HOME GENTER MERGHANT

Bill Fishman & Affiliates '11650 lberia Place San Diego, Ca.92128

Y SON Rob was one of 6.000 students who filed into the Aztec football bowl to receive degrees this past May. It was a typical San Diego State University graduating class. Approximately half the graduates were business majon. (Rob received his MA in drama.) The total enrollment in the school each year is approximately 33,700 students.

SDSU's library is a five-story building. Rob tcxrk me on a tour of thc facility. It's an impressive structure. I leamed how to locate bcxrks by computer, accessing by title, author. or subject. The basement floor of SDSU's library is devoted to periodicals with an outstanding collection of both consumer and trade magazines. The periodicals also can be locatcd by a computer search...and that is what caused me to become disillusioned.

SDSU, with its large business school enrollment, houses not one issue of any of the trade publications that you receive at your office or home. Neither this magazine nor any of the others. The words home center. home improvement, and d-i-y are non-existent in this library. I now wonder how many other colleges and universities fail to recognize the size and scope ofour industry.

It's predicted that by thc turn,ofthe century (only 13 years from now) the home center industry will reach the $100 billion mark. The industry today supports 9,619 retail companies with over 24.000 store units. The National Home Centcr Show brings almost 50O00 industry executives together with more than 1,400 manufacturers exhibiting in over 4,000 booth spaces. Big! You bet your boots it's big. Ask your local newspaper publisher. He'll tell you that home centers contribute a lion's share of his linage. The radio and tv media also send some pretty hcfty invoices to home centers every month.

Wall Street, too, has its eye on the home center industry as it watches and forecasts the activities of Grace, Wickes, K mart, Zayre.

Green Douglas Fir

Grossman's, The Home Depot and all the others. But, we scemed to have missed recognition by our learning institutions.

"Whcrc will our future executives come from'}" is a question that has been raised at almost every trade conferencc l've attended. For years we've been pirating from the discount store industry (the library did retain discount industry trade magazines). It's time we started nurturing talent at the college level rather than continuing to hire the drop-outs of other industries.

Thc librarians at SDSU inform me that it is the head ofthe department that dictates publications the library will invcntory. Maybe a copy of this column with your letter attached addressedto thedean atthe collegein your community will be forwarded to the proper channels. Maybe one hundred billion dollars will imoress someone.

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EI-PCTRICITY is as common to us as E the air we breathe. and it is one ofthe most misused utilities! It is responsible for about l0% ofall industrial deaths and one of the leading causes ofall fires.

Defective light cords, especially the small residential type, place an employee in a very hazardous situation. Several injuries from 120-volt systems have resulted from exposed line filament wires. Extension cords may appear to be in good condition from the outside. but broken insulation on the inside can and does result in electrical shorts and subsequent employee injuries and fire.

Did you know that it is the current that kills? It would seem that 10,000 volts is more deadly than 120 volts, but electrocution has resulted from apparatus using as little as 42 volts. The real measure of shock intensity lies in the amount of current (amperes) forced through the bodynot voltage. Thus, there is enough current in a 5-watt light bulb to cause a fatality.

Some of the most common electrical problems noted in retail lumber yards include:

(l) Open junction boxes.

(2) Wire exposed to physical damage: i.e.. equipment running over extension cords, walking on extension cords, extension cords traveling through door openings with the door closing on them, loaded pallets lowered on extension cords.

(3) Improper splicing.

(4)Ground prongs missing from hand tools and extension cords.

(5) No grounding of red-labeled flammable drums (paint, thinners, flammable glues) or ground wires not replaced.

(6) Overloaded circuits"spider webs,'' or multiple-receptacle use on one wall receptacle.

(7) Damaged outer insulation on cords to electrical motors, fans, at the plugs, etc.

(8) Loose conduit at electrical moton from vibration causing wear on electrical cords inside the conduit.

(9) Several extension cords joined together.

(10) Open circuit breakers, distribution panels, buss ducts, etc.

(ll) Employees not "physically locking out" electrical boxes before working on equlpment.

As you can see, the list can go on and on. Why not take a few minutes and walk around your store and properf in general and see horv many ofthese problems exist in your business. Remember, electricity is dangerous. It is the cause of approximately l0% of all industrial deaths, and one of the leading causes of fires. A few minutes of your time, specifically identifuing these exposures to your business, just might save your business and prevent an injury to one ofyour employees.

Maintenance of adequate cash flow is vital for the survival ofany business. However, leaks can occur almost anywhere in your operation that will diminish this vital life blood. Here are some ideas for cash-flow enhancement in everyday business activities: o When dealing with suppliers, negotiate for additional services after the price has been set for the goods you are buying. o Minimize inventory levels. This reduces capital requirements, warehousing needs, insurance costs and the likelihood of obsolescence, spoilage and theft. o Monitor such expenditures as postage, freight out, travel cxpenses, insurance to be sure cost is minimized. r Defer payment of bills to the due date rather than making the payment when it's most convenient for your staff.

Require suppliers tojustifu price hikes, and switch to another supplier if there is not justification.

Don't just look at the purchase price when acquiring equipment. Instead, consider repair and maintenance costs, vendor service, operating costs, and similar factors to determine the lifetime cost of alternatives.

Measure worker productiviry to keep payrolls trim.

Thlk to your CPA. He or she may not have all ofthe answers to business problems, but as a trained professional familiar with the symptoms that lead to business illness, your CPA provides an enlightened and independent view that often complements management's assessment of business conditions.

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