By Rick Mullen
Maintenance Sales News Associate Editor
While the economy continues to limp along, Maintenance Sales News Magazine recently spoke with executives from four jan/san distributorships that have remained competitive through hard work, innovation, foresight and an intense desire to serve the needs of their customers beyond the call of duty.
Dory & O.J. Howell, ProSTAR™ Industries
Founded in 1997 by Dory and O.J. Howell, ProSTAR™ Industries, of Bryan, TX, is a jan/san distributor specializing in serving the theater industry. The Howells also own and operate a separate cleaning service, Howell Service Corp., which was founded by O.J. Howell in 1984.
“We were in the service side of things and had an opportunity to clean a chain of theaters. However, we didn’t like the cleaning program the theaters were using in their facilities,” said ProSTAR CFO Dory Howell. “As a result, my husband worked with a chemist and developed a line of chemicals, and we put together what we called a Theater Management System (which remains a company staple today).”
The system included color-coded and icon-labeled products with a solution mixing center dilution system to eliminate waste.
“We cleaned the theaters nationwide and when the theaters decided to go in-house with their cleaning program, we provided them with the Theater Management System,” Howell said. “We put together the products, the brooms and mops — the basic start-up equipment that they would need to develop an in-house program.
“We developed CDs for training. We sent our installers out to install the systems and then monitor the usage of their chemicals and supplies. We gave them the basic outline of what they would need in each theater.
“The system tested well with them, and we won that business. From there, we began servicing other theaters. This is kind of our niche as a distributor. We refined the process and were shipping systems all over the United States.”
As time went on, the Howells realized there was little in the way of local jan/san distributors in the Bryan and nearby College Station, TX, area, which prompted them to begin to look at selling jan/san supplies to local businesses and contractors.
“We opened a showroom and invited people in and began selling,” Howell said. “Theaters still constitute more than 50 percent of our business, and we do more shipping outside our local area than we do within our local area. However, we have our own delivery trucks and deliver in about an 80-mile radius from Bryan.”
Customers who have been outfitted with the Theater Management System also purchase supplies from ProSTAR.
ProSTAR’s philosophy statement to its existing and potential customers says: “ProSTAR Industries’ philosophy is to make it simple — simple to understand, simple to implement. Our products and systems are designed to maximize the productivity of a customer’s staff and help eliminate product misuse and waste. Partnering with facility maintenance personnel, we will customize and implement a complete facility maintenance program. Through education and utilization of our latest and most cost-effective cleaning technologies and techniques, we will help enhance both the appearance and the sanitation of a facility.”
Today, ProSTAR employs 24 people, including two local sales reps and one national rep. With its relatively small staff, the company strives to foster a family-like atmosphere.
“Our employees are not just a number,” Howell said. “Our ‘family’ environment seems to be the key in keeping people long term who are happy with their jobs.
“We really evaluate people and their strengths to find where they work the best. For example, sales people are good at what they do, but they are not always good at the inside kind of stuff. We have inside people who take care of the details, so that they (sales reps) can be on the road and not have those pressures.
“Our sales people know how to install the Theater Management System, but we don’t tie them up with installations and demos. We have a separate team that does the installations and works with the sales reps in that regard.”
The team also travels around the country inspecting the systems it has installed. Based on the size of the customer’s theater or theaters, the team visits quarterly or every six months.
“The team makes sure the equipment is working properly and performs any trouble shooting that may be necessary,” Howell said.
The company’s customer service staff oftentimes gives the installation/inspection team a heads up when a particular theater seems to be having problems or if a new management team has come on board and needs training.
“We are proactive in seeing our customers and providing them feedback,” Howell said. “Because we have customers who are in the same industry, we can make comparisons with other theaters. For example, we are able to tell a customer, ‘With the number of people who physically go into your facility, you should be going through, on average, this amount of product and you are exceeding that, so there might be a problem here.’”
While ProSTAR offers a wide range of cleaning products, for its theater customers, the company developed a concentrated product that can be used for 10 different applications.
“We call it our ‘Cleans All’ product,” Howell said. “Typically, a theater can purchase two 5-gallon pails of this product and that is the majority of what it will need.”
Howell reported the company has begun to delve more into eco-friendly products and practices.
“This past year, we have started getting into the green process,” Howell said. “Theaters, primarily in California, are where we are seeing the most demand.”
The company is also working to implement consistent standards and procedures across its customer base. Howell’s husband (O.J. Howell) is CIMS-certified (ISSA Cleaning Industry Management Standard) and is working in this area.
“Trying to incorporate some of the ISSA standards to get a uniform standard across the board is not always easy,” Howell said. “We might be shipping to one theater chain, but that chain may have multiple locations in 20 different states. Each area is different. We must work with local health departments in each area. Trying to get them up to speed to have an industry standard has been challenging.”
While business for ProSTAR has been good, there have been some ramifications stemming from the current economic situation in the country.
“Luckily, janitorial supplies are a necessity,” Howell said. “We have seen business cut back on the local front somewhat, but people still need supplies. They may decide to do the cleaning themselves, but they need the supplies. I have also noticed equipment budgets aren’t quite as large these days.
“Nonetheless, the theater side of the business is going very well. People may not be able to afford to take a vacation, but going out to the movies is still an affordable option.”
Two important value-added services ProSTAR offers are equipment repair and training. The company operates an equipment service department and is also able to go to a customer’s site to service equipment. Customers may also rent equipment.
A major emphasis at ProSTAR is educating customers about the services and products they are receiving. ProSTAR will visit a customer’s facility to assess what that company needs. Drawing from its expertise in cleaning, ProSTAR feels it has an edge in understanding the issues customers may face.
“We like to get in there and work with a customer’s crew,” Howell said. “We will strip a floor with a customer’s maintenance personnel. We can educate an in-house crew on how best to tackle the issues they face on a day-to-day basis. For facilities that do not have an in-house crew, we have our own janitorial service available.”
On occasion, ProSTAR will host seminars at a local facility, focusing on one general topic. Howell said these types of training sessions have been well received.
When it comes to ProSTAR’s delivery operation, around 50 percent of orders are shipped via LTL (less than a truck load) carriers. Nearly all orders originating from theaters are received online, Howell said. For deliveries in the local area, ProSTAR operates two trucks.
“For the most part, if a customer places an order by 3 p.m., it will be delivered the next day,” Howell said.
The company’s relationships with suppliers are also a critical aspect in doing business.
“We look for flexibility. We want a vendor that is willing to have its reps come in here and spend time with our reps and with our customers,” Howell said. “We spend time checking out our suppliers. Are they going to provide us with some measure of protection? What kind of warranty and services do they provide? Do they back their products?
“They are diligent in checking us out and we, in turn, do the same with them. We are also members of a buying group. It has been beneficial to have this network to draw upon. We can check with other distributors to see how their relationship has been with a particular supplier, for example.”
Many distributors will report that their success is built upon relationships with customers. One of the challenges facing the modern distributor, Howell believes, is balancing technology with the personal, face-to-face interaction with customers that builds strong, long-lasting relationships.
“We have been geared toward making everything so electronic, such as online ordering and using technology to cut costs and personnel, but ultimately it comes down to relationships,” she said. “We make sure we are seeing our customers.
For us, these relationships protect us from when the ‘big guy’ comes knocking at the customer’s door, but can’t provide the personalized service that we offer. In our close relationships with customers, we demonstrate that we are in it with them for the long haul.”
Contact: ProSTAR™ Industries,
1590-A N. Harvey Mitchell Parkway,
Bryan, TX 77803.
Phone: 800-262-7104; Fax: 800-423-6254.
Email: info@prostarind.com.
Website: www.prostarindustries.com.
Greg Parker, Chemco Inc.
Since 1979, Chemco Inc., of Sioux Falls, SD, has provided a wide array of janitorial and paper products to meet the needs of customers.
Chemco’s offerings include paper supplies for restrooms, soap dispensers and refills, deodorizing systems, hand lotions, toilet paper, plastic liners, floor cleaners, cleaning carts, wet mops, dust mops and wipers.
While the company went through the recession years of 2008-09 relatively unscathed, Chemco owner Greg Parker reported that business has been “quiet” since August of this year.
“We service parts of South Dakota, Nebraska, Iowa and Minnesota, where we have many school customers,” Parker said. “The schools cut back this year and, for the first time, we didn’t receive the school orders like we normally do.”
An important segment of Chemco’s business is its commitment to offering environmentally friendly products.
“We push green products and practices,” Parker said. “We conduct seminars for schools. We have a couple of people who have been through the CIMS training. Some state facilities here are working to become LEED certified, and we are helping them accomplish that goal. Other people say they offer green, but we are trying to live it.”
LEED (Leadership in Energy and Environmental Design) is an internationally recognized green building certification system, developed by the U.S. Green Building Council (USGBC).
“We have even gotten to the point that, in some product mixes, we don’t offer an alternative — it is green or nothing,” Parker said. “Green products have taken a bad rap as being more expensive and not as efficient as non-green products. One of our suppliers has put a lot of effort into manufacturing quality green products, and they have done very well for us. We can tout the performance and we can be competitive in price. We feel there is really no excuse for customers not to consider these products.”
One of the results of the economic downturn has been companies are doing more with fewer people. Because some Chemco staff members have been educated in cleaning management, the company is able to help customers in this area.
“We seem to be leaning toward a trend where we help manage, which I never thought we would do,” Parker said. “Some customers have told us, ‘We are going to do 100 percent of our business with you folks and, in return, when we have people quit or when we hire new employees, we want you to train them.
“It used to be that people would take a job and would be there for 20 or 30 years. Now many customers have a rapid turnover; therefore, we are helping them manage their staffs.”
While the company prefers on-site, face-to-face training, Chemco often conducts seminars to educate customers about products and procedures.
“We conduct seminars in two ways,” Parker said. “We have a major in-house seminar where we invite manufacturers to come in and set up booths. Then, throughout the day, we have training classes. Between classes, those attending the training can visit the vendors’ booths.
“Another way we handle seminars is we will travel to each corner of the state and conduct seminars focusing on a particular category or customer.”
Chemco is also involved in helping customers manage inventory.
As modern technology, such as computers, online access and email, have become an essential part of the business world, Chemco has continued to emphasize the personal touch.
“We still promote one-on-one contact,” Parker said. “We may have internet capabilities for customers, but it doesn’t mean we don’t call on them on a regular basis. Our sales reps are all out face-to-face with customers. We really don’t do any phone contacts, and I don’t think that we will ever change.
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“We prefer customer relationships. We are not very good with people who just want to buy and don’t care if they ever see us. Part of that goes with selling quality products and systems. Customers need to know how to use them. They need some kind of education.
“We decided, as we looked things over the past year or two as the economy has changed, we are going to stay with what has made us successful. It is not that we can’t bend or yield when necessary, but we are not going to give up on our basic foundation.”
Another important value-added service Chemco provides is its ability to service equipment quickly to minimize a customer’s downtime.
“There are companies in our area that repair equipment; however, their turnaround time can be anywhere from two to four weeks,” Parker said. “For most of our customers, we will have their equipment serviced and back to them within a day or two.”
Chemco’s commitment to personalized service and consistency also extends to its delivery operation.
“If a customer is getting deliveries on Tuesdays, for example, they have received deliveries from us on Tuesdays for the past 35 years,” Parker said. “We have areas where we deliver every other day. As we travel farther out, customers may get their deliveries weekly or monthly.”
Furthermore, 99 percent of the deliveries the company makes is with its own trucks, keeping with Chemco’s philosophy of maintaining face-to-face contact with customers. Also, in the face of an emergency, Chemco’s customers need not worry about getting products.
“We will make an emergency delivery by way of our regular delivery system or a sales person,” Parker said. “We take that extra step to help customers, and we encourage that. It helps to solidify the relationships we have established.
“Chemco is a family-owned business competing with a lot of ‘giants’ in the industry,” Parker said. “We have had to work hard and be dedicated to the business to survive. In the early years, there were probably occasions or reasons for us to give up and go out of business. However, we decided this is what we want to do and where we want to go, so the best thing to do is work it out.”
Contact: Chemco Inc., 3301 N. Markey Ave.,
Sioux Falls, SD 57107.
Phone: 800-728-2436.
customerservice@chemcojanitorial.com.
Website: www.chemcojanitorial.com.
Clyde M. Hayes, Northern Chemical Company
Serving two-thirds of the state of Arizona, Northern Chemical Co., of Glendale, AZ (a suburb of Phoenix) is a family-owned janitorial supply and service company founded more that 40 years ago.
The company, which offers a wide selection of jan/san products and equipment from well-known suppliers, also has a distribution center in Flagstaff, AZ, and a sales office in Tucson, AZ. Northern Chemical also operates a cleaning service.
“We owe a lot of our success to our cleaning service,” said Northern Chemical Co. Vice President of Operations Clyde M. Hayes. “Operating this service has provided us with valuable experience and the knowledge that comes with trial and error in testing where particular products excel and what machines work best in which application.”
Hayes reported that business has been relatively “flat” recently due to the uncertainty many customers feel concerning the struggling economy. To offset the negatives associated with the economy, Northern Chemical continues to emphasize personal relationships with customers to help them cut costs without sacrificing quality.
“In our area, we have stiff competition from large national retail chains,” Hayes said. “However, we feel that customers see and appreciate the value-added services we provide.
“What is working the best for us these days is an emphasis on more door-to-door contact, making sure that we are in front of customers, showing them the value-added attributes of our products and services.
“Our goal is to make sure customers understand all of our products, and to make sure they are using them correctly. We want our customers to realize the exact dollar amount that they invested into their equipment and cleaning supplies.”
To educate customers on products and procedures, Northern Chemical prefers to conduct training with as many participants as possible.
“We try to organize training to where everyone comes into one site at one time, usually at an end-user’s location,” Hayes said. “Typically, we cover one specific item for an allotted time, making sure those attending the training understand what is being taught. We then move on to the next subject.”
One value-added service Northern Chemical offers that has been well received by customers is its equipment service operation.
“Our service department has been a real door-opener, because we can pretty much repair any piece of equipment,” Hayes said. “Our field technicians have the experience and expertise to repair equipment at the customer’s site, to eliminate any lag time or downtime.”
On the green front, Northern Chemical has been pushing environmentally friendly products and has been successful in the government facility area due to mandates. Otherwise, Hayes said, many customers have been slow to embrace green products. Nonetheless, Northern Chemical offers a full array of quality green products and the training to back them up.
In its delivery operation, Northern Chemical offers 24-hour delivery, and is willing to go the extra mile in making an emergency delivery to meet a customer’s immediate needs.
“Orders we receive before 2 p.m. will go out the next day,” Hayes said. “We maintain a little more than 1.5 million items in our inventory, which helps meet any need that may arise.”
In its relationships with suppliers, Northern Chemical seeks those who can provide training and support.
“We want a vendor that is going to send reps out to teach our people how to properly demonstrate and sell our products,” Hayes said.
One challenge Hayes sees moving ahead is what he calls the “Amazon” generation.
“The ‘Amazon’ generation is people who feel they can get a less expensive ‘cart’ online,” he said. “People may be able to purchase a product online for a lower price, but, without the value added education we provide, they may not use the product correctly.
“They may use a product in the wrong application or combine products incorrectly and make something that is harmful.
“The ability to stand in front of a customer and show that customer how to properly use something is always going to be a value added aspect of what we offer.”
While computer and online technology can be a negative when not used properly, it can, on the other hand, be a plus when used wisely.
“The computer age has arrived and it is going to help us with training,” Hayes said. “Many of our vendors offer training videos that we can email to a custodian, in case they have new hires or high turnover.
“Also, we are currently looking at a computer system on our end, which will help our in-house customer service people. By having immediate online access to information from our vendors and/or other manufacturers, our customer service people can better help customers get the answers they need.”
Contact: Northern Chemical Company,
6110 N.W. Grand Ave., Glendale, AZ 85301.
Phone: 800-279-1477.
Website: www.northernchemical.com.
Ronnie Kent, Associated Paper, Inc.
Founded in 1967, Associated Paper, Inc., of Conyers, GA, located in the Atlanta metro area, services central Georgia, eastern Alabama and parts of South Carolina.
The company’s offerings include sanitary maintenance supplies; janitorial and packaging equipment; packaging and shipping materials; office products; and foodservice items.
“We have four locations,” Associated Paper owner and President Ronnie Kent said. “Our main office is in Conyers, which services the metro Atlanta market. We also have a janitorial showroom geared toward building service contractors located in Marietta, GA. In addition, we operate branch office/warehouse locations in Augusta, GA and Lanett, AL.”
While the U.S. economy seems to have been put on hold recently, Kent reported that business has been “OK.”
“There is not a lot of new business opening up so we have to compete for what is out there,” Kent said. “We have seen a modest increase over the previous year, but it has taken a lot of hard work to accomplish.”
While running a successful business in the current economy does, indeed, require a lot hard work and some creativity, Associated Paper has turned one result of the recession into a positive.
“People are cutting their budgets and looking for ways to save money,” Kent said. “This trend has opened doors to a lot of opportunities to show new products.
“We are able to meet our customers’ needs. We have invested heavily in technology to stay up with the ever-changing demands on efficiency. Some of the challenges continue to be the government and new regulations. It is sometimes hard to tell how it is going to affect us, whether directly or indirectly.”
While today’s Associated Paper operates out of multiple locations and has many product lines, its beginnings were humble by comparison.
Jim and Bette Kent founded the company with a single product (gummed tape) and a part-time driver. Ronnie Kent joined the business at age 16, and was servicing his own sales territory by age 19.
Kent went on to become operations manager and then sales manager before being named the company’s president in 1990. In January 2005, Marie Kent Rainey, the third generation of the Kent family, joined the company full time.
According to the Kent family, the company’s philosophy has always been: “To establish and maintain partnerships with our customers, providing quality products and services tailored to their needs. We strive to present new and distinctive products that differentiate us from our competitors. Our staff is very well trained and we encourage their continued growth in order to meet our goal of providing incomparable service to our customer base.”
Kent added: “We have been successful in partnering with our customers to find products that help them increase efficiency and add to their bottom line through labor savings or savings by changing the way they do things. We try to educate ourselves on our customers’ businesses and focus on their needs to recommend products we think are best suited to deliver results, along with value.
“Our outside sales representatives act as consultants to help customers. We utilize technology to help drive down transaction costs and improve efficiency in doing business.
“We are not focused on selling the least expensive items at the lowest price. We deliver value and expertise to our customers. Our sales reps have all been with us for many years, and they provide a wealth of knowledge.”
During the past decade or so, eco-friendly products and practices have made inroads into the business world, as well as society as whole. In today’s jan/san industry, many manufacturers have developed green products that work well, and with competitive pricing.
“We have been actively engaged in promoting green products for nearly 10 years,” Kent said. “The quality of green products being offered today is, in most cases, equal to their non-green counterparts. We have held many training classes on green products. We have also had a green products show and had our reps, along with our vendors, show what each company has to offer in the green category.”
Associated Paper offers other training seminars, in addition to those concerning green products.
“While we try to rotate to our different locations, most of our seminars are conducted at our Marietta location, where our showroom is located,” Kent said.
Another important value-added service Associated Paper provides is its equipment service department.
“We service packaging and janitorial equipment,” Kent said. “We will also service equipment that we do not sell — anything to service our customers.”
Concerning the company’s delivery practices, next-day deliveries are the norm for the Atlanta metro area.
Along with cultivating close, personal relationships with customers, Associated Paper also strives to do the same with its suppliers.
“Our relationships with suppliers are a big deal for us,” Kent said. “We partner with our vendors and represent the best in each product category. We expect a lot from our vendors as we really do look to partner with them to win new business. We expect our sales representative to work closely with our supplier reps to identify targets and work together to solve problems for our customers.”
When asked to reflect on the company’s success over the years, Kent said, “We have been successful because we have the best people and we have quality suppliers that support our efforts.”
Contact: Associated Paper, Inc.,
1202 Royal Drive, Conyers, GA 30094.
Phone: 800-932-7195; Fax: 770-929-1464.
Website: www.associatedpaper.com. |
