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MMQB THE MONDAY MORNING QUARTERBACK

2.1.10

What can a dealer do to innovate?


MMQB

THE NEWSWEEKLY OF THE CONTRACT FURNISHINGS INDUSTRY • 2.1.10

When it comes to innovation, office furniture dealers might think that they have little control

There is something to be learned about coming office trends by examining the latest designs

The Henry Ford Museum acquired Stumpf’s work from his home and office studios

Industry Worries pg12

Industry Exhibitions pg14

Industry History pg16

Industry Index Is Mixed In Latest Survey The majority of respondents continue to cite the economic conditions, threat of a “double dip” recession, commercial real estate values, healthcare costs, low cost imports and energy costs, as the “largest threats to the industry”. The latest results of the quarterly MADA / OFI Trends Survey conducted by Michael A. Dunlap & Associates, LLC suggests the industry fundamentals declined slightly from the last survey in October 2009. The January 2010 Overall Survey Index is 50.64., which is a modest decline from 51.45 in October 2009. The highest recorded Index was 59.72 in July 2005; the lowest was 41.45 in April 2009. The average is 54.06 since the survey started in August 2004. The January 2010 survey results present a series of contradictions: • Gross Shipments have improved, but Order Backlog has declined. • Employment is steady (but below 50.0), while Hours Worked has increased above 50.0 for the first time since October 2008. • Capital Expenditures and Tooling Expenditures declined significantly in the 4th Quarter of 2009. • New Product Development has increased significantly. • Raw Material Costs and Employee Costs have risen, but not to alarming levels.

• The Personal Outlook Index remains below 50.0, but with little change from the October 2009 Survey. Michael Dunlap commented, “I’m a little disappointed in the results this quarter. It’s a real “mixed bag”. I was expecting to see improvements in order backlog and personal outlook. I am surprised in the decreases in capital expenditures and tooling expenditures, but I think this will bounce back in the

next quarter. The low Personal Outlook index puzzles me, but I think that OFM’s (office furniture manufacturers) are more optimistic than suppliers or service providers. That’s the norm.” The majority of respondents continue to cite the economic conditions, threat of a “double dip” recession, commercial real estate values, healthcare costs, low cost imports and energy costs, as the “largest threats to the industry.”

Dunlap stated, “We have been conducting the MADA / OFI Trends Survey since August 2004. 2009 was, without question, the worst single year in modern history for this industry, But there are enough indicators in this survey that tell us that the current industry recession is not getting any worse, but it reinforces the theory that it will take a long time to come out of it. “Over 58% of the responses came from executives who are the Chairman, CEO, COO or President of their organization. I am grateful for their continued participation and support and their suggestions that have improved the information we glean from their responses,” concluded Dunlap. The January 2010 MADA / OFI Trends survey was sent to more than 600 individuals involved with office furniture manufacturing and suppliers from Asia, Europe, North and South America and from companies ranging from more than $1 Billion in sales to less than $10 Million in sales. The survey repeats in April 2010. The survey focuses upon ten key business activities, with respondents rating


Top News each area on a scale of TEN (the highest) to ONE (the lowest). The business activities are Gross Shipments, Order Backlog / Incoming Orders, Employment Levels, Manufacturing Hours (Overtime vs. Reduced Hours), Capital Investment, Tooling Expenditures, New Product Development Activity, Raw Material Costs, Employee Costs, and the respondents’ Personal Outlook on the industry. The unique element of this survey is the establishment of an Industry Index Number to quantify where the industry is currently performing. For example, an index of 100 means that things “couldn’t be better”, an index of ONE is “absolutely the worst” it can be, and an index of 50 means it is neutral; no change “up” or “down”. For further information, e-mail: mike@mdunlap-associates.com

Steelcase to Restore Full Pay to Employees The company had cut pay 5-12 percent last year to save money, now employees will be reinstated beginning March 1st Steelcase Chief Executive Officer Jim Hackett told employees Thursday in a “Hackett’s Huddle” communication that their pay would be reinstated after being cut between 5 and 12 percent last year to save money. Beginning March 1 (the beginning of the company’s fiscal year), employees will see their pay returned to what it was a year ago. But Hackett warned the pay reinstatement does not represent a corporate return to the salad days. “This is not an additional pay increase in any way,” according to spokeswoman Jeanine Holquist. “It is back to exactly what (a worker’s) salary was a year ago.” The decision to reinstate the pay was a welcome surprise to workers who had no advance notice the switch back would be made. “I really am surprised,” Holquist said. “Obviously, employees had been asking whether this might happen. But everything we were hearing from Jim Hackett was caution.” Despite the pay reinstatement, the caution remains. Holquist called it a “complex message” to employees -- the pay is back but everything the company has

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said about its financial struggles through the recession remain true. “In Jim’s communications, he made it clear that this is not something that has anything to do with (an improvement) in the economy,” she said. “The company no longer felt that an employee’s base pay can remain a hedge to the risks of the economy.” When the pay cut was implemented last year, the majority of employees saw a pay reduction of 5 percent. The pay of top executives was reduced between 10 percent and 12 percent, with Hackett’s pay dropping from $900,000 to $792,000. Steelcase was not alone in its pay cuts. Both Herman Miller and Haworth implemented salary reductions last year as well, which remain in effect. In a December call with analysts and investors following the release of the company’s third quarter results, Hackett said he was uncertain whether pay would be reinstated. “Our employees are looking for news that the work force has stopped shrinking,” he said. “They want us to remove some of the anxiety they feel. In our case, at Steelcase, they also want to know when we will restore base salaries back to their pre-recessionary levels. “Dave (David Sylvester - vice president and chief financial officer) tells me that many of you have asked the same question. That decision isn’t a simple one that we can tie to a specific line in the sand. It’s actually more a matter of my judgment, whether we’re through the worst of it, and therefore it would be time to return pay to normal when I understand that. For your forward modeling you should assume re-instatement, but it remains too uncertain to commit right now to a specific date.”

The Monday Morning Quarterback Copyright © 2010 by Zig Zag Corporation. ISSN 1064-3575 All rights reserved. Founded 1990 Subscribe instantly at http://www.mmqb.com Editorial / Sales office: 847-681-1199 Issue 1,013 Email: info@mmqb.com • http://www.mmqb.com Federal copyright law prohibits unauthorized reproduction or transmission of this publication (pdf ) in any form and imposes fines of up to $100,000 for violations. Do not copy, it’s stealing and we will find you! Really! www.mmqb.com


Top News MMQB.COM ONLINE POLL Does the office furniture industry currently lack an innovative culture?

Yes

87.2%

No

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12.8%

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20-20 Technologies Sales Drop 17.3% in Latest Quarter U.S. sales fell 19.8% on a year-over-year basis, largely attributable to sluggish market conditions in the commercial and residential sectors. 20-20 Technologies Inc. Thursday announced its results for the fourth quarter and fiscal year ended October 31, 2009. (All amounts are in US dollars unless otherwise indicated.) Revenues declined by 19.7% to $63.1 million in fiscal 2009, compared with $78.6 million a year ago. The decline was due to persisting difficult economic conditions ($11.2 million) and unfavorable currency exchange rates ($4.3 million). North America accounted for 55.1% of revenues or $34.8 million for 2009, representing a decline of $8.6 million or 19.8% on a year-over-year basis, largely attributable to sluggish market conditions in the commercial and residential sectors. Europe accounted for 41.7% of revenues or $26.3 million for 2009, a decrease of $6.7 million or 20.3% over last year, primarily due to a combination of weaker European currencies against the U.S. dollar and, to a lesser extent, from weak overall market conditions. Revenues from license sales decreased by 34.3% or $9.0 million, to $17.3 million in fiscal 2009. Excluding the impact of currency fluctuations, the residential and commercial sectors were the hardest hit sectors with declines of 34.7% and

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46.9%, respectively. Maintenance and other recurring revenues continued to perform relatively well when compared to other types of revenues with a decline of 5.8% to $33.3 million and 0.4% to $35.2 million, excluding the impact of foreign exchange. Revenues from professional services were impacted by lower license sales and decreased by 26.0% or $4.4 million, to $12.5 million. Operating income was $5.6 million, compared with a loss of $2.7 million last year. In 2009, the Company recorded a $0.2 million recovery of restructuring costs compared with $2.3 million in restructuring costs last year. EBITDA increased to $9.3 million (14.8% of revenues) for 2009 from $4.3 million (5.5% of revenues) a year ago. “This improvement reflects the restructuring and cost reduction plans implemented in 2008 and 2009 by management in response to economic conditions. On a year-over-year basis, these measures generated cost reductions and savings of $7.8 million in salaries and $2.7 million in other expenses. For the same period, favorable exchange rates reduced expenses by $7.9 million,” said the company in a press release. The company generated net earnings of $2.6 million for the year, or $0.14 per share, compared with a net loss of $2.3 million, or $0.12 per share, a year ago. The balance sheet improved during the year with cash, cash equivalents and short-term investments totalling $23.2 million at the end of 2009 compared with $15.1 million in 2008. Long-term debt, including instillments due within one year, was $17.7 million compared with $15.6 million in 2008. “While the interior design business was severely impacted by the recession throughout 2009, 20-20 Technologies remained a leading supplier to the industry in all principal markets. By reducing overhead, selectively downsizing and bringing costs in line with revenues, we considerably improved our profitability,” said Jean-Francois Grou, Chief Executive Officer. “The lean efficiency we established has positioned us to benefit considerably as the market recovers. Incremental volumes will not require our current cost structure to increase commensurate to rising revenues.” Revenues in the fourth quarter

decreased by 17.3% to $16.2 million compared to $19.6 million in 2008. On a sequential basis, revenues were flat over the third quarter. Revenues from North America were $9.0 million versus $11.0 million last year. European revenues were $6.3 million, a decrease of $1.4 million when compared with the same period in 2008. While still a small contributor to the top line, International revenues increased from $0.8 million in 2008 to $0.9 million, representing 5.4% of total revenues during the quarter. It should be noted that revenues from International license sales increased by 15.9% fuelled by growth in China. In the fourth quarter, license sales decreased by 33.2%, or $2.2 million, over last year, maintenance and other recurring revenues increased by 2.0%, or $0.2 million, while revenues from professional services decreased by 32.6% or $1.4 million. The increase in maintenance and other recurring revenues reflects the increasing volumes of recurring annual license sales of Virtual Planner in the residential sector. Operating income was $1.1 million, compared with a loss of $0.5 million a year ago. EBITDA was $2.4 million, up from $2.0 million a year ago, exceeding our current quarterly target of $2.0 million. For the fourth quarter, net income was $0.7 million, or $0.04 per share, compared with a loss of $1.3 million, or $0.07 per share, for the same period in 2008. “In 2009, 20-20 began work on a new strategic plan featuring a single software platform and a more open business model. It will allow us to accelerate our growth while increasing our profitability by better leveraging all of our assets including our partnerships. We will continue to provide integrated solutions to all the interior design and furniture industry participants including consumers, retailers, designers, manufacturers and their suppliers. “20-20 has the market position and knowledge to deliver this platform, which addresses the widely acknowledged needs of the industry, making it the indisputable ‘industry standard,’” said Jean Mignault, Executive Chairman and Chief of Strategic Direction. “Work on our new business platform is laying the foundation for our future progress on behalf of our shareholdwww.mmqb.com


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February 1, 2010

The Monday Morning Quarterback 7


Top News ers for years to come, and it signals our determination to maintain and further strengthen 20-20’s pre-eminence in the industry,” concluded Mr. Mignault. “Although conditions will likely remain challenging through 2010, pent-up demand is building, and 20-20 is powerfully positioned to benefit from a resumption of growth in the interior design industry,” said Jean-Francois Grou. “We will continue to deliver, with our existing and new products, greater efficiency and business generation potential to our customers. That in turn, we are confident, will create significant new value for 20-20’s shareholders.”

COMPONENTS Leggett & Platt Sales Fall 13% in Latest Quarter For the year Leggett & Platt posted a 25% decrease in sales. Industry component vendor Leggett & Platt reported that fourth quarter sales fell 13% to $769.7 million from sales of

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$882.5 million reported in the year earlier quarter, with steel-related price deflation accounting for the bulk of the decline; unit volumes declined approximately 3%. For the year, the company posted sales of $3.05 billion, a decline of 25% from the $4.07 billion reported the prior year, largely due to unit volume decline. The company reported fourth quarter earnings per diluted share of $.23. Earnings from Continuing Operations, adjusted to exclude an unusual tax item, were $.30 per share. In the fourth quarter of 2008, adjusted earnings from Continuing Operations were $.03 per share. Earnings improved, despite lower sales, as a result of cost reduction efforts, pricing discipline, and a $.06 per share LIFO benefit. President and CEO David S. Haffner commented, “For the full year, Continuing Operations EPS was relatively unchanged from the prior year, despite a $1 billion (or 25%) decline in sales that was primarily market-driven. Our significant cost reduction efforts and pricing discipline allowed us to sustain EPS and improve margins, despite the weak econ-

omy. Full year gross margin was 20.6%, the highest level since the year 2000. Full year EBIT margin was 7.5%, an improvement of 180 basis points over 2008. “Our balance sheet and cash flow remain strong, and our cost structure has improved significantly, as margins indicate. We are very well positioned to ride out the economic downturn, which we anticipate will continue throughout 2010.” The company generated $565 million of cash from operations during 2009, the second-highest level ever, reflecting targeted efforts to optimize working capital. Leggett anticipates 2010 sales of approximately $2.9 - 3.3 billion, reflecting the company’s belief that the economy will likely remain depressed. Based upon that sales expectation, and considering other uncertainties including inflation, steel pricing, and margins, Leggett projects that its continuing operations should generate 2010 EPS of $.75 - 1.15. Residential Furnishings sales in the quarter decreased $44 million, or 10%, as a result of steel-related price defla-

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The Monday Morning Quarterback 9


Top News tion; unit volume was up slightly. EBIT (earnings before interest and income taxes) increased $31 million due to cost reductions, price discipline, and absence of last year’s restructuring-related costs. Commercial Fixturing & Components sales in the quarter decreased $35 million, or 25%, due to the company’s decision to walk away from sales with unacceptable profit margins, market softness in office furniture components, and reduced spending by retailers. EBIT increased $10 million, with the earnings impact of lower sales more than offset by cost reductions, operational improvements, and absence of last year’s restructuring-related costs. Industrial Materials sales in the quarter decreased $56 million, or 26%, due to steel-related price deflation; unit volume was up slightly. EBIT decreased $8 million, with the impact of reduced metal margin partially offset by cost reductions. Specialized Products sales in the quarter decreased $9 million, or 6%; weaker demand for machinery and Commercial Vehicle Products was partially offset by improvement in automotive demand. EBIT increased $13 million, primarily due to cost structure and operational improvements. Residential Furnishings sales for the full year from Continuing Operations decreased $427 million, or 20%, due to weak market demand. EBIT from Continuing Operations decreased $60 million, with the impact of lower unit volumes partially offset by cost improvements, pricing discipline, and absence of last year’s restructuring-related costs. Commercial Fixturing & Components sales for the full year from Continuing Operations decreased $220 million, or 31% for the year due to weak markets and the company’s decision in Store Fixtures to walk away from sales with unacceptable profit margins. EBIT from Continuing Operations decreased $7 million, with the impact of reduced sales largely offset by cost reductions and operational improvements. 6

FEEDBACK In response to the ‘24/7’editorial about our mature industry, turning the corner, coming up with a new chapter, and responding to new technology - your emphasis on this topic is right on, but I would offer another way of looking at it. I don’t think our industry ever matures, its in a constant growth mode, that has growth spurts and slow growth, most of which is in response to the factors you mentioned, such as work processes. There are larger energies at work (look for the larger picture operating in situations). One is societal attitudes and the personalization of technology, being able to access any kind of literal and visual information on personal, portable devices. You no longer say’ I’m not at my phone’, ‘this is a long distance call’, ‘wait til I get to the office’. Access is with you at all times, if you’ve got enough technology. There is still a strong need to work in a social team setting, so we need to work together (we’re still tribal, want to read faces and body language, look sexy and powerful in our group, solve problems in groups, and ‘be cool’ in the eyes of our peers), and in isolation to focus on intense tasks. If you keep turning the corner, in 3 turns you’re back where you started. Try this analogy: ‘evolving into new spaces of opportunity’. Being of the right brain persuasion, I look for progressive ways of describing things in a conceptual way. Cubicles represented the way employers chose to organize their organizations. Technology is freeing the worker to be more in control of THE WAYS THEY WISH TO WORK, and smart employers are interested in supporting that quest for flexible work environments... The left brain approach, building large monolithic structures (office buildings), and laying out prison style chicken farms to treat everyone at the same level all the same, is a phenomenon of the last 3 -4 decades that is winding down. We are inside the edge of a very liberating time, that calls out for exciting new solutions, yet some of our existing product solutions still work, in new ways. Ergonomically responsive office chairs, a category filled with choices, is an example. It’s exciting, but the future may lead us into a smaller, more dynamic industry, with compelling innovative product solutions! I’m workin’’ on it.... David Jenkins, Jenkins Design 702-575-0979

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Green News

Teknion’s Field Report

The Field Report includes passages not only from the company, but from several of its customers and those in the design community who use examples of how they helped reduce environmental impact. BY: ROB KIRKBRIDE Teknion is releasing its environmental “Field Report” that outlines what it has done and what it will do to protect the environment and conserve natural resources. The company certainly isn’t alone in issuing an environmental report, but what makes it different is Teknion’s intention to learn from others about how to be more green. The Field Report includes passages not only from the company, but from several of its customers and those in the design community who use examples of how they helped reduce environmental impact. The company has put out a printed report and web update every two years, said Scott Deugo, senior vice president of design, marketing and sustainable development. It is the third report that Teknion has released. The first, in 2005, outlined the company’s understanding of problems facing the environment. The second talked about what the company was doing to respond to those problems. The third, and most current, is a way for the company to reach out to its suppliers and customers to share best practices. “As you know and other people know, when you try to create a sustainable manufacturing world, it is going to involve all of us,” he said. “Our Field Report shows how our intentions have helped others and ourselves. It is our sincere intention to keep an open mind and learn from all places. Then you talk about greening the supply chain and learning from customers and those you support and collectively creating a better way of doing things.” The office furniture industry continues to take a leading role when it comes to environmental protection in the built environment. Deugo said all the major companies in the industry have done a great job addressing environmental concerns and sustainability. And sustainability remains a major concern of office furniture customers and has not slowed because of the recession. The Field Report begins with a message www.mmqb.com

from Teknion President and Chief Executive Officer David Feldberg. In it, he talks about how the company has blended sustainability across its culture. “Building a foundation to guide our strategy was our starting point and we will continue to build upon it in the future,” he said in the report when asked what anchors Teknion’s sustainability program. “We began with ISO 14001, LEED, Greenguard, DfE and FSC; we use them as tools to advance our understanding and to move forward.” Still, he said the company is not chasing accreditations or “making grand pronouncements.” Instead, it is using them as a road map to “a future still to be discovered.” The company challenged workers from across the corporation to join the GreenWorks volunteer team to ensure cultural change. Feldberg takes environmental stewardship seriously, even beyond the office. His Ontario winery is the first of its kind to be LEED certified. He also wants collaboration from outside the company as well. “As this report is a collection of stories from the field, we encourage you to share your own story and send it to us,” he said. “We’d like to hear your thoughts and will select a sampling for publication online. It took us a lot of time and effort to bring us to where we are now; we have knowledge to share and lessons to learn.” The Field Report is a collection of anecdotes and stories that are designed to teach people about how protecting the environment can make a difference far beyond the action of one person or company. The first to be featured is Allan Guinan, a principal at Figure 3, a Toronto design firm. He is one of about 4,500 people who have been coached by Teknion about LEED. During his LEED training, Guinan participated in a series of conference calls with 50 other design firms from around North America. “The effect was that we became a community of leaders and our new knowledge was shared with our own

teams, our clients’ teams and peers internationally,” he said. Teknion also talks to Gail Vittori, founding chairman for the LEED for Healthcare Committee. Vittori explains how LEED opens the door for innovation in any environment. “Healthcare is unique,” she said. “It is characterized by 24/7 operations, very stringent requirements and a vulnerable population. We provided, by customizing performance criteria in this context, that we could customize performance criteria anywhere.” Teknion has embraced the idea of a long lifecycle for its products, according to a passage in the Field Report from the company’s President of World Markets Frank Delfino. “Progress or innovation doesn’t only mean coming up with something new,” he said in the report. “It also means refining what we have to ensure the mass of product installed in our clients’ spaces stays relevant. To throw it out at the end of its life cycle is to throw out the energy and resources it took to make it.” The report also explains Teknion’s commitment to Greenguard and other standards it follows when designing and building its furniture. Teknion also supports the work of other companies that are trying to keep furniture out of landfills. Teknion helped map out a process for Green Standards to divert used furniture from landfills to new users. Ron Carr, president of Green Standards, said the in the report, “Teknion understood this redistribution model to set a standard for the whole business community, not just themselves. It is a model that benefits charities around the world. It has tremendous potential.” Teknion acknowledges that its environmental strategies have a life of their own, starting with certification and moving toward self-directed accountability. “Each person in the company has embraced these values and acts on them -- day in, day out.” 6

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Industry Worries

Is Dealer Innovation Dead?

Interestingly, some of the most innovative things going on at office furniture dealers is a return to the basics. BY: ROB KIRKBRIDE

W

hen it comes to innovation, office furniture dealers might think that they have little control. They sell office furniture designed by the manufacturers they are aligned with. They sell the products based on the whims of interior designers who might be more focused on price than the best new products.

What can a dealer do to innovate? Just ask Joe Lozoski, president and chief executive officer of Tangram Interiors, a large Steelcase dealer in Southern California. Despite the economy, which has hammered away at his business -- and the business of all dealers, Lozoski refuses to stand still. Innovation is critically important, despite the economic pressures of the day, he said. “The only way I’ve been able to maintain innovation is to keep moving forward,” he said. “Personally, I’m on a mission to educate the decision makers on the innovative new products that are already out there. In every market there are prominent project management firms that we need to 12 The Monday Morning Quarterback

February 1, 2010

reach out to and educate. The Genslers and HOKs of the world have the same problem we have -- that we’re becoming commoditized. When you are selling based on the lowest price, you’re not going to get innovation. I think we need to move up the food chain and teach those who make the decisions and design the spaces that we can still save clients money at the same time increasing the effectiveness of the office.” There is nothing particularly innovative about getting in the ear of decision makers. It is just common sense for any business owner. But Lozoski takes it to the innovative extreme when it comes to visiting decision makers and drawwww.mmqb.com


ing them to Tangram’s showrooms. Lozoski is constantly out visiting customers and when he’s not, he’s bringing them to Tangram, which is no small feat given the brutal Southern California traffic and the aversion to drive anywhere that isn’t absolutely necessary. Lozoski took a page from the Steelcase playbook: “It’s like Steelcase trying to get somebody to Grand Rapids,” he said. “It might be tough to get someone to fly from New York and connect in Chicago to go to Grand Rapids. But it is easy to get them to get on Steelcase’s corporate jet and fly them right to Grand Rapids.” Using the same principle, Lozoski decided to make it easy for customers to come to Tangram. He got a small Mercedes Benz bus and decked it out in leather and flat screen televisions and called it the Jet Van. He found that customers who feel driving in Southern California traffic is a headache have no problem accepting a ride to the showroom in a comfortable van to learn about the latest products and trends in office furniture. “We have this customized van and we go out and get our customers,” he said. “We bring designers to our showrooms to show them how to do spaces better. It has been a huge home run for us. The thing is busy seven days a week.” Lozoski said the problem isn’t a lack of innovation from manufacturers. Many office furniture makers have new and innovative products, he said. The problem is convincing project management firms to use the new products and focus on innovation instead of simply putting together projects based on price. “With the glut of real estate on the market, very few clients are interested in innovation right now,” he said. “Everyone is operating from a position of fear. People are in a place where they are just trying to hang on. I personally make a lot of calls and talk to designers and real estate people to try to help them do a better job to recreate their brand in an organization. Some of them say, ‘I don’t care. I just want it for less.’ “The story that seems to sell the best and people care about the most is when you show them how to have an effective, attractive space while compressing the real estate at the same time. There seems to be most interest in that at this time.” Interestingly, some of the most innovative things going on at office furniture dealers is a return to the basics. Dealers like Carithers Wallace Courtenay (CWC) in Atlanta are focusing more on the customer and following the money as it moves into healthcare and higher education. “To me, it’s just all back to the basics,” said Scott Marshall, CWC’s vice president of sales and marketing and a principal in the business. “It is no secret that healthcare and higher education are where the money is right now. We’re certainly not standing still.” The dealer also bought an office supply company because according to Marshall, CWC wanted to “get back to the day-to-day sales and not just chase projects.” Still, the www.mmqb.com

economy makes it difficult to truly innovate. “Our industry is a laggard when it comes to the economy,” he said. “I don’t think it is going to get much better out there until employment improves.” Office furniture dealers can innovate, but in many ways they are limited by the products the manufacturers they carry come out with. CWC’s main line is Herman Miller and Marshall said the company has always done relatively well when it comes to innovation. Office furniture dealers can innovate by focusing on why people buy the brand they carry. Marshall likened it to the auto industry: “If you are going to be a premium brand in today’s world, you need buying programs that will steer customers to you. Herman Miller’s S3 program is doing that by offering better prices on certain day-to-day items,” Marshall said. Sara Cook, president and owner of Commercial Office Environments, a Haworth dealer in Indianapolis, said she has focused her efforts on marketing. The company has a new tag line and marketing campaign. It held an open house and has tied in a few events a year with a non-profit organization. The company also is doing more business on the Internet and sending a monthly e-mail to potential customers. Commercial Office Environments also is trying to innovate by becoming a total interior supplier, going beyond the office furniture by also selling wall coverings and carpeting. “I think it is important to add services and become indispensable to your customers,” she said. The dealer also is looking to innovate with its customers. Commercial Office Environments recently did a test project with Dow Agrosciences in Indianapolis to convert a former library into an innovative office space. The project used Haworth’s raised floors and movable walls. The dealer created glass enclaves that were modular and far different from the panel based offices normally found at Dow Agrosciences. “They were very much into closed offices and panel systems,” Cook said. “This reduces their footprint and improves storage.” Innovative projects like Dow Agrosciences are paying off for Commercial Office Environments. Commercial Office Environments just finished its best year ever with sales up 21 percent, Cook said. “Some of those efforts have paid off,” she said. To make a real difference, office furniture dealers must connect to customers and educate them about the innovation they offer, CWC’s Marshall said. “I think customers are sometimes shortsighted. They are making a decision on furniture, which is a 10-year decision, but they are thinking about it in terms of the next two quarters. “In the short term, the economy doesn’t bode well for innovation. But I know Herman Miller is going to continue to do research and development and make that a point of emphasis. The times are what they are, but this won’t last forever. As dealers, we need to keep our eye on the ball. In a couple of years, this whole thing is going to flip.” 6 February 1, 2010

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Essentially Europe Apart from design, the themes picked up by the organizers were : cohabitation, transculture, cooperation, hybridization. BY: JEAN-PAUL FOURNIER, Office et Culture

Matrix Linen Hut by Francois Azambourg (Photo : Francis Amiand)


Industry Exhibitions

T

raditionally, in the first half of the year, three major furniture shows take place in Europe : Maison&Objet + Planète Meuble in Paris (January), Imm in Cologne (January), I Saloni in Milan (April). As of this year, the situation will be changing as Reeds Exhibitions (owner of both Paris shows) decided to discontinue Planète Meuble (Formerly Paris Furniture show) and create a major furniture section at Maison&Objet, taking advantage of the opening in April of the new 35,000 square meter Hall 8 in Villepinte. The idea is to create a major fall event in Paris covering furniture, lightning, fabrics, clothing, textiles, gifts, souvenirs and kitchen and bathroom accessories. Maison&Objet (as the name indicates) is basically dedicated to home items, so the interest for the contract industry visitor was relatively low. Still, there is something to be learned about coming office trends by watching design. The organizers stressed design so Philippe Starck was elected/chosen (again) Designer of the Year and was honored as a living national treasure. A group of 10 younger designers also were invited to show their works with Jaime Hayon as Guest of Honor. In the same section, 13 architects were invited to create a children’s playhouse out of

card, which made for an amusing microarchitecture competition. Apart from design, the themes picked up by the organizers were: cohabitation, transculture, cooperation, hybridization. And again, of course, environmental products and designs were everywhere. Also noticeable was a major increase in items related to children (possibly in relation with the present very high birth rate in France). As far as office and contract furniture was concerned, only a few items, here and there, were of interest. Most of the major Italian and German furniture companies were absent and too often the message on the stands was: “We’ll show our new collection in Milan. So, arrivederci, in Milan in April and, a bientôt, in Paris in September.” Editor’s Note: The Monday Morning Quarterback and leading French magazine Office et Culture are working together to bring you the latest news from all the top European shows. MMQB will occasionally run stories from Office et Culture and Office et Culture will occasionally run stories found in the pages of MMQB. Who said global diplomacy is dead?

Pick a cardboard competition (Photo : Francis Amiand) www.mmqb.com

February 1, 2010

The Monday Morning Quarterback 15


Industry History

Stumpf at Henry Ford

The Henry Ford Museum acquired Stumpf’s work from his home and office studios in Minneapolis late last year. BY: KAOMI GOETZ

T

he late designer Bill Stumpf first began his war against office spaces and furniture that “denies the human spirit” some 40 years ago. That ground-breaking research will be available to researchers and designers through the Henry Ford Museum in Dearborn, Mich. “Everything goes back to those days at the University of Wisconsin,” he previously said, noting that is where he studied and taught at the university’s Environmental Design Center. “Everything was about freeing up the body, designing away constraints.” Stumpf is considered a pioneer in modern office furniture and ergonomics. It was through his work in Wisconsin – studying how people sit from a medical perspective – that laid the groundwork for Herman Miller’s now-ubiquitous Aeron chair. Stumpf applied what he learned along with former collaborator, Don Chadwick. Earlier, the pair had also created the Ergon chair - the Aeron’s prototype and the first ergonomic office chair - in 1976. The Henry Ford Museum acquired Stumpf’s work from his home and office studios in Minneapolis late last year. Stumpf, who died in 2006 at 70, was keenly interested in how people move within an environment and conducted exhaustive research. The Henry Ford Museum wants to make that research accessible, said Marc Greuther, the museum’s curator of design and industry. “[Stumpf ] was casting a wide net and looking at a lot of areas,” he said. “And he was drilling down really far. His tenacity is intriguing, with his focus on office behaviors and ergonomics. And his whole-hearted pursuit, it’s an interesting perspective. A wide one; not thin, but deep in places. [The archives] offer insight into Bill and into his achievement. We hope to have other collections in the future to really show how design16 The Monday Morning Quarterback

February 1, 2010

ers work.” Not surprisingly, the trove includes 3-D objects like chairs, assorted prototypes and drawings. But Greuther said Stumpf’s wide-ranging interests – from railroads to jazz to issues of civility – are also represented by scale models, writings and 33 cubic feet of books. An end product is no more genius than when reaching for the magic, said Greuther. He said this is especially true for design objects and Greuther hopes the Henry Ford Museum will be a platform in which to showcase this brand of art. “What I’m hoping is that the items we’ve acquired in this collection makes apparent how a skilled designer works with a variety of endpoints, like working with Herman Miller,” he said. “The archives get at that by showcasing the broader range of activity.” The archives promise to provide insight into a Stumpf not commonly known. Only about 10 percent of Stumpf’s work was ever commercialized, according to Jeff Weber, his long-time design partner. Weber says the archives shed light on how inherently complex the field of design can be. “[Design] is not a styling exercise,” he said. “If you really want to impact the human population, it requires a tremendous amount of dedication and investment in mind and body.” A portion of Stumpf’s archives will be on display at the Henry Ford Museum in February in conjunction with the traveling exhibition, “Good Design: Stories from Herman Miller,” February 6 – April 24, 2010. Designers and researchers will have access to the entire permanent archives by appointment. A finding aide for the archives is being created with the hope, said Greuther, that they will be eventually digitized. He said the intent is to not only preserve Stumpf’s work and processes but to inform designers into the future. 6 www.mmqb.com


Future Artifacts

Given the ever smaller need for worksurfaces due to an ever smaller technology footprint, we ask, could this be the future of the desk? “Land� invented by Samuel Accoceberry, is a simple desk made of oak, yet very functional. Indeed, this desk is equipped with a cable-way over the entire length allowing the passage of cables (wiring and data/electrical sockets are housed in a compartment under the board). On the back, two flaps open releasing two storage areas in which to place accessories. The simplicity of the desk ensures that the latest gadgets are always in a proper location. www.alki.fr www.mmqb.com

February 1, 2010

The Monday Morning Quarterback 17


Weekly Figures Stocks MMQB Contract Furniture Index 3000

2500

1/4

1/11

1/18

1/25

2/1

MMQB INDEX FOR THE WEEK:

COMPANY

SYM

CLOSE

CHANGE

52/W LOW

52/W HIGH

P/E

MKT CAP

Aaron’s Inc.

AAN

27.86

-0.17

20.87

35.21

13.95

1.51b

Chromcraft

CRC

2.35

0.17

.20

2.65

na

10.92m

CompX Int’l Inc.

CIX

7.79

0.04

4.37

8.49

na

96.36m

Design Within Reach

DWRI.pk

0.19

0.01

0.31

4.46

na

5.68m

Flexsteel

FLXS

11.67

0.58

4.98

12.10

124.15

76.74m

Herman Miller

MLHR

16.89

0.08

7.91

19.25

47.71

944.74m

HNI

HNI

25.02

-1.44

7.70

29.40

87.79

1.13b

INSCAPE

INQ.TO

C2.01

0.00

C1.60

C2.71

na

C19.6m

Interface

IFSIA

8.11

0.16

1.45

9.01

na

513.02m

14.3701

-0.09

7.40

16.00

8.71

36.92m

Close

Previous

Change

Kewaunee

KEQU

2904.46

2950.62

-46.16

Kimball Int’l

KBALB

7.88

-0.34

5.02

9.59

17.43

294.13m

KNL

11.26

-0.18

5.33

11.82

11.10

510.40m

52 week high

52 week low

Knoll Inc.

2950.62

1363.30

Leggett & Platt

LEG

18.26

-1.76

10.03

21.44

50.30

2.78b

YTD Gain or Loss: +1.02

Office Depot

ODP

5.68

-0.31

0.59

7.84

na

1.56b

The government’s latest read on the country’s unemployment picture will take center stage this week, as investors also digest a new round of earnings reports and turn the page on several market-rattling political developments. Growth in the U.S. economy surged in the fourth quarter, with GDP expanding at a 5.7% rate, the fastest pace in six years and much faster than economists predicted. A new 52-week high was achieved last week by Knoll. There were no new lows.

OfficeMax

OMX

12.97

-0.73

1.86

15.35

na

989.51m

Staples

SPLS

23.46

-0.65

14.35

26.00

21.31

16.98b

Steelcase

SCS

7.08

0.26

3.03

7.68

na

940.73m

20-20 Technologies TWT.TO

C2.85

0.05

C0.86

C3.75

19.00

C53.94m

United Stationers

USTR

54.56

-1.87

18.20

61.75

14.37

1.30b

Virco

VIRC

3.53

0.16

1.65

3.99

67.88

50.12m

U.S Office Furniture Production Est. SOURCE: BIFMA

Year

Volume

% change

2008

$11.2 billion

-2.3%

2009e

$7.79 billion

-30.2%

2010e

$7.43 billion

-4.6%

e=estimate Revised 11/16/2009

U.S Office Furniture Consumption Est. SOURCE: BIFMA

Year

Volume

% change

2008

$12.9 billion

-3.2%

2009e

$9.22 billion

-29%

2010e

$9.04 billion

-1.9%

e=estimate Revised 11/16/2009

The chief office furniture trading partner with the U.S. is Canada, receiving about 50% of all U.S. office furniture exports, and currently providing about 45% of all office furniture brought into the States. That percentage was closer to 60% in the late 1990’s but imports from other countries, particularly China, have gradually been increasing their share of the U.S. market.

18 The Monday Morning Quarterback

Value of U.S. Office Furniture Market (Millions of U.S. Dollars)

SOURCE: BIFMA

Year

Production

%Change

Imports

Exports

Consumption

%Change

2008

$11,160

-2.3%

$2,510

$679

$12,991

-3.2%

2007

$11,420

5.5%

$2,563

$565

$13,419

4.4%

2006

$10,820

7.4%

$2,531

$492

$12,859

7.9%

2005

$10,070

12.7%

$2,280

$438

$11,912

12.3%

2004

$8,935

5.1%

$2,022

$347

$10,610

5.4%

2003

$8,505

-4.3%

$1,870

$307

$10,068

-2.5%

2002

$8,890

-19%

$1,777

$338

$10,328

-16.4%

2001

$10,975

-14.4%

$1,806

$430

$12,351

-17.0%

2000

$13,285

8.5%

$2,094

$496

$14,883

9.5%

Revised 8/6//2009

Annual Shipments by Product Category Year

Seating

Desks

SOURCE: BIFMA

Storage

Files

Tables

Systems

Other

2008

28.4%

11.3%

7.8%

11.6%

8.3%

28.1%

4.5%

2007

27.9%

11.0%

7.3%

12.7%

7.5%

28.8%

4.8%

2006

26.5%

10.9%

7.4%

13.3%

7.2%

30.2%

4.5%

2005

26.3%

11.1%

7.6%

14.6%

7.5%

28.8%

4.2%

2004

26.5%

11.0%

7.9%

14.1%

7.2%

29.4%

3.9%

2003

26.6%

11.0%

8.0%

13.5%

6.8%

30.5%

3.5%

2002

25.7%

11.9%

6.3%

14.3%

6.8%

30.9%

4.1%

2001

25.2%

11.5%

6.0%

12.6%

7.1%

33.7%

3.9%

2000

24.9%

11.9%

4.9%

12.4%

6.4%

36.6%

3.0%

February 1, 2010

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Industry Briefing Events CHICAGO / June 14-16, 2010 NeoCon Chicago at the Merchandise Mart www.neocon.com TORONTO / September 23-24, 2010 IIDEX/NeoCon Canada at the Direct Energy Centre. www.iidexneocon.com BALTIMORE / September 29-30, 2010 NeoCon East at the Baltimore Convention Center www.neoconeast.com COLOGNE / October 26-30, 2010 Orgatec held at the Koln Meese in Cologne, Germany www.orgatec.com

BRIEFING Herman Miller asks Students: Where do you Learn Best? Herman Miller is introducing its first video contest targeting fulltime students attending 2-or 4-year U.S. colleges or universities. The contest, titled “Hey, Where Do You Learn Best?”, encourages students to document areas on or off campus that best support their learning. “The reality is that learning can take place anywhere, so we hope to see a variety of entries that are creative, fun or serious. Overall, we want to give students a voice and have them share with us their favorite learning space and explain why it makes a difference,” says Jeff Vredevoogd, Herman Miller’s Director of Education Solutions. Vredevoogd adds that the concept and results will be of great interest to campus leadership as well as faculty and students. “This contest will promote discussion about the rapidly changing needs of students and how higher education facilities can respond to those needs,” he notes. In addition, the company partnered with senior graphic design students at Western Michi-

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gan University in Kalamazoo, Michigan, to develop graphics for the contest Web site. Barb Loveland, Interim Director of the Gwen Frostic School of Art at Western Michigan, led the group of students who worked on the contest graphics and believes that it makes sense that students design for students. “This experience also allows students to learn something fun and build their portfolio, which will be helpful to them in the real world,” she adds. Contest entries will be accepted until March 26, 2010. Representatives from the company will select three finalists who best represent creativity, originality and appropriateness to the theme. First prize will be a $2500 Visa gift card, second prize will be a $1500 Visa gift card and third prize will be a $1000 Visa gift card. Each submission must be 2-3 minutes (submissions that exceed 3 minutes will not be considered).

Opening:

Office Liquidators announces $35,000 Makeover Contest Office Liquidators, a Denver dealer, announced the details of its plans to donate $35,000 worth of furniture and related services for Denver-area, non-profit organizations. The contest, called the Office Liquidators $35,000 Office Makeover, officially begins tomorrow, with the company and its judges accepting nominations on the Office Liquidators website, www.OfficeLiquidators.com. The winning organization will receive $30,000 worth of furniture and design/ installation services from Office Liquidators, with another four runner-up organizations each receiving $1,250 worth of furniture. Office Liquidators’ sister company, Corporate Environments, will handle the design and space planning requirements for the contest. Nominees will be judged on the basis of their devotion to ethical business practices in pursuit of the non-profit’s mission, on the positive influence the organization has made on the community, and on the organization’s need for efficient office space. Winners will

On February 4th Teknion will open a new Vancouver showroom - just in time for the Olympics. Teknion redesigned the space to accentuate the latest new products and demonstrate how they have been designed to address the workplace trends of today – and tomorrow. Removing barriers to natural light, specifying lighter finishes on the furniture and materials, using energy-efficient lighting and panel heights of 51 inches or less allowed Teknion to brighten and create openness within the space. Creatively reusing and recycling the furniture and fixtures allowed Teknion to refresh the space with minimal impact on the environment, in keeping with the company’s strong environmental commitment. Removal of window screens along two walls lets natural light into the interior of the 4,000-square-foot showroom. In addition to recycling the previous office furniture, lighting and window screens, Teknion reused feature walls from a trade show. These walls are water-jet cut from panels made of recycled white plastic bottles used and for divisional purposes. Feature walls are incorporated in several Teknion showrooms and reinforce corporate design standards.

be determined by public vote and a panel of judges including Former Colorado First Lady Frances Owens, KCNC-TV news anchor Jim Benemann, Denver Post business columnist Penny Parker, Gensler Principal Linda Nelson and Colorado Business Bank President Andy Bacon. “So many charitable organiza-

tions are doing so much with so little in this economy, Office Liquidators is eager to help advance their good causes,” said Dennis Meyer, CEO and founder of Office Liquidators. “Our goal is to provide the office settings that will make these organizations more productive, and we anticipate that the Office Liquidators Office

February 1, 2010

The Monday Morning Quarterback 19


Industry Briefing Makeover will become an annual event.” Office Liquidators and contest co-sponsors The HON Company and Allsteel Inc. encourage any Denver-area 501(c)3 organization to direct its members, volunteers, donors, patrons, staff, etc. to go to the Office Liquidators’ website and complete the nomination form. Anyone with knowledge of the organization’s good works is eligible to make the nomination, beginning tomorrow. Nominations will be accepted through noon, Feb. 15. The five finalists will be posted on the Office Liquidators website by March 3. Public voting starts March 4 and ends March 29, with the winner to be named soon thereafter.

Harter’s got just the ticket Where do you belong? Sometimes we can expand our own

view of the world from an unexpected direction…perhaps with the help of some amazingly openminded furniture. Hot off the press, The Adventures of Olivia & Truman is a pageturning tale of a chair who discovers her versatility and a lounge who explains the lobby. A souvenir hardcover book designed for izzy+ by New York branding and design firm Team Pro-Am, the story chronicles the journey of Olivia, a curious lounge/side chair (with a rich Modernist design heritage) and Truman, her loungy second cousin from the worldly side of the Harter by izzy+ family. The adventures of these engaging new Harter by izzy+ products, found at www.oliviaandtruman. com, are designed to capture the hearts of 4,500 designers during the sixth annual Harter Valentine’s Day blitz, February 2010. For five fortunate fans of Olivia and Truman, the story comes alive when their unique Golden Ticket

20 The Monday Morning Quarterback

numbers on page 31 of the book are redeemed by izzy+ for travel anywhere in the world. As part of the happy ending, izzy+ will also donate $1 for every participant to support Reading Is Fundamental, the nation’s oldest and largest children’s literacy organization.

Seen:

KI Ranked Number One Supplier for Educational Furniture Solutions KI ranked as the number one preferred furniture supplier for educational solutions as well as for stacking/ganging seating and training table solutions in Contract magazine’s annual reader preference survey. “KI is honored to be recognized as a preferred supplier by the architectural and design community,” said Brian Krenke, executive vice president of sales and marketing, KI. Contract magazine’s annual reader preference survey, conducted by Aspen Research, asks readers to identify their preferred suppliers in various categories. For the second year in a row, KI ranked first for educational solutions and stacking/ganging seating, while moving from second to first as a preferred supplier for training tables.

IN PRINT Stop Sitting Long stretches of time spent being seated increases the chances of developing diabetes and heart disease -- regardless of how much a person exercises. In a study published in the British Journal of Sports Medicine, Swedish researchers found that after four hours of sitting, the genes that regulate the amount of blood sugar and fat in the body start to shut down. This throws the body’s systems out of whack, a process which even exercise later in the day doesn’t seem to undo. A previous study determined that Americans spend almost half their day seated. Experts suggest simple steps, like walking around your office every couple hours or

February 1, 2010

The newly established F3 Foundation held a launch party for its F3 Awards - Student Furniture Design Competition on Friday, January 22 at dTank headquarters in Burbank, Calif. More than 100 students, designers and other industry leaders attended the event. Reto Eberle, CEO of dTank and founder of the F3 Foundation introduced the All-Star Jury that will choose the winner for this year’s competition. Members of the jury represent the fields of Interior Design, Architecture, Entertainment and Branding, Furniture Design and engineering - mirroring the relevant subject matter of the design challenge. Students representing Art Center College of Design, Woodbury University, Art Institute of Orange County, Glendale Community College, Moorpark College, Cal State Long Beach and UCLA Extension all attended the F3 Awards launch party. Students must register for the competition by March 12, and all applications must be submitted by April 16. Five finalists will compete live before the jury on May 21 for prizes of up to $3,500 in cash scholarships.

taking the stairs instead of an elevator, to help combat the health risks of a sedentary lifestyle. If you are reading this, chances are this is something you need to think about.

ODDS & ENDS JOINED: Isabel Munoz as an Account Executive for New York City furniture dealership Lane Office. Ms. Munoz comes from IHOKnoll in Mexico City , Mexico where she repMunoz resented both Knoll and DIRTT. Her accounts included JP Morgan, Deutsche Bank, Coca-Cola, Adidas, Levi’s and PepsiCo. Her role at Lane Office will include business development and account management.

APPOINTED: Mark Hammerschick as vice president of eCommerce for United Stationers. In this newly created role, Mark will be responsible for developing Hammerschick and delivering new eBusiness capabilities, deployed through United Stationers’ resellers to their end consumers. Mark brings 25 years of experience in eCommerce, online marketing, advertising, sales and product management to United Stationers. Mark most recently served as director of eCommerce operations at Follett Corporation. AWARDED: The General Services Administration’s Federal Acquisition Service (Philadelphia) has awarded a $541,310.57 federal contract to Haworth Inc. for Haworth workstations. 6

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MarketPlace To place a Marketplace Ad simply go to: http://www.mmqb.com and click on “Place a Job Ad” or “Place a Classified Ad.” Questions? Call us at 847681-1199 x1. Ads close Friday 6:00 pm for Monday’s edition.

Outstanding Sales Career Opportunity Join the successful leader in office furniture sales National Business Furniture, the 30 year leader in catalog and on-line business furniture sales has expansion opportunities for top notch outside sales representatives residing in or near Chicago and Washington, DC.·Will consider placement in other major cities with good customer base. Stable company. No caps on commission. Generous full benefit package, car allowance, computer, solid customer base, large vendor selection, access to government contract, excellent design and customer service support. 3-years of business-to-business end-user office furniture outside sales experience required. Must be comfortable working from home office and have ability to travel within territory including use of personal vehicle. Comfortable with sales process. Well organized. 3-4 months on salary and then draw against commission Visit www.nationalbusinessfurniture.com for company information. Send resume and earnings expectations to:·hr@nbf.biz : Attn: OSGH

Outside Sales/Partnership Opportunity Indoff, Inc. is looking for experienced outside sales professionals in the Chicago, IL market. Indoff is a nationwide Office Interior dealer and has been in business since 1971. Indoff is looking for experienced outside sales professionals in the Chicago, IL market. If you have 3-5 years outside sales experience in the Office Interiors industry and a transferable, established customer base, Indoff is for you! Indoff provides the tools, technology, and support you need! - Industry high commission rate of 50% - W2 employee status-access to medical/ dental insurance and 401K - 24/7 access to sales records, order entry and commission reports - Your own customizable website for Internet sales. - Flexibility to choose the markets you pursue and the products you represent. Become a part of Indoff or to learn more please contact Adam Heck at 800-4867867 Ext 232 or adam.heck@indoff.com. Visit us at www.indoff.com/recruiting.

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SALES/PARTNERSHIP OPPORTUNITY

Live and Work in Southern California

Regional GSA Seating Sales Specialist

A Great Opportunity in Southern California! Office Furniture Rep Group (OFRG), a growing manufacturers rep firm in Southern California, is looking for a sales rep/ partner to join our energetic, entrepreneurial team. Candidate must have significant exposure to the LA county and Ventura County markets. OFRG represents quality manufacturers and is growing in the current market environment. Compensation includes commission and profit sharing. This is an excellent opportunity for someone with the desire and enthusiasm to succeed. Please contact Ron Ziegler at 818425-4887 or ron@ofrg.net for more information.

Independent rep organization is looking to hire a sales professional with an entrepreneurial spirit

New Year, New Opportunities

General Manager Safco Creating your comfort zone Safco is seeking a new leader to replace the General Manager recently promoted to LDI Chief Operating Officer. The General Manager has full P&L responsibility, leading the team that drives sales, marketing, product development, global sourcing and distribution. The standards are high, and success has become a way of life. We need your leadership, business savvy and insatiable drive to win in order to continue the growth momentum. The team, the challenge, the culture and the rewards are all exceptional. A minimum of 10 years general management experience is required, preferably in the office products or office furniture industry; business degree required (MBA preferred). To apply please visit: www.libertydiversified.com

VP of National Sales

The Grace Group is an independent representative organization that works together with office furniture dealers, the A & D community, manufacturers and business professionals. We educate, assist and sell commercial office furniture. The Grace Group is seeking two experienced professionals that understand the office furnishings business and systems furniture. The candidates should live in the San Diego and Orange County markets, exhibit professional ethics, are able to cultivate long term relationships and have an entrepreneurial spirit. Please forward resume to Kathryn@TheGraceGroupCalifornia.com

Commercial Account Executive You’re in Luck! Sell in NYC... A national furniture rental company has an opportunity for an energetic sales professional in NYC. With a complete line to fill all your best accounts needs, a GSA contract, and great personnel, your upside potential is limitless! We offer a competitive salary + commission, 401K, and medical, you owe it to yourself to send us your resume. A minimum of two years office furniture background is required. We might have competition, but we don’t have any equals. Send us your resume, including salary history. Reply in confidence to: lizwolf@mmqb.com. Indicate DEPARTMENT S in subject of e mail.

Unique Position for the Sales Professional with an Entrepreneurial Spirit!

NYC Showroom Manager/ Inside Sales Opportunity

Dynamic, high-energy team player needed to build and lead a sales team at a nationally prominent art consulting firm servicing the healthcare sector. Must have proven track record in developing and implementing marketing plans, branding, client care, hiring, training and motivating sales staff, developing incentive programs, instituting processes and success measures, client presentations, RFP and bid management and networking. Healthcare, architecture, or interior design experience is preferred. We are an employee-owned company and offer excellent benefits and incentives. Send Resume to sales@americanartresources.com

AIS holds one of the most impressive stories of growth and success in the systems furniture market. AIS is seeking an experienced Showroom Manager/Inside Sales for our NYC Showroom., Qualified team candidates should be enthusiastic and driven for success with a can-do attitude to manage overall maintenance and hospitality details within showroom, meeting setup and greeting visitors. Inside Sales responsibilities will include supporting Regional VPs in various sales related support tasks and projects. Please submit interest to: nysales@ais-inc.com

Join the AIS Team!

Seeking Regional Seating Sales Specialist for select territories throughout the US with focus on the major Federal Government facilities. The full time Regional Seating Specialist will work with the A&D community and call on all Federal Government agencies with a focus on GSA schedule and NSN product lines. The Seating Specialist is responsible for developing/enhancing familiarity and positive perceptions of the GFG brand and products; and providing consultative support for project activities to A&D, facility managers, contracting officers, and end users. The individual will develop professional business relationships with federal government agencies within the defined territory. The individual will also call on, service and further develop the existing base of government agency accounts in order to maximize GSA office seating sales to these accounts. Base salary position with the potential to earn an above average bonus package. Apply to Egon Szenttamasy at egon@gfgchairs.com. www.gfgchairs.com

Director of Design Premiere office furniture dealership/ Project Management services provider is seeking a Director of Interior Design, with personnel and interior design management experience. Essential Duties/Responsibilities: Participate as a member of senior management staff to develop training programs, establish departmental and organizational processes, and develop business strategies; Strong knowledge of AutoCAD, space planning skills and 20/20 CAP software; Educate and support training of staff on AutoCAD, 20/20 CAP, and internal processes and procedures as required; Oversee project assignments and manage project deadlines; Establish personal development milestones goals and support team building for interior design staff; Ability to effectively space plan with an understanding of IBC, ADA and Life Safety codes/standards. Create and review architectural and schematic drawings using AutoCAD and Strong knowledge of all facets of dealership operations. Education/Experience: Bachelor’s degree in Interior Design. Minimum of 5 years experience in the furniture industry and two+ years experience in dealer management. Please send cover letter, resume and references to Youngblood.amy@jmcbsi.com.

February 1, 2010

The Monday Morning Quarterback 21


MarketPlace Spectrum is the premier furniture dealer in the Philadelphia region

Business Development Manager - IL & TX

Territory Manager

Come sell for a market leader!

Come work for Herman Miller, again named FORTUNE’s

New Business Development Sales Representative (for Healthcare) Spectrum is the premier furniture dealer in the Philadelphia region and the only Herman Miller dealer in the metropolitan area. We are seeking to hire a New Business Development sales professional to market Spectrum’s products and services to the regional health care community. Duties will include working to increase market share by developing and maintaining long-term business relationships through consultative selling and networking. This position is responsible for penetrating key accounts, making customer presentations, developing collateral materials, and engaging in networking activities. At least three years of industry (preferably health care) sales experience preferred. Candidates must possess excellent communication, interpersonal, organizational and presentation skills. Apply to HR at: spectrum_jobs@hermanmiller.com or fax resume to 610.233.4698 by February 5, 2010. EOE.

At Herman Miller, we work for a better world around you. We do this by designing furnishings and related services that improve the human experience wherever people work, heal, learn, and live. We are looking for motivated, strategic and self directed Business Development Managers to join our teams in Chicago, IL and Austin, TX. The roles demand a proven track record in creating strategies and developing plans to drive new business. Building collaborative relationships with both new and existing customers, diagnosing their needs and providing world class solutions will be critical to success. In Chicago, capital goods sales experience is required. In Austin, contract furniture sales and a proven track record of working with the A&D community is required. A bachelors degree in Marketing or related field and at least five years of successful capital goods sales experience is critical. To apply please visit hermanmiller.com/careers

If you are looking for a career with excellent earnings potential and sales opportunity then look no further than Global Industries. Immediate opening for a highly motivated TM for the Northern New Jersey/ New York City market promoting Global, Evolve, GLOBALcare and Offices to Go. The ideal candidate will posses 3+ years outside sales experience in the office furniture industry, be results driven and have a proven track record of selling for either factories, independent rep groups or dealers/distributors. The ability to develop new business and maintain current accounts is essential. Responsibilities include product/program presentations, developing and maintaining strong relationships with dealers and growing sales. Global Industries offers a full benefits package including salary + commission, 401K, healthcare, dental, vision, LTD/STD, life insurance and auto allowance. For immediate consideration, email your resume to tholderness@globalindustries.com To learn more about Global, please visit us at www.globaltotaloffice.com Global Industries is a drug-free workplace and equal opportunity employer.

Business Development Manager - Houston, TX

Great Sales Opportunities!

Come work for Herman Miller, again named FORTUNE’s “100 Best Companies to Work For” in America At Herman Miller, we work for a better world around you. We do this by designing furnishings and related services that improve the human experience wherever people work, heal, learn, and live. We are looking for a motivated and strategic Business Development Manager to join our team in Houston, TX. The role demands a proven track record in creating strategies and developing plans to drive new business. Building collaborative relationships, diagnosing their needs and providing world class solutions will be critical to success. The ideal candidate will possess strong new business development skills, proven strategic and financial selling skills, and expert networking skills. Capital goods sales, experience selling to the C-Suite and proven experience selling through the commercial real estate industry is required. A bachelors degree in Marketing or related field and at least five years of successful capital goods sales experience is critical. To apply please visit hermanmiller.com/careers

22 The Monday Morning Quarterback

Come to work for an industry leader! KI has several Sales Specialist opportunities available as follows: • Government Sales Specialist - Washington, DC • Sales Specialists - Northern & Southern California • Sales Specialist - Long Island (also covering accounts in New York City) If you thrive in a fast-paced environment where furnishing solutions to clients’ needs is top priority, we want you! We invite you to visit KI’s web site at www.ki.com for a complete listing and description of all opportunities at KI. Women and minorities are encouraged to apply. Equal Opportunity Employer

Rep Group Seeks Energetic Support We’re looking for you!! Top Rep organization based in New England is looking for energetic and growth driven applicants to accept to their Sales Support Team. Applicants must have good organizational skills with no less than 12-18 months experience in a support role for a dealership, design firm or rep group. Marketing and or CAD skills are a plus. If you are ready for a change and new opportunities, reply to tom@contractsources.com

February 1, 2010

Come work for an industry leader!

Account Executive Your success depends on you with unlimited commission potential. CORT, a Berkshire Hathaway Company, has opening for NYC territory. Qualified candidates: • 5+ yrs of Outside B2B • A proven and well-documented track record of sales achievement • A strong new business, hunter personality • Ability to build solid business relationships • Polished communication and presentation skills • Strategic selling This position will focus on selling to Directors of Operations, Chief Financial Officers, Procurement Departments, Facilities Management and Senior Administrative Teams of companies that are in transition within their marketplace or industry. The ideal candidate must have demonstrated success in direct business-to-business selling to this management level. In addition to a challenging work environment, CORT offers competitive compensation package, uncapped commission structure, year-end incentive trip for top performers and a comprehensive benefits package. Please apply to: naomi.schmuckler@cort.com AAP/EEO/M/F/D/V We are a proud drug-free company!

Government Account Manager Two positions. Texas and Southern California The Gunlocke Company is recognized as an industry leader in the design, manufacture and marketing of premium wood office furniture: case goods, seating and tables. The choice of leading decision makers in a range of industries, as well as of eight U.S. Presidents, the Gunlocke name is synonymous with design integrity, manufacturing excellence and enduring value. We are seeking two experienced salespersons for the position of Government Account Manager (GAM). One position will be based in the Austin/San Antonio, TX area. The other position will be based in Southern California. The Government Account Manager (GAM) to lead business development activities targeting federal, state, higher education and local government agencies in the assigned market coverage area. A minimum of 5 yrs. government and/or commercial business development experience in the contract furniture industry and extensive experience with government, educational and institutional contract development is required. Interested candidates should apply online at http://www.hnicareers.com/gunlocke.aspx

Territory Manager-New England Come work for an industry leader! Global Ind., one of the largest manufacturers of office furniture in North America has an immediate opening for a highly motivated TM for the New England Region. The states of focus will be ME, VT and NH. Must have 3+ years outside sales experience in the office furniture industry or closely related industry, be results driven and have a proven track record of selling for either factories, independent rep groups or dealers/distributors. Ability to develop new business & maintain current accounts is essential. Resp include product/program presentations, developing & maintaining strong relationships with dealers and growing sales. Overnight travel may be required. Global Industries offers a full benefits package including salary + commission, 401K, healthcare, dental, vision, LTD/STD, life insurance and auto allowance. For consideration email resume with salary history to roliver@globalindustries.com You can visit us at www.globaltotaloffice.com Global Industries is a drug-free workplace and equal opportunity employer.

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MarketPlace Sales Professional

GET THIS GSA OPPORTUNITY!

Quality Products

WIN-WIN BUSINESS PROPOSAL!

Well-established furniture manufacturer has two openings in two territories-MI/OH and FL. If you have 2+years of experience selling in a business environment, or have otherwise developed alliances within the Architect and Design (A&D) community this may be a profitable opportunity for you. Qualified candidates must be highly motivated and possess excellent sales skills. Reply in confidence to: lizwolf@mmqb.com, indicate Dept T in subject line of email

Rep Group Seeking Manufacturers

KOASWELL, the company which introduced the Office Furniture System into Korea and enjoys an excellent reputation as a leading furniture company, is a GSA contract holder. We would like to find our win-win business partner who can be our representative in the GSA market in the US, Japan and Guam area. We are eager to expand our market to US Government as well as commercial market. Get this fruitful business opportunity! Details: • Excellent commission rate. (Can be improved depends on your achievement!) Requirements: • Experience in Government Sales is preferred. • Dedicated endeavor to promote and sell our products. • Professional business communication skills. We will look forward to you knocking our door! Contact us! Peter Shim (General Manager): petershim@ikoas.com (82 2 2163 6076) Jennifer Yoon (Account Manager): y_hyejun@ikoas.com (82 2 2163 6073) Visit us and see what we can do! www.ikoas.com

Southern California Rep Organization wants to represent your company

Beaufurn A&D Representatives wanted!

TN FURN REP WANTED Join multi-line manufacturers’ rep group Office furniture (Atlanta based) rep group looking for an associate for the state of TN. Must live in the Nashville area. Office furniture experience necessary. E-mail resume to msatl@msn.com

SEEKING MFG’S TO REP

The Grace Group is an independent representative organization that works together with office furniture dealers, the A & D community, manufacturers and business professionals. We educate, creatively market and sell commercial office furnishings. The Grace Group can be reached at the following email address Kathryn@TheGraceGroupCalifornia.com

SEEKING REPRESENTATION Representatives Wanted Add a new line for your healthcare sector American Art Resources is looking for independent reps for Southern and Northern California, South and Central Florida, Chicago, Philadelphia, Washington, DC, Seattle, New York, Cleveland and Boston. We are seeking an experienced professional that has existing relationships with decision makers in the healthcare sector. AAR is the leading healthcare art consulting firm in the US. Impressive client list and strong marketing support for reps. Our product line is complimentary to furniture lines for healthcare. Send inquiries and qualifications to: sales@americanartresources.com

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Exceptional company in growth mode! Exciting opportunity for independent reps. Beaufurn? Innovative Design. Comfort. Durability. At Beaufurn, we understand that quality, durability, and style equals beautiful furniture that Interior Designers and Architects have come to trust. For years, we’ve been manufacturing distinctive furniture for leading hospitality and contract businesses and institutions around the world. Please see www.beaufurn.com for more information and impressive client list. Beaufurn is currently seeking national representation specifically; independent A&D focused rep groups with compatible, non-competing lines or independent representatives or interior designers with strong A&D relationships. Our commission rate is attractive with additional incentive programs in place. Immediate representation needed in the following territories however, we encourage those qualified and interested to submit resume: New York City and surrounding areas, New Jersey, Connecticut, Texas (Dallas and surrounding areas) and Florida. To be considered for representation, please send a cover letter, resume, current product line offering (if applicable) and A&D experience information to: suzannefawley@live.com

Independent Sales Representation-New York/ New Jersey La-Z-Boy La-Z-Boy Contract Furniture, a leading manufacturer of quality healthcare furnishings and office seating is seeking sales representation in New York and Northern New Jersey. Must have established relationships with end-users, A&D community and dealers. Only those reps that are motived and results driven need apply. Visit us at www.lzbcontract.com. Interested candidates please contact Richard Franey via e-mail at: rfraney@lzbcontract.com

Independent Sales Representatives Wanted Hospitality Reps Wanted in Various US Territories

MMQB: The #1 source for Industry jobs.

Sitcom Contract “Sitcom” a “minority owned” leader in the international furniture and private label furniture/accessory industry, well known for its “stylish” soft-contemporary designed furniture and accessories is seeking independent sales representation in various locations throughout the US. Candidates must have established relationships within the Hospitality Industry. The ideal candidate markets to property owners, management companies, A&D community, hotel brands, dealers and purchasing companies. We are only seeking independent multiline representatives. Please send resumes to: cmorris@sitcomfurniture.net or fax 336-464-2775

Contract Seating Manufacture looking for Rep Group Looking for Representation in many territories. CAF Contract Seating is committed to the ongoing integrity and professionalism that has been the cornerstone of our growth to date. Our company’s mandate is to be an innovative leader in the contract seating market. We are dedicated to building strong relationships between our customers and ourselves. Our commitment is to provide them with a superior product and outstanding value, backed by industry leading service and support. We work towards establishing an environment that encourages creativity and individual growth. CAF is currently looking for Representation throughout the US Marketplace. If you are looking for a product line that stands out from the other manufactures, CAF Contract Seating would be interested in speaking with you in regards to representation in your territory. Contact us at info@cafcorp.com.

February 1, 2010

MMQB The Monday Morning Quarterback 23


MarketPlace NY/NJ Sub Rep Needed Great potential in the education market Looking for an independent rep who calls on the higher education market in the greater NY City/Northern NJ area. Need experience selling fixed lecture room and auditorium seating. The opportunities are mounting even as you read this. We have an incredible array of seating options that meet every project a school might have. If interested, please call Drew at: strongsales@comcast.net

SEEKING INDEPENDENT SALES REP GROUP Well established CA Mfg needs motivated, driven reps to grow our business Contract/Hospitality/Education MFG seeking Sales Reps for the following Territories; S. Texas, Florida, Colorado, Utah, Wyoming, Montana, & Idaho. Experience calling directly on the Higher Education as well as the Contract/Hospitality/Healthcare markets. Email jodit@erginternational.com

SERVICES

DEALERSHIP FOR SALE

GOODBYE EXPENSIVE PHOTO SHOOTS!

DEALERSHIP AVAILABLE

State of the art graphics technology that allows your product or concept to come alive and get noticed! Alexie Robbert Studio transforms your product CAD files into realistic, life-like images that can be placed into simulated environments - offering a cost-effective alternative to traditional product photography. These renderings are a powerful marketing and sales tool when incorporated into websites, presentations, brochures, and other media. Show your finish selections and other options to visually communicate how a product will look. Personal, professional, and timely service is what has made Alexie Robbert Studio the premiere rendering service for the contract furniture industry. To view the online portfolio, visit www.alexierobbert. com. For questions, quotes and information, call Alexie at 269-686-2405, or email arobbert@aol.com.

Highly Profitable; Owner Retiring; Financing Available. 15+ year old West Coast dealership available as owner seeks semi-retirement. Middle management in place; Business Development and Team Coordination should be the New Owner’s primary strengths. Over the last 10 years the dealership has averaged $1 million/year in Owner’s Annual Income; Company has never had an unprofitable year; Company’s net profit in 2009 was $750,000; 2010 outlook is excellent. New Owner will need $350,000 cash down payment plus SBA and seller financing; strong industry experience; clean credit; and a desire to own their own business and control their own destiny. Time is of the essence as SBA lending policies change at end of February. Call Mr. Evans 858-320-0474 at Acquisition Services Group, Inc www.asgsocal.com

MMQB

24 The Monday Morning Quarterback

February 1, 2010

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The Monday Morning Quarterback - February 1, 2010