Hard work still pays off

T HERE are some things that I build success in business that iust don't go out of style and E.M. "Charley" Ray about said it all recently when asked the secret of his success.

"Mostly hard work and persistence. I keep on top of the business at all times and operate on the theory that the customer is always right. I have always tried to be honest and trustworthy and have people with the same philosophy working for me."

He knows whereof he soeaks. His firm, founded in 1946, -has been grossing between $30-$40 million annually, operates out of a 34-acre headquarters yard in Phoenix, Az., with additional yards in Scottsdale and Lake Havasu and has another branch operation at Pogosa Springs, Colorado.

Despite a business philosophy that some might consider "old fashioned" and a head man who will celebrate his 70th birthday August 30, Ray Lumber Co. is very much the forwardJooking, progressive company.

Plans for the future include an increase in the size of the retail area in their Phoenix store from 6,000 to 20,000 as well as a multi-storied new building to be constructed at the same location and the addition of a new store in the Greater Phoenix area.

The flagship yard of the operation, on Camelback Rd., Phoenix, contains, in addition to the soon-to-be-expanded retail operation, a truss manufacturing plant, a plant that makes pre-hung doors and panels and an additional operation that puts on roof caps.

There are four railroad spurs onto the property. which is in operation 8 a.m. - 5 p.m., five days a week and 8 a.m. - noon on Saturday. The firm employ,s approximately 300.

Since 1973 (their best year) the retail side of Ray Lumber has been expanding noticeably more rapidly than the builder-contractor segment or industrial-commercial.

The retail yards are each responsible for doing their own hiring as the firm does not presently have a personnel manager. There is, however, a full time credit manager and credit cards are acceoted from the walk-in trade and 30-90 day credit is extended to contractors.

Retail advertising is mostly done through newspapers, with very little via direct mail. They use the Yellow Pages in the cities where they have their operations and used tv several years ago to sponsor the Giants baseball games. The most recent figure budgeted for advertising and promo-

UNPRETENTI0US office building fronts 34 acre operation at headquarters of Ray Lumber in Phoenix. E. M. "Charley" Bay, president of the company and current president of the Arizona Lumber & Builders Supply Assn.

Story at a Glance

Operating retail yards in two Western States, Ray Lumber, Phoenix, also runs a truss manufacturing plant, pre-hung door and panel plant and also puts on roof structures near-term plans include new buildings, remodeling and new branches.

tion was $40,000, which included ads, gifts and contributions.

Accounting is broken down into six categories, though "Charley" Ray notes they generally only use three main ones: (l) lumber and moulding, (2) doors and plywood, and (3) hardware. The retail business is the most profitable and most recently accounted for $8-$10 million with the balance split between builder-contractor and industrial-commercial.

Ray Lumber does a brisk business selling remodeling packages to the small individual pick-up truck remodeling contractor. "Every morning, we have a lot of them loading up at our yards," notes Ray. The large truss plant operation, as well as the prehung door and panel plant, do extensive ore-fab work for builder customers.

Charges for cutting lumber for customers generally depend on the type of job and the material needing cutting at the main yard while the retail yards have a set charge for the saw and the man. Delivery is free. l'Charley" Ray has always been active in community affairs and has been active in a number of organizations. His prime interest has been the Phoenix Boys Club, of which he is a past president and a 20 year member of the board of directors.

Plumbing and electrical are only a small part of their business, but they do try to inventory a small line of the imoortant items that move well.

But perhaps his greatest contribution has been the time and money he has spent in promoting the lumber and wood products industry. The tall, lanky Ray notes with a grin that he has been a working board member of the Arizona Lumber and Builders Supply Association "fotevet" and is currently serving as president of the state-wide group.

WESTERNEBS present included (top leftl (1) Larry Gregory, Jim 0'Malley, Frank Davis, Don Huston. (2) (top right) Keith Ker, Larry Knudson. Dean Drake. (3) (lower left) Cecil Cleveland, Roger Conrad. (4) (lower right) Cosmo Guido, Homer Hayward.