The Mheda Journal

Well, here we are in Marco Island. What a great spot! The hotel is gorgeous. This is my second time here…I was here in 2006 when MHEDA last held its Convention here. I’m anticipating another great event.

It hasn’t even officially started yet, and I’ve already run into a bunch of MHEDA Members. Robert Andrews, president of Morse Manufacturing in East Syracuse, NY, was on both of our flights today (Syracuse to Philly, Philly to Fort Myers). I spent some quality time during our layover with him, learning about how custom orders for specific customer applications have been very successful and helped drive sales over the last few months.

We saw a few MHEDA board members and their wives, including Convention Chairperson Chuck Frank; Past President Jack Phelan; and MHEDA Directors Scott Lee, Mark Milovich and Steve Fawcett. It looks like the hotel is starting to fill up with MHEDA Members and their spouses, and I look forward to meeting everyone, again or for the first time.

So far the big news to report was a fantastic dinner at Kurrents, here at the hotel. Any Convention goers who are looking for a quality bite should stop in. The bone-in pork chop was delicious! We ran into the MHEDA staff there on our way out, as they having one last night out before all the work starts for real! I’m sure they earned it!

My colleagues and I will be out and about from the opening bell tomorrow, bright and early at 7:00 for breakfast. We’ll be blogging and tweeting (@liftmoveandstor & @MatHandlingEdge) live from the Convention all week long. Check back tomorrow for updates on all the great activities in store for attendees. See you Saturday.

Well, tomorrow morning we leave for Marco Island for MHEDA’s 55th Annual Convention & Exhibitors’ Showcase.

Just a reminder that I will be, for the first time ever, blogging and tweeting live from the show, as will my colleague, Dan Vest, editor of MHEDA Edge, the monthly e-zine for young professionals. Dan often has a different perspective than I do, so be sure to check out his blog postings and tweets as well.

Another new feature this year will be a daily Convention newsletter that will review the previous day’s activities and preview each day’s agenda items. MHEDA members, both attendees and non-attendees alike, will receive a daily morning e-mail with a newsletter that looks eerily similar to The MHEDA Connection e-newsletter you’ve all come to know and love. Dan and I will be seeking attendees’ commentary, so don’t run away from us if you see us. We’ll take good care of you and your quotes. We won’t be able to do it without your help!

I can’t wait to get down there and start putting faces with names!

Last week I was talking to an industrial battery charger manufacturer who wishes to remain nameless, and we started talking about ways to replace revenue that was lost in the recession. This person told me about a scenario that exists in the battery and charger market that I was unaware of, and he had some pretty strong feelings about what it means for his business and the industry.

 “A couple of years ago, we were approached by a lift truck manufacturer to private-label a charger for them that they could put their name on and sell it through their parts catalog. We talked to our distributors, who said ‘We’d rather fight them out on the street than just have you sell direct.’ Therefore, we declined, but the manufacturer found a French partner, who produced an SCR charger for them with their name on it that they sell as a package with their lift trucks. This was the first time that we had seen one of the major lift truck manufacturers get into the battery charger business.

“At the time, this manufacturer said they were doing it because they need to replace revenue that was lost when new truck sales dropped during the economic downturn. That’s probably true, but I don’t see them stopping now that they’ve developed it and have been moderately successful.”

For distributors, this situation has created a bit of a dilemma. The biggest thing is, it creates a competitive environment, not just between the charger manufacturers like us and the lift truck manufacturers, but also amongst distributors. For a long time, independent battery and charger dealers had the local lift truck dealer as one of their largest customers. Now, if more lift truck dealers are forced to sell what I’m going to call “proprietary” batteries and chargers, that creates some major competitive issues.

At first, it was optional—the distributor could still sell whatever charger they wanted. Then it became mandatory to sell the proprietary charger. Some distributors found ways around it, but in many cases, the charger distributors felt like they were competing with the lift truck dealer. Conversely, the truck dealers were reluctant because they knew they had customers who didn’t want this new charger. They also have long-term relationships with the charger company’s salespeople and distributors. They work very closely, and a lot of them didn’t really want to see that relationship damaged.

If nothing else, it’s caused some changes and uncertainty in the distribution channel. Rumor is that at least one lift truck company has already made a similar request to the battery manufacturers, meaning “proprietary batteries” could be next.

If this does prove to be a viable revenue source for the lift truck manufacturers, it’s only going to become more common. What will this mean for distributors?

I’ve heard for a long time about the impact that proprietary forklift software has on the industry, but this was the first I’d heard of proprietary forklift chargers. I’d like to hear from you. How prevalent is this? What does the future hold?

With MHIA’s NA 2010 getting underway in Cleveland, OH, today (anyone out there attending? I’d love to hear how it’s going!), it’s a reminder that there’s only five more days until we leave for MHEDA’s 55th Annual Convention and Exhibitors’ Showcase, to be held May 1-5 in Marco Island, FL. It will make a busy week for some who are traveling straight from one to the other, I’m sure.

Even though we’re not attending in Cleveland, we will be in Marco Island in full force. For the first time ever, we will be producing a daily newsletter at the Convention, recapping previous day’s events and previewing what’s to come. MHEDA members, both attendees and non-attendees alike, will receive a daily morning e-mail with a newsletter that looks eerily similar to The MHEDA Connection e-newsletter you’ve all come to know and love. So if you see me (see the picture, below right) or my colleague Dan Vest in the hotel hallway, feel free to introduce yourself and give us a comment for the newsletter. You’ll be a rock star in no time!

There’s a lot happening in Marco Island, beginning Saturday, May 1. I hope to see you there!

Today is Earth Day; it’s the 40th anniversary of Earth Day, in fact. I learned yesterday that the impetus for Earth Day was the day when my hometown Cuyahoga River notoriously caught on fire near Cleveland, Ohio. Can’t say I was proud to learn that fact, but at least something positive came out of that debacle. (Well, two things, if you count the song “Burn On” by Randy Newman.)

Earth Day seems like as good a time as any to talk about the continuing efforts of our industry to go green and help end-users of material handling equipment (which is virtually everyone) do the same.

The material handling industry is at the forefront of the sustainability movement, whether it’s:

• Reducing forklift emissions
• Warehouses that go up instead of out and preserve more green space
• Turning off power to certain parts of a customer’s warehouse when not in use
• Encouraging adherence to green building codes
• Embracing alternative fuels
• Increasing remanufacturing opportunities.

And just today, I read about a study finding that logistics companies made commitments to sustainability during the recession.

Consider this a tribute to our industry. Keep up the good, green work! (Editor’s note: See The MHEDA Edge Editor’s Blog to read another perspective on Green Material Handling.) Happy Earth Day, everyone!

Lift truck safety is one of those topics that, no matter how much you cover it, is always relevant, for reasons including (but not limited to) lost productivity, equipment and product damage, employee injury potential, regulatory compliance and customer satisfaction and much more.

That’s one reason why I’m looking forward to working on our 3^rd Quarter issue. Now that the April magazine is being mailed out, I can jump with both feet into the July issue. One of our features in the upcoming issue will be about safety. I sent an e-mail around to the MHEDA-NET safety group, a networking group made up of safety and compliance officers at member companies. I asked them to let me know what safety topics are hot issues in the material handling industry right now. David Hermann of Wisconsin Lift Truck (Brookfield, WI) replied with one of the most interesting responses.

In addition to giving me several topics to consider exploring in our safety issue, including the susceptibility to injury of an aging workforce, lack of qualified training and disdain of seat belt laws, Hermann also had this to say:

“Training is my favorite topic. It allows us to help people appreciate how important they are. Their lives are too important to not invest in wearing a seat belt. Their eyes are too important to not wear safety glasses. Training is a great place to set the stage to help people understand these priorities.”

I found “helping people appreciate how important they are” to be an interesting perspective.  Often when talking to distributors about safety, the talk shifts to lost man hours or lost-dollar prevention or even government funding, which certainly are important aspects, but I have never heard it articulated quite this way. Letting people know how important they are, and the role they play in maximizing the company’s bottom line in respect to those man hours, cash retention and grants, can go a long way toward employee satisfaction.

They say informed employees are happy employees. Ultimately, informed employees are also safe employees, meaning it’s the employer who can reap the benefits.

I’d love to hear any other safety solutions or philosophies out there. Leave me a comment or reply to editor@themhedajournal.org.

Well, the feedback about the latest issue of The MHEDA Journal is pouring in! For the most part, reviews have been positive, which, of course, is always good to hear. I also appreciate those who called to offer opinions about the way we could have done things better. In the spirit of continuous improvement, we can use that feedback to make your member magazine even better in subsequent issues.

One of my favorite comments to receive (and it happens more often than you’d expect) is when someone I interviewed responds to say, “Thank you for making me sound smart!” I always find this amusing, not only because it shows the humility of the person making the statement, but because nothing could be further from the truth. When I interview someone, that person ALWAYS knows more than me. That person is the smart one. All I really need to do is fix the grammar. The interviewee provides all the hard work and details. The magazine couldn’t be written without all the tremendous input from members.

If you haven’t had a chance to take a look at the new issue, visit http://www.TheMhedaJournal.org and take a peek. It should be arriving in the mail to members in the next day or so if it hasn’t already. We’d love to hear your feedback! Thanks again!

At long last, the Second Quarter (April) issue of The MHEDA Journal is back from the printer and being distributed to MHEDA members. Those of you traveling to upcoming material handling equipment trade shows can also pick up a copy at NA2010 in Cleveland in two weeks or at the MHEDA Annual Convention & Exhibitors’ Showcase next month.

This issue plays off the MHEDA Convention’s theme of “The Rules Have Changed,” and is chock-full of articles from distributors about how they’re changing the rules at their companies to drive profits. See how M & G Materials Handling (East Providence, RI) President Ken MacDonald has improved productivity by implementing 5s procedures. Read how Bill Rowan, president of Sunbelt Industrial Trucks (Dallas, TX), has instituted more strict credit policies to ensure better cash flow. Learn what Ted Springer, president of Springer Equipment Company (Birmingham, AL), is doing to diversify his product mix, and many more!

This issue also features articles from speakers at the Annual Convention, on topics from marketing to sales intelligence to thinking creatively and more. So even if you can’t make it to Marco Island, you can still receive some of the benefit by taking a look at this quarter’s issue.

It’s all available online now and is being mailed to subscribers this week. I’d love to hear your feedback. Leave a comment here or send an e-mail to editor@TheMhedaJournal.org. Thanks for reading!

I was on vacation for a few days last week and spent some time cruising around Southern California. I had been there before but always had a destination and a reason in mind, and never really took any time to explore beyond my immediate destination.

This time, though, I had some free time to relax and soak it all in. Looking back on it, it’s amazing how much material handling I saw, really in every way. Traveling around Long Beach, i saw the port filled with huge barges loaded with hundreds of shipping containers. I saw cranes and hoists being used to unload those ships.

I saw forklifts in action, at every size business, from a tattoo parlor in Venice Beach using a truck to unload what looked to be large ink canisters, to the Hollywood Walk of Fame using one to haul some new granite for a new sidewalk star (I think it was Russell Crowe’s), to a shipyard in San Diego.

I saw industrial storage rack in the place where we picked up our rental car, and I saw conveyors both at the airport and at a cruise ship boarding station we rode our bikes past.

Most people don’t know it, but material handling is everywhere! Making that awareness more prevalent is the purpose of MHEDA’s Industry Advocacy committee, and the good news is, they have a lot of material to work with. Even on vacation, I can’t escape it!

I can’t believe how fast time flies. It seems like it wasn’t very long ago that I was leaving Palm Desert, CA, after last year’s MHEDA Convention.

Now, it’s only three and a half weeks until the 55th installment of MHEDA’s Annual Convention and Exhibitors’ Showcase. It takes place May 1-5 in Marco Island, FL. MHEDA has been to Marco Island several times, most recently in 2005. That was my first visit, and I’m excited to be heading back. What a great locale!

Beyond that, this year’s Convention should prove to be a valuable one thanks to the strong speaker lineup and networking opportunities. With the industry taking a hit over the last few years, the MHEDA Convention is a great way to re-introduce yourself to suppliers, distributors and customers that you may not have heard from in a while. All the material handling industry’s heavy hitters will be there!

This year’s theme is The Rules Have Changed, a nod to the changing environment that we’ve endured this past several months. Speakers will present on topics ranging from marketing your business to profitability improvement, from to strategic planning to sales intelligence.

My colleagues and I will be there documenting the event. If you want your name and photo in The MHEDA Connection daily newsletter that’s going to be published there, seek us out! (I hope I didn’t scare everyone away!) I look forward to seeing you there!