The Mheda Journal

For my last blog entry of 2010, let me say a quick thank you to all of you who have contributed material to The MHEDA Journal throughout the year. As we like to say around here, it’s your publication and we couldn’t do it without the input of all you out there in the material handling industry every day. Thank you for your ideas, contributions, feedback and support. We appreciate it.

2010 was a busy year in material handling, despite the economic slowdown that was still lingering for many throughout the year. In the first quarter, we published our annual industry forecast issue, featuring commentary from distributors, suppliers and other industry associations about their expectations for 2010. This special “10 issue” for 2010 also featured a series of Top 10 Lists to bring in the new year.

That cautiously optimistic outlook from most MHEDA distributors at the start of the year had most of you adjusting as you found out the hard way that The Rules Had Changed in the business world. Success depended on mastering new strategies and new ways of doing business. In the 2nd Quarter issue, learn how M & G Materials Handling (East Providence, RI) President Ken MacDonald has improved productivity by implementing 5s procedures, how Bill Rowan, president of Sunbelt Industrial Trucks (Dallas, TX), instituted more strict credit policies to ensure better cash flow and what Ted Springer, president of Springer Equipment Company (Birmingham, AL), did to diversify his product mix.

Of course, MHEDA Members responded to the challenges and were still able to succeed in the downturn using various strategies. As in years past, we used our Summer issue to salute those MHEDA Members who received recognition from manufacturers. This year, though, we took it a step further by actually interviewing 12 of those dealers and finding out how they were able to achieve such lofty goals despite what we all know was an economic stinker of a year in 2009. While all admitted that the revenue wasn’t as high as years past, they still were able to make some sales and maintain profitability. Also in that issue were two safety articles about the inner workings of making a company-wide safety policy.

By the fourth quarter, sales were still out there, and many distributors and manufacturers strengthened their partnerships with each other and wrote their own Sales Success Stories. In addition, this issue also tackled other sales and marketing topics of interest to material handling companies, including using vehicle wraps as a marketing tool, the importance of proper pricing strategies, identifying the personality of top salespeople and how to achieve sales success on the Internet.  This issue also features a section devoted to forklift tires. Distributors and manufacturers discuss the complexities of the tire market and the impact of new competition. Learn how one distributor uses tires as a way to break into previously unaccessible accounts. If that wasn’t enough for one issue, MHEDA members also explain how to create an effective social media policy at one’s company and discuss how to implement culture change after an acquisition.

It was certainly a busy year, and 2011 promises more of the same. Have a happy New Year and celebrate responsibly. See you in 2011!

I received a press release today titled, “’Tis the Season for P#ss@d off Customers.” (I did not change any characters. It actually was written that way.) How could I not read that?

The press release was a promotion for a new book focused on retailers, but it actually had some interesting customer service tips that will work for any business—at all times of year. Here’s the list:

• Learn to recognize (and truly understand) your customers’ situations.
• Make sure you always follow through.
• Be very specific with customers. (Vagueness is a sure path to lost business.)
• Extend a peace offering.
• Have a standard service protocol, and some key “recovery phrases,” at the ready.
• Give frontline employees more power.
• Look for ways to reward employees for saying “yes.”
• Don’t assume your customers will give you a second chance.
• Remember, your clients can be your best (or your worst!) marketing tool.
• Ask for feedback.

Each one has a more lengthy explanation, but they’re pretty self-explanatory. As the year comes to a close, be mindful that while people look forward to the holidays, it’s also a very stressful time of year. As the release says, “It’s that special season again: the season of crowded stores, whiny kids, irritable customers, and stressed-out employees. If you’re a business owner, the holidays are a precarious time. When fuses are short and wallets are shrinking, customers expect great service. Fail to provide it, or fail to instantly implement a recovery plan on those occasions when you do drop the ball, and you may find yourself experiencing a not-so-merry 2011. People have higher expectations and a lower tolerance for mistakes. Without a good service recovery plan, you can easily lose the disgruntled customer, everyone she knows, and possibly a lot of people she doesn’t know if she takes her tale to cyberspace.”

Seems like good advice to reiterate. Best of luck and happy holidays!

While I was getting ready for work this morning, I happened upon The Early Show on CBS. Their correspondent was in a FedEx distribution center with boxes whipping by on conveyors in the background. It’s rare that I remember statistics from stories like this, particularly at 7:30 in the morning, but for some reason the particulars of this story stuck with me.

Today is Monday, December 13. It is the Monday before the last weekend before Christmas, which historically is the day of the year on which more packages are shipped than on any other day. This year, according to The Early Show reporter, 16 million packages are expected to be shipped today, a 12% increase above last year. (I tried to find a video clip to make sure my groggy mind remembered these numbers correctly, but I was unable to find it.)

This is good news for material handlers for two reasons. One, if you supply or integrate for logistics companies like FedEx, UPS, the postal service, or basically any retailer, it’s going to be a busy couple of weeks. You may want to make yourself available as downtime will come at a high cost to such companies. Quick response and availability will go a long way to solidifying your relationships with such customers.

Two, the increase over last year seems to indicate a return of consumer spending and consumer confidence. Those are good signs for general economic recovery, something that we all can support and are all looking forward to.  I already touched on this subject in an earlier blog entry, but it seems worth noting again, particularly in light of the economic doldrums that we’ve all suffered through for the last few years. Any chance to point out good news, I’m taking the bait. Happy holidays, everyone!

Today is Veterans Day, so let me use this space to give an enthusiastic “Thank You” to all the men and women out there who have previously served and are currently serving in our country’s military.

Over the years I’ve been working in the material handling industry, I’ve gotten to know a lot of members who have military experience. We recognized many of them in our Third Quarter 2006 issue. MHEDA Director Steve Strifler, a West Point graduate, contributed an article on leadership for that issue. MHEDA Conventions over the years have included military speakers and the 2007 annual meeting featured an opening party on the deck of an aircraft carrier in San Diego. Many MHEDA members do business with the military and other government and defense agencies. So it’s no stretch to say that the military and those involved with it play a major role in the success of our industry.

For those reasons, we salute our veterans. Happy Veterans Day, everyone!

October 16 is National Boss Day, a holiday started in 1958 when Patricia Bays Haroski, an State Farm Insurance employee in Deerfield, IL, registered the day with the Chamber of Commerce of the United States. According to www.calendar-updates.com, her purpose was to”designate a day to improve the relationship between employees and supervisors. She believed young employees often do not realize the challenges bosses face in running a business.”

That’s probably true and it should serve as a reminder that as much communication that occurs between all levels of an organization is always a good thing. In the spirit of Ms. Haroski, bosses and staffers should make it a point to ask and answer questions of each other. Learn as much as you can about the others’ plight and it may everyone’s workdays a lot smoother.

To all the underlings out there, take a few moments to say thanks to the one who signs your paychecks. To all the bosses out there, it’s a tough job. Thanks for doing it the best you can.

With Labor Day weekend this weekend comes the unofficial end of summer for many of us. Kids are headed back to school, parks are closing down and weather is taking a turn for the cooler.

Summer certainly was a full one this year, especially for those of us in the material handling industry. The highlight for us here at The MHEDA Journal was the redesign of the website you’re currently reading this blog on, www.TheMhedaJournal.org. The launch coincided with our Third Quarter publish date on July 15. The Third Quarter issue, you may recall, featured MHEDA distributors who were able to earn Top Dealer status during 2009 despite the less-than-stellar economic conditions.  

MHEDA was also busy, making changes to its Career Center and holding its usual array of webinars and educational sessions. MHEDA members were busy hiring, expanding, merging and improving their companies as well. After the last couple years of dark clouds, the consensus seems to be a lightening of those clouds as we round out the year and push to 2011. Best of luck to everyone out there in doing so.

Happy Labor Day and enjoy your long weekends!

Many of you out there probably have long weekends and may be looking for a road trip to take. Well, I’m here to help. In the upcoming issue of The MHEDA Journal, there’s an article about “The Great Material Handling Road Trip,” which features three U.S. landmarks that feature material handling in some aspect. You can read about the Napa Valley wine caves that use a specially designed barrel-lifting forklift attachment to harvest their grapes. Learn about two Major League Baseball stadiums and the material handling connections with each. Also, the cruise ship Freedom of the Seas, at one time the largest cruise ship on the planet, has some unique material handling attachments. Read all about it, along with some other sights, in the Summer 2010 issue of The MHEDA Journal, which will be published July 15!

Happy 4th of July, everyone!

Members of the American Armed Forces serve their country in times of peace and conflict, continuing a long tradition of honor and pride. Whether training at a domestic Reserve camp or being deployed halfway around the globe, these men and women display commitment and determination to protect the United States of America.

In addition to their allegiance to the military, some of these determined men and women are employed in material handling jobs. The experience gained by these soldiers is helping them while on active duty and in Reserve units. Conversely, these service people have also benefited from their military experience when returning home to civilian careers. Whether driving heavy wheel military machinery or fixing a forklift at home, the service of these individuals to our country and to our industry is a mark of honor and pride. The MHEDA Journal and wikiMHEDA salute these brave and generous men and women of MHEDA companies who have served their countries.

Read more here. Thank you! Congrats!

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!

Hope you all enjoyed your Thanksgiving . In the spirit of the holiday, thanks to all my loyal readers out there. I appreciate your support, as does MHEDA. I also thank all the hard-working men and women of the material handling industry who take the time to participate in The MHEDA Journal, MHEDA Edge, The MHEDA Connection and wikiMHEDA. We greatly appreciate your time and efforts!

Also, thanks to the MHEDA staff, who make my job a lot easier.

Happy Thanksgiving everyone!