may already be using AI for specific workflow improvements. Then there are those –few and far between – with a comprehensive AI strategy across the entire company.
OPI: Is the overall goal cost efficiency, in addition to getting rid of laborious, repetitive jobs to free up time for more important ones?
WMD: Very much so. Automating business functions and driving efficiencies is what I do when I work with customers. The aim is to help them figure out how best to use AI in order to ultimately improve the bottom line. It’s like hiring somebody to help others do their job better; it could be to automate processes and tasks, but also to give customers more attention and personalisation.
As John Donne said: “No man is an island.” It’s never just one person – you always make better decisions when there are people around you. Augmented intelligence can do the same thing – it’s a copilot that helps with brainstorming and decision-making.
manually (if they bother to do it at all). Even if reps spend just 50% less time on this type of CRM and opportunity update work, it will still be a significant saving and they will have more time to do what you pay them to do: sell.
AI is very good at many things, including predicting trends – but it needs good data in order to do that
OPI: Where, in terms of functions or departments in companies, are the biggest opportunities for AI?
WMD: There are so many. Sales is a big one and CRM updates are at the very top. This is one I can’t say enough about. Once implemented, AI and CRM integration are invisible and offer a big return on time for sales reps to do more selling.
The tool I use and recommend – timeOS, which I have integrated with HubSpot CRM and Asana – gives me an instant background on the person I’m talking to on a sales call. If I’ve already had a few interactions with that customer, not only will timeOS give me an overview of the person and company, it will also brief me about the calls we’ve had previously. When you contact-switch all the time, talking to different customers, it’s a great tool to ensure you’re on point.
AI assistants like this help sales reps to automatically update their CRM systems with AI-generated call notes and tasks. The result? Huge time and cost savings as AI solutions are significantly cheaper than the cumulative hourly rates of salespeople inputting data
Percentage of companies committed to AI for 2024
growth
Battle cards are another great tool for sales reps to make sure they’re constantly sharpening their craft. Competitive intelligence, as we all know, is out of date the minute we get it done. AI ensures that’s not the case.
OPI: Are there other easy wins?
WMD: The overall marketing function would be one where AI can save an enormous amount of time and money.
I helped a client use AI to do an SEO analysis of its website – not only did it tell the organisation how it ranked compared to some of the best practice sites, but it also came up with suggestions to create a better experience.
Or take branding. A friend of mine in the office equipment channel does brand identity packages for clients. I’m talking about logos, other imagery and signage, product packaging design, etc.
When my friend traditionally did this work with customers, it would take an average of 65 hours of work to get to the final approval stage. That’s a lot of hours to pay for. The same effort using AI – throughout all the steps – now takes seven hours. Imagine something which can reduce your workflow from 65 to seven hours – the savings are critical. And you don’t have to charge proportionately less for the service so the bottom line looks significantly different.
OPI: What about functions that typically need more of a human touch? Customer service springs to mind.
WMD: The scope gets a little smaller, but there are opportunities here too. Fixing a piece of equipment, for instance. The time it
takes to get a ticket closure is critical because humans are expensive. You want to get that closure as quickly as possible, especially if you have a service agreement and are getting paid a fixed monthly amount rather than for what it actually costs.
AI is phenomenal for this. I have built custom GPTs whereby people can quickly query a device they have a problem with and get answers much faster than they could just looking at a PDF or searching a manufacturer’s website for information.
As another example, I’m working with a group on customer general purpose chat systems to help people with their service departments, both for reducing the time to close tickets and – just as importantly – for training, to make sure they’re using chatbots correctly and appropriately.
These types of guides are very helpful but they’re also difficult and time-consuming to produce. I was tasked with writing a guide on computer vision in the security and alarm industry recently. In the past, the average guide of this nature would have taken me anywhere between three and four weeks.
It’s no surprise most organisations only produce this type of material once a quarter because of the amount of effort that goes into them. But it’s so valuable and portrays you as an expert in the industry.
Once I applied myself to using AI for the guide, I got the timing down to four hours to get it to the editor stage for content fact-checking and then design.
OPI: Are there any other jobs where AI can really help and make life easier?
WMD: Even though the title suggests otherwise, the whole gamut of human resources. There is so much information that could be generated, collated and constantly
curated for this department – in terms of onboarding, training and benefit plans, to name but a few things every firm has to deal with. Meeting notes are incredibly useful too and, again, eliminate work while also allowing participants to focus on what’s really important – the meeting. It takes a bit of getting used to seeing an AI in your meeting, whether it’s Firefly, Otter or timeOS. One of the great things these tools facilitate is more active listening and greater productivity. Scribbling things down frantically tends to result in less engagement with the people we’re talking to.
OPI: For anyone starting out and looking to incorporate AI into their company in a meaningful and structured way, what would be your recommendation?
WMD: There are a few pointers to make sure you’re venturing down the right track.
First, check every single department to understand the work being done. Where are the pain points, the bottlenecks? Go down several layers to get to the root cause if there is a problem. Most organisations that want to focus on their core offering and are serious about this will partner with firms such as GoWest.ai which spend 100% of their time doing AI assessments and research.
Second – and irrespective of whether you engage with an expert – complete a report with recommendations and decide with your teams which initiatives to implement. Commit to those, from the top down, and make sure you really start to integrate AI into your workflows.
Last but not least, beware: AI makes mistakes. You need to understand how it works before putting it out there, especially for your customers. Start small and be realistic about the limitations. AI is very good at many things, including predicting trends – but it needs good data in order to do that.
OPI: Any final thoughts on the topic – and perhaps people’s hesitation to get involved?
WMD: Anyone sitting on the fence with AI, check this: 83% of companies we’ve talked to investigated AI for their growth in 2024. That’s pretty significant. 79% of folks we interviewed for surveys last year, meanwhile, reported that when they were using AI, they saw both an increase in their revenues and a decrease in the cost to generate those sales.
We know some of the items sold in the OP industry are in decline and there is often a race to the bottom with very tight margins on products. We need to use all the tools at our disposal to maintain overall healthy margins. AI has been proven to facilitate that.
Percentage of companies that have already benefitted from AI in business
West McDonald is the founder of GoWest.ai and an expert in generative AI applications and AI solutions. He helps businesses navigate through AI integration, channel convergence and sustainable revenue models. He also knows a bit about business supplies, having spent many years in the managed print services sector. For more information, visit gowest.ai
Going for the gong
NORTH AMERICAN OFFICE PRODUCTS AWARDS PREVIEW
With nine awards up for grabs, the North American Office Products Awards are back once more
For the fourth consecutive year, the North American Office Products Awards (NAOPA) are being hosted by OPI in association with Independent Suppliers Group (ISG). All awards will be presented at Industry Week ’24 powered by ISG, to be held in Orlando, Florida, from 21-26 September.
A record-breaking number of entries have been received for the five product categories. The shortlist below is proof that innovation, functionality and aesthetics are top of mind for vendors in the business supplies industry:
BEST PRODUCT – CORE BUSINESS PRODUCT
• 3M – Scotch Paper Tape
• C-Line Products – Dry Erase Dot Decals
• Fellowes – Fellowes AutoMax 100MA Auto Feed Shredder
• GoodsiQ dba Amax – Bostitch Office Konnect Desk Organizer and Charging Station
• Kensington – Kensington W2050 Pro 1080p Auto Focus Webcam
• Newell Brands – DYMO LetraTag 200B Bluetooth Label Maker
BEST PRODUCT – FACILITIES, BREAKROOM, SAFETY & INFECTION CONTROL
• Egal Pads – Pads-on-a-Roll
• Essity – Tork 2-in-1 Scouring and Cleaning Foodservice Towel
• Mark Whitfield – Chief Revenue Officer, Product Movement
The Professional of the Year and Industry Achievement awards will be presented during Industry Week – there is no shortlist. Finally, OPI readers can get involved in the popular People’s Choice award. Find out how on page 48.
Cast your vote
Here is your chance to select the top product(s) in the People’s Choice category of this year’s NAOPA. OPI readers have three votes to submit to help select the winner of the coveted and hugely popular People’s Choice award from 26 shortlisted products. Online voting is now available and is quick and easy – simply visit www.opi.net/vote2024
The winner will be announced at Industry Week ’24 powered by ISG, held in Orlando, Florida, from 21-26 September.
3M – SCOTCH PAPER TAPE
Scotch Paper Tape is 3M’s first see-through paper tape. The translucent – clear enough to read through – paper-based product is ideal for labelling, light hanging, repairing or decorating.
The tape, which cleanly removes from all surfaces, can be used in any Scotch dispenser or simply be torn off by hand.
ACCO BRANDS – QUARTET INVISAMOUNT MAGNETIC GLASS DRY ERASE BOARD
With its invisible mounting system, the Quartet InvisaMount Board is an unobstructed sheet of glass, giving the product a contemporary look. GREENGUARD Gold Certified, boards are available in black and white, and offered in multiple sizes for both horizontal and vertical mounting.
C-LINE PRODUCTS –DRY ERASE DOT DECALS
C-Line’s Dry Erase Dot Decals are perfect for teaching and training purposes and turn any flat surface into an instant learning space.
The bright, primary-coloured circles add excitement to any environment and make lessons more fun for children.
The decals can be used in the classroom and other locations to leave notes or personalise a space. They work with dry erase markers and are easy to apply, reposition and remove.
EGAL PADS – PADS-ON-A-ROLL
ECI SOFTWARE SOLUTIONS – EVOLUTIONX
EvolutionX is a best-in-class B2B e-commerce solution that helps distributors, manufacturers and wholesalers sell more online through content, commerce, connectivity and communication.
The platform provides a modern website which allows customers to browse, add to their carts and buy products in seconds.
Almost every menstruator at some point has been surprised by their period and caught without a product. Pads-on-a-Roll is a solution that is affordable, private, easy to implement and accessible to all users.
Each roll of 40 individually wrapped menstrual pads fit a compact dispenser placed in each toilet stall, where it is needed most.
ERGOAV – ERGOFX ADJUSTABLE HEIGHT STANDING DESK
The ErgoFx is more than a standard, adjustable height standing desk. It’s equipped with an integrated wireless phone charger, a concealed power supply compartment, an accessible LED-lit front fast charging panel and several USB ports for easy access charging.
ERGOAV – MONITOR
DESK MOUNT WITH DOCKING STATION
ErgoAV’s Monitor Desk Mount with Docking Station is a comprehensive solution designed to conveniently connect all manner of technology. With up to 75W of device capability via the USB-C port and two USB-A 3.0 ports, users can connect USB devices to transfer files or charge smaller equipment.
The desk mount also comes with an AUX output for earbuds or other tech as well as an HDMI port.
ESSITY – TORK
CARBON NEUTRAL CERTIFIED
DISPENSERS
Since 2023, Tork dispensers in North America have been available with carbon neutral certification. The carbon emissions for these dispensers are reduced and offset across the entire life cycle of the product. All remaining emissions are compensated for through ClimatePartner projects. The emissions savings in a year from this initiative are enough to drive a petrol car 900 times around the world.
ESSITY – TORK 2-IN-1 SCOURING AND CLEANING FOODSERVICE TOWEL
Essity’s new Tork innovative cleaning cloth is a hybrid between a wipe and a scouring sponge. It cleans stubborn messes more efficiently than standard Tork foodservice wipes with two-in-one abrasive and absorbent scrubbing. It’s non-scratch and can be rinsed and reused, resulting in less waste.
GHENT – GRVT MOBILE COLLABORATION HUB
FELLOWES – FELLOWES AUTOMAX 100MA AUTO FEED SHREDDER
Fellowes’ AutoMax 100MA Auto Feed Shredder allows users to achieve enhanced productivity with utmost confidentiality – free of frustration or interruption. The machine shreds up to ten sheets manually or 100 sheets automatically, all with micro-cut security.
Ghent’s GRVT – pronounced ‘gravity’ – is a mobile collaboration hub that combines a table, writing surface, seating and power. Suitable for indoors and outdoors, the hub fosters natural collaboration and empowers employees to tailor their work environment to changing demands.
GOODSIQ DBA AMAX
– BOSTITCH OFFICE
KONNECT DESK ORGANIZER AND CHARGING STATION
GoodsiQ’s Konnect Desk
Organizer doubles up as a cord management solution: it not only charges devices such as phones or tablets with built-in USB ports and a dual power hub, but also organises any electronic cords with the cord wrap, so they’re untangled and out of the way. This all-in-one stackable kit can be used as a single unit or broken down into several individual components.
KENSINGTON – KENSINGTON W2050 PRO 1080P AUTO FOCUS WEBCAM
The W2050 webcam, part of Kensington’s professional video conferencing ecosystem, delivers high-quality video, dynamic zoom, two omnidirectional stereo microphones, flexible camera placement and enhanced low-light imaging.
The W2050 provides a powerfully flexible experience on Microsoft Teams, Google Meet, Zoom and other platforms.
KENSINGTON – KENSINGTON SD4880P USB-C 10GBPS QUAD VIDEO 17-IN-1 DRIVERLESS DOCK
Revolutionising the USB-C docking experience, the SD4880P USB-C 10Gbps Quad Video Driverless Dock supports up to four external monitors, provides ten plug-and-charge USB ports and delivers 100W dynamic power delivery in a premium 17-in-1 design. Connected accessories can be charged without relying on a host laptop connection, helping to create a clutter-free workspace.
LUXOR – KWIKBOOST EDGEPOWER
Luxor’s KwikBoost EdgePower offers a cordless power solution for offices that value mobility and flexibility. It eliminates cords and adapts to various spaces. The high-capacity battery charges multiple devices at the same time.
Ghent ad
NEWELL BRANDS –SHARPIE CREATIVE MARKERS
Newell Brands’ Sharpie line has over 21% of total writing category sales. Its new Sharpie Creative Markers are another innovation that bring an artist’s vision to life.
The water-based, brightly coloured acrylic markers feature paint-like ink that does not bleed through paper, ensuring clean and neat work. They can be used on light and dark surfaces, including paper, metal, wood, ceramic, glass, rock and canvas.
PRIMA EDGE – PRIMA ENGAGE
NEWELL BRANDS – DYMO LETRATAG 200B BLUETOOTH LABEL MAKER
The portable DYMO LetraTag 200B Bluetooth Label Maker is ready to go in seconds, using automatic Bluetooth connection to print all LetraTag label types and colours.
With the LetraTag Connect app, users can print directly from their tablet or smartphone – at home or on the go.
Prima Engage is a brand new addition to the Prima suite, designed to transform the sales process through technology, process optimisation and a people-centric design. With the software, resellers can manage the complete sales cycle with analysis and feedback to get the best from every campaign.
PS Furniture’s Revolution Shield flip-top tables give people something to hide behind and protect themselves from bullets fired from a handgun. It could buy them precious time during an episode of walk-in handgun violence. Only bricks, masonry and trees afford similar ballistic cover.
RECKITT/LYSOL PRO SOLUTIONS –PROFESSIONAL LYSOL DISINFECTANT
BATHROOM CLEANER
Reckitt’s Lysol Disinfectant
Bathroom Cleaner gives professional bathrooms a long-lasting clean.
It features polymer technology that creates a protective layer on the surface which helps prevent the build-up of soap scum and dissolves hard water stains and limescale. This can reduce cleaning frequency, lowering product and labour spend.
SATCO PRODUCTS – SATCO LED T8 TUBE WITH BATTERY BACKUP
The Satco LED T8 Tube with Battery Backup is a niche product that gives a facility the opportunity to add emergency lighting to an area without the costly installation of traditional emergency lighting units.
It offers 90 minutes of illumination during a power failure.
SATCO PRODUCTS – LED
2-PIECE
8′ T8 TUBE
Satco’s LED 2-Piece 8’ T8 Tube allows for reduced shipping costs and easier installation than a single lamp. It ships in a four-foot carton and securely interlocks in the centre for continuous light.
Aside from saving shipping costs, the tube lamp also requires less warehouse space and offers wattage and colour selection at the point of installation.
S.P. RICHARDS – PRINTSMART
S.P. Richards’ (SPR) printSMART is a program that automates toner replenishment on a contractual basis, allowing customers to focus on revenue-generating tasks. SPR has partnered with footPRINT for this offering and provides guidance, a comprehensive portal and full-service support to resellers entering the MPS space.
THE HON COMPANY – COFI
The HON Company’s Cofi range is a sophisticated seating solution that features a refined design, detailed stitching and premium materials. Whether you’re in a private office or calling the shots in a board meeting in a conference room, Cofi’s variety of styles beautifully represents any company’s image.
DONATA BARBER, SUBURBAN
Director of Marketing Donata Barber knows all about the importance of the customer experience and excels and thrives in her role – which has evolved over several years –at Suburban.
THE HON COMPANY – SOCO
SoCo is a modular lounge series by The HON Company designed to facilitate both collaborative and focused work. It offers comfort, many configuration possibilities and a soft, tailored aesthetic for shared spaces.
Taking a break from personal workstations can make a considerable difference in productivity and the ability to focus.
She impresses with her proactive and collaborative attitude at the dealer as well as her wide-ranging industry participation. The NAOPA judges are confident Barber is a leader of the future who already makes a big impact on her peers.
TRENT RAINS, THE HON COMPANY
As Senior Business Development Manager at The HON Company, Trent Rains helps to implement a range of initiatives by the vendor –notably its HON Now office furniture programme. He is highly regarded for his exceptional work ethic and his comprehensive training and testing modules for dealers.
VICTOR TECHNOLOGY –THE WORKY HOME OFFICE
The Worky Home Office makes any space an office by bringing together all the elements of a productive desk set-up in one convenient, mobile solution.
This workspace for remote employees features an LED video conference light, 4-port power strip, dry erase magnetic whiteboard, document storage and more.
DANIEL BENJAMIN, BENJAMIN OFFICE SUPPLY
Now the second President at Benjamin Office Supply, Daniel Benjamin has a reputation for leading the family dealership by example and with vision.
Customers, suppliers and colleagues alike describe Benjamin as focused, solutions-orientated and results-driven – always accompanied by an unwavering commitment to innovative excellence.
SAMANTHA RICHARDS, ESSENDANT
Samantha Richards’ responsibilities have significantly expanded during her time at Essendant and she has consistently risen to the challenge. Currently Director of Merchandising for the Office Products and Cut Sheet Paper category, Richards is highly capable and productive in her position. She also serves as a mentor to her peers in emerging roles.
MARK WHITFIELD, PRODUCT MOVEMENT
Mark Whitfield works for Product Movement, a third-party seller on Amazon Marketplace. As Chief Revenue Officer, he has considerably grown the firm’s top and bottom line, cultivated existing and new vendor relationships and facilitated expansion. He is also in charge of inventory management.
FIND OUT MORE ABOUT THE NAOPA YOUNG EXECUTIVE OF THE YEAR SHORTLIST
5 MINUTES WITH...
Renee Starr
If you could remove one month from the year, which would it be?
March. Anyone from Ohio will understand how long the winters are; March can bring spring one day and a foot of snow the next.
What would you sing at karaoke night?
Anything from the 1980s.
Your worst character trait?
My daughters would say throwing things away. I’m the opposite of a pack rat – if it’s lying around, it’s going in the bin.
Any family traditions?
Breakfast in bed on your birthday.
Do you have any irrational fears?
Birds freak me out.
Your favourite holiday destination?
I always like going back to Italy. I’ve been several times and have incredible memories of spending time with family and friends there.
What’s your most prized possession?
My mother’s wedding ring.
Renee Starr, Essendant (pictured with Jennifer Smith, left)
Best compliment you’ve ever received?
Any that are about my girls.
Is there a song that always puts you in a good mood?
Shut Up and Dance by Walk the Moon.
What gameshow would you like to be on?
Chain Reaction – I crush it at home.
Guilty pleasure?
I’ve fallen in love with all things Disney. I only discovered it a couple of years ago and I’m completely hooked.
CAREER Q&A
Describe your role. As SVP of Sales and Merchandising at US wholesale distribution and fulfilment services company Essendant, I’m responsible for all sales channels. These include jan/san, IDC office products and foodservice, e-tail, retail, MRO and healthcare.
Best career decision you’ve made?
Choosing to leave finance and move into a sales position.
If you weren’t in your current job, what would you be doing?
My husband and I set up a small business called Burn Boot Camp in 2018. I would be running it if he didn’t already have that responsibility.
Which industry figure do you most admire? Jennifer Smith. Not only was she an accomplished businesswoman, she was also one of the most genuine people I’ve ever known. She was a friend to all and the light in every room she entered.
Where is your ideal place to work?
I prefer working from home when I need to focus, but I enjoy being in the office and getting to collaborate with my team in person.
What is your favourite office product?
Sharpie S-Gel pens –I always have at least one of them with me.
Invest to GROW
Paradigm shift! Those were the words often used by my friend –and former colleague – Ed Walper back in the 1990s and early 2000s when he was SVP of Merchandising at USOP. I came to hate those words, but they are certainly true now. The fact is we built an industry structure back then that is no longer capable of taking us into the future.
It’s now widely accepted that the OP market is in decline – growing it is tough. A principal challenge for all companies in our industry is devising an effective business strategy.
EXPLORING OPPORTUNITIES
Any strategy for growth generally revolves around organic development or acquisitions. A critical part of any discussions I have with dealers involves identifying key product categories that are essential today, alongside exploring potential adjacencies and the opportunities of tomorrow. These are the three biggies.
Some of these adjacencies are nobrainers: if dealers are not selling cleaning and breakroom today, there’s a real problem. They will need to buy another business, as entering this category organically is no longer feasible.
Furniture remains a significant growth area but is often overlooked. For some reason, we’ve also consistently ignored technology, even though the modern office – which we still claim as our cornerstone –is highly tech-based.
As for potential categories, foodservice and cleaning services spring to mind. Safety products and medical supplies represent another large, mostly untapped, market.
Promotional products are lucrative and require minimal expertise – just one person could manage it. MRO is most definitely an excellent opportunity.
Finally, I keep reminding dealers that they can move into the contractual space without getting into managed print. HP Inc, Brother, Lexmark and Xerox, for example, have programmes for contractual ink and toner. Ignoring this is a huge mistake.
PEOPLE FIRST
As a general rule, dealers have to acknowledge that they need to invest –in both people and infrastructure. Which comes first? For me, the key investment
must be in people – they will make you more effective. This, incidentally, is not remotely the same as being efficient, but that is a common misconception.
People investment can be done through acquisition. A lot of good dealers have acquired jan/san assets and that’s a very good way of doing it, because it’s a different business and involves a different way of looking at the world.
It’s the same with furniture. You want to be good at it? Buy a furniture business. The thing that is interesting about furniture people is they recognise the difference between service and products. And they expect to get paid for service. We, in the
The key investment must be in people – they will make you more effective
‘OP world’, for some reason have always thought service should be free. We can’t live that way anymore – neither wholesalers nor resellers. We’ve got to unbundle what we do and how we do it.
“Where’s the money coming from for any of this investment?”, you may ask. Existing cash flows and loans. Some support may be available from vendors, but it won’t compare to past levels of assistance. The days of being paid for salespeople or trucks are long gone.
ASK FOR HELP
Smaller dealers can have a tougher time than the likes of a Warehouse Direct, Supply Room or Innovative, and this is often due to very small teams compounded by a lack of external input. My advice? Seek advice and ask for help. This is important because it forces you to examine your businesses periodically and think strategically rather than solely focusing on day-to-day operations.
Now partially retired, Mike Maggio continues to help independent dealers in the US in an advisory capacity. He draws on over 45 years of experience in the business supplies industry, most recently as CEO of wholesaler S.P. Richards
